Have you ever noticed how people tend to follow the crowd—whether it’s lining up for the trendiest coffee shop or jumping on the latest tech gadget? That same “everyone else is doing it” mindset can wield surprising power when it comes to building savings. For credit union leaders, leveraging this collective drive isn’t just a clever strategy, it can change how members save and, ultimately, how your institution thrives.
Why social norms matter
Social norms act like hidden currents. Even though we don’t always see them, they can shape our behavior in profound ways. In behavioral economics, there are two important types:
- Descriptive norms: What people actually do
- Injunctive norms: What people believe they should do
When it comes to saving, both can pack a real punch. If members see that their peers regularly set aside part of each paycheck, they’re more inclined to do the same. It’s that classic thought: “If everyone else is doing it, maybe I should, too.”
Communicating these norms effectively is the key. A statement like, “Most of our members save at least 5% of their paycheck,” can reframe saving as the default habit. That subtle shift can make a big difference in how members perceive their own financial choices.
A quick example: Peer influence
Imagine running a credit union campaign that highlights, “80% of our members save at least 5% of their income each month.” Right away, saving stops feeling like a lofty goal and starts looking like common practice. Once members see that so many of their peers have adopted regular saving, it becomes easier for them to follow suit.
To build on that momentum, you might introduce a “Savers Club” that honors groups who contribute consistently. This recognition—maybe through a newsletter update—reinforces the idea that saving is truly a team effort. And when people see their friends, coworkers, and neighbors participating, it encourages more folks to climb aboard.
Real-world examples
- Prize-linked savings programs: Research from organizations like the Filene Research Institute shows that prize-linked savings can spark powerful engagement. For instance, a credit union could offer raffle entries each time groups of members deposit into a special savings product. Whenever winners are announced—say in a branch email or on social media—others notice that consistent saving can be both popular and rewarding. This blend of excitement and social proof can turn saving into a shared, upbeat experience.
- Peer mentoring programs: Some credit unions arrange group mentoring efforts, where members with more savings experience coach those who are just starting out. Instead of spotlighting a single standout saver, the program highlights collective achievements. Small teams learn from each other, reinforcing the notion that saving is doable for everyone.
- Goal-based public commitments: Drawing on ideas from platforms like stickK, a few credit unions encourage members to post savings goals in a communal space (either online or at the branch). As this space fills with collective aims—like “We plan to save $50 each paycheck” or “We’re building a shared emergency fund”—it becomes clear that many people in the community are on the same track.
Four ways to use social norms in your credit union
- Highlight positive behavior: Send out short updates about your members’ overall savings patterns. For example, an email might say, “Our members saved an average of $300 last quarter.” Emphasizing the group’s achievements helps make saving feel like a normal part of membership.
- Foster a savings community: Create challenges where teams of members set shared goals and check in on each other’s progress—perhaps through social media or an online forum. This group dynamic often keeps people more engaged and accountable, since nobody wants to miss out on the collective success.
- Tell collective success stories: Rather than focusing on one standout saver, feature the results of a group effort—such as employees who collaborated to pay off debt or a circle of friends who came together to build an emergency fund. This broader approach shows that saving isn’t just for a select few, but for everyone.
- Use digital platforms for group-based social proof: Introduce a leaderboard or milestone tracker that showcases how many members meet monthly targets. A quick update like, “Congratulations to the 20 members who hit their goal this month!” can inspire everyone else to join in.
Wrapping up: Social norms as a savings booster
Social norms aren’t just about blending in. They’re about building a supportive, collaborative environment where healthy financial habits come naturally. For credit unions, that’s a major opportunity. By spotlighting group achievements and teamwork—through shared goals, leaderboard shout-outs, and public celebrations—you can transform saving from a solitary chore into a communal effort.
It’s not only about boosting the amount members save. When people feel their credit union genuinely supports them and fosters a shared commitment, they tend to be more loyal and engaged. That sense of belonging can also encourage a deeper dedication to saving, because it’s seen as something everyone in the group values.
Ultimately, social norms can spark a true savings community. By weaving these ideas into everyday interactions—group challenges, emails, branch displays—you can help create a culture that benefits both your members and your credit union. In a world that can feel disconnected, a focus on social norms draws people together around a common goal: a brighter and more secure financial future for all.
