Attitudinal loyalty defines how your members feel about you. Behavioral loyalty is what they actually do with you. Researchers have varied conclusions on whether either type of loyalty precedes the other, but most agree that attitudinal loyalty is less valuable when behavioral loyalty is not present. After all, people may love the credit union in concept, but unless and until they participate in the cooperative, there’s no benefit for either party.
It takes both for a full picture of loyalty. Fortunately, we have figured out the best way to do this.
Attitudinal Loyalty Components
Member Satisfaction - yes, this is the traditional metric most of us have used for the past 40 years.
Net Promoter Score - a widely recognized indicator of future growth opportunities, this question asks current members how likely they are to refer a friend or family member to the credit union.
Member Effort Score - how easy is it for your members to do business with you? Studies show the easier it is, the more business you'll earn. If that doesn't make sense, read this WHITE PAPER from Harvard Business Review.
Behavioral Loyalty Components
Primary Financial Institution - as defined by your members, not by us.
Account Growth - which of your members have actually increased their accounts/balances with the credit union in the last year?
Referral Activity - more than saying they'd recommend the credit union to others, who has actually done it?
Share of Wallet - what percentage of your members business do you actually have already, and what's the potential for growth?