Sep 16 2015
Reducing Choice Overload at the New Accounts Desk: Alpha Lab Results from Just4You Prototype Test
At Filene, everything we do starts with research, but research alone doesn’t move an industry. It stokes ideas and a select few of those ideas hold the potential to be tested for in-market use. Filene’s Alpha Lab takes promising i3 concepts and actively prototypes them on a small scale before further testing or investment. That’s how we bring our best ideas to the market.
Report Number 377
What is the research about?
Managing choice overload for new members during the account opening process is critical so that the easiest decision a member can make does not become doing nothing at all. Originally developed as a Filene i3 concept and tested at Fort Knox FCU and Westerra CU, Just4You aims to reduce the number of choices a member is given at new account opening. This innovation brief recaps the results from a four-month prototype test conducted at credit unions across the country.
A rapid prototype was developed using an interactive Excel spreadsheet and macros to suggest products based on answers to six questions. Based on Member responses to Just4You questions, they were assigned one of five consumer segments to help determine the best set of products and services.
- 153 new memberships were opened using Just4You.
- Member-level product trends were analyzed for 90 days subsequent to Just4You use.
- Average products per new member was only slightly higher after account opening and 90 days later for new members who went through Just4You
- Member retention during the first 90 days of membership was positively impacted by the Just4You prototype.
- Beyond simply connecting individual members with the best products, several credit unions indicated that using Just4You generally encouraged their employees to have deeper conversation with members about their needs.
Where does Just4You go from here?
The results of our Alpha Lab prototype test indicate that Just4You has the potential to positively impact credit union and member outcomes at the new accounts desk if various changes are made to the concept in future prototype iterations. Filene invites credit unions interested in developing Just4You for their own use to use the results and observations from our work to develop your own version. If your credit union goes down this path please let Filene know so we can track the future of Just4You.
Filene thanks its generous supporters for making this important research possible.