Navy Federal Credit Union goes from product-driven to customer-centric
Hyper-personalized interactions improve relevance and satisfaction.
increase in credit card applications
increase in approved applications
reduction in out-of-network ATM fees
The Business Issue
With more than 13 million members, Navy Federal Credit Union (NFCU) serves all branches of the U.S. military and veterans, empowering them to achieve their financial goals.
The sheer scale of their operations meant NFCU faced several significant challenges. Their traditional marketing approach relied heavily on “batch-and-blast” methods, leading to inconsistent and often sales-oriented member interactions. Data and marketing channels were siloed, making it difficult to create a seamless member experience.
Moreover, there was some initial resistance within the organization from business units that were used to the immediate results provided by conventional methods. To maintain their position as a leader in customer experience among credit unions, they needed to transform their member engagement strategy to deliver more hyper-personalized, relevant interactions.
The Solution
To address these challenges, NFCU implemented Pega Customer Decision Hub™. This allowed them to move from a traditionally product-centric marketing approach to a member-centric strategy. Using AI-powered next best actions that identify the most relevant and timely interactions for every member, NFCU can now engage members based on their individual needs and preferences – making sure each interaction is tailored to meet members where they are in their journey.
NFCU integrated Pega Customer Decision Hub™ across seven channels, including email, online banking, contact centers, and branches. This integration enabled real-time decisioning and consistent messaging across all touchpoints. The focus was on three key mandates for success:
- Shifting the marketing mindset
- Leveraging AI to determine the most relevant next best action for members
- Ensuring an omni-channel approach for consistent and connected member experiences
By centralizing member data and communication decisioning, NFCU can now deliver seamless and personalized experiences for every member, in every channel.
The Results
By leveraging real-time decisioning, NFCU transformed member interactions into context-aware experiences that resonate on a personal level. This approach not only ensured consistent messaging by adapting communications based on member engagement but also fostered trust and loyalty through empathetic engagement. Member representatives are now empowered with deep insights, enabling them to offer their members personalized advice that truly meet their individual needs.
Automation streamlined operations, significantly reducing the need for manual intervention, while proactive retention strategies targeted at-risk members, effectively decreasing churn. Data integration efforts unified the member experience, and adaptive learning is continuously refining their strategies – allowing NFCU to shift their focus from short-term KPIs to enhancing long-term customer lifetime value and nurturing deeper relationships.
Some numbers at a glance:
- 23% increase in credit card applications
- 27% increase in approved applications
- 79% reduction in out-of-network ATM fees
- Enhanced member satisfaction and engagement
Decisioning done in real time.
Deliver relevant and empathetic experiences.
“One of the exciting benefits of having this centralized decisioning is that if a member raises their hand, so to speak, in an inbound channel, we can use that information to inform what we say to them or don't say to them in another channel.”