BAI Beacon Top 3 Take-A-Ways

It was great attending the BAI Beacon 2018 Financial Services Conference. A highlight of the conference was the discussions regarding the transformation of the branch experience. This transformation has never had a greater importance than now with the number U.S. branches at its highest level ever, decisions are being made as to future of the branch.  It has been found that even closing a branch has consequences, Financial Brands reported that 33% of U.S. customers either switched or started using other financial institutions when their main branch closed. Here are the top 3 topics discussed during our many conversations with attendees.

1.      Branch Transformation – Overall most were looking at a branch of the future around 2,000 square feet with one reporting new branches as little as 700 square feet. The technology updates for these transformations are designed to support universal bankers with all equipment utilizing Wi-Fi networks and the implementation of cash recyclers available to all stations. Customer experience is also driving new technology with greeting software on kiosks or tablets that support the universal banking initiatives.  Additionally, this new technology is supporting the drive to open new retail accounts in less than 5 minutes with a mixture of PC or tablet driven documentation support versus a more traditional account opening process that takes from 20 to 30 minutes to complete.

2.      ATM/ITM Deployments – Many institutions are testing or rolling out new ATMs or ITMs as a way to provide Assisted Self Service for their branch customers. With Business Insider finding that 55% of customers want a mix of physical and mobile banking, the integration of ATMs that can provide up to 90% of the services that a teller provides are a high priority.  In conjunction with this we are beginning to see an emphasis on isolating the in-branch ATM from the branch network to ensure customer access to services are available should the branch network go down. 

3.      Digital Banking – Early adoption rates of digital banking platforms has become a high priority at the branch. From incentivizing employees by  paying their phone bill for meeting adoption rates to processing the initial deposit for new accounts through the bank’s digital app to offering $1 check to customers for try mobile deposits. According to Bain & Company customers are 40% less likely to switch when they use the mobile banking application.