Many community banks service regional towns where the needs, cultural nuances and demographics differ from customers of other banks.

Developing community insights is a critical aspect of informing strategic planning and decision making. Leveraging community insights will allow you to create plans and products that resonate deeply with the local population. This connection will not only improve your profitability, but it will also serve your purpose of being a cornerstone of the local community.

Gathering insights.

Gathering insights from your community is a deliberate and planned activity.

Your objective is to generate actionable data that can inform your strategic planning, but also, it is ensure that your community feels heard. Methods of gathering insights fall into two categories:

• Personal
• Impersonal

Personal methods to gather insights include face to face activities such as:

• Focus groups.
• Community forums.
• Direct observation.

Impersonal methods to gather insights includes virtual or non-face to face interactions such as:

• Social media
• Surveys

It is important that you use a blend of methods to generate feedback; do not rely on primarily impersonal methods as you will likely miss the opportunity to gather additional insights.

Ethical engagement.

Ethical engagement when gathering community insights refers to a set of principles and practices that ensure the process of collecting information from individuals or communities is conducted in a manner that respects their rights, dignity, and values.

• Informed Consent: Participants should be fully informed about the purpose of the data collection, how their information will be used, and any potential impacts on them. Consent should be obtained freely, without coercion, and participants should have the option to withdraw at any time.
• Privacy and Confidentiality: Safeguarding the privacy of participants by treating their information confidentially and ensuring that personal identifiers are removed from published data or insights. This includes being transparent about data storage, handling practices, and who will have access to the data.
• Cultural Sensitivity: Recognising and respecting the cultural norms, values, and expectations of the community. This includes adapting data collection methods to be culturally appropriate and sensitive to the community's social dynamics.
• Benefit Sharing: Ensuring that the community benefits from the engagement, whether through direct outcomes from the project, shared insights that can support community development, or other forms of value. The aim is to avoid exploitative practices and instead foster mutual benefit.
• Avoiding Harm: Carefully considering the potential impacts of data collection and engagement on individuals and the community to avoid causing harm. This includes psychological, social, economic, or physical harm.
• Transparency and Accountability: Being open about the goals, methods, and outcomes of the data collection process, and being accountable to the community for the actions taken based on the insights gathered.

Ethical engagement not only enhances the quality and reliability of the insights collected but also contributes to building and maintaining positive, trust-based relationships between your community bank and the community it serves.

Connecting the data to your strategic plan…

Connecting analysed data to your strategic plan involves translating insights gained from community engagement into actionable strategies that align with your organisation's goals. This process ensures that decisions are informed by real-world evidence, enhancing their relevance and effectiveness. Here's how to effectively integrate these insights into strategic planning:

• Identify Key Insights and Themes: Summarise the most significant findings, both qualitative and quantitative, with a focus on trends, patterns, preferences, needs, and challenges identified. Perform a quick gap analysis to highlight how these key insights diverge from your current strategic assumptions.
• Align Insights with Strategic Goals: Evaluate how the identified insights can inform your organization's strategic goals. This might involve adapting existing goals to better meet community needs, identifying new opportunities for growth or service, or pinpointing areas where your strategy may be misaligned with community expectations.
• Develop Actionable Strategies: Based on the alignment between community insights and strategic goals, develop specific, actionable strategies. This can include creating new initiatives, modifying current programs, or discontinuing efforts that do not meet community needs. Ensure that each strategy is designed to address specific insights or themes identified during the analysis phase.
• Set Metrics for Success: Define clear metrics and indicators that will be used to measure the success of the strategies implemented. These should be directly linked to the insights gathered from the community, enabling your organisation to monitor how well the strategic actions are meeting the identified needs or expectations.
• Review and Adapt Regularly: Establish a regular review process to reassess community insights, measure the impact of your strategies, and make necessary adjustments to your strategic plan. This iterative approach ensures your organisation remains responsive to changing community dynamics.

Ongoing Community Engagement

Sentiment and trends can change.

Ongoing community engagement is vital for a community bank as it ensures the bank remains closely aligned with the needs, aspirations, and challenges of the local population it serves. Through continuous dialogue and participation, the bank can adapt its financial products, services, and community support initiatives to directly address the evolving needs of its customers and the wider community. By actively participating in community development, the bank solidifies its reputation, encourages local economic growth, and enhances its competitive advantage in a market where personalised service and community involvement are highly valued.

I write about community banking weekly. My 📥DMs are open for engaging conversations and questions.