April 23rd, 2021
By Guest Contributor Anne Legg, Data Strategist and Owner of THRIVE™
Financial products and services may not have your favorite potato chips’ shelf life, but they do share the consumer purchase journey. The consumer purchase journey is a series of defined decisions that a consumer makes to purchase a product or service. To exemplify this journey, we will use an auto loan “purchase.”
Phase 1: Discovery/Problem Awareness.
The member begins the auto loan journey in the discovery/awareness phase. In this phase, the member has discovered they have a need. For descriptive purposes, we will use the transportation journey. The member owns a 10-year-old car that needs repairs. The amount of money required to repair the vehicle is more than the car is worth.
Phase 2: Evaluate.
The member evaluates options for acquiring a new car. This is accomplished using many channels—seeking information online and in person. Considerations include 1) the make and model, 2) new or used, 3) dealership or a third party, and 4) financing.
Phase 3: Engage.
The member has made a decision and will be making the car purchase and getting the funding. These first three phases are called “the buy segment” of the journey. They are part of the purchase journey of the car and auto loan.
ZERO Moments of Truth.
Is the point of inflection when the member has taken action with the purchase and finance entity of the car. There is no going back. It is the intersection of the journey’s purchase side and “the own” side of the journey.
Phase 4: Access.
This is the phase when the member will access the financing and ownership of the car.
Phase 5: Use.
This is the phase when the member is using the car and making payments on the loan.
Phase 6: Advocate & Repurchase.
This is the phase when the member can share their experience to this point, good or bad. This advocating can be self-directed by social media or prodded by the car-purchase entity or financing entity. Leave, or repurchase is the phase when the member has finished with the car and will either leave the journey or reenter later to repurchase.
Interested in learning more on this topic? Check out our whitepaper on Reducing Member Friction here
About the Author
Anne Legg is the founder, and principal of THRIVE™ Strategic Services. THRIVE™ works with credit unions to create revolutionary member relationships via organizational education, member-centric data strategies, and data maturity.
She is a recognized credit union business strategist, presenter author, educator with an MBA thesis on the credit union business model as well as two internationally published whitepapers on credit union business strategy. She has delivered over 100 onsite sessions to over 600 credit union senior leaders across the united states, launching their data journeys.
Anne is author of Big Data/Big Climb, the industry’s only playbook on data transformation. And she taught at the CUNA Marketing School and has acted as the subject matter expert for CUNA’s Credit Union marketing curriculum. She has also been an author to CUNA’s Environmental Scan, The Credit Union industry’s leading strategic planning guide. She has also served on various Credit Union Boards, including; CUNA’s Marketing and Business Development Executive Council, MAC, and the California and Nevada Credit Union League Public Advocacy Committee.