Today, people across a broad spectrum of industries and research areas are looking to mobile as a way to address...
Feb 16 2016
The State of Data Technology in Credit Unions: The Sink-or-Swim Crossroad Ahead
Technology has transformed many vertical sectors of business in the past, and there is a new wave of technology that has the potential to dramatically transform the financial sector. This new wave is being triggered by the changing habits of consumers moving to mobile platforms to interact and transact with financial institutions, and the digitization of the information that powers the decision making in finances for both consumers and providers. Consumers can now compare and contrast competing financial products with a speed and precision that simply wasn’t possible just a few years ago.
Within this broader context of changes, we undertook a focused study of credit unions to better assess the current challenges that credit unions face. Our aim was to determine the role of technology in empowering credit unions to meet the challenges they face today as well as those they anticipate in the near future. We employed a dual strategy of conducting an online survey, then engaging select respondents in one-on-one, in-depth interviews. Our findings reveal that credit unions are seeing varying levels of growth, suggesting that at least this group of credit unions is competitive in the large landscape of banking institutions.
We found, perhaps not surprisingly, that mobile is the most important touchpoint for consumers when interacting with their credit union. An interesting result of this shift is that physical branches now become more important as relation hubs than as transaction hubs. Physical branches, however, are still relevant in this new dynamic, although the functions that physical branches need to provide are changing rapidly. Download the report to uncover all of the key findings.
Filene thanks its generous supporters for making this important research possible:
Report Number 392