Experience Marketing Connects With Consumers

 

For years, marketers have spent millions to establish brand loyalty by connecting to consumers on an emotional level. Companies are realizing the value of connecting to consumers by providing them with meaningful experiences.

 

Experience marketing, a.k.a. XM, is valuable because it brings to life and animates the brand promise with sensory experiences. Take Charmin toilet paper for example. Charmin has introduced Potty Palooza, a 27-stall bathroom facility with flushing porcelain toilets, hardwood floors, air conditioning, aromatherapy and Charmin toilet paper, of course. This traveling facility delights consumers at events around the country by providing them with luxury bathroom facilities. Neither a print ad nor a television commercial can extol the virtues of toilet paper the way Potty Palooza can.

 

Experts predict that experience marketing will make or break brands in the future. In his boo Experience the Message, Max Lenderman writes, “All marketing in the future will be based on some form of consumer experience.” Lenderman believes XM is an antidote for dispassionate consumers. You can keep with Lenderman’s latest thoughts on his blog.

 

What does experience marketing mean for credit unions? It is critical now more than ever, to “wow” the members—connect with them through experiences that are personally relevant, memorable, interactive and emotional. Make branches more than just a place to do business. Make them meaningful with offerings that are out-of-the-box like: Starbucks coffee, an Internet café, a play area for kids, climbing wall for teens or meeting rooms for senior adults. Engage non-members at community events—don’t just pass out brochures from a booth.

 

And as long as we are talking about Potty Palooza, keep in mind that everyhing affects your brand--including how your bathrooms smell.

 

Credit unions are competing as retailers. We can either live by the experiences we offer, or die by the attributes we promise but don’t necessarily deliver.

Comments

[Jeff]

Mark, thanks for writing about a topic that doesn't get enough attention. The big thing with experiential marketing is that it's a credit union's opportunity to "prove its story" as I like to say. In other words, you can "tell" people what your brand is via your brochures, your website and your ads, but ultimately you have to demonstrate to them what your brand stands for. Prove it. As mom told us when we were 6 years old, actions speak louder than words. Experiential marketing via multi-sensory experiences is the best way to use those actions to show the world what our brands stand for.

[Mark]

Jeff,

Thanks for your comment! Experiential marketing does add to story telling. As credit unions we need to tell our stories more. And anyway we can do so via the senses only helps.

[James Robert Lay]

Jeff... Mark... I have made experience marketing one of the main points in a presentation I give at conferences. It is through experience marketing that I believe credit unions can differentiate themselves from other FIs.

It's time to be real and honest... what's the difference between credit unions and banks. Every time you ask that question you get answers like, "great service", "great rates", etc. That sounds wonderful but guess what... that's what everyone else is marketing as well.

It's the experience that is going to differentiate your credit union from the banks. Hence, I created "Coffee, Culture and Credit Unions".

You can watch a small snap shot here: http://mcul.cubetvonline.com/FP3/index.php?channel=10&vid_id=298

[Randy Schultz]

Great post Mark, as so many of yours are. My biggest pet peeve is that we still use the term "sales" culture when there is a new train of thought out there believing we need to reposition it as "brand" culture...along with the terms sales training (yuck!) being replaced with brand training. Helping all staff realize those experiences they have when engaging members and the community will build the bond that ultimately drives people to use them (dare I say sales) will make these people not simply members...but advocates. And Jeff was spot on as well...it IS all types of experiences we deliver...not how we have trained our staff to "sell."

[Mark]

Randy & James Robert:

Thanks for joining the conversation! You both added salient points to this topic. Coffee, Culture and Credit Unions is a must-see link!

And I LOVE calling it "brand training" and "brand culture" instead of sales. You are spot-on my friend! Helping employees be the brand is key to success.

[Stan Cowan]

XM - so true! But don't forget the ONLINE member experience in addition to the branch/physical one! We spend millions on physical branches, why not for an ONLINE one? Isn't that where most potential (and bunch of existing) members go to check us out FIRST?

[Mark]

Stan: Very true about making your online channel part of youur XM strastegy. Ways to do that include making your site functional: do all account opening online, having live chat support, etc. Make your website an experience as well.

[James Robert Lay]

Dude... Stan... you are all over that. Once again, this is another presentation I gave called "Your Web Site is a Branch".

I love giving this at leadership days or annual meetings with a bunch of stuffy old BODs and literally ask them what they would think if a member walked into a branch with paint peeling off the wall, lights were out, bathroom was flooded, etc.

Of course they would not stand for it!

Then I ask them, why is it so hard to spend money to build a strong, interactive and effective web experience.

Sometimes it clicks... sometimes I get blank stairs as there is a huge disconnect, in my opinion, that the web can, must and does play a huge part in an experience marketing strategy.

I am blown away by the number of times I have sat in on meetings with credit unions who have no problem dropping thousands of dollars on traditional marketing channels and brick and mortar but balk at the idea of investing (yes... it's investing b/c you can get a return) in there web site.

Once again, in my opinion, the web channel is the red headed step child to traditional upper level execs and old school BODs.

Great conversation going here. Thx again Mark for spurring a good discussion and hope that it helps others to innovate, communicate and collaborate.