“What is the value of Branch Transformation for the FI?” is one of many questions we approach in #ElephantinBranch: A Special Report.
We interviewed more than 40 industry leaders about Branch Transformation. The following is a summary of that exchange with the answers they gave us about the value of Branch Transformation for FIs.
What value does Branch Transformation hold for FIs?
Here’s what industry leaders had to say.
“Let me count the ways…”
Danny Tang, IBM Global Banking
"Branch projects generate value in several ways: increased staff productivity, reduced footprint, adoption of self-service, strengthened relationships, and elevated branch image. Financial Institutions in mature economies tend to benefit the most from footprint reduction and strengthened customer relationships. Financial Institutions in emerging markets can expect significant savings from self-service adoption and productivity increase. There are different projects we can recommend for each category of business value."
“Physical + Digital = Profitable!”
Anthony Burnett, Level 5
“For example; Loan growth and deposit growth can be optimized fully through a brand experience that blurs physical and digital lines, and is profitable. "
Less Cash Management, More Service
Fred Wheeler, Automated Transaction Delivery
"To achieve value financial institutions must focus on self service first, then on efficient consumer service. Value happens when you get out of the cash management business and into the consumer service business and higher value transactions."
Brian Porter, GLORY
"Improved CX, results in customer and staff retention, and improved sales. An improvement (or at least maintenance of) revenue levels with labor reduction, primarily for low value transactions."
Cost/Income by branch
Franc Reid, Antuar
"The primary goal of any branch transformation is to reduce the cost/income ratio while improving customer experience delivered by things such as: Automation,Training, Staff Engagement, Branding, and Systems."
Efficiencies over time
Mark Charette, Solidus
"Most obvious value for the Financial Institution is in the cost savings that better efficiencies and space planning will provide. This can be a significant figure over time."
Automation with universal bankers
Marilyn Carpenter, Source Technologies
"Automation of teller transactions with self-service with well trained universal bankers who assist in customer adoption will reduce overall costs at the branch."
Consistency is profitable
Sankar Krishnan, Capgemini
“Servicing the right channel with the right customer on time all the time drastically improves NPS and CSATs.” One is able to make better decisions based on segmentation of branch customers."