Achieving 50% Digital Adoption in One Week with Innovative Digital Banking Solutions

Keeping up with the fast-paced world of digital banking is no small feat, but Raiz Federal Credit Union (Raiz) has done it with flair. Once known as El Paso Area Teachers Federal Credit Union, Raiz has completely revamped its core and digital banking solutions.

With roots dating back to 1936, Raiz Federal Credit Union recognized the necessity of rebranding and upgrading its technological infrastructure to better serve its 70,000 members. This strategic decision marked the beginning of an ambitious journey toward digital transformation, driven by a commitment to growth and excellence.

A Strategic 18-Month Digital Overhaul

Under the leadership of Amy Krasikov, Vice President of Digital Experience, Raiz Federal Credit Union undertook a bold initiative to revamp its digital infrastructure over 18 months. This transformation was pivotal in upgrading their core banking system and implementing best-in-class digital banking solutions, setting the stage for enhanced member experiences and operational efficiencies.

Core Conversion and Digital Banking Solutions Integration

The journey began with addressing the limitations of Raiz’s aging core system, a critical foundational layer in banking. Unable to support advanced digital functionalities, Raiz selected a new core provider after a rigorous year-long selection process. With the core conversion as the primary focus for the initial six months, Raiz ensured a solid foundation for subsequent digital enhancements.

In January 2022, Raiz turned its attention to digital banking, partnering closely with Alkami for their digital banking platform needs. This pivotal partnership facilitated seamless integration with over 22 additional vendors, ensuring compatibility and enhancing service quality across the board.

Achieving Rapid Adoption and User Satisfaction

The results were immediate and impactful. Within 24 hours of launch, Raiz achieved a 20% adoption rate among its members, showcasing the platform’s intuitive design and the effectiveness of their strategic implementation. By the end of the first week, adoption surged to over 50%, underscoring strong member engagement and satisfaction with the new digital banking experience.

Moreover, Raiz’s commitment to user-centric design was validated by exceptional ratings of 4.8 on iOS and 4.9 on the Google Play store. These ratings reflect the high level of satisfaction among users, highlighting Raiz’s success in delivering a seamless and user-friendly interface through their partnership with Alkami.

Account-centric to Member-centric 

Transitioning from an account-centric to a member-centric system was a part of Raiz’s overall digital strategy. Aggregating account data and ensuring seamless member experiences during the conversion were very important, and proactive problem-solving and a commitment to high service standards helped drive success through the conversion.

The aggregation of multiple account usernames into a single member-centric system was a significant enhancement with the technology. Raiz executed acomprehensive communication strategies, including early notifications and detailed instructions, to help members navigate the new system.

Additionally, managing the integration of over 22 vendors into the new digital banking platform required precise coordination. Ensuring all vendors were compatible and could work seamlessly together was essential for maintaining service quality and member satisfaction. This aspect of the project highlighted the importance of having a systematized project management framework and effective vendor relationships.

Future Focus: Enhancing Digital Banking Platform Capabilities

Raiz Federal Credit Union is committed to further enhancing its digital capabilities, focusing on improving digital account opening and loan application processes. By leveraging their reimagined core and digital banking platforms, Raiz aims to continue delivering innovative solutions that meet the evolving needs of their members.

Moreover, Raiz is exploring the integration of artificial intelligence (AI) in banking to provide more personalized banking experiences. This includes using AI to analyze transaction data, predict member needs, and offer tailored financial solutions. Such advancements are expected to further improve member engagement and satisfaction.

Lessons for Financial Institutions

Raiz’s transformation journey offers valuable lessons for other financial institutions embarking on similar digital transformation initiatives:

• Commit to a Clear Vision: Establish a clear vision and roadmap for transformation, ensuring all stakeholders are aligned and committed. This clarity of purpose is essential for guiding the process and achieving desired outcomes.
• Foster a Culture of Communication and Buy-In: Create a culture of transparency and involvement, ensuring employees at all levels understand and support the changes. Regular communication and empowerment are crucial for navigating transformation complexities and mitigating resistance to change.
• Leverage Strong Partnerships: Collaborate with reliable partners who can provide the expertise and support needed to navigate digital transformation complexities. Effective partnerships are essential for ensuring well-coordinated and executed transformations.
• Focus on Member Experience: Keep the member experience at the forefront of all decisions, ensuring technological changes translate into tangible benefits for users. A member-centric approach is crucial for driving adoption and satisfaction with new digital banking solutions.

Additionally, institutions should consider the importance of continuous improvement and flexibility. Digital technology is ever-evolving, and being adaptable to new platforms and changing member expectations is vital for sustained success.

Conclusion

Raiz Federal Credit Union’s transformation underscores the importance of strategic planning, collaborative execution, and a member-centric approach in driving successful digital banking initiatives. Their journey serves as an inspiring blueprint for other financial institutions aiming to elevate their digital game. By committing to a clear vision, fostering a culture of communication and buy-in, leveraging strong partnerships like with Alkami, and focusing on member experience, financial institutions can navigate digital transformation complexities and achieve remarkable results.

Check out Raiz Federal Credit Union’s FIsionaries episode here.