We have already seen glimpses of ‘future banks’ in recent years. However, a new Bank of Ireland in Ballycoolin gives us a more accurate picture of the future of community banking.
It’s not so long ago that high-street banks were hives of activity in the most central locations of the communities they operated in.
People of all ages and professions did their banking in, usually granite-clad, buildings with the help of the people who worked there: the cashiers, the loan managers, the financial managers and the bank manager.
Banking was a paper-based activity, very much ruled by the flow of notes, drafts and cheques. However, paper no longer rules.
Today, in Ireland, 78% of people do their banking online, and 60% do their banking via mobile apps.
For example, of the 20 million customer interactions Bank of Ireland has every month, half of these come via the mobile app.
“People still want access to their banks but for different reasons.”
Very few people have a daily or weekly need to visit a physical bank.
The high street and community bank is, like many of the relics of the pre-digital age, no longer an essential part of daily life.
This does not mean, however, that people don’t want their banks. They do. People still want access to their banks but for different reasons.
So, what does the future of community banking look like?
“If you get the balance right between a great digital service and a physical presence and one-to-one interactions with customers I think you’re on to a good proposition. The challenge for us is to always make sure we keep the balance,” says Gavin Kelly, CEO, Retail Ireland, Bank of Ireland.
Kelly says Bank of Ireland will spend close to €10m upgrading the network this year. “We’re also going to spend €15m next year and €15m the following year on capital
