Before diving into my first column for The Community Banker, I cannot thank you enough for the warm reception I have received since coming aboard as VACB’s new president & CEO. From bank visits alongside Steve, to attending several industry gatherings including VACB’s 47th Annual Convention, it has been a genuine pleasure to begin meeting the folks that make community banking in Virginia exceptional. I am honored to serve this wonderful industry and look forward to meeting many more of you in the coming weeks and months.
At previous stops, I hadn’t often had the opportunity to participate in general sessions at the annual conferences that those organizations have hosted. To do so at October’s convention was a real treat. Sam Richter’s session on generative AI was a real eye-opener if, for no other reason, I could only dream of having abdominal muscles like those Sam created in the fictional AI space. Can artificial intelligence help community banks become more efficient? Maybe. But the images that he shared of an AI-generated Corey were truly haunting. User beware, to be sure!
While all the speakers were terrific (all credit due to Katharine Garner and the Convention Planning Committee for the compelling content), there was a moment during Jack Kasel’s talk that captured my attention. During his presentation “How Your Bank Can Drive More Profitable Relationships,” Mr. Kasel asked the audience if they were familiar with Simon Sinek and his writings on inspirational leadership. While I enthusiastically raised my hand in the back of the room, I was surprised that few others had joined me in doing so.
Though Jack moved through the concept quickly in passing, the reference struck me as an important ingredient in the “secret sauce” that differentiates community banks from other financial service providers.
The background: In 2009, at a regional TED Talk in Puget Sound, Washington, Mr. Sinek presented “Start With Why: How Great Leaders Inspire Action.” He later published a book by the same title that went on to sell over a million copies. If you are anything like me and 12+ million other people, the 18-minute TED Talk version that you can find on YouTube suffices to get the gist of his concept.
Sinek began his talk by asking three questions that seem broadly relevant, but at this nascent stage of my VACB tenure, perhaps more so to Virginia’s community banks:
- Why are some people and organizations more innovative, more influential and more profitable than others?
- Why do some command greater loyalty from customers and employees alike?
- Even among the successful, why are so few able to repeat their success over and over?
Citing the successful examples of Apple Inc., Martin Luther King Jr. and the Wright brothers, Sinek explores how each connected with their respective audiences and found a common thread. On a plain white surface, he proceeded to draw three concentric circles and, from inside to out, wrote the words “why,” “how” and “what.”
Sinek hypothesized that this “golden circle” is why some organizations and leaders inspire where others cannot. By reversing the order in which they communicated the value of what they had to offer, starting with why, innovators tap into the part of the consumer’s brain that controls gut instinct — in common day parlance, catching people “in their feels.” Boiling it all down, Sinek repeated his central thesis throughout the remainder of his talk:
“People don’t buy what you do. They buy why you do it.”
In recent years, the number of detractors claiming that banking is a commodity has grown. Citing market research, we are to understand that consumers view all financial services providers in one big bucket, offering features and benefits that are completely interchangeable. Thus, the theory goes that there is no difference between banking at a large bank, a community bank, a credit union or even a non-bank that provides such services.
I vehemently disagree with that premise. I disagree with it as it relates to you. I disagree with it when it comes to VACB.
I believe we can all benefit from starting with why. Borrowing a suggestion from Mr. Richter, I asked ChatGPT to become Simon Sinek and, using the principles found in “Start With Why,” to craft a mission statement for the Virginia Association of Community Banks. The response:
“VACB believes that strong, resilient communities are the foundation of a prosperous Virginia. By empowering Virginia’s community banks, we ensure they continue to provide tailored banking solutions to our neighbors and small businesses alike — strengthening the trust and relationships that sustain local economies. Together, we build a Virginia where every individual and community has the financial tools needed to flourish for generations to come.”
You will find that at the bottom of every email message I send out. You are likely to hear or read variations of that in our messaging moving forward. We (both you and VACB) are unique and provide inherent value to our customers. We are not a commodity. We are a mission-driven, member-centric organization that lifts Virginia’s communities by strengthening Virginia’s community banks.
We are VACB.
