A Big 'Pop' for Online Banking.

What's keeping your customers from banking online? The marketing people at KeyBank in Cleveland are betting that it isn't cost--it's (perceived) inconvenience.

To counter this presumption, KeyBank mailed out 118,000 bags of popcorn to customers with checking accounts and an ATM or debit card--those whom KeyBank considered to be likely online banking prospects. The popcorn was accompanied by a relevant message: In the time it takes you to pop this corn, you could have an established online account.

The campaign emphasized the immediate, hassle-free nature of Key Corp.'s online banking, says Mary Beth Hahn, Key Corp's vice president for retail banking: Instant enrollment, no forms, no waiting, instant gratification."

The first wave of popcorn packages was sent out in early March. A second wave was dropped in May. KeyBank anticipates three more mailings by the end of the year.

Such mailings are common for consumer products companies, but rare for banks. KeyBank says the results were pleasantly surprising. Conversions are ranging from 2.8 to 3.3 percent, and costs--because the bank was able to buy its popcorn in bulk--are about a dollar per mailing, roughly the same as previous campaigns. Actually, the first mailing came in at a few cents below the cost of previous promotions.

Further evidence that the promotion is working: In its survey of new online accounts, the number of customers citing "direct mail" as the mechanism that brought online banking to their attention increased from 4-6 percent to 10-12 percent.