Monday, September 23, 2013

Sunday Globe Special: Banks Are the Place to Be

Like the bank robber said, because that is where the money is.



Pay no mind to that; he works there.

"Banks find they must branch out; Withdrawals and deposits aren’t attracting customers to brick-and-mortar offices anymore, so banks are turning to perks like coffee bars and yoga to keep an important gateway open" by Deirdre Fernandes |  Globe Staff, September 22, 2013

Hip, modern, and fun. That may fit the description of a new nightclub or restaurant, but what about the corner bank branch?

That’s exactly the vibe many of the nation’s banks are trying to achieve as they reimagine their branches and try to lure more customers into brick-and-mortar offices.

Then why have they clo$ed so many?

At one West Coast bank, you can spread your yoga mat and strike a tree pose or grab a free beer during an Oktoberfest-style celebration. Another national bank offers macchiato at its coffee bar and couches designed for lounging. Locally, banks are adopting Apple Store-like designs, adding concierges, and setting aside space for community groups to meet.

The goal is to stop the steep decline in foot traffic at banks, where today only about one-third of customers routinely use branches, according to one study by global business consulting firm AlixPartners. But in an era when more financial services are conducted electronically, whether online, at ATMs, or through mobile devices, why bother?

The answer, of course: profits.

But it is hip, it is fun, it is modern -- now come in for some debt-en$laving chains so the banks can make even more money!

In an era of low interest rates and high costs, branches remain an important gateway for moving customers into more profitable services such as wealth management, personal banking, and loans of all types.

Related:

"More important to bankers, the city is attracting well-off, if not wealthy residents. Nearly 10 percent of households in Boston earn more than $190,000, placing them in top 5 percent of incomes, according to the census. Among major cities, only San Jose, in the heart of Silicon Valley, San Francisco, New York, and Washington, D.C., have higher concentrations of wealth."

The mouthpiece is not only a obfuscating liar, it is insane

And quite honestly, it is not being written of, by, and for me or you, dear reader. It is written for the a certain religious group and a certain sector of AmeriKan society that composes its readership. They have made that quite obvious lately.

Bank of America, for example, recently launched what it calls a flagship office in Boston’s Back Bay, housing in one place the variety of financial services offered by the banking giant.

I'm reading about it in their flagshit paper.

Teller services are squeezed behind a column, while private offices where more lucrative business is conducted dominate the floor space.

That isn't me or you.

Bank representatives walk around in neatly pressed suits carrying computer tablets to pull up customer accounts on the spot and schedule appointments with small business bankers, mortgage loan officers, and financial advisers. A greeter directs people to either a teller line for simple transactions or upstairs to the wood-paneled offices of the bank’s investment and financial advisory unit, Merrill Lynch, where more affluent clients get personal service.

Just like at the airports. It's a serf-lord $ituation in 21st-century AmeriKa.

The flagship branch is designed to maximize the opportunities for the bank to cross-sell — that is pushing existing customers into additional products and service. Having all of the bank’s products in one location is key to doing that, Bank of America officials said.

Yeah, it's a CONSOLIDATED SALES PITCH for MORE DEBT ENSLAVEMENT!

“What we are doing here is redefining what we’re doing in the banking center,” said Dean Athanasia, Bank of America’s preferred and small business banking executive, of the flagship branch. 

Look at the self-absorbed, self-centered arrogance with which they speak of their indu$try.

Overall, banks have cut branch networks in recent years as customers reduced their transactions there.

Yeah, and THOUSANDS and THOUSANDS of JOBS with them -- as banks make RECORD-SETTING PROFITS!

Bank of America, based in Charlotte, N.C., for example, has closed more than 1,200 branches nationwide. AlixPartners projects that banks overall will cut another 20 percent of their branches by the end of the decade. 

Meaning THIS Boston Globe PUBLIC RELATIONS PROPAGANDA for the BANKING INDUSTRY is just that! This article was written for the wealthy elite, with a reporter who has internalized their ma$ter's values.

Still, branches remain crucial to the industry and customers, although their role is changing, said Bob Hedges, a managing director with AlixPartners, based in Michigan. They help to increase awareness of the brand, like flying a flag, and still serve as marketing centers.

A different kind of fal$e flag!

Now that is a flag worth burning, although I would not. Maybe just spit on it.

Customers also like to visit branches for more complex financial needs, such as home and auto loans or advice about how to save for college and retirement, Hedges said. 

Is that what they think?

Changing customer behavior, driven by the migration to online and mobile banking, is prompting banks to redesign their branches. Eastern Bank, based in Boston, is opening a new branch on Cape Cod that looks more like an Apple Store than a bank, with plenty of white fixtures, curved surfaces, and light wood.

At 2,500 square feet, the space is half the size of a traditional branch. Straight-edged teller counters and stacks of brochures have been replaced with a semicircular console and touchscreen monitors. If customers need talk to financial specialists in Boston, they can do it by video conference.

The technology means Eastern can provide services with fewer people assigned to the branch,  while the design encourages employees to walk the floor, chatting up customers and promoting different products, as in a retail environment.

Meaning there will be NO JOBS CREATED and MORE LAYOFFS! 

At least $omeone will profit, 'eh?

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In general, banking analysts said, the branch of the future will be smaller. What was once the main attraction — the teller station — will shrink into corners.

Which is where they will be sending the bulk of us? Or will we all be too poor and destitute to worry about banking? Anybody ever inform you greedheads we are the foundation of your Ponzi pyramid scheme?

Universal bankers who perform multiple roles, from opening accounts to cashing checks to selling the bank’s loan services, will largely replace tellers. 

The ONE REASON to GO THERE, and they are getting rid of them!

And to attract customers who might not really need to visit a branch, banks will also have to fashion the office as a destination.

PFFFFFFFFT!

Capital One Financial Corp., well known for its credit cards, is breaking into the Boston banking market with six new marketing offices called “cafes.” Scheduled to open over the next several months, they will resemble coffee shops more than banks. Employees will serve up java and sandwiches, along with advice on how to set up online accounts and access other services.

Related: What's In Your Wallet?

I hope it is not just plastic

But hey, at least the bank is a happening place!

Capital One also will host financial literacy and other seminars at the cafes, as well as allowing local groups to hold meetings there. “We see our cafes serving as community hubs,” said spokeswoman Laura DiLello.

I think I am going to be sick after all the communities they destroyed with their mortgage-backed securities scam and fraudulent foreclosures.

Umpqua Bank of Portland, Ore., also lets community groups use its branch space. Its branches have hosted yoga classes, dog fairs, and an Oktoberfest event, complete with beer, pretzels, and a roving accordion player.

Oh, how generous of them!

Opening up the branch for community events not only attracts new customers, but could also help banks make use of all the extra space they have, said Dean Nicolacakis, a co-leader of consulting firm PricewaterhouseCoopers’ North American banking practice.

****************************************

In rural areas, meanwhile, branches might become hubs for a host of virtual services, using remote technology to connect customers to loan officers, investment advisers, and other services.  

You will have to go inside because there will be no more drive-throughs.

Whether the branch of the future will look more like Apple Stores, coffee shops, financial advisory firms, or yoga studios remains unclear. But, analysts said, expect banks to keep experimenting as they try to find the right mix of services, atmosphere, and pizzazz to keep customers coming in....

Hey, you want to go down the bank and hang out?

--more--"

Can I close the account now, friend

Yeah, banks brighten up the block, don't they?

Also see: Withdrawing From the Globe's ATM 

That's odd because banks think they are above the law.

RelatedBoston customers test new video ATMs

Hey, at least people will be back in the process.

Interesting. Diebold never loses a cent on the ATM transactions, but can't make a voting machine that accurately tallies election returns?