By Keith Brannan
Managing a credit union has its fair share of challenges to say the least. Near the top of that list is the competition to attract and retain members, but have you ever considered whom you’re actually competing against? While most of us tend to focus on the bank and credit union across the street, megabanks have gobbled up 70 percent of U.S. deposits, a number that continues to grow at an alarming rate. Battling over the megabank leftovers is not a path to long-term sustainability or growth. The only way to reverse the trend is for credit unions to reconsider how they think about competitors.
Accepting megabanks, as our competition, isn’t easy: it’s far simpler to shy away from such a Goliath. And no one would blame us. However, once you accept the megabank-as-competitor reality, it’s worth asking who else is competing against the megabanks and if there is any way to leverage your position against a shared enemy. After all, there are a lot of us in the same boat!