Staff service and physical location factor in. By Dana Murn-Kohal 
At CU Water Cooler Symposium the second week of September in Austin, Texas, a widely discussed topic was the identity crisis that the credit unions are facing: Are they cooperatives or financial institutions? And, can something be gained by promoting themselves as one vs. the other? While no single answer to that question emerged at the event, I came to believe that demonstrating the seven cooperative principles is truly a way CUs can differentiate themselves to members of my Gen Y generation. As part of my CU Water Cooler Symposium experience, I visited the world’s first cooperatively owned and worker-managed brew pub, Black Star Co-op Pub and Brewery. It was interesting to experience a different type of cooperative in action and then reflect back on credit unions.
For example, when we walked into Black Star, the guy behind the bar greeted us warmly and let us know our options, such as where we could sit, and what we could order. “Information and education” is cooperative principle No. 5. What a great way to start--with no confusion or fear. Many credit unions now have a front-door greeter and I commend those who do. It matters.
“Voluntary membership” is cooperative principle No. 1. The brew pub had a lot of information available about how to become a member. There were brochures on each table; the menu noted the pub's cooperative status, as did the chalkboard that listed beer selections; and Black Star Co-Op hoodies were available for purchase, too. It was easy to be reminded that the brewery has members. Credit unions that have membership information available only in their own locations, on one side table, might want to bring it more front and center. Indeed, I think the physical space a credit union occupies plays into demonstrating its cooperative nature, and therefore its focus on serving people. When I walked into BlackStar, I felt at home, and thought, “I could hang out here a while.” While I might never hang out at a credit union all afternoon, the experience when I go to a branch is really important because connections can be made with me there that can’t possibly happen when I interact with a credit union online. Finally, the brew pub wears its cooperative underpinnings on its sleeve. There’s even a part of its website that has the header, “Cooperate” and a recent blog titled, “Cooperatives Have More to Be Thankful For.” I like the idea of CUs banding together with other cooperatives, such as groceries, brew pubs and others (sporting goods retailer REI is a cooperative), and then selling the fact that they’re doing so. This is example of cooperative principle No. 6, "Cooperation Among Cooperatives. Now, what does your website say about your cooperative roots? When people try to explain the difference between banks and credit unions, sometimes they say things like “credit unions have a volunteer board of directors” or “one member, one vote.” And while such things are true, chances are that the person asking will glaze over when they get those answers. But have them call your credit union, or stop by a branch. What experience will they have? Do your members know they’re members by their interactions with your credit union? If you’re living the cooperative principles, the great experience for the member happens naturally. That’s the big difference between us and the banks. Dana Murn-Kohal is CUES' professional development and innovation manager. Read two related posts, "Marketing to Millennials" and "Reaching Millennials: 10 Ways That Work." Download the free CUES whitepaper, "The Seven Cooperative Principles and Credit Unions that Use Them." Alix Patterson will present "Go Tell it on the Mountain: Telling Your Credit Union's Story" on Dec. 7, as the preconference session before Directors Conference, slated for Dec. 7-10, in Palm Desert, Calif. Patterson is chief operating officer of Callahans. Learn more about CUES Next Generation membership. It's just $99! Alex Castley was recently named 2014 CUES Next Top Credit Union Exec.
