How to Make Auto Loans Beyond the Point of Sale

“Joining forces with Synergent and using the data mining techniques that they have has allowed us to reach out to members after the sale.” – Deb Brown, Vice President of Sales and Lending, Oxford FCU

Auto sales can be a finicky thing. Buying cycles, the economy, and the challenge of competing with the convenience of dealer financing are just a few ways that the demand for auto loans can be affected. But what if your credit union wasn’t focusing solely on providing new or used auto loans at the time of the sale? There’s another way with auto loan recapture campaigns!

Over the course of one year, Oxford FCU partnered with Synergent to offer quarterly cycles of their strategic auto loan recapture campaign, leveraging member data through Transactional Data Mining (TDM), which uses numerous sources of data, including core, ACH, custom lists, and many more. As a credit union that also partners with Synergent for their Symitar Episys® Core Processing, targeting the right members, at the right time, with the right offer was made simple for Oxford FCU.

“With Synergent having all of that member data of ours, we’ve been able to really specify our targets, being really specific as to who we want to send these offers to and customize what that offer is,” shared Deb Brown, Vice President of Sales and Lending at Oxford FCU, in a recent episode of CU Broadcast. “Just last year, we did four auto loan recapture campaigns and we were able to bring in almost $800,000 in new auto loans and, aside from that, saved those members about $225,000 in interest. It was a win for Oxford and it was a win for our members!”

Proof in Partnership

Over a 12-month period, Synergent Direct Marketing Services conducted four campaigns that targeted 4,039 members, including those who were making auto loan payments to other financial institutions. Incentives included:

  • Low rates
  • Terms up to 84 months
  • Cash back offer

Members received the offer via postcards, emails, and follow-up phone calls.

“It’s a very collaborative experience,” stated Doug MacDonald, Vice President of Synergent Direct Marketing Services. “There’s a lot we can do, so it becomes very customized…We can change and tweak the criteria, make small changes in-between campaigns. But one of the nice things about it is, when you repeat the campaign, you start to see increased success over time.”

It’s Not Over ‘Til It’s Over

The end of the campaign period is not the end of the process. Once the campaign period has been completed, Synergent presents results to their credit union partners in many ways, including tracking loan adoption, those that were targeted, and showing a year-over-year lift tied back to the targeted campaign. This not only creates a clear picture on campaign performance, but it also drives decision-making for the next campaign.

Learn More

For every dollar spent on this campaign, the campaign earned $69 of interest income! Download the complimentary case study for complete campaign details and contact Synergent Direct Marketing Services if your credit union would like to get started on its own auto loan recapture campaign using TDM!