BANKS on wheels and banking kiosks have joined cafe-style outlets, community banks and neighbourhood branches as the latest initiatives by Australia’s banks to win the loyalty of customers.
BANKS on wheels and banking kiosks have joined cafe-style outlets, community banks and neighbourhood branches as the latest initiatives by Australia’s banks to win the loyalty of customers.
The majors are spending tens of millions of dollars upgrading their retail networks, a far cry from the past decade when many branches were shut down.
National Australia Bank announced last week it is in the midst of spending $30 million over three years to reinvigorate its retail banking services in WA and “provide more convenient banking options for WA residents”.
NAB will open three new branches over the next five months and refurbish two of its existing branches – Whitfords and Midland.
The most eye-catching initiatives are the launch of a mobile branch known as NAB on Wheels and pop-up style banking kiosks – the first of which has just opened at Innaloo shopping centre.
NAB’s retail executive general manager, Warren Shaw told WA Business News NAB on Wheels was a “true experiment” and one that would be given a six-month trial to reach performance expectations.
The mobile branch will initially operate within the metropolitan boundaries of Perth and according to Mr Shaw it will give NAB a presence in unusual locations such as university orientation weeks and housing estate open days.
Bendigo Bank is another to develop its WA presence during the last 12 months.
Bendigo released its interim report for the half-year to December 2009 this week, announcing it has opened three community banks in WA during the past 12 months, bringing the total number in the state to 40.
Bendigo plans to open three more community banks in the next year – prospective sites are Busselton and Dunsborough, Meadow Springs (north of Mandurah) and Kalgoorlie.
Bendigo Bank’s WA state manager, Vicki Pearce, said its banks, which are half-owned by local communities, were able to compete with the majors because the profits go back into the community.
Commonwealth Bank has also ramped up its investment in WA during the past three years.
CBA has invested $26 million in expanding and refurbishing its WA retail branch network since 2008, with a further $4 million to be invested by the end of the 2010 financial year.
Westpac has also invested in a multi million-dollar refurbishment project, upgrading 77 of its existing branches and building seven additional branches in WA during the past three years.
BankWest has also directed funding towards its retail bank branches in WA.
Acting chief executive of BankWest’s retail division, Chris Maclean, said it had invested a substantial amount in refurbishing 12 of the bank’s WA retail outlets and opening new branches, but declined to specify a figure.
Part of BankWest’s refurbishment initiative has included opening cafe style branches offering customers coffees while they bank.
ANZ is in the final stages of a multi million-dollar refurbishment of its WA branches and has added 20 branches to its WA retail division during the past four years.
