Credit Unions continue to amaze me with their innovation, from Filene in this case. (hat tip Doug)

To grow membership through personal guerilla marketing, you can find details of this innovative grass-roots channel to membership growth and relationship development – including further explanation of the multi-level marketing option as well as sample surveys, tracking program demos, and an Advocate job description – in the i3 section of this Web site or by calling Filene Research Institute at ,,,,

Source: MoneyWorks Executive Summary : Filene Research Institute

Whether it works or not remains to be seen, but they are willing to try many models and based on customer advocacy.

Styled after home-party sales models, MoneyWorks opens an alternative, low-cost member-driven marketing and delivery channel in which an Advocate delivers the credit union message directly to consumers. The MoneyWorks Advocate acts as a conduit to deliver credit union information in person to consumers and deliver completed membership, loan and other applications to the credit union.

The structure is flexible, and I would see money brokers, such as Financial Planners loving this.  They could have weekly set ups in their office, for example.

MoneyWorks is a customizable program that allows each credit union to utilize existing recruitment, training, and compensation programs. Thus, each credit union determines if Advocates receive a salary and benefits, or if they are solely compensated for products sold. Advocates could be credit union employees who could have full or no benefits and/or a base compensation or they could be independent contractors who work on 100 percent commission without benefits. However structured, Advocates would be paid depending, to some degree, upon the depth of relationship or value of product or service they bring from each event. For example, payout for bringing a new first mortgage to the credit union would be higher than bringing an overdraft line of credit. In the i3 model, for example, payout ranged from $25 for bringing a minimum relationship package of products and services up to $150 for bringing a full relationship package.

Relevance to Bankwatch:

Much of the real innovation today is coming from the Credit Union movement generally.  Banks take note.