With more than 54,000 members, over $600 million in assets, and 12 branches in the Austin, Texas area, United Heritage Credit Union is one of the largest regional credit unions in Central Texas. Facing intense competitive pressure from banks and large credit unions, United Heritage turned to the Cartis Group for “a strategic and tactical marketing plan” that would be based on both “primary and secondary research.”

“Its brand was disjointed and lacked credibility,” the agency says about the credit union’s image prior to the rebranding.

“Using our BrandSmart process, we enhanced and solidified United Heritage’s brand, including its positioning, messaging, marketing materials, website and identity system,” the agency says.

Cartis says United Heritage also made several operational changes as a result of the firm’s research.

The tagline “Be Smart. Bank Smart.” is part a deliberate effort to position United Heritage as a “banking center” that can compete with other major Central Texas financial institutions.

The Cartis Group’s work for United Heritage has been recognized by CUNA, AIGA, the ADDYs and NCUA.

WELCOME KIT

UNITED HERITAGE WEBSITE
Ads in the sidebar rotate as you navigate through the website. Ads are contextually relevant, so if you’re in the “Loans” section, you might be seeing ads for United Heritage’s “Skip-a-Pay” option, or their “Debt Consolidation” loans.

BRANCHES
The credit union’s BRANCH DESIGN includes some distinctive architectural statements, such as the tower. They are nice, attractive spaces, but a little light on the branding and MERCHANDISING. Architect: Clark Mente Architects.

UNITED HERITAGE CENTER
The credit union has secured the naming rights for “The United Heritage Center at the Dell Diamond.” It’s a large, multi-purpose space for meetings, conferences, banquets, weddings and parties. It holds 320 people for dinner, or 500 in theater seating. It is located along the first-base line at The Dell Diamond, home of the local Double A baseball team.

Last week, The Financial Brand reported that Arp State Bank in East Texas was changing its name to American State Bank. The article noted a number of other financial institutions who already use American State Bank as their name, including ones in Iowa, South Dakota and North Dakota.

But there’s already one in Texas too.

Someone from an American State Bank in Texas sent The Financial Brand an email correcting a hotlink in the article that had been mistakenly pointing to them.

Further research has revealed that, indeed, there are two banks planning to operate in the state of Texas under the name American State Bank.

The newcomer (formerly Arp State Bank) has three locations, all in East Texas. They were founded in 1911 and now have $100 million in assets.

The incumbent is a 60-year-old financial institution based out of Lubbock, Texas and has 35 Texas locations.

Reality Check: This is a big problem. It looks like about as clear a case of trademark infringement as there probably ever could be.

When The Financial Brand asked the incumbent American State Bank in Texas how they felt about the situation and what options they were considering, the answer was “no comment.”

Yikes.

Dave Deits, one of the nation’s foremost experts on financial trademark and legal naming issues, says this situation serves as a reminder to do your due diligence. “The process of adopting a new name or trademark — even merely expanding under an existing name or trademark — can have significant and long term consequences. It’s very important to analyze the legal rights of others, whether a federal registration might be useful and available, and how these things impact short- and long range plans.”

This isn’t the first time this year Texas banks have treaded on each other’s trademark turf. Back in August, The Financial Brand reported about a second Texas bank picking the name Vista. And while we’re on the subject of Texas imitators, don’t forget about this story.

SharePlus Bank in Plano, Texas just celebrated its 50th anniversary with a $50,000 promotion that netted 500 new customers and generated over $5 million in new deposits.

Note: The grand prize cost the bank an average of $100 per new customer.

The 1950s-themed promotion which ran during August, included a promotional direct mail piece with a unique prize code. Recipients were invited to play for the $50,000 prize at a special website, shareplus50thanniversary.com.

Both the website and the grand prize giveaway were hosted by SCA, a third-party promotional management company. One of the firm’s specialties is a turn-key “prize code” promotion that can be easily “re-skinned” with your brand.

SharePlus invited the community to visit their local branch and register for FREE gas cards and vacation packages.

The promotional campaign included direct mail, web ads, newspaper print ads, and in-branch activities. A decorating contest had team members outfitting their branches in a 1950s theme.

Fight looms, confusion inevitable as
two Texas banks now share ‘Vista’ name

“We changed our name to soar above the crowd…to set ourselves apart.”
– Security State Bank

A new website for Security State Bank & Trust says the bank changed names to “soar above the crowd” and to “set ourselves apart.” But there’s a problem. The name they picked, Vista Bank of Texas, is almost identical to another bank in the same state, Vista Bank Texas.

Key Question: Who was first?

It’s hard to say.

Vista #1: Vista Bank Texas
Service Area: 6 branches around Houston
Claim to Name: It doesn’t look like this bank had been using the Vista name for very long. They launched their current website in December 2007.

Vista #2: Vista Bank of Texas
Service Area: 8 branches around the Texas panhandle
Claim to Name: In their trademark application on file with the US Patent & Trademark Office, they say the first time they used the name was June 2008. (Click here to view the USPTO trademark entry.)

Bottom Line: This may be a case of unfortunate timing and a terrible coincidence, but these banks are in for big trouble. It doesn’t matter that they are 500 miles apart. In today’s wired world, people are going to get confused.

Prediction: Financial trademark lawsuit in 3…2…1…

And it all may boil down to a difference of just six months and the simple preposition “of.” Maybe one of them should have put “First” in their name so we’d know which was the First Vista Bank of Texas. Joking. Just joking…

A creative solution to the problem would be for the two Vista Banks in Texas to merge, or create some sort of shared branching concept. Maybe you’ve heard the old adage, “The quickest way to eliminate my enemy is to call him my friend?” Don’t hold your breath though. This isn’t very likely.

A credit union in California holds the trademark for the word “Vista” in the USPTO’s financial services category, but a merger in 2007 between Vista FCU and Partners Credit Union name may make the trademark moot (click here to view the USPTO trademark entry.) Because the merged credit unions kept the “Partners” name, it’s unlikely either of them will step-up to defend this trademark.

More on the “Vista” name:

• It appears that Security State Bank & Trust bought their new URL, www.vistabank.com, for around $2,000 from a cybersquatter. The domain had been put up for sale after another Vista Bank gave it up a few years ago.
• Ironically, Security State Bank & Trust was also a name that was shared by at least two banks — the one that just became Vista Bank of Texas and another one in Montana.
• There is another Vista Bank in South Carolina.
• Earlier this year, The Financial Brand wrote about a two-year old bank in California changing names to Sierra Vista.

“Frost Bank understands the value of focusing advertising communications on the brand.”
– Pam Thomas, CMO
Frost Bank

“Frost Bank understands the value of focusing advertising communications on the brand.”

That’s how Pam Thomas, Chief Marketing Officer at Frost Bank, put it in an interview with The Financial Brand about the bank’s latest brand campaign.

The campaign, launched back in April this year, consists of magazine and newspaper ads, online advertising, outdoor and direct mail.

“It is imperative for Frost to stay at a high level and communicate relevant brand messages in a visually compelling way to current and potential customers,” Thomas added.

“The competitive environment in the financial category in Texas is cluttered,” Thomas explained. “We have to be different to stand out.”

Most financial institutions aren’t comfortable using marketing dollars for ads that don’t push a product or contain a rate, which may suggest a separate budget is needed specifically for brand-building initiatives.

Bottom Line: It takes courage to run brand ads.

Frost has been running brand ads for over 10 years, focusing a majority of the bank’s media budget on branding. This strategy, Thomas says, shows the bank is “acting in our customers’ best interests, not pushing products.”

Key Question: When was the last time your organization ran a pure brand ad (i.e., an ad without a rate or product offer)?

The primary purpose of the new campaign is to increase awareness of Frost’s full range of services, including banking, investments and insurance. Frost has even made an interesting choice to opt for a utilitarian tagline in lieu of a more traditional rallying cry (e.g., “Where service comes 1st!”).

By putting “banking, investments and insurance” everywhere the Frost logo goes, the bank ensures its product awareness message is getting out there.

Frost’s previous campaign, which ran for three years, is particularly stunning and distinct, especially for the financial industry:

The look of new campaign may be visually different, but there is a similar vibe shared with the old campaign. This undercurrent of consistency is good branding. Frost knows what it wants to say and maintains a consistent “brand voice,” even from one campaign to the other – a voice that is bold, proud, confident and distinctively Texan.

The timing of Frost’s latest campaign makes it stand out even more. In these dark financial times where budgets and staff are being slashed, who else is out there with brand ads (megabanks not withstanding)?

“We have a great story to tell right now in this time of economic anxiety,” Thomas explained.

Tip of the Hat: To both Frost Bank and their agency, McGarrah-Jessee, for their help and cooperation with the writing of this article.

Further Reading: Frost Bank Momentum Account Combines Reward Checking and Personal Financial Management

“In the financial industry,
if you don’t grow, you go.”
– Tim Haegelin, CEO

San Antonio City Employees FCU had a name change in the works since 2006, but, in the words of Tim Haegelin, President/CEO, it became “an inevitability” following a community charter.

“It’s a matter of survival. We believe we’ve had such a very, very strong tradition and a strong legacy. We don’t want to merge, and we don’t want to go,” said Haegelin.

On its website, the credit union said the new name reflects “multiple generations of credit union members moving toward a sound financial future.”

About the new logo, Haegelin said, “Capital letters are very formal.” The credit union also had this to say about its new logo:

“The green and orange waves symbolize movement from one generation to the next, as traditions are passed on. Unique to other institutions in San Antonio, the green and orange make us stand out and say we’re not like the other banks in town. We’re here for you. The bright, fresh colors are native to the San Antonio landscape, showing our pride in being a part of this community.”

It took about a week for crews to change signs on the credit union’s six branches and 26 ATMs.

According to an article in The CU Times, the credit union’s new slogan will be “What’s next.”

The credit union becomes at least the fifth Generation credit union in the United States. The other four include:

• Generations Credit Union (also typeset with a lowercase ‘g’)
  
• Generations Credit Union
• Generations Community Credit Union
• Generations Family FCU