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Archive for December, 2015

2015 Recap

Another year gone. Time to see if we were right in our predictions for this year.

1) Our first prediction was that there would be more counter-offers in 2015. We’re not 100% sure that we were wrong on this one, but we also do not have any tangible evidence that we were right. Counter-offers occurred in our markets, but we did not see an increase like we did the year before. Counter-offer activity stayed pretty steady from last year.

2) We predicted that there would be a decrease in traditional bank branches and that electronic banking kiosk type branches would increase. We were right on with this one. We definitely saw a decrease in brick and mortar branches this year, especially in niche markets. In an article from The Charlotte Observer published on November 6, 2015, Dean Athanasia, co-head of consumer banking for Bank of America’s Boston market, commented that Bank of America would bring its financial centers down. Efficiency is the new priority in this technology world we now live in. People would rather manage their money using their smartphone or laptop instead of going into a branch. Heck, PNC even built a branch made of gingerbread. http://www.adweek.com/news/advertising-branding/it-took-5000-pounds-gingerbread-make-bank-branch-168501

3) Does your bank have universal bankers? Maybe not in name but we can almost guarantee you that your retail branch banks have changed to them or are in talks to do so.
Our third prediction was that branches would continue to change in 2015 and that universal banking positions would increase and be implemented at more banks. We have had many clients ask us to do market studies in regards to universal banker positions. We have also noticed that our clients as well as our competitors have started to create these types of positions, ones in which one person now does the job of what would have been divided up among 3 or 4 people in the past.

4) Lastly, we predicted the return of SBA and Deposit sales positions. We were correct. Both have grown, especially SBA. Despite new laws and regulations, SBA lending has increased. Banks are either just starting to get into SBA loans or they are doing more of them.

Next month’s blog entry will be our predictions for 2015. Stay tuned!

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