A Complete Guide To Bank Branch Transformation
Our world is continually changing, as is technology. For certain industries, keeping up with the latest technology is essential to the success of one’s business. This is true for banks, especially when working with personal information and finances. This is known as a bank branch transformation or expanding technology solutions to enhance customer experience.
Even so, bank branch transformation can include a variety of different responsibilities. Here’s everything you need to know about bank branch transformation and why advanced technology is key to customer success.
What is Bank Branch Transformation?
In summary, bank branch transformation refers to the evolution of technology becoming an integral part of financial institutions. Old-fashioned methods of banking are no longer accommodating customers and new technologies are making consumer experiences more convenient than ever before.
In reality, any changes made to your organization can qualify as a bank branch transformation. It doesn’t always have to involve technology, although that can be a significant part of the process. It can refer to changes as simple as staff-customer interaction. However, what does need to be established is how these changes will affect your organization along with your bank goals.
As of now, more banks are utilizing digital means of financial processing. For example, completely virtual banking is becoming more popular. Phone apps, emails, and websites are changing the way banks approach customers. After all, all of these still require at least some in-person interaction or fulfillment by a professional.
Even so, the benefits of technology in banking can’t be overstated. Technology optimization can lead to a better customer experience, design choices, and expanded services. In other words, banks need to evolve alongside technology to keep up with the needs of their customers. Granted, there’s no definitive way to go about bank transformation. It’s going to depend on your individual branch’s needs and future goals.
How Will Branch Transformation Affect Retail Bank Branches?
Customers are still going to visit retail bank branches, even as technology continues to evolve. However, positive customer connections can still be made, even if people are visiting the branches in person less frequently. In essence, branch transformation should find a healthy balance between modernization and tradition. They shouldn’t be stuck in the past, but that doesn’t mean they should completely erase physical interaction with customers.
Even so, modernization will still be necessary for retail bank branches to keep up with evolving technology. This may look like redesigning the interior structure of the bank’s physical space. The branch may also start using brand-new technology that enhances the customer experience. At the same time, they’ll work on improving the established policies they already have in place to enhance customer loyalty.
At the end of the day, retail bank branches have to figure out if they’re meeting the expectations of customers and how to transform their branches to stay consistent with the rest of their facilities. Granted, no two branches will require the same needs. However, consistency will be key if branches want to keep their customers, especially those that are particularly tech-savvy.
The ultimate goal of branch transformation will be to enhance customer satisfaction while maximizing efficiency and profitability. While steps will vary by branch, generally speaking, most facilities will need to combine digital banking with physical engagement. They’ll also need to utilize behavior analytics to provide a personalized experience for customers. Finally, it’s essential to have a well-trained and personable team of employees working for the branch.
What Value Will Bank Branch Transformation Bring to the Consumer?
First and foremost, it should be emphasized that banks are usually strong symbols of trust. When people store a lot of important, personal information and finances, they’re going to expect your financial institution to keep it all safe. Plus, certain banking services are more complex than others. In these cases, customers usually prefer to seek personal assistance at their local branch.
With these points in mind, it’s important to approach consumer values from a digital perspective. For example, if a customer’s attempting to apply for a loan, they should be able to start that loan online and finish it in person without inconvenience. In other words, instead of needing to start the process all over again at the branch, they can continue from where they left off while having in-person assistance.
Branches can also add to the customer experience by providing other self-service options outside of ATMs. These devices usually provide services that aren’t included with ATMs while simplifying their transactions without teller assistance. The same applies to team members. Instead of being restricted to old-fashioned technology, tellers can utilize devices like tablets to speed up transactions, enhance security, and improve accuracy.
Bank branch transformation can also trickle down to team members. Part of improving the customer experience is having trained tellers prepared with a variety of skills. Instead of requiring assistance from multiple tellers, customers can work with one well-trained teller. This can improve customer relationships and satisfaction while also mitigating frustration.
When Should Your Branch Consider a Transformation?
Generally speaking, most bank branches aren’t going to have all the resources they need to transform all aspects of their financial services at once. Thus, the best course of action is to partner alongside professionals to help you through the process. A reputable technology company can help you easily integrate these features into your financial institution.
Working with professionals will help you enhance the customer experience while optimizing your future business plans at the same time. Even so, this still begs the question: when is it the right time to start a branch transformation? The answer isn’t entirely simple, but it’s never a bad idea to get started as soon as you have transformation goals.
In essence, branch transformation will rely on your blending of physical and digital banking services. This will help you increase customer loyalty while utilizing innovative and transformative technologies that make you stand out from the competition. However, before you can transform your branch, you have to consider modern trends and changes.
Most importantly, customers are utilizing digital banking at unprecedented rates. This makes it even more essential to start incorporating mobile banking services into your branch. Plus, digital banking is simply less expensive than traditional financial services. Self-services have the capability to automate up to 95% of common teller transactions.
7 Steps to Start Your Bank Branch Transformation
Step 1 – Focus on Your Customers
You can change all the technology you want in a bank, but that won’t account for customer satisfaction. At the end of the day, your customers are going to focus more on their experience than any fancy technology you add to your bank. This will require planning, including expectation anticipation. In reality, your branch’s technology should be supporting customers instead of hiding the true weaknesses holding your financial services back. In other words, your first focus should be on improving customer experience, even before technology changes.
Step 2 – Increase Efficiency
Improving customer experience and efficiency can sometimes coincide with each other. This is especially true in an increasingly busy and digital world. For example, instead of needing to spend a large amount of time visiting a bank teller, customers can seamlessly complete their bank errands at their convenience. This also allows your branch to work more efficiently, meaning your customers will stay loyal to your bank instead of switching to a competitor.
Step 3 – Reevaluate Staffing Needs
As mentioned previously, branch transformation doesn’t have to be restricted to technology. It can also be a great opportunity to evaluate your staffing needs. If you are planning to incorporate more technology into your branch, you’re going to need more universal bankers. In other words, your team members should be able to consistently assist customers without referring them to someone else. Assess your company culture, allow your team members to provide their own input, and properly train your team based on your specific goals.
Step 4 – Renovate Your Branch
Branch renovations may not seem like a huge deal, but they can be one of the most important elements of bank transformation. When planning branch renovations, you need to incorporate strong aesthetics and functionality. This can include details such as removing teller lines and adding concierge stations to streamline the banking process. It’s important to work with an experienced architect that will help you come up with a design that’s beautiful to look at while satisfying your customers at the same time.
Step 5 – Provide the Right Tools
Once you’ve completed more logistical needs of your branch, you can begin incorporating technology into your bank. You can begin by adding interactive screens that include self-serve technology. This can help customers make decisions based on their personal financial needs. This may include branch infrastructure that supports customers’ personal devices such as public wifi. You may even consider other technologies such as interactive tellers, video banking, and informative high-resolution videos that advertise your branch.
Step 6 – Plan Out Your Goals
Before implementing your bank branch transformation plan, run some analytics to compare your bank to competitors. Use this as a guide to figure out where your branch could improve and what it’s doing well. From there, analyze your customer data to figure out how to reach certain audiences. This may show you where there could be opportunities for growth within your branch. For example, your analytics could help you save money by detailing cost savings throughout your transformation plan.
Step 7 – Keep Track of Your Progress
After you’ve started following through with your transformation plan, make sure you’re measuring the results of your changes. Consistently collaborate with your customers to receive direct feedback about their experiences. You can do this by conducting customer surveys, measuring the effectiveness of your sales, and comparing your productivity to your original goals. With the number of choices available for branch transformation, it’s important to make sure your goals are meeting customer expectations.
Conclusion
The world is becoming more digital, and that applies to financial services. Banks are currently making decisions that exceed customer expectations and make it easier to complete their financial transactions. These are known as bank branch transformations, which essentially come down to updating their technology to satisfy customer needs.
Even so, bank branches need to remember that certain people are still going to appreciate in-person financial services. Instead of completely removing these resources, financial institutions need to come up with a proper balance between new technology and customer-focused connections. In other words, bank branch transformation is all about combining the old with the new to create a fantastic customer experience.
Are you planning out your new bank branch transformation solutions? Teksetra has the professional expertise to help you implement your new technology! Contact us today to learn more about what our certified technicians can do for your bank branch!
