Brief Summary of Episode #275
For decades, community financial brands have been the champions of public trust in banking.
People tend to trust local lenders over their big faceless counterparts, but as Gabe Krajicek, CEO of Kasasa, pointed out, that isn’t cutting it in the digital age.
“About two-thirds of people say community banks and credit unions are the good guys,” Gabe said. “Then why do we see market share loss across the board?”
It’s because community banks and credit unions have a perception problem.
While fintechs have fully embraced technology, most community FIs have dragged their feet, and their customers have taken notice.
“Consumers have an overwhelming perception that the quality of the product of a community bank or credit union is going to be bad, that it’s going to lag the market,” Gabe said.
Yet, community financial brands can overcome this outdated image if they retain the human experience in digital transformation.
“Where we can win is in the human connection,” Gabe argued. “We can win in making people feel like we actually care about them.”
By committing to helping common people in their communities with their common problems, community FIs can move forward with confidence.
Key Insights and Takeaways
- How community institutions are mistaking understanding for feeling (5:19)
- Alternative routes for community brand and fintech collaborations (13:01)
- Why AI will never replace the human connection (26:02)
Notable Quotables to Share
How to Connect With Gabe Krajicek
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