TAMPA, Fla.-CUs should be learning as much as they can about the Merchants Customer Exchange (MCX) and paying attention to whether their cards can be part of the new merchant digital wallet, recommend two payments experts.
Bill Lehman, VP of portfolio consulting at CSCU, Tampa, Fla., compared the new MCX digital wallet to any of the wallet offerings currently in the market. "The important thing to consider is to getting members to place the credit union's card at the top of any of the digital wallets they use."
Lehman said that CUs need to begin embracing the digital wallets available, "Because at some point your members will gravitate to one or two. They won't use three to five solutions. It makes no difference what the digital wallet is, you just want your card at the top instead of one from Citibank."
What CUs Should Do
Lehman said credit unions need to be more involved in educating members on what digital wallets are and their consumer advantages. "Those are efficiency, rewards, merchant offers, location services, all things that make the purchase much easier for the consumer."
Norm Patrick, director of strategic planning at PSCU, St. Petersburg, Fla., touched on what many have stated CUs need to do a good job of today, especially with younger members.
"The key is to remain relevant in members' minds, and that can be accomplished by coming across as being tech savvy. Credit unions need to stay on par with rest of financial services industry in terms of features and functionality of their card products. It means member education and marketing. And, if there is an opportunity to work with MCX as well as other wallet providers, then it's in the credit union's best interests to investigate that option."