Alliance Companies Blog http://www.thealliancecompany.com/blog Credit Card Assessment, Payments Industry Experts Fri, 11 May 2012 20:40:24 +0000 http://wordpress.org/?v=2.9.1 en hourly 1 Credit Unions’ Missing Generation: Gen. Y http://www.thealliancecompany.com/blog/credit-unions-missing-generation-gen-y/ http://www.thealliancecompany.com/blog/credit-unions-missing-generation-gen-y/#comments Thu, 03 May 2012 18:29:47 +0000 admin http://www.thealliancecompany.com/blog/?p=96
  • While the average age of a North American is 37 years old, the average age of a credit union member is 47
  • According to the Credit Union National Association (CUNA), the prime borrowing years are 25-42
  • Also according to (CUNA), only one out of every four 18- to 24-year-olds (the young adult subset of Gen Y) is a credit union member and the average credit union could lose $14 million in loans over the next 10 years if these numbers do  not change for the better.
  • Only 11% of Gen Y has a primary financial relationship with a credit union, versus 15% of all other ages, according to  an August 2010 survey by Javelin Strategy and Research.
  • By contrast, 43% of Gen Y had a primary financial relationship with a top-10 bank, compared with 38% of all other consumers.
    • According to a 2012 survey conducted by Synergistics Research and reported by TSYS, usage of financial institutions by market segments showed:

    

    ]]>     http://www.thealliancecompany.com/blog/credit-unions-missing-generation-gen-y/feed/ 0     Credit Card Use on the Rise http://www.thealliancecompany.com/blog/credit-card-use-on-the-rise/ http://www.thealliancecompany.com/blog/credit-card-use-on-the-rise/#comments Mon, 18 Jul 2011 15:12:30 +0000 admin http://www.thealliancecompany.com/blog/?p=93 Credit card’s have been the primary consumer payment method for the second month in a row, according to First Data Corp.’s SpendTrend report for June 2011.

    June Transaction Growth:

    Credit — up 6.8 percent
    Signature Debt — up 8.8 percent
    PIN Debit — up 3.8 percent
    Check — down 12.3 percent
    June Dollar Volume Growth:

    Credit — up 10.7 percent
    Signature Debt — up 8.5 percent
    PIN Debit — up 6 percent
    Check — down 12.6 percent

    Full article here

    ]]>     http://www.thealliancecompany.com/blog/credit-card-use-on-the-rise/feed/ 0     Paysouth for Credit Unions http://www.thealliancecompany.com/blog/paysouth-for-credit-unions/ http://www.thealliancecompany.com/blog/paysouth-for-credit-unions/#comments Fri, 11 Feb 2011 15:18:39 +0000 admin http://www.thealliancecompany.com/blog/?p=72 Paysouth offers the highest quality payment solutions while maintaining a quick delivery and close relationship with our members.  Some great benefits for credit unions who chose our solution:

    • No Investment / No Risk
    • Residual fee income on each transaction
    • A flexible relationship model that affords unparalleled account service

    For more information, please visit www.paysouth.com

    ]]>     http://www.thealliancecompany.com/blog/paysouth-for-credit-unions/feed/ 0     Paysouth Merchant Services http://www.thealliancecompany.com/blog/paysouth-merchant-services/ http://www.thealliancecompany.com/blog/paysouth-merchant-services/#comments Mon, 31 Jan 2011 15:17:34 +0000 admin http://www.thealliancecompany.com/blog/paysouth-merchant-services/ Paysouth and Alliance have formed a partnership
    to provide merchant services on behalf of credit unions.

    Paysouth Merchant Services products and services include:

    • Visa, MasterCard, Discover and American Express processing
    • Check and Gift Card processing
    • Report management
    • Terminal deployment and support
    • Gateway services
    • Clearing and Settlement
    • PCI Compliance Support

    For more info on Paysouth check out www.paysouth.com

    ]]>     http://www.thealliancecompany.com/blog/paysouth-merchant-services/feed/ 0     Are you following Alliance on Twitter? http://www.thealliancecompany.com/blog/are-you-following-alliance-on-twitter/ http://www.thealliancecompany.com/blog/are-you-following-alliance-on-twitter/#comments Wed, 14 Jul 2010 17:09:49 +0000 admin http://www.thealliancecompany.com/blog/are-you-following-alliance-on-twitter/ Follow us on twitter @cobrandedcards for all of our payments industry expertise and advice and also any big news in the industry.

    ]]>     http://www.thealliancecompany.com/blog/are-you-following-alliance-on-twitter/feed/ 0     What are the best strategies for creating successful and profitable credit and debit card programs? http://www.thealliancecompany.com/blog/what-are-the-best-strategies-for-creating-successful-and-profitable-credit-and-debit-card-programs/ http://www.thealliancecompany.com/blog/what-are-the-best-strategies-for-creating-successful-and-profitable-credit-and-debit-card-programs/#comments Wed, 09 Jun 2010 14:11:11 +0000 admin http://www.thealliancecompany.com/blog/?p=58
  • Understand your memberships’ specific needs.  What features and benefits will make your card “top o’ the wallet”?
  • Measure the success of your marketing programs.  What is your penetration rate?  You may have 100,000 members but if your penetration rate is below 20 percent, your marketing program probably isn’t as efficient as it could be.

    • Some credit unions consider selling their portfolio of credit cards.  Selling a card portfolio is not always in every credit union’s best interest.  Choosing the right path, whether to sell or retain your portfolio,  can make a huge difference in your credit union’s success and long term profitability.

    ]]>     http://www.thealliancecompany.com/blog/what-are-the-best-strategies-for-creating-successful-and-profitable-credit-and-debit-card-programs/feed/ 0     How can your institution improve the performance of your payment card programs? http://www.thealliancecompany.com/blog/how-can-your-institution-improve-the-performance-of-your-payment-card-programs/ http://www.thealliancecompany.com/blog/how-can-your-institution-improve-the-performance-of-your-payment-card-programs/#comments Fri, 28 May 2010 13:13:40 +0000 admin http://www.thealliancecompany.com/blog/how-can-your-institution-improve-the-performance-of-your-payment-card-programs/ 1. Lowering costs to operate your card programs: The benefits of re-allocating your current capital resources would contribute to your growth potential with out having to invest more money.

    2. Reduction of delinquency and loan loss associated with unsecured card products: Risk mitigated is the key to a successful payment card program.

    3. Streamlining operational efficiencies and card technology: Many card issuers are partnered with antiquated processor platforms or utilize a separate processing platform for credit and debit, which can be inefficient and costly.

    4. Offering a competitive card product: Investment in card offering upgrades and rewards programs will allow your institution to offer a compelling card product.

    5. Increasing card utilization and profitability: Your investment in the performance of your card programs will increase card usage and improve the ROA for your institution.

    ]]>     http://www.thealliancecompany.com/blog/how-can-your-institution-improve-the-performance-of-your-payment-card-programs/feed/ 0     Credit Union Questions? http://www.thealliancecompany.com/blog/credit-union-questions/ http://www.thealliancecompany.com/blog/credit-union-questions/#comments Thu, 27 May 2010 17:16:57 +0000 admin http://www.thealliancecompany.com/blog/credit-union-questions/ A few questions you credit union executives may want to ask yourselves:

    1. Are costs increasing to operate your card program?
    2. Is your card product offering competitive compared to other card issuers?
    3. Do you have a plan to address the increasing cost of fraud claims?
    4. Is your bond insurance premium set to increase?
    5. What is your credit union’s tolerance for risk?
    6. Is forming an agent card partnership right for your credit union?

    ]]>     http://www.thealliancecompany.com/blog/credit-union-questions/feed/ 0     Let’s build the complete list of Credit Unions on Twitter! http://www.thealliancecompany.com/blog/lets-build-the-complete-list-of-credit-unions-on-twitter/ http://www.thealliancecompany.com/blog/lets-build-the-complete-list-of-credit-unions-on-twitter/#comments Mon, 03 May 2010 19:07:03 +0000 admin http://www.thealliancecompany.com/blog/lets-build-the-complete-list-of-credit-unions-on-twitter/ Credit unions have always been community-focused and with the rise of social networks, they haven’t missed a beat. There are hundreds of credit unions using Twitter to communicate with their communities and each other. So, we started to create a comprehensive list of all of them in one place. Any time you or a potential patron are looking for a local credit union on Twitter, there is somewhere you can go!

    We are up to nearly 570 right now, and are adding more whenever we can. The list of every credit union is housed on Google Docs right now.

    While this is already an extensive list, we know it is not yet complete. Credit unions are incredibly active on Twitter, and more are joining all the time. Who did we miss? Let us know! Head over to Google Docs through the link below to add yourself, fill in more information about your credit union(full name, location, etc…), or just tweet us anytime at @CoBrandedCards.

    Credit Unions on Twitter

    ]]>     http://www.thealliancecompany.com/blog/lets-build-the-complete-list-of-credit-unions-on-twitter/feed/ 3     Airline Rewards Card Programs – Benefits of On-Going Program Management http://www.thealliancecompany.com/blog/airline-rewards-card-programs-benefits-of-on-going-program-management/ http://www.thealliancecompany.com/blog/airline-rewards-card-programs-benefits-of-on-going-program-management/#comments Mon, 26 Apr 2010 15:25:23 +0000 admin http://www.thealliancecompany.com/blog/airline-rewards-card-programs-benefits-of-on-going-program-management/ I am sure your airline has a cobranded card, and you may even have a large number of customers who use their card regularly. But, are you sure your card is working as hard for you as it should and that it is bringing in as much revenue as it possibly can? If you are not 100% sure about the performance of your card being optimized, take a look at these four reasons it is important to continuously evaluate your program.

    * Product Offering: Is your product competitive in today’s marketplace? Where are your redemption levels in comparison to other airlines? There is a need to actively monitor your consumer value proposition to ensure you are maintaining a competitive edge in the marketplace.

    * Program Performance: Have you considered having a third party evaluate your card portfolio? Does your issuer tell you the program is doing well, but do you have any way of really knowing? Having a third party consultant evaluate your program performance comparing it to other like programs can provide significant insight. You may find that your breakage is too high, and declines are above average. Do you know if your issuer is running reactivation campaigns for in-active card holders?

    * Communication Tool: One of the primary reasons a partner launches a co-branded credit card program is to use it as a communication tool. In essence, the customers that take out the card are your best customers and they are raising their hand to say so. Are you actively communicating with these members? This is a great marketing channel and one that you should not be ignored.

    * Issuer Contract: As you near contract expiration, even if you intend to stay with your provider, you should always benchmark contract terms. This can be done either by an open competitive process or through the services of a third party provider. A good consultant is actively working in the marketplace and understands what is currently competitive. They can help you to renegotiate your contract terms exclusively with your current provider if that is the direction you want to move in.

    Whether your primary objective for your card program is to drive revenue from the partnership, increase customer loyalty or perhaps its to learn more about your customers. One thing is certain, actively managing your card program will ensure that you are maximizing its performance and reaching these objectives.

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