Tucson Federal Credit Union Boosts Member Engagement with Data
by Hannah Barrett, on June 13, 2023
Tucson Federal Credit Union's Data Journey
Tucson Federal Credit Union (TFCU) was established in 1937 in Tucson, Arizona when a group of teachers with a vision came together to form a financial cooperative that could better serve the financial needs of Tucson’s school employees and their families. Today, TFCU has grown to 60,000 members and $650 million in assets.
TFCU recognized the strategic value of investing in data analytics for gaining insight, making data-driven decisions, and taking action to improve their business performance and member experience in addition to gaining efficiencies through automating reports and the ability to track KPIs and KRIs. They chose to partner with Arkatechture for their best-in-class solution that would grow with them. They also chose Arkatechture for the culture, as they saw how much the Arkatechture team truly cared about TFCU's success.
The more that we actually began to meet with more of the team, we realized that it's really the culture of Arkatechture. And I think at the core of this really culture is, yes, we both work with each other and you could be viewed as a vendor, but Arkatechture is really a partner. They truly care about our success. They want us to be successful."
-Stacey Wilkerson, Executive Vice President & Chief Financial Officer at TFCU
So far, the credit union has already seen great impact from the partnership in multiple areas:
The TFCU team was able to segment and market their wealth management services to members with crypto transactions, which resulted in generating new private wealth management clients. Using their member transaction data, TFCU also leveraged target marketing to recommend and promote new products and offerings, such as specific loan offers to their members resulting in more than a 50% higher open rate of their marketing emails.
After TFCU’s data warehouse team met with the Risk Department, they identified several reports that could be automated with Arkalytics. This included creating reports to monitor new accounts, ODP accounts, officials, and relatives. In the past, these reports were extracted from the core in a text file so they were very difficult to analyze. They are also exploring a few new reports for risk such as dormant VISAs, employee loan funding report, escheat, and bounced checks.
Automating these and other reports saved a significant amount of time that TFCU team members were able to apply toward analyzing the data and making data-driven decisions to take action on the insights that were generated to reduce risk and improve business performance. For example, one branch activity report took the staff almost an entire day each month and several hours each week to manually produce, and now it is automated.
TFCU has gained a better understanding of their online banking engagement through the dashboard they built to show how many members use online banking in each generation age group. They further displayed the data into transactions/event categories by the same generation age groups.
This helped them understand which members are most engaged, and which features are most popular, and use this information to generate more revenue, and increase the profitability of the products they offer to members by applying a much more targeted and efficient data-driven approach for promoting products to members in generation age groups.
Read more about TFCU's data journey and how they reached these results in the full case study!