CUSTOMER SUCCESS STORY Visa Integrated Marketing Solutions helps FCCU gain cardholders

Business Objective

Visa Integrated Marketing Solutions (VIMS) helped FCCU increase card penetration among existing credit union members through the design and execution of a credit acquisition cross-sell campaign.

VIMS strategy and implementation

Enhanced issuer data by using VisaNet and third-party data to more effectively target customers
Targeted customers with a likelihood for response and spend engagement
Customized campaign materials and offers to accommodate credit union branding and credit card rewards product
Executed offer to ~46,000 existing credit union members via direct mail

VIMS results

Net conversion rate¹ of .88 percent as of 60 days after the campaign concluded
$120 cost per account²

How VIMS helped FCCU gain new cardholders

From start to finish, VIMS is designed to help issuers meet their business goals.

Resources

Dedicated team of VIMS payments and marketing professionals serve as an extension of your marketing team.

Expertise

Team of seasoned payments, marketing and channel strategists design campaigns to maximize your ROI.

Scale

Benefit from cost efficiencies delivered through VIMS prescriptive approach and Visa scale.

Campaign design and detailed results

In a recent credit acquisition campaign for a rewards credit card, FCCU experienced a gross response rate of 1.52 percent, representing an overall .88 percent net conversion rate. This conversion rate is 35% above the Visa benchmark of .65%. The accounts were acquired at $120 per account, 66% lower than the Visa benchmark of $355.

For the purposes of this study, the "control population" was represented by 10 percent of the eligible population that was held out of the offer mailing. Although this is only one case study and is in no way representative of all results, FCCU and the VIMS team are very excited about these early returns.

Product offering included introductory rate and rewards:

A low introductory balance transfer rate of 2.99 percent APR for 12 months
5,000 points on customer’s first purchase through December 31
Additional 10,000 bonus reward points when the customer spends a combined total of $1,000 by December 31

Our participation in the VIMS credit campaigns is helping us deliver on our portfolio growth goals. The best practices that Visa’s expertise brings as well as the outstanding customer support we have received, makes VIMS a staple program in our marketing plan this year.

nancy trennel

Nancy Trennel, SVP Marketing, FCCU

Sources

¹ Net conversion rate is total number of approved applications divided by total mailed.

² Cost per account calculated as total cost of the campaign divided by the total number of approved applications.