Graph of the Week: Educational and Promotional Expense per Net New Member

 
 

GOTW110209

Many credit unions have taken advantage of an opportunity to differentiate themselves using public relations outreach and advertising efforts, which were also aided by declining advertising costs in many markets. Average educational and promotional expense per net new member over the past 12 months was $578, a significant increase from June 2008 levels of $467.

In the 12-month period ending on June 30, 2009, the average total member relationship (excluding business loans) grew 2.3 percent to $14,216. Growth has slowed from last year’s rate of 5.7 percent largely due to increases in credit union membership. The industry's average share balance increased 6.5 percent over June 2008 levels to $8,199, a reflection of increased consumer savings.

Average loan balances grew 2.1 percent annually to $12,649. Credit union members also have access to dozens of services that can improve their financial well-being including financial education, credit builder programs, tax preparation services, individual development accounts. Many credit unions offer bilingual services to reach more members.

 

 

 

Nov. 2, 2009


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