Increasing a Credit Card Portfolio through Targeted Marketing

While credit unions often focus on bringing in new members, it is equally important to communicate special offers to existing members to expand their usage of services available to them through their credit union.

ACH data is a valuable source of information that credit unions can access to target their members at just the right time, with just the right offer. A targeted marketing campaign can support members in meeting their financial goals while helping credit unions increase their bottom lines.

If you rather skip to the complete details for this campaign, click here to download the full case study.

Harnessing the Power of ACH Data

Automated payments are a convenient way for members to stay on top of ongoing payments. Mining ACH data is a powerful tool that can be used by credit unions to provide value for members, while at the same time upping their ROI.

Mississippi Federal Credit Union provides a case in point when it worked with Synergent Direct Marketing Services to increase ROI by leveraging ACH data.

Using the theme Harness the Power, the campaign offered targeted members a low-rate Visa card with no balance transfer fees.

Best of all, the low-cost campaign exceeded their goal to increase their credit card portfolio and paid for itself in just three months!

Disseminating Data & Reaching Members

Keeping it personal and making a valuable offer to existing members was the optimal strategy for Mississippi FCU’s successful Visaâ ACH campaign. The key is that by sending communication to a narrower, highly qualified distribution list, response rates increase and production costs decrease.

The offer was sent to 3,439 members based on the following criteria:

  • Members making ACH credit card payments to other lenders with no credit card at Mississippi FCU
  • Members ages 25-65 with a checking balance of $500 or more and no credit card with Mississippi FCU
  • Members ages 25-65 with a loan but no credit card with Mississippi FCU

The Results

This campaign was a huge success. During the two months that the campaign was run, Mississippi FCU increased their credit card portfolio by 90% over the same time in the prior year!

Want to learn more about the campaign? Click below to read the full case study.