The bank wanted to sell more debit cards with the ultimate objective being to increase non-interest income.
In the planning stage, FI Works collaborated with the community bank to refine the campaign strategy to change our perspective from a product cross-sell initiative to a more targeted, usage focused goal. The goal was to find the people who would be likely to really use a debit card and get them to add the card to their checking account.
The data analytics we needed to perform to generate a highly qualified list of customers that fit our bill proved to require a methodical, multi-step process with lots of banking knowledge to back it up.
Campaign details of how it worked.
The debit card campaign was strictly an outbound calling campaign conducted by the frontline bankers. It took a unique “usage based” approach by targeting only the accounts that were predicted would have high monthly transactional usage on the card. Here’s how the campaign the campaign worked:
Solving the Data Dilemma
The FI Works solution consolidates a bank’s customer data from all the different banking systems on a daily basis. This provided the ability to analyze all checking account customers to determine what our best targeting criteria would be and ultimately our best customers to call on.
“The objective shouldn’t be to sell more debit cards, but to find customers that will really use a debit card.”
Keith Henkel, CEO, FI Works
Making Intelligent Targeting Easy
Predictive Usage Profiling
The first step in our Intelligent Targeting was to look at all the checking account customers. Then we needed to eliminate any accounts that already had debit cards. The next step was to eliminate any checking accounts where debit cards don’t make sense or where there would be minimal usage (i.e. check cashing accounts, special accounts, etc.).
This is where the magic of the FI Works software platform came into play – analyzing accounts with high average number of debit card transactions per month. Now we needed to see if there were any specific account attributes these accounts had in common (i.e. internet banking, eStatements, mobile, bill pay, etc.). Looking at the primary owners of these accounts the system identified the top attributes to for the people the campaign should target (age, income levels, etc.)
Power of Targeting
After identifying the best checking account types that could use a debit card, that bank had over 55,000 checking accounts and came up. However, after focusing on the attributes of high debit card accounts/customers the list was whittled down to 6,600 that were likely to buy and make frequent use of a debit card. This was a much more manageable number of people to call on for the bankers.
Community banking is about knowing your customer and building relationships. So if technology can help you do that and improve bank performance that’s a win-win.
Driving High-performance Behavior
Push Sales Opportunities to the Frontline
Based on the results of our predicted usage analysis, sales opportunity work queues were generated and pushed out to each of the individual bankers. Online tracking of the first phase sales call activity showed that 25% of the people said “yes” to add a debit card.
Campaign Dashboard Monitors Results
In addition to tracking the typical metrics for the debit card cross sell, FI Works also set up a dashboard to monitor debit card usage for the checking account owners targeted in this campaign over time. It’s this type of flexible analysis and visibility that will help the bank get better and better at focusing its sales and marketing on where it pays off.
Visibility Overcomes Bankers’ Reluctance
Customer-oriented branch bankers typically feel they shouldn’t bother their customers with dumb offers because of the relationship they have with them. FI Works’ ability to track immediate results helped shift this attitude. Seeing the immediate 25% response was all the proof they needed.
The Proof is in the Numbers
- 25% response rate
- $700,000 new annual revenue
- 70% debit card penetration
- 6,000 targeted accounts