In mid-January, ”American Banker” released its list of “The Best Banks to Work For”.
The title alone may beg the question: What in the world does employee happiness have to do with marketing a bank?’
Plenty. Just take a look at three of the banks on the list and how they go the extra mile for the employees. And moreover, think about the message those happy employees communicate to current and potential customers.
At the top of the list – Live Oak Bank in Wilmington, N.C. Its 275 employees benefit from perks like free lunch on Fridays, three full-time trainers in a company gym and health insurance 100 percent paid for by the bank. Live Oak also offers a benefit for employees’ four-legged friends, a dog park.
If you don’t believe ebullient bankers translate to a blossoming bottom line, consider this: Live Oak is the nation’s second leading Small Business Administration Lender. It’s a niche lender, marketing to steady, hometown businesses –veterinarians, funeral homes, locally-owned pharmacies and dentists. Its business has spread nationally and Live Oak folks jet around the country on two company-owned planes to meet face-to-face with clients.
“People ask, ‘Why are you spending all that money on employees?’” Live Oak Chairman and CEO James “Chip” Mahan told “American Banker”. “They’re generating $500,000 in revenue per employee, that’s why.”
Happy bankers also engage with the community beyond the branch’s four walls. HomeBanc in Tampa, Fla., pays employees to volunteer in the community, provides a generous 401k match and contributes to an employee stock ownership initiative. Incentives to successfully recruit businesses mean that sometimes, loan officers’ annual salary exceeds that of top management. It’s easy to understand why HomeBanc finished second on AB’s list.
And there’s little things that make a difference in communicating the bank’s brand. One HomeBanc employee hands out pompoms to celebrate bringing a new customer into the fold.
Before you dismiss the cheerleader move as cheesy, a reminder about the late motivational guru Zig Ziglar and his “Rule of 250.” If that new customer shares with friends about the pompoms and it resonates with only one, that’s 250 potential new customers. The small celebration creates a positive vibe about the brand.
Talk about positive, one Nashville, Tenn., bank has employees and present and future customers singing a tune. In Music City, USA, Avenue Bank has its own house band that performs and competes against bands from in and around Nashville. Known as The Hummingbirds, the band performed at the 2012 CMA Music Festival.
The Hummingbirds may be a rocking band, but they’re part of the reason the bank is on a roll. Founded in 2007, Avenue has bloomed to $1 billion in assets. While the band may communicate the message that the bank understands and embraces Nashville’s past, present and future as a global music capital, it also sends a message to fans that Avenue Bank is more than a business. It’s a place filled with human beings who have a song in their hearts.
In practical banking terms, Avenue’s customer service model – “concierge service”—creates a kinder, warmer customer banking experience, company officials told AB.
So, what’s the takeaway here from a marketing perspective? Happy employees send a positive message about the bank and its brand. By investing in its people, banks like these communicate that they have a heart. In a time when the financial services sector seems under fire by politicians on the left and the right, this is a message consumers need to hear, one that no billboard or 30-second spot can beat.
Take a look at all 50 of American Banker’s “Best Banks to Work For”.
