Creating a community using data

What is a community and what makes it unique?

Behind every transaction is a human story, waiting for us to connect the dots

When we think about community, what characteristics do we typically think about? A group of people who live in the same neighbourhood? Those who are bonded over religious beliefs? Individuals who are in the same profession? Or people who share a common cultural background?

But more importantly, how do we serve them (and serve them well) as our society continues to evolve at such a fast pace?

In America, whether you are a big bank, a community bank, or a credit union, we are standing at a crossroads when it comes to demographic shifts. As the younger population in rural areas migrate to bigger cities, how best can financial institutions cater to those who remain while also seeking ways to increase deposits and attract new customers across all generations and backgrounds?

For Brian Lee, President and CEO of Arizona-based Landings Credit Union, the answer lies in the ability to see value in the whole customer relationship over a members’ lifetime, instead of treating every experience and touchpoint as transactions to be monetised.

“As we are faced with a large transfer of wealth in the coming years, it’s important to maintain relationships across those different generations. I don’t know how we would expect to attract younger members if we don’t take care of their parents or grandparents as they age,” Lee says.

Across the financial services sector, the wave of digitisation provides us with a golden opportunity to serve multiple generations who have different needs and preferences — and to better understand them with the help of data.

Data tells a human story

As I often say, behind every transaction is a human story, waiting for us to connect the dots. Data analytics can be our co-pilot to uncover the trends behind the data and enable us to proactively take steps to safeguard the well-being of consumers.

For example, missed routine payments or double payments may act as an early indicator for dementia, before such conditions are diagnosed medically. Such data points in the financial system can serve as an early warning signal for the bank to contact the account holder.

Early detection can also provide opportunities for conversations, not just between the financial institution and their customers and members, but also between family caregivers and their loved ones to set up the necessary financial arrangements. These are often difficult discussions to have, but nevertheless, they’re important ones.

“I recently heard a story of someone that waited too long, and her mother, who was diagnosed with Alzheimer’s, constantly accused her daughter of elder financial abuse. In reality, the adult children were working together to manage her financial situation,” says Lee.

“I think we need to remove the stigma around these types of discussions. Just as we start to receive certain wellness checks and tests as we age, we should perform regular financial wellness checks as well.”

As we continue our innovation journey, I hope we can dig deeper into the qualities that make us uniquely human — our empathy, our need for human connections, and our sense of shared responsibility — to listen to what the data is telling us, and to fulfill the mission that we have set out to do.

As my wonderful friend, Pam Kaur, once wrote: “In a digital-first world, your community is no longer a matter of where you happen to live; it’s who you choose to connect with.” The onus is on us to make sure that we are not leaving people behind as we continue forward.