Business Analytics: How to Leverage Data to Transform the Way Your Credit Union Serves Members

Our increasingly digital world allows financial institutions to create an experience like no other. While the efficiency and readiness of digital channels may seem like enough, optimizing your analytics can take the experience to another level.

At Celero, our Business Analytics team strives to support credit unions in their journey to unlock the full potential of their organization’s data. This is a journey that takes time but will provide answers to questions your credit union hasn’t even thought of.

Understanding Your Credit Union

The process of analyzing member and organizational data is not new for many credit unions. For years, credit unions have kept track of their members’ accounts and used this information to offer new deals and create deeper connections. However, the technology supporting credit union services has continued to change, and so have the analytics behind these services.

Taking time to thoroughly understand where your financial institution is analytically must be the first step on your journey to discovering better business analytics.

This process includes asking questions such as:

  • How is our data accessed?
  • Who needs the data?
  • How is this data actionable?

While gathering data is an important step in this process, knowing where and how this data is going to be used is the only way for the data to truly make an impact on your organization.

Man completing online banking transactions

Optimizing Your Analytics

Data-driven decisions are the way of the future and create a straight line to success with your members. Credit unions have had an edge over larger financial institutions for years by knowing their members personally. This is no longer enough.

While it is important that credit unions maintain that close relationship with their members, they now have to opportunity to enhance their experience. By offering new solutions, products and services to their members based on their data, members can enjoy a greater financial experience. The data that your credit union collects is given to you by your members because they trust you and your organization. It is up to you to decide how to best use that information.

Build solutions that solve problems, not ones that create more work

Aaron Dalziel, Manager of Business Analytics at Celero

Just as it is important to provide your members with a solution quickly, it is equally as important to make sure that it is the right solution for your credit union. This often requires digging a little deeper than you normally would with member data.

Identifying the root of the problem rather than a “quick fix” will save you time and effort down the road. Going through this process will also help your financial institution not to make assumptions about what you believe is best for your members.

At the end of the day, your members are the ones that will be using your services and their needs must be kept at the top of the decision-making process. Making data-driven adjustments presents an opportunity to not only improve your member experience, but also increase operational efficiency across your organization.

Celero’s Business Analytics

Celero takes great pride in our Business Analytics solution and the information that it provides credit unions. The solution has helped credit unions to solve problems such as:

  • Reviewing lines of credit
  • Understanding risk and opportunity
  • Predicting attrition
  • Analyzing transactions

Historically, the problems listed above have taken large amounts of time for credit unions to gather information, analyze the information and then act on it.

Payment transaction with smartphone

Reviewing Lines of Credit

The process of reviewing lines of credit can often be painstaking and may seem not important for low-risk members. But did you know this process can be automated?

By using member data, low-risk members that need to be reviewed can be automatically approved by the system based on their data with your financial institution. This process creates time for your employees to better serve your other members.

Understanding Risk and Opportunity

Credit unions are constantly looking for new ways to improve as an organization. Many of these improvements involve potential risk that could harm the organization. Using proper business analytics allows your credit union to make data-driven decisions, further ensuring your choices are the right ones.

Attrition Prediction

One of credit unions greatest fears is losing members without knowing why they left. It’s true that it is impossible to keep all your members and keep them happy all at the same time, but proactive action can be taken to lower your risk for attrition each year.

Through analysis of member trend data, credit unions can understand when they need to reengage with members and what they can do to stop them from leaving. A proper attrition prediction can l allow your credit union to identify close to 90% of your members. Not only will this process help your member retention, but it will also assist in providing a better experience to your long-standing members.

Transactional Analysis

COVID-19 has highlighted the importance of transaction analysis. With so many unknowns, many members are in a confusing space in their financial journey. Analyzing member transactional data is an opportunity for your credit union to build a strong relationship with your members.

This data might show a recent layoff, lowered income or even a pay raise. Reaching out to your member based on this information creates the opportunity for discussion and for the two of you to create a solution.

Business analytics are no longer something that can be ignored within your financial institution. Taking the proper steps to grow on your analytical journey will not only ensure that your credit union is able to remain competitive, but that it will be successful in the future. The growth of technology within a financial institution only continues to rise, so use it to your full advantage and provide the best experience possible for your members.


Related posts: 

Four Ways Credit Unions Can Leverage Business Analytics to Engage Members 

Stories of Success: How Credit Unions are Using Celero’s Business Analytics Solution 

A Guide to Business Analytics Implementation 

Celero Spotlight: Digital Transformation Interview with Don Shumlich, CEO of Weyburn Credit Union 

Evaluating Your Credit Union’s Technology Infrastructure: Three Areas of Focus 

Why Digital Banking is a Catalyst for Transformation 


Subscribe to Celero Insights. 

Business Analytics: How to Leverage Data to Transform the Way Your Credit Union Serves Members