By Karen Hodgkiss
The following is based upon an interview with Dr. Jackie Freiberg, bestselling author and noted speaker on leadership, innovation and how to create positive disruptions in your business category.
“Sheconomy” is a term coined to reflect the emergence of women as a group that leverages significant economic clout and purchasing power. Consider these estimates:
- She is a $20 trillion dollar global economy, (an economy that is larger than China and India combined).
- She controls roughly 85-90% of U.S. spending power (and up to 65% global spending power).
- In addition, She makes up to 90% of financial services decisions, including where the household funds are kept and invested.
Yet many businesses often cling to outdated marketing and sales strategies targeted mainly toward men. Why? Because publicly, it often seems like He is in charge. From car salesrooms to big box appliance store to lenders’ desks, conversations are typically directed from the salesperson to Him. But behind the scenes in the household when decisions are made, Her preferences come to the forefront and have a huge impact on the ultimate outcome. So guess what happens when a salesperson directs all the interaction and respect toward Him and ignore Her needs and preferences? That’s right, you lose THEIR business.
Credit unions interested in becoming more innovative in serving their members might consider marketing and product development strategies focusing on women separate from general initiatives. Just as you would create unique approaches for Boomers and Millennials and different ethnic/racial groups, smart marketers will develop separate strategies for targeting men and women. Here are two key observations to keep in mind:
- Even though there is a push toward equality, be careful, equal does not mean the same! Men and women are different and marketing to them like they are the same does a disservice to both. Instead, let’s acknowledge the differences and strategize on how to meet the unique needs and preferences of all.
- Women are wired and dangerous, they own the blogosphere. If you treat Her poorly, ignore or not respect Her, She will diss you in online communities where She is a trusted voice. If served well by you, She can be one of your best and most loyal advocates.
Savvy organizations know that innovations for differentiation and loyalty, whether it is a process, technology or service, will spring from:
- Employee ideas on how to better serve different member groups
- Responding to member concerns, ideas, suggestions and trends
- Learning from market and industry dynamics
Credit unions understanding the demographic variables and behaviors for their desired target markets, which may include women, will reap rewards in terms of new business and member loyalty. This is not necessarily a silver bullet, but it can certainly be a differentiator in the competitive world of financial services.
Karen Hodgkiss is a freelance writer.
Learn more about the SheEconomy and the kind of leadership that unleashes innovation, ingenuity and inspires people at all levels from Dr. Freiberg at the CCCU and CUES International Convention, June 22-25, 2013, in Panama City, Panama.
