Credit Unions Earns Easy Marketing Incentives

Challenge

Increased regulations, in conjunction with a down economy, have credit unions looking for new sources to earn non-interest income.

Solution

LEVERAGE partnered with a national cellular service provider to provide credit unions with a program where additional non-interest income can be earned with no program investment fees and easy-to-implement marketing activities. Credit unions simply market the program to their members and earn incentives for promoting the program. Members receive a 10% discount on their individual plan's monthly recurring charges. Members also receive discounts on equipment and accessories, as well as waived fees on new activations and upgrades.

"The Sprint Program has become an added value on our list of additional services for our membership. This program has proven to be self-sufficient and hassle free." Lyn Gills, VP of Marketing at First Choice Credit Union

Results

In 2010, credit unions in Alabama and Florida who participated in the program earned more than half a million in non-interest income by promoting the Sprint Member Discount Program to their membership, while members saved money on their monthly recurring cellular charges.

"The Sprint Program is a great tool to help us grow and retain membership. The savings that our members can enjoy through this program adds additional value to their credit union membership," Allen Milliron, AVP, Business Development for Grow Financial FCU

Keys to Making it Work

Promoting the program through multiple channels is required to receive 100% of a credit union’s marketing incentive. Partnering with a national company gave the program immediate brand recognition.

Lessons Learned

There is significant power and value in providing members with additional ways to reduce monthly expenses. Credit unions saved their members more than $90 million, nationally, on their monthly expenses. And, powerhouse players in the market see value in partnering with credit unions to provide a reduction in monthly expenses to their members for assistance in promoting their service.