League/LSC
Conference Call
Tuesday, July 15, 2009
Agenda
• IIA Vision and Results
• Current Offers
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Chrysler
GM
Ford
Sprint
• New Partnerships
– Thor Industries
– Universal Orland Resorts
• Marketing Update
– League Sales Kits
– Ad Pool Recommendations
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Survey Results
League Survey Results
League Communication Schedule
Q&A
IIA Vision
Invest in America is our brand for credit
union membership enhancements in
order to drive growth and retention
IIA Results
Metric
Program to Date
(Dec 08 – June 09)
Automotive
League Participation
45
# Supporting Credit Unions
1,817
% CU membership Opt-Ins
47.2%
# of Top 500 CU Opt-Ins
245
New CU Members
274,240
# CU Loans
132,170
# Vehicle Sales
161,470
Sprint
(Jan 06 – June 09)
League Participation
23
# Supporting Credit Unions
468
Total saved by members
$26.9M
Chrysler
• Contract extended through year end
• July 1 – July 31, 2009 Up to $1,000 discount on top of
the member’s best deal on the following 2009 models:
$500 Incentives
•Dodge Journey
•Dodge Grand Caravan
•Dodge Ram
(1500/2500/3500/4500/5500)
•Dodge Dakota
•Chrysler Town and Country
•Chrysler Sebring Convertible
•Jeep Grand Cherokee (inc.
SRT8)
•Jeep Commander
$1,000 Incentives
•Dodge Nitro
•Dodge Charger (inc. SRT8)
•Chrysler 300 & 300C (inc.
SRT8)
•Jeep Liberty
GM
• Supplier pricing continues through year end
• July 6 – July 31, 2009 Supplier Pricing Plus. Members
receive an additional $250 discount on top of supplier
pricing.
• Certified Pre-Owned program to start 9/1/09
– Cash Incentive
– Extended OnStar Subscription
GM Lease Program
• July 1 – December 31, 2009
• NY, NJ, PA, FL and MI markets.
• Program will start with select 2009 models from the four
core brands and expand as 2010 models are launched
2009 Models 2010 Models
Malibu
Equinox
Traverse
Terrain
Acadia
Enclave
CTS
LaCrosse
SRX
Ford Lease Pilot
• August 1- October 31, 2009
• Florida and the Northeast market areas.
• Pilot will include select Ford and Mercury vehicles.
Ford Models
Mercury Models
•Focus (excl S/SE)
•Ranger
•Grand Marquis
•Escape (Non Hybrid)
•Econoline
•Sable
•Taurus X
•Expedition
•Mariner (Non Hybrid)
•Mustang (excl Mustang
Shelby GT500 and KR)
•F150
•Super Duty
•Mountaineer
•Explorer Sport Trac
•Explorer 4 Door
Sprint
• The 2009-2010 Contract Year begins in October.
• Credit unions must schedule at least one mailing during the contract
year.
• Enrollment and renewal forms must be submitted by September 1.
• Member Discounts
– 10% off most regularly priced service plans
– Waived activation fee on new accounts
– Waived upgrade fees
• Business Discounts
– 15% discount on most corporate recurring charges
– Waived activation (new accounts) and upgrade fees
– Equipment discounts
– 20% off accessories
Leasing Program
Status
• 64 credit unions enrolled to participate
• 39 additional credit unions considering
• GM has agreed to open the leasing program beyond
the initial pilot markets where sufficient credit union
coverage exists.
• Interested credit unions outside the defined market
areas should:
– Contact alan.babcock@cucorp.com
– Complete the lease pilot sign up form on the sign up page of
the partner center at www.lovemycreditunion.org
IIA Mission
• To develop and promote exclusive credit union
member discounts on products and services
offered by American owned corporations to
provide a stimulus for stronger financial results
for the U.S. economy, increase credit union
membership and member satisfaction.
– Develop an extensive program with domestic
automakers that generates incremental vehicle
purchases and credit union loans.
– Identify and expand member rewards by partnering
with larger Fortune 1000 companies.
New Partnerships
RV Credit Union Program
THOR Industries is the worlds largest manufacturer of recreational vehicles
including the following popular brands:
Credit Union RV
Discount Program
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Exclusive agreement with THOR
for first 4 months
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Renewable in 6 month increments
Non-exclusive can add other RV
manufacturers
Nationwide credit union member
discount from $300 to $975
10% of marketing fund will be
shared with participating LSC’s like
the domestic auto program
All loans not financed by credit
unions, but all loans are resold to
credit unions
Vehicle
Discount
Motorhome
Class A
$975
Class B&C
$475
Towable/MSRP
Up to $25K
$300
$25 - $45K
$425
$45-$65K
$525
$65 and over
$725
Universal
Orlando
• 12 Month Contract
• Exclusive credit union member
discounts
• 5% discount off theme park tickets
and packages valid at:
– Universal Studios
– Islands of Adventure
• Hotels and other properties may be added
Marketing Update
League Sales Kit
• Sales Kits for LSCs to use to sell Invest in America to
credit unions are now available
– Printed Materials
• Folder
• Leave behind piece providing program overview
– Customized Materials to include in Folder
• Introduction letter
• Fact Sheet updated with current numbers
• Marketing flyer shows all the marketing materials available to
credit unions
• Power Point presentation providing program overview
• Program Contact Sheet
Marketing Update
League Sales Kit
– Additional LSC Marketing Materials
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E-blast template
Web site content
Web banners
Newsletter articles
Press Releases
Sign-up form to use a league events
– Access to Materials
• Printed materials are limited, please email requests to Nancy
Sawicki at nancy.sawicki@cucorp.com
• All other materials are available in the password protected
Partner Center on LoveMyCreditUnion.org for downloading
Marketing Update
Ad Pool Recommendation
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Plans are underway for the 70% ad pool that is generated by sales of
GM and Chrysler vehicles, which will be completely free to credit
unions
Marketing Kits - All participating credit unions are eligible to receive the
kit, which will be delivered at the end of August:
– 200 Lobby Inserts per branch
– Two 8 ½ x 11 posters for teller line per branch
– CD with all online elements
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Statement Inserts for participating credit unions’ entire membership will
be printed and delivered in time for October statements
To receive the free materials, all credit unions have to do is return an
Invest in America Marketing Materials Order Form
– Order Forms were emailed to all participating credit unions on Monday, July
13
– Order Forms need to be returned electronically or by fax by Friday, July 31
Marketing Update
Ad Pool
Recommendation
• Direct mail is also planned for January
– 25 million postcards
– Credit unions will be allotted a specified number of mail
pieces based on size of membership
– Postcards will be customized with credit union logos
– Details for participating in the mailing will be emailed to
credit union by August 1
• Online Media Ad Plan will begin in August
– To continue driving traffic to LoveMyCreditUnion.org, the
plan includes key word search optimization and advertising
on key sites
– Social media efforts will support the online media plan using
Twitter, Facebook, Blogger, You Tube, etc.
GM Survey Results
• Study Methodology
– An online survey was administered in June 2009 to credit
union members who had signed up to use the Credit Union
Member Discount from GM. All members who requested an
authorization code to use the GM discount were invited to
participate in the study.
– Respondents were given approximately two weeks to
complete the online survey, 1,912 valid surveys were
completed, representing an 8.6% response rate.
GM Survey Results
Did you use the Credit Union Member
Discount from GM to purchase your vehicle?
Over 90% of respondents used the
CU Member Discount from GM to
purchase their vehicle.
GM Survey Results
Over half of all respondents learned about the program from a Dealer, while
less than 10% learned about the program from a credit union
GM Survey Results
Did you use a credit union to finance your
recent vehicle purchase?
Over half of all respondents (56%)
did not use a credit union to finance
their recent vehicle purchase
GM Survey Results
Of all the financial institutions you use,
which do you consider your primary
(main) financial institution?
Almost half of the respondents
do not consider their credit
union their primary financial
institution
GM Survey Results
Key Findings
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Purchase
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Discount
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The majority of respondents have been credit union members for over 20 years
Over 10% joined a credit union in the past year
Eighty percent felt the discount strengthened the value and trust they had in their credit union
While the majority indicated the CU was their primary financial institution, a significant portion (43%)
indicated a bank was their primary financial institution
Financing
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Over 90% used the credit union discount to purchase their new vehicle
The dealer was the primary source for hearing about the discount
Only 10% of respondents heard about the program from their credit union, the same percentage that
learned about if from the Web
In Michigan, 13% heard about the program through advertising
Eighty four percent agreed that the discount was important to their purchase
Over 90% felt the process of obtaining the authorization code to be easy
CU Data
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Brand most frequently purchased was Chevrolet
One fourth previously owned a foreign vehicle prior to this purchase
Three quarters purchased their new vehicle within the last three months
Over half of respondents (56%) financed their vehicle through a bank, while 43% financed with the
credit union
Over half of respondents were satisfied with their auto loan rate
Demographics
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Three quarters of respondents were between the ages of 35 – 65
Seventy eight percent had incomes of $50,000 plus
Over eighty percent were college educated
GM Survey Results
Conclusions
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The Invest in America brand is effectively driving consumers’ behavior toward
buying American when you consider the significant percentage of respondents
who previously owned a foreign vehicle
The CU member discount is an appealing offer with over 90% utilizing it to
purchase their vehicles
Credit unions need to be more engaged in this program because they are
missing key opportunities for loan volume and wallet share growth
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While 90% used the CU member discount, less than 50% financed through their credit
union and only 50% consider the credit union to be their primary financial institution
The survey findings supports key strategies that have been defined for Invest in
America
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Engage key members of the credit union team to take ownership of the program
including: sales and service, lending and marketing
Support credit unions in more proactively marketing the program by providing free
marketing materials and defining marketing requirements
Survey the credit unions to better understand how we can support their efforts
Communicate more concrete evidence directly to the credit union of how Invest in
America can drive volume and wallet share growth and highlight the opportunities that
they are missing
Upcoming Surveys
• Credit union member Chrysler survey is
currently in the field
• Credit union survey will be going to all
supporting credit unions the week of July 20
League Survey
Results
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43 league surveys returned
Over $200,000 generated for LSC payment
Over $180,000 sent to participating LSCs
LSCs that have signed agreements on or before June 1, 2009, and
meet requirements are eligible for 2nd Qtr payments (verified by survey)
LSCs with a signed agreement in 1st Qtr that didn’t receive payment
are eligible to receive both 1st and 2nd Qtr payments. (verified by
survey)
2nd Qtr requirements are as follows:
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Solicit credit union sign-up in IIA
Distribute all IIA communications to credit unions (newsletters, e-mail
blasts, etc.)
Prominently promote IIA on league web site
Promote IIA in League/LSC publications, webinars, seminars, and other
venues deemed appropriate.
Support state level media outreach efforts with press releases, etc.
League Survey
Results (continued)
• Feedback
– Most LSCs are actively promoting IIA via web and
publications
– Many LSCs are unaware of how to utilize national press in
state level media outreach
– Many LSCs are not aware of information available on
www.lovemycreditunion.org
• Mike Bridges, MCUL Director of Publications, is
available to assist LSCs with media efforts. He can
be reached at michael.bridges@mcul.org
• A web tour has been scheduled on Thursday, August
6th at 3 pm for all interested LSC staff
Future League
Communications
• League Conference Calls
(Wednesday’s at 3 pm
EST)
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August 6 (Web Tour)
August 19
September 16
October 14
November 11
December 16
• IIA Newsletter
(First Friday of every
month)
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August
September
October
November
December
Q&A