In today’s branch, credit unions and banks recognize the increasing role technology plays. But that technology is also playing a role in resizing the branch. This week’s FIN News Alert looks at the CUNA Councils article, “How Technology Is Shrinking Branch Size,” and shares insights from an industry expert that financial institutions should consider. Here are the highlights:
- Technology bars and computers available for member use: Many times the consumer is more technologically advanced than the bank or credit union, so this activity might not be needed.
- Cash dispensers and recyclers: This technology serves several purposes, including speeding the transaction, providing secure cash storage without the expense of a vault, improving security and supporting the activity of universal bankers.
- Digital signage: This technology will grow in prominence as a way to spark members’ awareness and create customized messages.
- Two-way video: Can connect members to subject matter experts at the main office.
- ITMs or VTMs: A new hot technology, but can be difficult to scale. Some customers also feel ITMs are just a slower version of ATMs. May hold strong potential for the future.
- Many branches are following the trend of fewer teller counters. One expert — John Mathes, director of brand strategy for Seattle-based Weber Marketing Group — said that will absolutely continue, but mentioned a one-size-fits-all approach does not work, even for the same organization.
- Rural vs. suburban vs. urban locations drive different decisions. Consider your market before making decisions.
- As transactions continue to migrate to other channels, cash management within the branch becomes an “influencing design factor.”
- The trends of smaller branch footprints, decreasing staff, transforming of transactions to self-serve, increasing advice and guidance, and delivering a unique branded experience will continue.
Looking to learn more about the branch of the future? Check out this infographic, “The Branch of the Future: How to Transform the Branch with the Power of Technology Innovation,” for more insights.