The Digital Advantage

The financial services landscape is shifting fast, driven by intense competition, profitability goals, and rapid technological advancements. Today, the line between "digital" and "traditional" banking has vanished.

Your members expect a fast, secure, and intuitive experience anytime, anywhere, and on any device. Ignoring this new reality could put your credit union at a significant disadvantage.

Digital Is No Longer an Add-On

Consumers want everything in one place, with minimal friction. They want to pay bills, send money, and manage cash flow seamlessly. By meeting these expectations, you open the door to sustainable membership growth, increased revenue, and long-term success.

The 2025 Strategy Benchmark study from Jack Henry™ reveals that credit unions are focused on increasing efficiency, growing loans, and attracting new members. Achieving these goals requires a digital-first strategy that removes obstacles to financial health and provides simple, safe, and accessible tools through your digital platform.

Attracting Key Audiences

Your digital presence is the first impression you make. It's often the first step a potential member takes before logging in or visiting a branch. Many credit unions lose out on new relationships because of a confusing experience, unnecessary friction, or a lack of personalization.

While every credit union is unique, a successful growth strategy should focus on three critical groups:

• Gen Z and millennials: This next generation of members, set to inherit significant wealth, overwhelmingly prefers mobile banking.
• Small businesses: Many of your members might be running their businesses from personal accounts. Use data to identify these hidden businesses and offer them the solutions they need to grow.
• Your community: Meet your community where they are—on campus, at local events, or in the branch. Empower your staff with technology to open accounts instantly on-site, providing immediate service that stands out.

Delivering exceptional service along with intuitive digital functionality for these audiences will build trust from the very first interaction.

Standing Out in a Crowded Market

True brand differentiation begins with your core purpose. By staying true to your mission and values, you can forge stronger connections with your niche and community. Authenticity in your messaging is what will truly set you apart.

Another way to set your credit union apart from the competition is by offering customized services.

Your members are accustomed to highly personalized experiences from services like Netflix and Amazon. You can provide a similar level of personalization by delivering timely and relevant financial wellness resources.

Offer customized support, such as:

• Lower interest rate offers on loans
• Advice on saving for future goals
• Spending alerts
• Personalized budget planning

When a member experiences a major life event, you can make a powerful and lasting impact by providing timely advice and circumstance-based tools and support.

Account Opening: The Crucial First Step

A smooth and simple account opening experience can make all the difference in preventing drop-offs. Reduce friction by adopting a scalable, end-to-end solution that supports multiple lines of business and integrates easily with your existing technology.

Today's consumers expect to:

• Open an account in 5 minutes or less
• Seamlessly start on one device and finish on another
• Complete a guided, step-by-step process with quick verification
• Apply on any device, whether in a browser or from a dedicated app

Studies show that up to 75% of new account applications are abandoned. By simplifying your experience with features like ID scanning and auto-population, you can reduce this friction and gain a competitive edge.

When potential members encounter a fast and intuitive account opening process, it builds loyalty and can increase your share of wallet. By enabling members to self-serve, you free up your staff to focus on higher-value tasks and build stronger relationships.

Supporting Members Through Key Life Moments

Building strong relationships starts by supporting members through life’s pivotal moments. Being there for them during transitions can drive acquisition, digital adoption, and a deeper relationship.

Key moments to support members through include:

• Starting a family or a new business
• Getting married or changing jobs
• Major purchases or retirement
• Facing health challenges or a significant loss

While people may have multiple financial relationships, they still seek advice and lack confidence in their financial lives. Build trust when it matters most by offering relevant and easily accessible resources to help them achieve greater financial health.

Providing a Unified Financial View

The average person uses 15 to 20 financial apps, making it difficult for them to get a complete picture of their finances. With a mature data strategy—powered by open banking and APIs—you can break down data silos and deliver a unified experience. By securely aggregating data from third-party sources, you empower members to see all their accounts within your app.

Security and Trust in the Digital Age

As fraud threats grow more sophisticated, pairing convenience with robust security is non-negotiable. Implement a layered fraud prevention approach that includes AML, OFAC screening, and identity verification within your digital experience. AI and machine learning, built on cloud-based, open architecture, provide a modern defense that improves investigations, reduces losses, and adapts to evolving threats.

Empower your members by providing real-time alerts, secure messaging, and card controls to build and maintain their trust and loyalty.

The AI Advantage for Growth

The 2025 Strategy Benchmark study highlights digital banking and back-office automation as top investment priorities for credit unions. AI, machine learning, and enterprise workflow tools can help you do more with less, reducing manual processes, cutting non-interest expenses, and enhancing your digital offerings.

AI can also be a catalyst for engagement. Conversational AI is transforming how people interact with businesses—and you can leverage it to provide intuitive, secure, in-app experiences that reduce friction, improve satisfaction, and build lasting trust.

Your Digital Future Starts Now

Ultimately, staying competitive requires a digital platform that is cloud-based, real-time, and open—and is ready to integrate, scale, and adapt. Delivering seamless, engaging experiences is no longer optional; it's the foundation of your future.

And it all begins with your digital presence—learn more today.

Bob Berno has been with Jack Henry since June of 2020 and has more than 30 years of experience in the financial services industry. He has spent the majority of his career in the digital channel and payment space serving community financial institutions.