Banking on Digital Growth
Banking on Digital Growth

Episode · 7 months ago

84) #ExponentialInsights: Financial Brands: Why the Children Are Your Future

ABOUT THIS EPISODE

The children are our future. It’s a horrible cliche, I know.

But if your financial brand doesn’t successfully engage the youth…

You don’t have a future.

In the latest episode, I catch up with John Lanza, The Money Mammals Kids' Club and Shari Storm, CEO of Category 6 Consulting, and learn why the often-overlooked youth demographic is the key to future success for any financial brand.

We discuss:

- How parents (especially moms) shape their children’s financial habits

- Why the youth of today have different brand expectations

- The value of focus groups

You can find this interview and many more by subscribing to Banking on Digital Growth on Apple Podcasts, on Spotify, or here.

Listening on a desktop & can’t see the links? Just search for Banking on Digital Growth in your favorite podcast player.
 

...all that aside, I actually think thebiggest problem and the biggest opportunity is that financial brandsare not, they're failing to recognize that it's important to connect with theparents, to connect with the moms. We talk about the moms were not ignoringthe dads, but the moms are the ones who make most of the consumer decisions inthe household. You're listening to banking on digitalgrowth. With James Robert lay a podcast that empowers financial brand marketing,sales and leadership teams to maximize their digital growth potential bygenerating 10 times more loans and deposits. Today's episode is part ofthe exponential insight series where James robert interviews the industry'stop marketing sales and fintech leaders, sharing practical wisdom toexponentially elevate you and your team. Let's get into the show greetings andhello I am James robert, ley and welcome to the 84th episode of theBanking on digital growth podcast. Today's episode is part of theexponential insight series and I'm excited to welcome Sherri Storm andjohn Lanza to the show. Sherry is the chief executive officer at category sixconsulting and john is the creator of the money mammals kids club and the artof allowance project for financial brands. What I'm excited about istogether they've teamed up to publish a white paper that really is educatingand empowering financial brands about how they can best capture the youngaccount holders segment, which is exactly what we're gonna be talkingabout today to transfer their knowledge to you. Welcome to the show Sherry andjohn thanks for having us James robert. Well let me ask, you know, I'm, I'mexcited as we, I feel we're seeing the light when it comes to this pandemic.There's a lot of hope, there's a lot of optimism and I'm just curious for youboth. What are you most excited and hopeful about right now for for you,the work you're doing, Whether that be personally or professionally, what hasyou really inspired today? Yeah. You know, I, I think I'm just reallyexcited. We just launched this new program called the Art of allowanceProject will be talking about it. And what excites me is just that it'ssomething that I think can help both financial brands and parents and kidsand I'm just super jazz because we're in the first month of launch of a kindof re envisioning the program. So that's exciting and it'll be excitingto see where it goes, how we reiterate from here. Absolutely. And, and, andwe'll definitely get deep into that because as a parent of four, I thinkyou're tapping into a lot of unique market opportunity and one that reallyaligns with a lot of the thinking and the teaching that we're doing here atthe Digital Growth Institute Sherry. What about you? Well, on a personal level, my parentsand my grandma had been vaccinated. My 13 year old daughter started volleyballlast night. So that just, I love the word that you said hope that justbrings me hope on a professional level, conferences are starting to ramp backup. You know, I, I own a speaker's bureau, so I'm getting these calls forfor myself and speakers and I just can't wait till we can meet again inperson and I can see all my banking and credit union friends face to face. Ijust can't can't wait hugs and high fives all around. You know what, I'lleven do the elbow bump, you know, I will meet you where you are at and Iwill hug or an elbow bump, I'll take it. There you go. There you go, I'm rightthere with you. You know, and it's and it's funny because it's like a doubleedged sword, this idea of conferences and travel and you're talking to a guywho was on the road every week every other week and, and, and have been off,you know, for the last here and it's been really good, but I miss it like,like I miss that in person interaction.

I don't miss the travel per se. And Iwas telling my wife the other day, I feel like zoom has become my ownpersonal teleporter, you know, like star trek. Like I can teleport fromhere to there and the commute time is great because I get to go home and bewith the wife and kids and sleep in my own bed and wake up feeling really goodthe next day. But I am excited about getting back on the road myself and andreally want to transfer this into, you know, you talked about the conferencesand the speaking, but you guys have been doing some really good work on theresearch side of this, this white paper to educate and empower financial brandson how they can capture even more young account holders and, and it's verypractical and you share 10 things that they should be doing right now so thatthey can move the needle to move forward with courage with confidenceand maybe even give give a little bit of hope in this conversation as well.So, I want to start off by why publish this white paper in the first place.And then what's the biggest problem you're seeing for financial brands thatwant to attract account holders even in this, this post Covid world. Okay, well,I'll start with the Y and then um jOHn can answer the second part of thatquestion if that's okay with you john. So one of the things that John and Idid during the pandemic is we set up these t panels for, for severaldifferent conferences around the country and what became very apparentto us when we were talking with these teams and asking them questions andgetting insight was that teenagers these days are really different thanteenagers even 10 years ago and the stark difference in terms of theirlife's experience, their opinions there is really quite remarkable. I mean youthink about, you think about kids these days, they're the only generation tohave active shooter drills since kindergarten at school, right? Like howmany adults even know what Alice is? You ask any kid, they know, you know,they're the only generation that has always had mobile banking and homebanking. You know, they're never going to write checks. They're the firstgeneration that has never sat in front of the television and flipped throughthe channels because they are the generation that has had content fed tothem based on what they like. They've had it curated for them, you know, andthen you throw in the pandemic on top of all of that and it's just this, thisparticular generation is just really different. And so john and I um startedworking with that. And the thing about financial institutions is they all wantto be there when consumers ready to get their first car loan or their firstdebit card or, you know, or or their first mortgage. But what we found iskids are making those branding decisions, they're, they're buildingtheir, their alliances and they're when they're young, younger than teenagerswhen they're 567 There's even some studies that say that some consumersfigure out their brand identity by the age of two. And so one of the thingsthat we really wanted to stress was that this is a comprehensive strategicinitiative that that banks and credit unions should be looking at. Thisreally is about the future of, of growth and it starts today. But you'replanning seeds and I think that's an important point to make that you'replanting seeds today. That might not show fruit For another, you know, 10,15, maybe even 20 years. But it's important to do the hard work now thatno one else is willing to do so that you can, you know, reap those rewards.I want to come back to some of these, these key trends and characteristicsJohn What would you, you add to this thinking from, from Sherry here? Well,let's uh, first I did want to say the...

...kids become brand aware. I was justreading about this today yesterday. So brand aware before they're too like shewas talking about and they start to align and identify with brands beforetherefore like they start to realize that a brand means something can meansomething to their identity. So let's talk about that problem. Like what is abig problem that financial brands are having in terms of attracting accountholders and say first, can we stop calling them checking accounts? I meanI'm right there with you because I actually, I actually wrote that down asa note. I was going to come back and address that because you said they'renot going to write checks. Spending accounts is like what I see or evenwith another institution I'm advising who has a philanthropic I and, andreally purpose driven. They are even talking about calling them givingaccounts. So it's a very unique. I'm right there with you, john no morechecking accounts. Yeah, just something that's more relevant. So like you said,you talked about this, about this idea in the white paper, which is just don'tassume that your worldview is, everyone's worldview. There's this ideathat I forget. It's sherry, you can probably remember the name of theperson. Uh, but is, you should have a mentor, not a mentee who is muchyounger than you to give you some perspective on the world. But we allknow teens aren't using facebook, but do they really want you in the domainsthat they are? Do they want you on Tiktok? Do they want you on Youtube? Dothey want on instagram? And that varies and it depends on the platform. So, butall that aside, I actually think the biggest problem and the biggestopportunity is that financial brands are not, they're failing to recognizethat it's important to connect with the parents, to connect with the moms. Wetalk about the moms were not ignoring the dads, but the moms are the ones whomake most of the consumer decisions in the household. And the reason that youwant to do this is that we know from research that parents are going to bethe guides for their kids, right, that the teens routinely say that they lookto their parents and the way financial literacy works is, there are three kindof main ways, there's modeling, which is the kids do what you do, not whatyou say, they're gonna, they're gonna watch the parents. And so if you have aprogram that helps not only the kids, but the parents be a better guide.Great direct instruction. That's another way that kids learn. So that'sgonna be the actual teaching that the parents are doing with their kids andthen experience, which is a huge part of it. So financial experience and thatcomes in the form, we'll talk about it, but an allowance and then going to theinstitution, saving their money there, engaging with debit card as they getolder. Those are all part of the financial experience. And ultimatelyit's all about introducing your kids to the language of money from a young ageand then carrying through this conversation as they get older andthat's, it's a big opportunity for financial brands to be the kind ofsteward in this area. I agree, and that idea of modeling instruction andexperience is one once again as a father of four and I agree, becausewe're having these conversations, you know, my wife is with with with thekids as well as I am. We just the other day my son wanted to buy somethingonline, it was Wild Kratz, the Tv show on PBS that he's trying to get thesethese badges and patches for And he got $10, he had to make a donation and hegot $10 $10 bill and I filmed this and he didn't know I was filming because Ithought it was so sweet how he was going to pay. So he, On the paymentform started typing in the number on the dollar of like that that $10 billof the issuance and I thought that was pretty, just intuitive and then he waslike that's not working, I was like, so so what are we gonna do next? He said,can I use my amazon gift card? Because he gets amazon gift cards and he preloaded them into the account. I was like, well it's not amazon, so it'sjust a really good conversation of how...

...all of this is working. And then my, mymy middle daughter, I mean she is entrepreneurial to the core, I meanshe's always looking for a way to take something and add and multiply value.So I really like this idea of modeling instruction and experience before we gofurther. I want to get some clarity though from both of you by what youmean. When we say young account holders and you touched on this a little bitsherry because I know for many financial brands, especially withleadership teams, when you say young account holders for some reason theirmind goes straight to to one word millennial, but the thing ismillennials are not young anymore, they've aged up and on the older end ofthe spectrum, those born, You know, in 1981 are turning 40 this year. Do nottell anyone I fall into that category. So from the research that you've done,who are the young account holders now because you even touched on this even,you know, it's very different than what it was 10 years ago. Yeah. And so inour, in our white paper, we talk about baby to 24 so we talk about newborns tothe age of 24 that I mean that encompasses gen X I get are not gen X,gen Z and then the yet to be named cohort. But one of the things we foundwhen we did these team panels was you asked the teenagers win, how tell usabout when you opened your first account, 99 of the time. It's myparents did it for me. And and the answer is often times it was just I'vealways had it, I had it since I was a baby. Like this is the account that Ihad always and so one of the things that we're stressing is that you dohave to consider the toddlers and uh the four and five and six year oldsbecause that's when the banking relationship actually starts for them.So yeah, so that's that's the age that that we cover in the white paper.Gotcha. And I think you touched on an important point here is what comesafter gen z and right here, according to Business Insider, it's gen Alpha,anyone born after 2010, but to quote business insider, it's already set upto be the most transformative generation yet. Alphas haven't justgrown up with technology, they've been immersed in it since birth, early intheir formative years. These Children are comfortable speaking to voiceassistance and swiping on smartphones. They don't consider technologies to betools used to help achieve task, but rather as deeply integrated parts ofeveryday life, That's an important distinction right there. Even betweengen Z and gen Alpha and when, when, when we look at this context, when wethink about these young account holders, what's driving their thinking, what'sdriving their behavior most first, just in general and then second, coming backto the point of when they're buying a financial product, Can you dive deeperinto this area here? Yeah, we found out a few interestingthings that we did not expect to find again because this is not our view,this is the view of the from the teens and the young adults, right? So youalways learn a lot. Just sit there ask questions and listen. So infacilitating those groups who found one. What Sherry talked about the idea ofthe parents really are the number one influence like you know all of themreally they couldn't even they could barely they just they just said I bankwhere my parents bank that's that's just what I do right? So as one andthen the other one was the importance of live people, a live person availablein the process of setting up an account when they're going to do a lot of theirresearch upfront online you know which is obvious but they want to havesomeone available to talk to and they want a physical location to go to. Andthen the other interesting part is they like snacks at branches. They like freefood, free food at the branches. But it's I thought it was reallyinteresting. I had been thinking that...

...that group was going to be very focusedonly digitally, but there is definitely a large important offline component andactually something we discussed in your book club James robert, which is thisidea that they're going to go through the process when they're trying to,when they're looking at your potential products and you're as a brand, thestrength of your, you can think you're online setup is perfect, right? It'sit's got everything. But then your call center is kind of average, that's goingto be their perception of your brand is at that place at that time when they'rethis close to making the decision, they make that call and you don't have that,that one on one, whether it's in the physical branch or on the call center,every part of the process has to be really rock solid because every touchthere is going to affect your brand. Well, it comes back to this point of,let's academically define experience through the lens of of what we teachhere at the Digital Growth Institute. Experience being well defined systemsand processes that have been number one obviously defined to applied. But thesecret and the key digitally is optimized and that's not just in thedigital world, that could be an omni channel experience going from digitalto the call center. Coming back to the point here is you talked about the needfor live help. They're gonna do their research, let's just say that 80% ofthe way do some comparison shopping now we're gonna go back 10 years. 2011.Shopper sciences did research in conjunction with Google, one of themost profound studies of that time, which was the googles zero moment oftruth study. And they found back in 2011, The # one most influential sourceon a consumer's financial buying journey even digitally was the humanconnection. Whether that human connection was via email, live chat,telephone call center or transitioning from digital channel mobile channel twoin person. I think the key takeaway from all of this is we're seeing now,you know, from multiple data points, the research, you're doing, theresearch that Google has done, the human influence. The HX the humanexperience is going to be a very important role four years to come andmaybe we've lost some sight of that because we've been so focused on quoteunquote technology, not about using technology as a tool simply to bringpeople together anything to add to that thinking there, I do want to add onething, it reminds me of taking this tour of Zappos, because the key elementhere is for those in person people, they have to be empowered to do theright thing and and the way to do the right thing and the right thing is atough thing to define. But they have to like you you have to be able to helpthem understand what your brand is all about so they can make the rightdecision. For example at Zappos they had I think they're called thehappiness team. So depending on the type of the customer that's calling inthis person would be empowered to spend up to $200 to provide a gift to thisperson. If they felt like it was the right thing to do and they would buysomething personalized on Etsy for these V. I. P. Customers. But the mainpoint was that they were all totally empowered to make sure that the zapthat what that the interaction the customer was having was positive foreach individual person in a way that would make them want to come back to uhto the brand. And this comes back to something that I have a hunch and it'sjust what I'm seeing at the macro level that that micro micro experiences aregoing to beat the macro or the mass experience in this post Covid world andit all comes back to and I missed this. You know in writing banking on digitalgrowth. You know my formulaic approach...

...was was H. X. Plus D. X. Equals growth.Human experience is delivered through the context of the digital experiencewill lead to growth. What I missed in my biggest learning coming out of Covid,we have to put another experience that precedes the human experience which isE. X. E. X. The employee experience plus a checks. The human experiencewill then ultimately lead to the digital experience leading the digitalgrowth. So it's the empowered employee and I and I teach this to, you know,looking at another brand, Zappos, I mean Tony shea delivering happiness,you know, is unfortunate, you know, tragic death last november, I thinkCornell, all of us by surprise, but thankful he left some of his wisdom andyou just go watch his videos and he just transferred so much knowledge atscale. But four seasons is E Sharp, another great example of experience,where he has always written and talked about ought to make the predictable sothat we can humanize the exceptional technology has transformed our worldand digital has changed the way consumers shop for and buy financialservices forever. Now, consumers make purchase decisions long before theywalk into a branch. If they walk into a branch at all, but your financial brandstill wants to grow loans and deposits. We get it. Digital growth can feelconfusing, frustrating and overwhelming for any financial brand, marketing andsales leader, but it doesn't have to because James robert wrote the bookthat guides you every step of the way along your digital growth journey,visit www dot digital growth dot com to get a preview of his best selling bookbanking on digital growth or order a copy right now for you and your teamfrom amazon Inside you'll find a strategic marketing manifesto that waswritten to transform financial brands and it is packed full of practical andproven insights you can start using today to confidently generate 10 timesmore loans and deposits. Now back to the show when we look at these, these youngaccount holders and one of the things I really appreciate with the white paperis the amount of research that went into the two of you pulling all of thistogether and and as a digital anthropologist, I sit at the centre ofmarketing, sells technology and human behavior. But one of the things thatreally jumped out to me was when you wrote, and I quote, young consumersrepresent the canary in the proverbial coal mine. So I have to ask what doesthis mean? Because when you think about the canary in the coal mine, I thinkabout an early warning system. You know, caution how might consumers be an earlywarning system for financial brands? One of the reasons that I alwaysrecommend that banks and credit unions focus on young people. Is there goingto inform you of what products and services you need today and tomorrow?Because they're the ones who are adopting things that are going to belong standing, Right? But in terms of the Canary in the coal mine referencewas if you are paying close attention to that segment, you will not be caughtoff guard when they start to forsake different services or products. One ofthe things that comes to mind for me is, and you referenced it at the beginningis that this cohort, definitely their experiences with other brandsdefinitely informs their expectations for their financial, financialinstitution. And one of the problems that I see is that they are usingdifferent things that we as as older people may or may not be using toextent that they are like. So an easy example as Uber. So a lot of, a lot ofkids start using Uber by the time they're 14, right? If you've never usedUber, you don't understand how much easy, easier and enjoyable it is thanusing a cab. If you've never experienced that you don't understand.And kids these days they will not use, you know, they will have never haveused taxis and Uber will be their point of reference in terms of how they wantservices delivered to them, right? The...

...analyst goes on, I mean it's thedifference between using a raku versus cable or Alexa versus a text book orthe internet versus the library. And so one of the things that I think happenswith this generation is they're much more impatient when things aren't easyand enjoyable. And that's that's something that banks and credit unionsoverlook because I think a lot of times we consider security and safety andthat to be what consumers want. When in reality they just want to do it fastand they want it to be interactively pleasing. So yeah, you just have to payreally close attention. I want to pay some context to this and this is realworld. You know, a study that we're doing right now. It's a digital secretshopping study that we're conducting for a financial brand at the mostimportant part of their digital experience, which is the application.And now we're benchmarking this application that's provided by a majorthird party provider who we're not gonna name to protect their to protectthem because there's some major flaws that we're finding and we're comparingand contrasting, let's say, a gen Z perspective going through thisapplication process versus a gen X or even maybe a younger boomer. They havethe patients to go through all of the additional questions in the quoteunquote security, we're finding about 80% of gen z is abandoning theapplication process. They're like, this is way too much, way too complex, waytoo complicated, too much friction. But then when you, when you benchmarkedagainst, say a time for example, it's a completely different experience and itmakes gen Z feel that much better, but the boomers don't feel as confident. Soit's a little bit of a paradox. And I think you mentioned this, john we haveto be careful to projecting our own worldview into this, these, thesedifferent areas when it comes to the recommendations that you make on howfinancial brands can capture young account holders. Your very firstrecommendation is really two simple words that, that I've connected with.And you mentioned this before, engage moms. I'd like to dig deeper herebecause this is really a blue ocean untapped opportunity, especiallydigitally, through the research that we're doing for financial brands. Butfirst off from your perspective, why engage moms and then what's theopportunity that you see for financial brands to engage with this very uniquemarket segment? I have been shouting from the mountain tops for years thatalready and you need to engage mom and here's the laundry list right here.Number one is Depending on the study they make between 80 and 90 of allhousehold spending decisions. They are the number one influence on where theirChildren will do their banking. But the other thing about moms is they are atremendous referral source. If you don't believe me, just go to facebookand type in your city moms because there is a facebook moms group in everysingle city and town in the world. No, I don't know in the country, but one ofthe things that moms do is they congregate online, They ask forreferrals and they act on those referrals and that makes them a veryenticing segment. I mean, the other thing about them is they tend to thinkpretty homogeneous tick, and I always say that word wrong, but what I mean isthere are a lot of things that moms considers themselves to be, whether ornot they are is up for debate, but it helps you communicate with them right?Because you sort of, you know, the rules of engagement. They want to begood moms, they want to provide for...

...their Children. Like these are thingsyou you know, to be true and you can craft your marketing message to speakto them easier than a lot of different market segments. Yeah, they just umthey're easier to reach because they're online and and and you know whatthey're about and they're going to bring in your new members. I mean, hereit is shout out to Jeffrey Kindle, you know, Ceo of Nimbus who have had somereally good conversations with and, and on their industry advisory board. Imean, what a great niche market opportunity that I could see be sotransformative. I see this behavior, I see this with my wife and then you know,her sisters and, and people trust people because you're gonna shortenyour learning curve by going to ask for the recommendation, the referral ofothers because someone has already walked that path before. But I thinkyou've tapped on and I've heard this twice now influencer, you mentionedparents are the number one influencer mom are the number one influencer thatreally takes the idea of quote unquote influencer marketing to a whole newlevel even at the individual household. And so that's just something that I'mprobably gonna stew on here a little bit further john, you know, engaging inmarketing moms has been a big area of focus through the work that you've beendoing over the years. And most recently with the art of allowance project. Onceagain as a parent, I'm really, really intrigued by the program. How mightthis program, the art of allowance play into some of the opportunities thatSherry is referencing for financial brands to do just that, which is thosetwo words engage moms. Yeah. Well what we did is we kind of re envisioned ourprogram because we had a kind of kids club program and we realized we wantedto help what we needed to help the parents because all the research wewere looking at and, and frankly like it was for me, it was really excitingto finally connect and start working with Sherry because you know, Ifollowed her work, I you know, I knew she just, she's like the mom whispererso it was time to get to really connect and make this program something thatwould, that would engage the parents, right? Because we, we knew after all ofour conversations and looking at the research that this is a, we have toconnect with the parents and it's a huge opportunity for financial brandsand what the program does more than anything is that recognizes thateverybody needs some help. This is I'm going to use your words James robert,which is the program is there to help and then provide hope because everyparent has every mom, every dad has a certain amount of money shame that theycarry into their parenting, right? And that's going to be a roadblock for themin terms of helping their kids become money smart and money empowered is whatyou want to you want to program. That is let's get that gets back to what wewere talking about, that has the ability to that recognizes that everyparent, every kid, every everybody is going through a different journey,right? So you just want to focus on core concepts, not it's notprescriptive to say you've got to do it. 123 we say here are some foundationalelements, you know, setting and saving for goals. You know, making smart moneychoices, things like that. Once you have that foundation, then you canrealize as a parent, well one first of all those are simple concepts. And if Ineed to adjust my own behaviors, I can do that to be a better model for mykids. And the program recognizes, it's like, it's like a it's a Sherpa, it'slike a hand, we're holding the hand of the parent as well as the kids on thisjourney. We're going to give you the confidence and we're going to help youand then provide you that hope that you need in order to do what you what youneed to do, which is help your kids become money. Smartmoney empowered.It's pretty much like it's one of the most important things that a child cangrow up with is to learn to become...

...money empowered. When I say moneyempowered. I basically mean people can interpret it different ways, but Iwould say it's just having control over money and to to provide you the lifeyou want. It's gonna be different for everybody, but not have money. You havecontrol over you, right? That's where you want to kind of get. Well, that'swhat the program is designed to do. Absolutely. I'm glad you address theidea of, of money shame, financial shame. Great ted talk by tammy lally onthe subject titled money shame, the silent killer. And she really speaksfrom the heart on this and the experience and the tragic experiencethat she's lived because of that, that financial shame that impacted herfamily personally. And and I think to this idea of empowerment, people wantthree things they want to feel healthy, feel wealthy and feel happy and feelwealthy doesn't mean to be a Brazilian air. It's just, I don't have to worryabout like, you know, putting food on the table like, like wealth isdifferent things to different people, but it all comes down to the walletbecause a person's financial well being directly impacts their physical wellbeing and a person's financial well being directly impacts their mentalwell being. And I really have been coaching, teaching, guiding, advisingfinancial brands to put the transformation of people once and forall over the transaction of dollars and cents. That's that's that's a purposedriven organization and and and now here is such a great practical way todo that and really plant and invest some seeds for for future growth. Igotta fall question to this because I can't help but think about chasing mattfrom signal intent that I talked with an episode 82. I see a lot of strongsimilarities between some of the programs like this, like in calculators,it all comes down to value creation because otherwise and I don't want tosee this happen to you, it's it's a checklist and it's something that wecheck off and then we move on and then we check off and then we move on. Whatare the opportunities to put this type of thinking at the center of afinancial brands doing and and really become kind of the core essence oftheir purpose for future growth. Yeah, I'm glad you brought this up because alot of credit unions do see this and financial brands across the board seeit is like here's a box to check, you know whether it's like something youhave to do through your C. R. A. Or it's whether it's something you'redoing based on your fifth principle. What you're missing when you check thebox and that's all you're doing is a huge opportunity. The other thing isthat it's not about just going into schools, right? That's it's importantto provide support to schools but you're missing the core connectionabout the parents. But more than anything this gets you out of thesameness of the commodities business, right? I mean obviously you have tohave loan programs and deposit pro incentives. You have to have thosethings, those are not going to differentiate you write, this candifferentiate you and this is the thing that can make people think about you asan institution in a way that no, that no other institution is being thoughtof, you know, and can you think of anything else that matters more to momsthan their kids talk about driving loyalty, nothing else. And this isstealing your words again, James roberts, we're trying to help familiesachieve bigger, better and brighter futures and addressing the health andthe wealth and happiness that you talked about. And it's actually forSherry and I were actually shocked that more financial brands don't recognizethis opportunity. You know, I can't help but just throw an idea out for,for where this could possibly go, which would be a family financial healthscore, like assess a family's unique situation benchmark that and thenprovide the coaching guidance accountability to transform reallyfirst and foremost mindsets because...

...coming back there's so much behavior atthe parental level that we pass down to our Children correctly or incorrectly.And if we can you know reinforce the positive mindset which then reinforcespositive behavior and then transform the negative mindset which transformsthe negative behavior. But a way to benchmark this because I can't help butjust think because now this plays into a larger conversation about financialwell being and you know financial empowerment wow this is this is reallyreally like I I see so much opportunity to go beyond just being a checklistitem but a true growth mechanism and this that that idea is such a greatidea. It reminds me of these metrics now that they use to measure countriesoutside of just G. D. P. There. Their happiness index is one I think it'scalled the social responsibility index and they'll measure things you knowthey measure educational measure all different levels, you know generalhappiness of the people that measure you know the social safety net. Andwhen you really this idea of doing this for families make so much sense becausethis way we can kind of dig into, its more than because so much of the waythat we perceive success in this country is driven simply by money andit needs to be beyond the dollar, right? The dollars are important but it doesneed to be more. I love this financial, what you call it financial wellnessindex. I think I called it a family financial health score. Um and I'mriffing on this off the top of my head, I think it's important to to address aswell. Family has multiple meanings. Now, you know, you have the traditionalfamily, you have the blended family, you have the single parent family, youhave cohabiting families. And so I think that's an important distinctionto make as well. You know, in this larger conversation and Sherry, I knowyou've spent a lot of time researching, thinking and writing, you know aboutmarketing to moms for as long as I've known, you going back to 2000 and 8,2000 and nine. Motherhood as you wrote in your book is the new N. B. A. Andwhen you think about financial brands engaging and marketing to moms, I haveto ask what is one thing with all of this experience and knowledge was onething this industry believes or thinks is true, but you just passionatelydisagree with. Yeah. Okay, well, I don't have exactlya question and answer exactly to that question, but I do have an unpopularopinion. My unpopular opinion is this I think you need to have branches and Iwork with a lot of people who will go to their graves saying that branchesare dying, but I can hear Brett king in the back of my head saying Branch today,gone tomorrow. That's actually who I was thinking about. Two. But there areplenty of people just like, just like Brett because if you want to have amultigenerational strategy, if you want to get, you know, your customers,Children and their Children join your credit union or become a customer, yourbank, you have to have a branch. And the reason is this if you want to winthe hearts of young people, you can't do it if they're sitting in the back ofa minivan and driving up to your drive up teller station or your drive up ATMyou know, or if you know if the parents are just doing all their theirengagement with you online, the kids don't see that, what kids remember,what they internalize is when they came into the branch and you gave them asticker or a sucker or they had the kids station with a, you know withinteractive toys in it and the tellers remember their names or they had thecoloring contest or they they came to your branch to see santa or during,during easter they had the easter egg hunts, you know like all of thesethings that cement themselves in the minds of young people happen at thebranch, they happen at the branch. And so I don't think, I don't think it'snecessarily wise too say that you...

...should start doing away with your branches orputting them all in grocery stores or whatever. I'm gonna, I'm gonnacompromise. Maybe we don't need these 5, 10,000 square foot, you know, majormassive branches with this huge, you know, physical footprint, it could besmaller, maybe it's a micro, it's just a place for people to come. Maybe it'sthe way they scheduled, it's like you go to the doctor, you go to the doctor,you schedule appointments. Sometimes it might now post covid, it might betelemedicine, other times you might schedule the appointment to come in,but when they come in it has to be a positive experience that results in afeel good emotion. I want to look ahead in the future, you know, and get someperspective both as we wrap up here, what is one micro commitment that youcould recommend financial brands commit to take today? Small progress isgreater than perfection, you know, 1% better. What's a one commitment microcommitment they can make today when it comes to engaging with, with, withreally moms. You know, at this point in the conversation, I would say hold some focus groups andfind out what moms in your community are thinking, dealing with to start theconversation with them and keep it going. That would be, that's a verysmall thing to do, john well you stole mine Sherry, but I'm going to go withit anyway. No, no, no, no, no, no, no. It's in a good way. I think what Sherrysaying, listen to your customers, your members, your guests, whatever youwanna call them. I've yet to meet a parent who does not want to raise money,smart kids, right? And almost all of them need a little bit of help, right,in order to provide some kind of hope. And it's just a matter of having thatconversation and it's fairly easy to do. I'm going to change Jon's answer. I'mgoing to change his answer for him. So john provides an art of allowanceworkshop and I have sat in on it and I would say any bank or credit unionshould consider this because what he does is he goes through with a group ofpeople online about, you know, talking to your kids about money starting from,you know, when they're very small up until when they go away to college. Butthen he breaks people up into breakout sessions and a breakout rooms, Excuseme. And then they talk about what they're individually going through andpeople get so much out of that to be able to talk to another parent and say,well, what do you do about it when they don't take out the garbage? You knowwhat, what, and the parents love to talk about these things and providingthem the forum and the structure to talk about it is really powerful, so,and that is what I would say your banker Kardian should do, I'm, I'mright there with you because you know, it really built upon my recommendationof going all in, which is asking, listening and learning, but you'rebuilding a community of like mind you're creating a safe space for peopleto come. I want to add one more thought to this, Maybe it's just for futureconversation in addition to empowering parents and moms and kids on how tomanage money, become money smart. I think another opportunity particularlyfor this generation is how to begin to make money and really empowering theentrepreneurial spirit that's something that I'm big in, you know personallyand, and do a lot of speaking out for my kid's school. I've become theentrepreneur in chief, you know, going in and talking to these kids and, and,and and it's really fascinating to see their eyes light up as we come to theend here. If anyone's listening and it's been a great conversation and theywant to continue this conversation with with one or both of you, what's thebest way for them to reach out and say hello Sherry and john I can be found,my website is category six consulting dot com or Lincoln Sherry, S H A R E.My last name is storm str M. You can find me there too. And the easiestplace to find me is that the money mammals dot com and uh everything youneed to know about the art of allowance...

...project and the money mammals is allright there and you can get in touch with me right there john Sherry. Thankyou so much for just the knowledge. The insight that you have transferred today,grab the white paper. Where can people find the white paper? It's on both ofour websites. Perfect. Go find the white paper, download the white paper.Read the white paper, reach out to Sherry, reach out to john and as alwaysand until next time be well. Do good and make your bed. Thank you forlistening to another episode of banking on digital growth with James robert ley.Like what you hear, tell a friend about the podcast and leave us a review onapple podcasts, google podcasts or Spotify and subscribe while you'rethere. To get even more practical improvement insights visit www dotdigital growth dot com to grab a preview of James, roberts, best sellingbook banking on digital growth. Or order a copy right now for you and yourteam from amazon inside, you'll find a strategic marketing and sales blueprintframed around 12 key areas of focus that empower you to confidentlygenerate 10 times more loans and deposits until next time, be well anddo good Yeah.

In-Stream Audio Search

NEW

Search across all episodes within this podcast

Episodes (146)