December 18, 2024 • 21 mins
“Well, your money’s in Joe’s house, that’s right next to yours. And in the Kennedy House, and Mrs. Macklin’s house, and, and a hundred others. Why, you’re lending them the money to build, and then, they’re going to pay it back to you as best they can.”
Seventy-eight years ago, George Bailey memorably explained the operation of a mutual savings and loan to a national audience in It’s a Wonderful Life. But while today’s bankers understand mutuality, do today’s potential clients? On the latest episode of the ABA Banking Journal Podcast — sponsored by TransUnion — bank leaders Gregg Tewksbury and Lori Dufficy discuss a new campaign, Mutuals Matter, that aims to educate consumers about mutual bank ownership. Among other things, they talk about:
- Why present, and future, customers need to be educated about the distinctive values of mutuality.
- How the campaign developed messaging that resonates with consumer.
- The role of the campaign in helping mutual bank employees understand their unique value proposition and take pride in their work.
This episode is presented by TransUnion.
- If you can’t see the audio player above, click here to listen to this week’s episode.
- View the campaign at MutualBanksMatter.com.
- Read more in the ABA Banking Journal about public opinion on mutuality.
- Register for the ABA Mutual Community Bank Conference, April 6-7 in Washington, D.C.
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Gregg Tewksbury (00:02):
The Mutuals Matter content that's been created has been an
incredible supplement to help educateour employees about what a mutual bank
is, giving them tools to be able totalk about it more easily to customers.
Evan Sparks (00:23):
From the American Bankers Association, this is
the ABA Banking Journal podcast.
Welcome back.
I'm Evan Sparks.
Today's episode ispresented by TransUnion.
We're here today totalk about mutual banks.
And one of the challenges that manyof our mutual banks face today, and
that's helping people to understandwhat the very concept of mutuality is.
It's right there in the name.
It's one of the, presumably one of thebiggest selling points for a mutual bank.
(00:47):
And yet, A lot of the generalpublic doesn't really understand
what's going on with this.
So, we did I'm hearkening back to somesurvey research we did here at ABA.
We could, the ABA Banking Journalasked for, helped, field some survey
questions through Morning Consult.
And what we did was we asked, howfamiliar are you with mutual banks?
And this was back in 2019, 2020 timeframe.
(01:09):
So it's been, the, the data is a littleold, but it's, but I suspect it's
probably somewhere in the same area.
And we had about 5 percentsay they were very familiar.
18 percent say they were, they weresomewhat familiar with mutual banks
and then a 36 percent not too familiar,
41 percent not familiar at all.
So to, to add that up, we've got 23%,just less than a quarter of the country
(01:32):
is very, or somewhat familiar withwhat the concept of mutual banks is.
And as a result, we have about the sameproportion, a little under a quarter
saying they were, you know, somewhator very likely to bank with a mutual.
And a big chunk, nearly 60%, sayingthey didn't know they were unsure.
So we then asked some questions.
(01:53):
What, knowing more about whatmakes mutuals different, how
do you view mutual banks?
And the answer, you know, giving afew, giving some details about what
the structure of a mutual is likeand what makes a mutual unique.
And we saw those numbers go up from,you know, 23% to 52 percent of people
(02:14):
feeling like they would be morelikely to bank with a mutual once
they learned a little bit about it.
So there's, so there's clearly somebig opportunity for mutual or for
America's mutual community banks inhelping to get the word out about that.
And to talk about that today,I'm delighted to bring on two
friends from the banking industry.
We have Gregg Tewksbury, who ispresident and CEO of New Hampshire
(02:36):
Mutual Bank Corp up in New Hampshire.
We have Lori Dufficy of ChelseaGroton Bank in Connecticut.
And so we're delighted to welcomeboth of you to to discuss what's
some, an exciting new initiativein the mutual banking world.
Thanks for being here.
Lori Dufficy (02:52):
Thank you for having us, Evan.
Evan Sparks (02:54):
All right.
So I'd love it, just for the benefitof our listeners, before we dive in to
learn a little bit more about brandingmutuality, Gregg, if you could, Gregg
and Laurie, if you could just introduceyourselves and your banks a little
bit Laurie, I'll start with you.
Lori Dufficy (03:07):
Sure, I am the Chief Experience Engagement
Officer at Chelsea Groton Bank.
We are a 170 year young mutual bankbased out of Southeastern Connecticut.
And my role encompasses marketingfacilities, purchasing, wealth
management, cash management, retailbanking, and learning and development.
(03:30):
So we're a smaller institution.
We're about 1.
7 billion in assets.
So many of us here at thebank, we're a lot of hats.
Gregg Tewksbury (03:41):
Great.
Evan I'm Gregg Tewksbury withNew Hampshire mutual bank,
or we're headquartered inthe center of New Hampshire.
We have three mutual banks under ourumbrella throughout our state, as
well as a chartered trust company.
We're about 3.
7 billion in assets and about abillion and a half of assets under
(04:01):
management with our trust operation.
Evan Sparks (04:04):
So we're, we're, we're in this environment where, as I talked about,
we have this kind of lack of customerawareness about what exactly a mutual is.
I think, and, you know, there,it It kind of sounds nice.
It's part of not just banking, bankingnot just banking, bank names, but
insurance companies and other companiesthat have used this in their name
to identify the kind of businessthat they are or perhaps used to be.
(04:26):
And, and, but what what, what in yourexperience sets mutual, sets mutual
banks apart as institutions, as tightas a type of bank and, and what do you,
what have your customers understoodthe value of banking with mutual to be?
Gregg Tewksbury (04:44):
I'm happy to take a shot at that, Lori.
And in our neck of the woods, mutualbanks, it's really the horizon, the
time horizon for decision making.
In that we think about things in suchlong term perspectives as our governance
and ownership structure is such that wethink about perpetuity and and keeping our
(05:07):
banks for the benefit of the communitiesand customers we serve for ever.
And as such.
Decisions that we make take on such along long term horizon that differentiates
us from banks that oftentimes arepressured for shorter decision making
based on ownership needs and interests.
Lori Dufficy (05:31):
Yeah, and I'll just fill in there a little bit.
When we make our decisions here atChelsea we, we really think about
who's in the room with us, who it'sgoing to impact, and it's really that
three legged stool, our customer,Our team and our community members.
There is no shareholder membersin that decision making.
So we're not influenceddifferently because of having
(05:53):
also to provide shareholder value.
And I think that makes our model verydifferent because everything we do is very
impactful for those three stakeholders.
Stakeholders, those groups.
Evan Sparks (06:06):
Yeah.
You know, we, so I talked a little bitabout the lack of consumer awareness.
What, what have, what did you, whatdid y'all decide, do to kind of help
identify We go to help say, Hey, we peopledon't fully understand what this is.
This is unique to this is uniquewithin the banking system.
How can we how can we helppeople better understand it?
What was your, what wasyour reaction to that?
Lori Dufficy (06:29):
We've all known right along, you know, there's a reason why we're
doing this is because of the lack ofawareness about what mutual banks are and
whether it's with our existing customers.
Potential employees, community members,even our regulators and trying to explain
to them, but no, we're a mutual bank.
And then going down the path of explainingwhat a mutual bank is and why we exist.
(06:54):
There's so, there's aha moments.
People are like, Oh my gosh, Ihad no idea I would have made it a
different decision or I would have,you know, contacted you sooner.
We have customers that will say,and that's why I bank with you.
So I think we've all been fightingreally this, um, identity crisis or
(07:17):
opportunity where we all need to be onthe same page and speaking about the
same value to our community membersbecause we feel it's a big difference.
And when you experience it,people experience that difference.
You just can't say it.
You have to experience it.
Gregg Tewksbury (07:37):
Yeah,
to add on to that when we gettogether as mutual bankers, we can
finish each other's sentences interms of what we do and why we do it.
And that passion that, that we have toreally take care of our stakeholders,
as Lori noted, Our communities and ourcustomers that we serve is why we come to
(08:01):
work every day, not, not just because ofthe people we are, that's in our charters.
That's what our corporators, those inour governance models expect us to do.
And when we share that with customers orpotential customers, yeah, there is this
aha moment that says, I didn't know that.
And, and explains a little bit in termsof the type of service or experience
(08:24):
I've had, or now that I know thatmaybe that will prompt me from thinking
about a different banking relationshipwhen the time comes to, to change.
So we're very aware that there's alack of understanding out there because
when we're, when we talk about iton a grassroots efforts, one on one.
(08:45):
It's amazing time and time again,people that you think would know the
difference between different bankingstructures are, are surprised to learn
about the uniqueness of the mutual banks.
So, what we've all done, I believe, youknow, over our hundred plus years of,
of history individual banks have goneand, and tried to market this thing.
(09:09):
Differentiation of what a mutual bank is.
And we fail.
The numbers that you just sharedwith you with the survey by American
bankers and mutual consult proved thatwe have been ineffective in educating
the communities on a bank by bankbasis about what mutual banks are.
(09:31):
So what we decided to do is perhapscome together as a subset of the banking
industry and have the mutuals cometogether full resources and see if
there's an opportunity to educate thecommunities about mutuality and mutual
banking versus, you know, one of ourbanks or Lori's banks in particular.
Lori Dufficy (09:54):
Yeah.
And what we have found have beenin even in our community, we
have, I think, nine or ten mutualbanks in the state of Connecticut.
We don't really compete with each otherbecause when you look at one mutual
versus the other and their mission andtheir vision and their goals for their
community is where we're so similar.
If someone is walking to a branchdoor and they say, "gee, I'm
(10:17):
leaving this mutual bank for yourmutual bank or this bank for yours.
And we know we're both mutual."
We know that somethingis behind that decision.
And it is most likely that the, theirother bank may have said no to them,
or maybe they were mishandling theiraccounts, you know, not managing
(10:39):
them in a satisfactory manner.
Very seldom do we see that happen.
Because we, we compete on value.
We don't really compete on rates.
Our rates are very similar.
Our products and servicesare very similar.
Our delivery mechanisms are similar.
We all have the brick and mortarbranches still in our communities.
We're not pulling out of our communities.
(11:00):
So we kind of chuckle, you know,internally and say, " if they're leaving
that mutual bank for another mutualbank, something else is going on in
their, in their banking world, right?"
Evan Sparks (11:10):
yeah.
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So you've got this thisopportunity to, to educate people
collectively as a mutual sector.
And and that brings us to theMutuals Matter campaign, which we've
talked about in ABA daily Newsbytes.
(11:51):
So our listeners hopefully arefamiliar with it and and, and the
campaign they all have developed.
Can you walk me through whatwent into this campaign and
what are the key messages you'retrying to get across through it?
Lori Dufficy (12:03):
I'll let Gregg take the lead on that.
Gregg Tewksbury (12:05):
Sure.
We brought together four foundingbanks to pull some resources, hired
an ad agency to do some research aboutwhat a target audience would look
like for a message from mutual banks.
And, and through that research targeteda younger generation, which is very
different than what a lot of mutualbanks typically would advertise to.
(12:30):
And.
Looked at the creative, worked with thead agency to come up with the creative
and invested in a lot of collateralthat presents a message about what
mutual banks are and who we are.
And it really comes down to ownership.
And, and as mission based organizationsthat exist, you know, for, you know,
(12:55):
they're the customers that theyserve and only for the customers
and communities where they live.
And that message.
That was created resonates well withaudiences and we've tested that.
So what we've done is we've taken thesepieces of collateral, put them on an
online website and, and have been.
(13:17):
Through whether it's ABA Newsbytes orother mechanisms invited other banks
to come in and take a look at is this,are these messages something that
they feel like they would want to jointogether as an industry, a mutual banking
industry, and, and, and get to thecommunity as an educational campaign.
And so far we're off and running,and we've got some really good
(13:38):
interest in, in banks comingtogether to have a common message.
You know, we, we, we're calling it alittle bit of our, our Got Milk moment.
If you remember the dairy farmerscoming together instead of advertising
their, their own brand, they wereadvertising milk, you know, as
a competitive alternative to thesoft drink industry at the time.
(13:59):
And that's what we have.
We've got a differentway of thinking about.
The ownership of banking and feelthat if the communities understood
what our ownership structure is, itmay be a differentiator for them in
choosing a bank that's mission basedand having them understand that through
this Mutuals Matter campaign, we thinkcould be a competitive advantage.
Evan Sparks (14:25):
Yeah.
Can you talk a little bit about someof the collateral that you've built
out to to help convey that message?
Lori Dufficy (14:33):
So you know, this is just the beginning of the campaign assets
as we have more mutual banks join us.
Obviously we'll be able to buildout more and continue this because
this is not a one and done activity.
This is something thatwill continue to build on.
So we, you know, we have digital ads,we have print ads, we have billboard,
(14:56):
we have radio we have some b roll andyou know, we're using those assets
and the participating mutual bankscan use them and co brand them, which
is something that we highly recommendthat they co brand these ads so that
people start to recognize the messaging.
And the Mutuals Matter logo inconjunction with our own financial
(15:19):
institution advertising and logos.
Some of our financial institutions, someof our members are already using the
campaign assets for recruiting purposes.
I think Gregg had sharedat the ABA conference.
That his financial institutionswere using it at college fairs.
Well, the rest of us in the roomquickly wrote that down and said,
(15:41):
Oh, my goodness, that is exactlyhow we should be using these.
So but I just want to add.
Not only are our members getting theseassets, they're getting the advice
from our marketing subcommittee on howto use these assets because we have
mutual banks around the country, Evan,as you know, that are very, very small.
(16:04):
They don't have marketing departments,you know, you might have someone
running their retail branchesand also doing their marketing.
And so what, you know, membersare getting more than the assets.
That's they're getting the advice andthe support and the best practices
that we're all doing along with them.
So there's a lot of value added here.
Evan Sparks (16:27):
So and then you talked Lori about the importance of using
this as a recruiting tool to makesure, you know, potential employees,
you know, I think, how are you usingthis to help your current employees
better understand and convey to their,to their partners and clients and
stakeholders the value of mutuality.
Lori Dufficy (16:47):
So I've been on a little road show throughout the bank
talking to our retail branch employeesand then through our intranet you
know, really kind of discussing ourcampaign and why we're doing this.
We're also going to be doingan internal lunch and learn.
So people can sign sign in and they'llbe hearing from myself and Barb Curto.
(17:08):
Barb Curto was our marketingmanager and she volunteers.
We're all volunteers from Mutuals Matter,but she is on the marketing subcommittee.
And we're going to be talkingabout why we're doing this.
Why are we spending our resources and ourtime and the importance of doing this?
So we really are focusingkind of inside out.
Gregg Tewksbury (17:30):
Likewise at our banks, Evan, we have.
We have an intranet and we've got anentire section of our intranet denoted
devoted to mutuality and Mutuals Matter.
The content that's been created has beenan incredible supplement to help educate
our employees about what a mutual bankis, giving them tools to be able to
(17:54):
talk about it more easily to customers.
It's a complex Governance structure tobe able to synthesize it down to give
you talking points has been reallyimportant and Mutuals Matter is put a
really a spotlight on Who we are as anorganization and internally created such
(18:14):
buzz about the not only the company thatthey work for but the this sub industry
within financial institution markets Ijust met with a younger employee who's
been at the bank for about four yearsdid not come to our bank because it was
a mutual, didn't know what a mutual wasat the time, but has really been has
(18:39):
leaned into the aspect of mutuality.
Mutuals Matter came out.
He was just in my office and how can Iput a team together in our organization to
not only help educate all of our staff alittle bit more about what mutual banking
is, but how can we help our marketingdepartments elevate this message and get
(19:01):
Mutuals Matter out to the general public.
So it's created really a buzz withinour organization that I think is
going to be very helpful in bothunderstanding more about mutuality,
but also the aspect of marketing it.
Lori Dufficy (19:16):
And the campaign, you know, the messaging, Evan,
does it matter who you bank with?
Well, you know, that translatesto our internal team members.
Does it matter who you work for?
And it should matter.
You spend so much time at work, and ifyou really believe in the mission of
your organization, it should matter.
(19:36):
And so I think what we're doing is we'rewe're fostering, we're becoming less
transactional and more relationshipdriven as a, as a, an industry.
And I think that has a lot of legs.
I think people really do caremore today than they ever have.
About who their relationships are with.
Evan Sparks (19:58):
Well, this is, this is fantastic.
Where, you know, I will put a linkin the show, in the show notes on the
Banking Journal website, but for, forthose who are listening, where can they
go to learn more about Mutuals Matter?
Gregg Tewksbury (20:09):
We've got a website set up at mutualbanksmatter.
com.
Consumers and bankers can find moreabout what mutual matter is, but
more importantly learn more aboutwhat mutual banking is all about.
Evan Sparks (20:24):
Great.
Well Gregg and Lori, thank you so much.
You know, as we were here at theget coming into the holiday season
and which is always a reminderof the America's favorite mutual
community banker, George Bailey.
And and it's a wonderful wife.
And so we've got a new campaignhere to reeducate a, a new gen, new
generations of Americans about thevalue of the mutual banking franchise.
(20:46):
So thank you so much for being on here.
And for our listeners, you canfind this in previous episodes at
aba.com/banking journal podcast.
If you go to that website, we'llhave a link to the mutualbanksmatter.
com web page where you can findout more about the campaign.
And if you are a mutual bank, learnabout what you can do to, to join and
get access to some of the resourcesand educate your own your own
(21:07):
clients, communities, and employees.
So thanks for you.
Thank you both, both for joining us.
Gregg Tewksbury (21:12):
Thanks for having us.
Lori Dufficy (21:13):
Thank you for having us.
Evan Sparks (21:15):
And thanks to you for listening.
Thanks again to TransUnionfor sponsoring this episode.
We'll be back with you again very soon.
The Mutuals Matter content that's been created has been an
incredible supplement to help educateour employees about what a mutual bank
is, giving them tools to be able totalk about it more easily to customers.
Evan Sparks (00:23):
From the American Bankers Association, this is
the ABA Banking Journal podcast.
Welcome back.
I'm Evan Sparks.
Today's episode ispresented by TransUnion.
We're here today totalk about mutual banks.
And one of the challenges that manyof our mutual banks face today, and
that's helping people to understandwhat the very concept of mutuality is.
It's right there in the name.
It's one of the, presumably one of thebiggest selling points for a mutual bank.
(00:47):
And yet, A lot of the generalpublic doesn't really understand
what's going on with this.
So, we did I'm hearkening back to somesurvey research we did here at ABA.
We could, the ABA Banking Journalasked for, helped, field some survey
questions through Morning Consult.
And what we did was we asked, howfamiliar are you with mutual banks?
And this was back in 2019, 2020 timeframe.
(01:09):
So it's been, the, the data is a littleold, but it's, but I suspect it's
probably somewhere in the same area.
And we had about 5 percentsay they were very familiar.
18 percent say they were, they weresomewhat familiar with mutual banks
and then a 36 percent not too familiar,
41 percent not familiar at all.
So to, to add that up, we've got 23%,just less than a quarter of the country
(01:32):
is very, or somewhat familiar withwhat the concept of mutual banks is.
And as a result, we have about the sameproportion, a little under a quarter
saying they were, you know, somewhator very likely to bank with a mutual.
And a big chunk, nearly 60%, sayingthey didn't know they were unsure.
So we then asked some questions.
(01:53):
What, knowing more about whatmakes mutuals different, how
do you view mutual banks?
And the answer, you know, giving afew, giving some details about what
the structure of a mutual is likeand what makes a mutual unique.
And we saw those numbers go up from,you know, 23% to 52 percent of people
(02:14):
feeling like they would be morelikely to bank with a mutual once
they learned a little bit about it.
So there's, so there's clearly somebig opportunity for mutual or for
America's mutual community banks inhelping to get the word out about that.
And to talk about that today,I'm delighted to bring on two
friends from the banking industry.
We have Gregg Tewksbury, who ispresident and CEO of New Hampshire
(02:36):
Mutual Bank Corp up in New Hampshire.
We have Lori Dufficy of ChelseaGroton Bank in Connecticut.
And so we're delighted to welcomeboth of you to to discuss what's
some, an exciting new initiativein the mutual banking world.
Thanks for being here.
Lori Dufficy (02:52):
Thank you for having us, Evan.
Evan Sparks (02:54):
All right.
So I'd love it, just for the benefitof our listeners, before we dive in to
learn a little bit more about brandingmutuality, Gregg, if you could, Gregg
and Laurie, if you could just introduceyourselves and your banks a little
bit Laurie, I'll start with you.
Lori Dufficy (03:07):
Sure, I am the Chief Experience Engagement
Officer at Chelsea Groton Bank.
We are a 170 year young mutual bankbased out of Southeastern Connecticut.
And my role encompasses marketingfacilities, purchasing, wealth
management, cash management, retailbanking, and learning and development.
(03:30):
So we're a smaller institution.
We're about 1.
7 billion in assets.
So many of us here at thebank, we're a lot of hats.
Gregg Tewksbury (03:41):
Great.
Evan I'm Gregg Tewksbury withNew Hampshire mutual bank,
or we're headquartered inthe center of New Hampshire.
We have three mutual banks under ourumbrella throughout our state, as
well as a chartered trust company.
We're about 3.
7 billion in assets and about abillion and a half of assets under
(04:01):
management with our trust operation.
Evan Sparks (04:04):
So we're, we're, we're in this environment where, as I talked about,
we have this kind of lack of customerawareness about what exactly a mutual is.
I think, and, you know, there,it It kind of sounds nice.
It's part of not just banking, bankingnot just banking, bank names, but
insurance companies and other companiesthat have used this in their name
to identify the kind of businessthat they are or perhaps used to be.
(04:26):
And, and, but what what, what in yourexperience sets mutual, sets mutual
banks apart as institutions, as tightas a type of bank and, and what do you,
what have your customers understoodthe value of banking with mutual to be?
Gregg Tewksbury (04:44):
I'm happy to take a shot at that, Lori.
And in our neck of the woods, mutualbanks, it's really the horizon, the
time horizon for decision making.
In that we think about things in suchlong term perspectives as our governance
and ownership structure is such that wethink about perpetuity and and keeping our
(05:07):
banks for the benefit of the communitiesand customers we serve for ever.
And as such.
Decisions that we make take on such along long term horizon that differentiates
us from banks that oftentimes arepressured for shorter decision making
based on ownership needs and interests.
Lori Dufficy (05:31):
Yeah, and I'll just fill in there a little bit.
When we make our decisions here atChelsea we, we really think about
who's in the room with us, who it'sgoing to impact, and it's really that
three legged stool, our customer,Our team and our community members.
There is no shareholder membersin that decision making.
So we're not influenceddifferently because of having
(05:53):
also to provide shareholder value.
And I think that makes our model verydifferent because everything we do is very
impactful for those three stakeholders.
Stakeholders, those groups.
Evan Sparks (06:06):
Yeah.
You know, we, so I talked a little bitabout the lack of consumer awareness.
What, what have, what did you, whatdid y'all decide, do to kind of help
identify We go to help say, Hey, we peopledon't fully understand what this is.
This is unique to this is uniquewithin the banking system.
How can we how can we helppeople better understand it?
What was your, what wasyour reaction to that?
Lori Dufficy (06:29):
We've all known right along, you know, there's a reason why we're
doing this is because of the lack ofawareness about what mutual banks are and
whether it's with our existing customers.
Potential employees, community members,even our regulators and trying to explain
to them, but no, we're a mutual bank.
And then going down the path of explainingwhat a mutual bank is and why we exist.
(06:54):
There's so, there's aha moments.
People are like, Oh my gosh, Ihad no idea I would have made it a
different decision or I would have,you know, contacted you sooner.
We have customers that will say,and that's why I bank with you.
So I think we've all been fightingreally this, um, identity crisis or
(07:17):
opportunity where we all need to be onthe same page and speaking about the
same value to our community membersbecause we feel it's a big difference.
And when you experience it,people experience that difference.
You just can't say it.
You have to experience it.
Gregg Tewksbury (07:37):
Yeah,
to add on to that when we gettogether as mutual bankers, we can
finish each other's sentences interms of what we do and why we do it.
And that passion that, that we have toreally take care of our stakeholders,
as Lori noted, Our communities and ourcustomers that we serve is why we come to
(08:01):
work every day, not, not just because ofthe people we are, that's in our charters.
That's what our corporators, those inour governance models expect us to do.
And when we share that with customers orpotential customers, yeah, there is this
aha moment that says, I didn't know that.
And, and explains a little bit in termsof the type of service or experience
(08:24):
I've had, or now that I know thatmaybe that will prompt me from thinking
about a different banking relationshipwhen the time comes to, to change.
So we're very aware that there's alack of understanding out there because
when we're, when we talk about iton a grassroots efforts, one on one.
(08:45):
It's amazing time and time again,people that you think would know the
difference between different bankingstructures are, are surprised to learn
about the uniqueness of the mutual banks.
So, what we've all done, I believe, youknow, over our hundred plus years of,
of history individual banks have goneand, and tried to market this thing.
(09:09):
Differentiation of what a mutual bank is.
And we fail.
The numbers that you just sharedwith you with the survey by American
bankers and mutual consult proved thatwe have been ineffective in educating
the communities on a bank by bankbasis about what mutual banks are.
(09:31):
So what we decided to do is perhapscome together as a subset of the banking
industry and have the mutuals cometogether full resources and see if
there's an opportunity to educate thecommunities about mutuality and mutual
banking versus, you know, one of ourbanks or Lori's banks in particular.
Lori Dufficy (09:54):
Yeah.
And what we have found have beenin even in our community, we
have, I think, nine or ten mutualbanks in the state of Connecticut.
We don't really compete with each otherbecause when you look at one mutual
versus the other and their mission andtheir vision and their goals for their
community is where we're so similar.
If someone is walking to a branchdoor and they say, "gee, I'm
(10:17):
leaving this mutual bank for yourmutual bank or this bank for yours.
And we know we're both mutual."
We know that somethingis behind that decision.
And it is most likely that the, theirother bank may have said no to them,
or maybe they were mishandling theiraccounts, you know, not managing
(10:39):
them in a satisfactory manner.
Very seldom do we see that happen.
Because we, we compete on value.
We don't really compete on rates.
Our rates are very similar.
Our products and servicesare very similar.
Our delivery mechanisms are similar.
We all have the brick and mortarbranches still in our communities.
We're not pulling out of our communities.
(11:00):
So we kind of chuckle, you know,internally and say, " if they're leaving
that mutual bank for another mutualbank, something else is going on in
their, in their banking world, right?"
Evan Sparks (11:10):
yeah.
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(11:30):
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So you've got this thisopportunity to, to educate people
collectively as a mutual sector.
And and that brings us to theMutuals Matter campaign, which we've
talked about in ABA daily Newsbytes.
(11:51):
So our listeners hopefully arefamiliar with it and and, and the
campaign they all have developed.
Can you walk me through whatwent into this campaign and
what are the key messages you'retrying to get across through it?
Lori Dufficy (12:03):
I'll let Gregg take the lead on that.
Gregg Tewksbury (12:05):
Sure.
We brought together four foundingbanks to pull some resources, hired
an ad agency to do some research aboutwhat a target audience would look
like for a message from mutual banks.
And, and through that research targeteda younger generation, which is very
different than what a lot of mutualbanks typically would advertise to.
(12:30):
And.
Looked at the creative, worked with thead agency to come up with the creative
and invested in a lot of collateralthat presents a message about what
mutual banks are and who we are.
And it really comes down to ownership.
And, and as mission based organizationsthat exist, you know, for, you know,
(12:55):
they're the customers that theyserve and only for the customers
and communities where they live.
And that message.
That was created resonates well withaudiences and we've tested that.
So what we've done is we've taken thesepieces of collateral, put them on an
online website and, and have been.
(13:17):
Through whether it's ABA Newsbytes orother mechanisms invited other banks
to come in and take a look at is this,are these messages something that
they feel like they would want to jointogether as an industry, a mutual banking
industry, and, and, and get to thecommunity as an educational campaign.
And so far we're off and running,and we've got some really good
(13:38):
interest in, in banks comingtogether to have a common message.
You know, we, we, we're calling it alittle bit of our, our Got Milk moment.
If you remember the dairy farmerscoming together instead of advertising
their, their own brand, they wereadvertising milk, you know, as
a competitive alternative to thesoft drink industry at the time.
(13:59):
And that's what we have.
We've got a differentway of thinking about.
The ownership of banking and feelthat if the communities understood
what our ownership structure is, itmay be a differentiator for them in
choosing a bank that's mission basedand having them understand that through
this Mutuals Matter campaign, we thinkcould be a competitive advantage.
Evan Sparks (14:25):
Yeah.
Can you talk a little bit about someof the collateral that you've built
out to to help convey that message?
Lori Dufficy (14:33):
So you know, this is just the beginning of the campaign assets
as we have more mutual banks join us.
Obviously we'll be able to buildout more and continue this because
this is not a one and done activity.
This is something thatwill continue to build on.
So we, you know, we have digital ads,we have print ads, we have billboard,
(14:56):
we have radio we have some b roll andyou know, we're using those assets
and the participating mutual bankscan use them and co brand them, which
is something that we highly recommendthat they co brand these ads so that
people start to recognize the messaging.
And the Mutuals Matter logo inconjunction with our own financial
(15:19):
institution advertising and logos.
Some of our financial institutions, someof our members are already using the
campaign assets for recruiting purposes.
I think Gregg had sharedat the ABA conference.
That his financial institutionswere using it at college fairs.
Well, the rest of us in the roomquickly wrote that down and said,
(15:41):
Oh, my goodness, that is exactlyhow we should be using these.
So but I just want to add.
Not only are our members getting theseassets, they're getting the advice
from our marketing subcommittee on howto use these assets because we have
mutual banks around the country, Evan,as you know, that are very, very small.
(16:04):
They don't have marketing departments,you know, you might have someone
running their retail branchesand also doing their marketing.
And so what, you know, membersare getting more than the assets.
That's they're getting the advice andthe support and the best practices
that we're all doing along with them.
So there's a lot of value added here.
Evan Sparks (16:27):
So and then you talked Lori about the importance of using
this as a recruiting tool to makesure, you know, potential employees,
you know, I think, how are you usingthis to help your current employees
better understand and convey to their,to their partners and clients and
stakeholders the value of mutuality.
Lori Dufficy (16:47):
So I've been on a little road show throughout the bank
talking to our retail branch employeesand then through our intranet you
know, really kind of discussing ourcampaign and why we're doing this.
We're also going to be doingan internal lunch and learn.
So people can sign sign in and they'llbe hearing from myself and Barb Curto.
(17:08):
Barb Curto was our marketingmanager and she volunteers.
We're all volunteers from Mutuals Matter,but she is on the marketing subcommittee.
And we're going to be talkingabout why we're doing this.
Why are we spending our resources and ourtime and the importance of doing this?
So we really are focusingkind of inside out.
Gregg Tewksbury (17:30):
Likewise at our banks, Evan, we have.
We have an intranet and we've got anentire section of our intranet denoted
devoted to mutuality and Mutuals Matter.
The content that's been created has beenan incredible supplement to help educate
our employees about what a mutual bankis, giving them tools to be able to
(17:54):
talk about it more easily to customers.
It's a complex Governance structure tobe able to synthesize it down to give
you talking points has been reallyimportant and Mutuals Matter is put a
really a spotlight on Who we are as anorganization and internally created such
(18:14):
buzz about the not only the company thatthey work for but the this sub industry
within financial institution markets Ijust met with a younger employee who's
been at the bank for about four yearsdid not come to our bank because it was
a mutual, didn't know what a mutual wasat the time, but has really been has
(18:39):
leaned into the aspect of mutuality.
Mutuals Matter came out.
He was just in my office and how can Iput a team together in our organization to
not only help educate all of our staff alittle bit more about what mutual banking
is, but how can we help our marketingdepartments elevate this message and get
(19:01):
Mutuals Matter out to the general public.
So it's created really a buzz withinour organization that I think is
going to be very helpful in bothunderstanding more about mutuality,
but also the aspect of marketing it.
Lori Dufficy (19:16):
And the campaign, you know, the messaging, Evan,
does it matter who you bank with?
Well, you know, that translatesto our internal team members.
Does it matter who you work for?
And it should matter.
You spend so much time at work, and ifyou really believe in the mission of
your organization, it should matter.
(19:36):
And so I think what we're doing is we'rewe're fostering, we're becoming less
transactional and more relationshipdriven as a, as a, an industry.
And I think that has a lot of legs.
I think people really do caremore today than they ever have.
About who their relationships are with.
Evan Sparks (19:58):
Well, this is, this is fantastic.
Where, you know, I will put a linkin the show, in the show notes on the
Banking Journal website, but for, forthose who are listening, where can they
go to learn more about Mutuals Matter?
Gregg Tewksbury (20:09):
We've got a website set up at mutualbanksmatter.
com.
Consumers and bankers can find moreabout what mutual matter is, but
more importantly learn more aboutwhat mutual banking is all about.
Evan Sparks (20:24):
Great.
Well Gregg and Lori, thank you so much.
You know, as we were here at theget coming into the holiday season
and which is always a reminderof the America's favorite mutual
community banker, George Bailey.
And and it's a wonderful wife.
And so we've got a new campaignhere to reeducate a, a new gen, new
generations of Americans about thevalue of the mutual banking franchise.
(20:46):
So thank you so much for being on here.
And for our listeners, you canfind this in previous episodes at
aba.com/banking journal podcast.
If you go to that website, we'llhave a link to the mutualbanksmatter.
com web page where you can findout more about the campaign.
And if you are a mutual bank, learnabout what you can do to, to join and
get access to some of the resourcesand educate your own your own
(21:07):
clients, communities, and employees.
So thanks for you.
Thank you both, both for joining us.
Gregg Tewksbury (21:12):
Thanks for having us.
Lori Dufficy (21:13):
Thank you for having us.
Evan Sparks (21:15):
And thanks to you for listening.
Thanks again to TransUnionfor sponsoring this episode.
We'll be back with you again very soon.
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