Bog Banking

JuicyJesus

The thing is, the market is moving away from branch banking because mobile is more convenient than online is more convenient than phone is more convenient than branch, and the use of cash and cheques has been cratering for years. MPs can scream until they're blue in the face about how sad it is that bank branches are closing but the hard economic reality is a) it's a waste of money and b) the market for them is - almost literally - dying.

The people who would be using branches are not actually paying any more for the service they're getting than the average person who does everything online, and the banks largely don't want their custom simply because they cost far more to service than every other customer they've got.

Metro Bank tried expanding branch banking and they're now, belatedly, rolling it back, because - surprise - it turns out the market didn't actually want it and the customer segments that do want it are horribly unprofitable. They tried to do "build it and they will come" and it turns out that people have tried over and over to build it and they never come because nobody actually wants it.

Interestingly, Nationwide are using their branch banking as a USP, but we'll see how that pans out for them in the long term.

Shakin_Steve

ColdIron said:

Shakin_Steve said:

"Less and less people are using branches and more and more using online services"

Fewer!

Oh dear, silly me 😂😂

Rob5342

JuicyJesus said:

Interestingly, Nationwide are using their branch banking as a USP, but we'll see how that pans out for them in the long term.

Yes, that will be interesting to see. They seem to be aiming at a dwindling market that likes to do things in a very old fashioned way with no interest in the growing market that prefers modern banking. It reminds me of blockbuster who carried on with rental shops when everyone else was investing in streaming.

boingy

I really wanted Bog Banking to be a new and somewhat nerdy sport. Like Bog Snorkelling but for bean counters.

jameseonline

boingy said:

I really wanted Bog Banking to be a new and somewhat nerdy sport. Like Bog Snorkelling but for bean counters.

There's still time 🤣

fabsaver

Banks have been taking the !!!!!! for years 

TheBanker

I will admit I've sometimes done my banking while on the bog, using the mobile app. Sorry if that's too much information!

I noticed a mobile Barclays in the car park of my local garden centre the other day. It was parked up in a corner, there was not a crowd of people waiting to get in. I think these are really a 'gimic' to keep politicians happy, and will die a death after a few months of low/no use. 

For Barclays in particular, their new partnership with Tesco might prove interesting. Tesco have premises up and down the land, many of which have surplus space where cafes used to be etc. If I was Barclays I would be speaking to Tesco about using some of that space for the 'pop up' branches instead of having them in random car parks etc. Almost going back to the days when Abbey National (I think) had branches in Safeway stores. 

Shakin_Steve

Nationwide have said they will keep all of Virgin Money's stores open as well as their own branches, and extended that promise till 2028

https://www.thisismoney.co.uk/money/markets/article-13224477/Nationwide-vows-branches-strikes-deal-buy-Virgin-Money-2-9bn.html

Shakin_Steve

Also interesting, in a table included in that article, Barclays has easily the highest amount of customers, but the smallest high street presence.

GingerTim

After pop-up banks in car-parks it’ll be backstreet banks next, and geezers in trenchcoats sidling up to you to ask ‘psst, mate, wanna pay in a cheque?’