Raddon Report

Raddon Report

Thursday, October 18, 2018
Karen Kislin

A sample of mission statements from banks and credit unions – describing what they are doing today, what their reason is for existing – would reveal some consistent themes. You’d see phrases like “committed to improving the quality of life of the communities we serve,” “helping customers succeed financially” or “delivering superior returns for our employees, customers and shareholders.”

Thursday, October 11, 2018
Jan Trifts

A major topic of conversation at the September 2018 Performance Analytics workshops was the need for financial institutions to focus on deposit retention. Loan growth (9.9 percent) continues to outpace deposit growth (5.8 percent) as loan-to-deposit ratios increase. The average loan-to-deposit ratio is now in the mid-80s (a number of financial institutions exceed 100 percent).

Thursday, October 4, 2018
Fabio Biasella

This is the second in a series of articles describing the latest trends and key questions that often arise during the planning sessions we conduct with community financial institution boards and executive teams.

Perhaps the newest concept to emerge forcefully over the past planning cycle is “Data as a Strategy”. 

Thursday, September 27, 2018
Julie Skuturna

Everyone appreciates a good recommendation.  Whether it’s a restaurant, a housekeeper or someone to help you with financing your home, we value a referral from a family member or friend.  Advocacy, defined as support or recommendation for a certain cause, can be such a powerful tool: it can not only get the word out about your business, but can also boost the overall financial performance of your organization.

Thursday, September 20, 2018
Becky Summers

Raddon research indicates that for customers who are highly-loyal, the attributes associated with the customer experience that are differentiating are those that involve interacting with employees.  The data suggest that these attributes, including employee skill, understanding of products and services, politeness/friendliness, understanding  issues, accuracy and approachability, are all contributing factors to the strong relationship with the highly-loyal segment.

Thursday, September 13, 2018
Andrew Vahrenkamp

Community banks and credit unions have done poorly in attracting Hispanic customers. Andrew Vahrenkamp from Raddon, explains why and offers some possible ways to build relationships with this strong and growing market segment.

Thursday, September 6, 2018
Fabio Biasella

This is the first in a series of articles describing the latest trends and key questions that often arise during the planning sessions we conduct with community FI boards and executive teams.

When I help executive teams and boards of directors plan their medium- and long-term strategy, I often hear their concerns about changes to the operating environment.

The first concern I hear is the swirl of demographic change. I was with a leadership team earlier this month and the CEO told me this: 

Thursday, August 23, 2018
Andrew Vahrenkamp

We are approaching strategic planning season again, and the competitive environment has not simplified for most financial institutions.  This business never seems to get easier, does it?  As institutions try to balance growth and profitability, here are five big questions to consider.  To get our full insights in each of these areas and much more, consider attending our second annual Raddon Conference this November 5-7 in Chicago!

Thursday, August 16, 2018
Marcus Rothaar

“Alexa, what can financial institutions learn from Amazon’s brand strength?”

Alexa: “Sorry, I don’t know that one.”

Oh well, it was worth a shot. If she had answered, I could have cleared my afternoon. But alas, we have some research to help answer this question.

Thursday, August 2, 2018
Bill Handel

The release last week by the Commerce Department that GDP grew at an annualized rate of 4.1% in the second quarter was notable for several reasons.  First, as widely noted, this was the strongest economic growth seen since 2014.  Second, both consumer spending and business investment remained strong, with non-residential fixed investment up 7.3%.  Perhaps most symbolically, the U.S. is now at $20 trillion in annualized GDP. 

Thursday, July 19, 2018
Greg Ulankiewicz

In June, Raddon hosted its quarterly workshops for participants in the Performance Analytics program.  These workshops provide a forum for financial services executives, senior leadership, managers and department personnel to discuss the latest industry issues and assess their organization’s performance through the program’s peer benchmarks, trend analysis and customer segmentation schemes. 

Wednesday, July 11, 2018
Andrew Vahrenkamp

Market economics suggest that the price of a good or service is linked to where supply meets demand.  When demand for a good goes up, the price can go up; the reverse is true as well.  That’s why customer loyalty is so important to your long-term success. When your loyalty falls, you must either lower your loan rates or raise your deposit rates to compensate for that reduced demand.

Thursday, June 21, 2018
Lynne Cornelison

When considering innovations in financial technology and “big data,” one often thinks of personal financial management tools (PFM).  You might have heard of names like Mint, Quicken, and WalletHub; essentially, these are financial dashboards.  They are meant to provide the consumer functionality to seamlessly manage and monitor personal finances, regardless where their accounts are located.

Thursday, June 14, 2018
Andrew Vahrenkamp

Eighteen months ago, we launched our new Raddon Research Insights program with a study entitled “Has the American Dream for Millennials Been Shattered?” 

Thursday, June 7, 2018
Lynne Cornelison

Financial experts on morning television – and American consumers in general – acknowledge that financial education is a valuable and important part of their economic health.  They admit that understanding personal financial concepts directly impacts their financial achievement.   Our latest research, however, finds American consumers barely participate in financial literacy programs.  Couple that low participation rate with the consumers’ inflated sense of their own financial literateness: any institution would question whether or not it’s worth the investment to offer a financial education

Thursday, May 31, 2018
Julie Skuturna

If you are meeting your clients’ expectations, congratulations!  So are the majority of financial institutions.  Unfortunately, meeting expectations doesn’t do much for you in terms of customer advocacy or loyalty. 

Wednesday, May 23, 2018
Andrew Vahrenkamp

Free checking is dying.  Banks are reducing their branch networks, with 93% of the closures occurring in zip codes with below-average incomes.  Transitioning to digital channels is leaving those Americans without access to technology behind.  As we noted last year,

Thursday, May 17, 2018
Karen Kislin

Effective brand management requires developing a good relationship with your target. If I were to ask you, “Who makes up your ‘target market’,” I’m sure I would receive answers that include both existing customers and potential customers.

These are accurate responses, but how many of you would have included “employees” as a target market for your brand?

As marketing leaders, it is imperative that we think of brand management in the three pillars that make up our brand: Market, Customers and Employees. All three are critical to the strength of our brand.   

Thursday, May 10, 2018
Lynne Cornelison

I once heard someone say, big goals get big results, no goals get no results.  I’m paraphrasing, but the essence of the statement has always stuck with me, especially when researching Raddon’s recent publication, Effectively Serving the Hispanic Market

Thursday, May 3, 2018
Marcus Rothaar

Raddon recently wrapped up another round of workshops for participants in our Performance Analytics program. More than 1500 financial services executives attend these sessions each year to collaborate with peers and discuss strategies to improve performance.