Printed from: Discover Debit
  http://www.discoverdebit.com/

Print Page
Print

Cadence Bank city scape
Cadence Bank Doubles Down
on Signature Debit Card Brand

Learn how Cadence grew their non-interest income by partnering with Discover Debit

Overview 

When Discover® Debit was introduced, it offered a fresh alternative to legacy debit programs, by offering support from a dedicated team of debit experts with potential for greater  profitability, flexibility, transparent pricing and uncomplicated billing. Ultimately, it would be financial institutions that would decide if these bold claims were worth the time and attention needed  to make the change  to a new signature debit card brand.  It has been four years since Cadence Bank made the switch to Discover Debit.

Cadence  supported  two signature debit card brands  as a result of multiple mergers and acquisitions. During their time as a Discover Debit issuer, the bank has seen an increase in its non-interest income, greater debit card usage, reduced  costs and fees, and improved operational and marketing support.

In fact, the results were so convincing that Cadence  Bank agreed to extend its affiliation with Discover Debit before its contract even came up for renewal.

 

Employee using a Discover Debit card on a mobile payment device.

About Cadence Bank

A regional bank with 65 locations in Alabama, Florida, Mississippi, Tennessee and Texas, Cadence  Bank has more than $9.7 billion in assets and exceeded  financial expectations with the recent IPO of its holding company,  Cadence Bancorporation (NYSE: CADE), in April 2017. While services and products span the full range of innovative banking and financial solutions, at the core is commercial and business banking, consumer banking, consumer loans, mortgages, home equity lines and loans, and debit and credit cards. Cadence  Bank’s customers have access to leading-edge online and mobile solutions, interactive teller machines and 55,000 surcharge-free ATMs.

Cadence’s focus on their cardholders aligned well with Discover’s commitment to providing dedicated support to Cadence,  from their technical implementation stage to their employee and cardholder communication support provided before, during and after Discover Debit cards were issued.



No More Same-Old, Same-Old

A regional bank with 65 locations in Alabama, Florida, Mississippi, Tennessee and Texas, Cadence  Bank has more than $9.7 billion in assets and exceeded  financial expectations with the recent IPO of its holding company,  Cadence Bancorporation (NYSE: CADE), in April 2017. While services and products span the full range of innovative banking and financial solutions, at the core is commercial and business banking, consumer banking, consumer loans, mortgages, home equity lines and loans, and debit and credit cards. Cadence  Bank’s customers have access to leading-edge online and mobile solutions, interactive teller machines and 55,000 surcharge-free ATMs.

Cadence’s focus on their cardholders aligned well with Discover’s commitment to providing dedicated support to Cadence,  from their technical implementation stage to their employee and cardholder communication support provided before, during and after Discover Debit cards were issued.

Tailored to Cadence

Discover Debit can provide the issuing institutionthe ability to feature its brand  front and center on their debit card.  It was this feature that had an immediate positive impact.

"We’re very proud of the way our card looks,”said Lee. "Discover was extremely flexible in how we were able to feature our brand on the front of the card,  placing the Discover acceptance mark on the back.”

Cadence  Bank also took advantage of the Buzz Points loyalty rewards  program  offered by Discover to incentivize cardholders to use their debit cards in local communities. This added value for local small businesses and merchants in the areas  served by Cadence  Bank, creating a community of advocates  and expanding acceptance. It also improved Cadence’s debit interchange  and encouraged local cardholder spend.


Collaborative Approach

While Lee was anticipating Discover Debit’s positive impact on Cadence Bank’s revenue and profitability, it was the level of engagement, care and support he received from the Discover/ PULSE team that surprised him the most.

"The support and intellectual capital we get from the Discover/PULSE team is first-rate,” said Lee. "We are a small operation, so we get great value from the resources, industry information and access to experts when we need them.”

Lee describes the partnership as collaborative, citing the Discover/PULSE team as an extension of the Cadence Bank team.

"If we have a unique operating or processing challenge, we get somebody from PULSE to participate in the conversations to help us understand the potential issues and operating problems,” Lee said. "It’s a very detailed, technical, complex business and we rely on PULSE/Discover experts to help us understand and keep on top of the kinds of issues that come up every day.”


Employee using a Discover Debit card on a mobile payment device.


The Elephant in the Room

Prior to launching the Cadence Bank DebitCard,  Lee wanted to gain personal insight into the customer experience  his cardholders would have. He and others from Cadence  Bank toured a Discover call center where they gained insights into how Discover assesses customer inquiries. He also applied for and received a Discover credit card to assess Discovers standards for customer touchpoints.

 

Results

Cadence  Bank found the simplicity and transparency in Discover’s billing lent itself to an easier and less complicated reconciliation process. One illustration of this less complicated and transparent billing change was reducing the bank’s legacy debit card invoice from 20 pages  or more to typically two to three pages each month with Discover Debit.

The simplicity of the shorter, easier to understand bill has been a win for Cadence. Even more validating about the move to Discover Debit has been the increase in its average monthly debit card spend during the same time period the bank had decided to reduce their branch footprint to focus on more profitable accounts.

Average monthly spend per card has increased12.5%. Lee attributes this improvement in part to the popularity of Buzz Points.

"With Buzz Points and some other amenities, the Cadence Bank Debit Card has a better value proposition than a lot of cards available to financial institutions,” said Lee. "Every time

I look at the numbers, I am surprised at how much more engaged an active Buzz Points user is with their debit card.  They spend more money with their card and,  as a result, they generate more money for us.”

 

Here For You Now, Here For You Always

From the beginning,  Discover’s Digital Acceptance Marketing Team isleading targeted outreach campaigns and engagement programs, and is making steady progress in growing merchant acceptance in every market. In fact, since launching the Cadence Bank Debit Card, nationwide merchant acceptance has grown significantly, reaching  over 10 million locations.

"When we have a merchant acceptance issue, the Discover Acceptance Team gets on it quickly,” said Lee. "Once you drill down, you find that most of the remaining acceptance issues are actually merchant issues related to how various processors and acquirers  handle a Discover Debit transaction.  Most are pretty easily solved.”

Lee’s advice for issuers considering a switch to Discover Debit?

"If you do your work, you’ll be happy you switched.”


Get Issuing!

 

In today's world, you have more options.  Choose the partner that puts you first.  Discover Debit empowers you with greater profitability, simplicity, security and dedicated support so you can deliver on your promise to your cardholders.  After all, they expect the best from you.  Why shouldn't you expect the same? 


Get Issuing


All Content Rights Reserved , Discover Debit
Captavi - SaaS CMS Platform ©