People’s Choice Credit
Union, the Australia-based self-styled anti-bank, is expanding its
product range and investing heavily in its branch network. People’s
Choice managing director Peter Evers tells Douglas
Blakey Australia’s second-largest mutual is determined to
offer a customer experience unlike any other.
Go deeper with GlobalData
In less than six
months, Australia’s second-largest mutual, People’s Choice Credit
Union, has rebranded, ramped up its multi-channel investment and
announced plans to launch a vastly expanded range of products.
The product of a merger between
Australian Central and Savings & Loans Credit Union’s, the
People’s Choice brand debuted in July 2011.
Managing director Peter Evers
summarises the aim of People’s Choice succinctly: “To provide a
genuine alternative to the big banks, with a focus on giving back
to our members and the community.”
In an interview with RBI,
Evers discusses People’s Choice brand strategy and branch
refurbishment programme.
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By GlobalData
RBI: The People’s
Choice rebrand coincides with a major redesign of the branch
network. Can you explain the thinking behind the branch investment
programme?
Peter Evers (PE):
We wanted to create a new-look, state of the art design that was in
keeping with the new brand philosophy and personality traits.
We are firmly committed to the
concept of mutuality and being a credit union, and this demands
that we value member service as a real driving force for the
organisation.
In keeping with that philosophy,
while others close branches, we will continue to look for
opportunities to open branches to provide our members with
convenience and service.
RBI: What is the
current size of the branch channel?
PE: The two
mutuals which came together to form People’s Choice have closed 13
co-located branches since the merger. So far this year we have
opened four new branches and will open six more during the current
financial year to result in 70 outlets. In addition, we are
launching a suite of new products over the next few months and will
offer business lending products for the first time.
RBI: What was the
brief to your branch design partners, Design Clarity?
PE: We were
looking for a design that reflected our branding. We wanted a space
that was efficient, enjoyable, less stressful for members and
certainly not intimidating, as many bank branches are
currently.
We wanted the design to incorporate
a lot of ‘un-bank’ features like communal relaxation spaces, coffee
machines, interactive kids’ areas, lockers, open spaces and digital
areas.
We did not want them to come to the
pitch with just a typical bank design in mind. Quite the contrary,
we wanted them to go to other industries, other design
inspirations, and come up with something that reflected not only
who we are and what we stand for, but something that members would
really identify with, that would see them ‘linger longer’ in our
branches, and that would stand the test of time.
RBI: What was it
about the pitch from the design agency, Design Clarity, that
appealed to you?
PE: Their design
was fresh and contemporary; they came at the brief in a really
different, enterprising way, and really embraced our brand value
proposition and brand essence.
We went into the pitch very open
minded, and chose companies from a broad brush of disciplines and
specialities.
What we liked about Design Clarity
was that they had worked on retail designs previously, as well as
interior design, and the end product they designed for us
incorporated many of these features, that were really
impressive.
They stretched our thinking and
really took the brand and embraced it and incorporated it into
everything they presented.
RBI: How far advanced
is the branch investment programme?
PE: The all-new
design has been incorporated into five locations already, including
two brand new branches in new locations – Victor Harbor and Murray
Bridge.
In addition, by mid-2012 we are
aiming to have rebranded all our locations around Australia,
incorporating key elements from the design. This includes, for
example, installing coin counting machines and communal areas into
branches, in advance of the full refit which will come in due
course.
Further, a second schedule is being
developed where a number of branches will either be refurbished or
refit completely, as well as looking at opportunities for all-new
sites.
RBI: What feedback
have you had regarding the new branches?
PE: We have been
really pleased by the reaction thus far, which has been
overwhelmingly positive from members. Almost all are pleasantly
surprised by the design, and the most typical comment is “it looks
nothing like a bank – I love it!”.
Many comments have centred around
the user-friendly design and features, and it has certainly been
noted that the improvements have been put into branches that are in
all sorts of locations, regional and metropolitan, not just in
showcase inner-city sites.
Many members have taken advantage
of the new facilities – it was not uncommon for some of the new
sites to report running out of milk for their coffee machines
before midday, as well as having many members enjoying a bottle of
water and reading the paper in our branches for some time.
We’ve also seen members come in,
drop off their shopping bags in the lockers, have a coffee and
relax, then go off to do more shopping before coming back to
collect their belongings and heading home – it’s certainly
reflective of our philosophy of a place where members feel welcome
and embraced by a community of like-minded people.
We’re certainly happy with the
initial feedback, and haven’t seen anything yet which has altered
our thinking on continuing to rollout the rebrand and refit
schedule.
RBI: How does the
branch fit in with People’s Choice’s overall channel
strategy?
PE: The branch
will always be a key component of our channel strategy. Our own
digital channels are growing at a great pace, and many members
choose to interact with us through this medium.
However, there will always be
members who prefer to deal with someone face to face, particularly
on interactions like home loans and financial advice, which we
offer to all our members.
In addition, while the major banks
need to make returns for shareholders, we are driven by our members
and their needs, and therefore feel it is not just important, but
critical, to invest in service and convenience wherever our members
are.
Our research shows that even some
of our youngest members coming to us for our popular and marketing
leading car loan product prefer to deal with us through a branch /
retail environment.
So contrary to perception, the branch is not just for older
members, quite the contrary. So whether members want to talk to us
about their finances for more complex products, conduct a simple
transaction, or simply take a break from the hustle and bustle for
a while, we’ll be there for them – we are after all run by our
members not numbers.
