Summary

Third-Party Data Enhancing Marketing Strategies

Josh shared his experience as a senior vice president of marketing and a graduate data marketing program instructor at West Virginia University, emphasizing the benefits of teaching graduate students from diverse backgrounds. He highlighted the value of cross-industry insights and the use of third-party data for learning and inspiration. Bob agreed, stressing the importance of looking beyond one's own industry for new ideas and approaches. They both agreed on the value of learning from external sources to enhance their activities and improve their unit's performance.

Leveraging Third-Party Data for Effective Advertising

Josh stressed the value of third-party data in understanding their members and the market, and recommended sourcing information from various places, including tax data, demographic information, and provider data. He discussed how Wipers Credit Union adapted its advertising strategy to reach specific audience segments, such as busy, single mothers, through non-traditional channels. He also highlighted the credit union's unique business model of offering high dividends, paid six months in arrears, and how they responded to significant deposit runoff by introducing certificate CDs. Their strategy to engage with consumers through AI-driven vendor BlastPoint, targeting retirees with high net worth, resulted in over $400 million in CD balances from September to year-end 2023, exceeding expectations.

Third-Party Data in Decision-Making Discussion

Josh and Bob discussed the benefits and challenges of using third-party data in decision-making for their respective institutions. Josh shared how his credit union, Whitefish Credit Union, uses unique data, such as borrower situations in a rural economy and individual behavior patterns, to make funding decisions. He also highlighted the trend of looking beyond traditional credit scores to assess risk, a strategy Tesla's insurance division is testing. Bob acknowledged the positive results achieved with this approach and queried about any challenges Josh's team might have encountered. Josh then pointed out a potential issue with using national data sets as the basis for proprietary models, which can lead to oversimplification and inaccuracies.

Customizing Data Models for Regional Markets

Josh and Bob discussed the challenges of applying national data models to specific regional markets. They emphasized the need for differentiation and customization of data models to reach unique audience segments. Josh suggested using proprietary models to differentiate from competitors and reach audiences not reached by other financial institutions. Bob highlighted the importance of understanding the local aspects of the third-party data and avoiding blending it with unrelated information. They both agreed on the need to combat confirmation bias and strive for objectivity in data analysis.

Balancing Objectivity and Subjectivity in Data

Josh and Bob discussed the importance of balancing objectivity and subjectivity when incorporating new ideas and patterns, particularly in relation to media consumption and market expansion. They underscored the necessity of testing and refining strategies based on data, even when starting with limited information. Josh highlighted the value of due diligence in evaluating third-party data, ensuring its ethical and regulatory compliance. The conversation also touched on the need to strike a balance between the targeted use of data and avoiding the 'creepy factor' of overly intrusive or targeted advertising.

Tech Industry Regulation and Personalized Marketing

Josh discussed the increasing regulation in the tech industry, specifically in advertising, intended to limit bias and protect consumer data. He highlighted how these regulations, coupled with consumer sentiment, are causing a decrease in click-through rates and leading to a need for marketers to balance data usage with consumer privacy and brand sentiment. Bob agreed with Josh, emphasizing the fine line between personalized marketing and being perceived as intrusive. He then asked Josh for advice on where to start when implementing these changes, to which Josh suggested starting with a clear use case and a test scenario.

Data-Driven Marketing and ROI Discussion

Josh from the marketing side discussed the use of third-party data sources to create more targeted, direct marketing campaigns. He emphasized the importance of demonstrating ROI through these campaigns to justify the investment, pointing out that they could often be more cost-effective than mass-market campaigns. Bob highlighted the need for a better understanding of these data-driven marketing techniques among the data professionals in the organization. Josh agreed, stressing the importance of being able to understand and manage the principles behind these marketing solutions, rather than simply accepting them at face value. He advised that if a partner or vendor can't clearly explain their services and solutions, it might be time to look for alternatives.

Financial Services, Data Analytics, and Digital Offerings

Bob, Josh, and Naveen discussed financial services, focusing on data analytics using third-party data sets. Josh shared his experience with AI startup Blast Point and Hubspot integration challenges. Naveen suggested using data comparing digital banking capabilities to improve offerings. Bob highlighted understanding credit union alignment for potential acquisitions. Josh emphasized appealing to younger, tech-savvy customers through superior digital technologies and differentiating their brand. Naveen mentioned the upcoming Clotics Day and roundtable on using data for low-income member solutions. Bob stressed having clear goals before seeking third-party data.