LoBue: Real World: Business Needs: Retail Banking

RETAIL BANKING

"The retail financial service industry is in a constant state of flux. Deregulation is creating new forms of competition, reduced profit margins and record merger activity. At the same time, technological advances and changing consumer needs are creating the opportunity to provide new products through new distribution channels."

THE BUSINESS NEED
Retail bankers are facing enormous challenges:

Mergers have created giant financial service organizations with global resources.
Bank consolidation and expansion into nontraditional service and distribution arenas, requires re-thinking company strategy and ways to meet or exceed both the competition and consumer needs.
While branch proliferation continues to drain profits, "virtual" consumer banking is a reality. Consumers are looking for "multiple" distribution channels.

Clearly retail bankers need to think about new ways to operate their business.

THE LOBUE PERSPECTIVE
In order to remain competitive in this evolving marketplace, companies must be proactive.

For example, with consumers becoming more sophisticated in financial and banking activities, financial institution loyalty and one-stop-banking is less of a need. However, there are definitely ways to increase "share of customer wallet." According to the ABA's 1997 Retail Banking Survey Report, over 70% of customers establish relationships with banks today by opening a checking account. Checking accounts are typically viewed as standard transaction accounts, and customers tend to be treated in a similar fashion - as transactions. However, if banks capitalize upon their existing points of contact (branches, call centers, internet) to develop an understanding of the lifestyle and financial service requirements of their customers, the current selling paradigm can be shifted to presenting the customer with financial service opportunities - investments, debt consolidation, trust accounts, college savings, etc. Banks need to shift from being a transaction provider - checking accounts - to a financial service provider.

Those institutions that continually re-visit their strategy and carry out new initiatives that effectively move the company towards their goals will be the long-term financial service survivors.

THE SOLUTION, REAL EXPERIENCE
LoBue Associates, Inc. helps client companies implement viable strategies that will improve business performance.

LoBue works closely with client management to produce immediate and long-term success. LoBue consultants possess extensive knowledge in retail banking, and their skills have been honed and perfected through years of experience with companies around the world. Our consultants assist companies in implementing strategies and finding optimal solutions to improving customer satisfaction, to maximizing profit margins and increasing operating efficiencies. Programs with retail banks include:

Designing new distribution capabilities and the back office environments and processes that support them.
Developing cost effective branch structures and operations.
Implementing technology solutions that maximize overall business performance by integrating manual process and systems migration.
Designing and implementing structures and management process to more effectively manage cross-departmental (distribution channels, geographic, etc.) product delivery.
Creating and conducting training programs that assure the maintenance of long term program benefits.

In a typical LoBue retail banking program, operations are restructured and business processes are designed to support customer service, delivery systems and production. Then the client company is provided with the know-how to enhance and maintain its business practices.

REAL RESULTS
Since its founding in 1981, LoBue Associates, Inc. has provided numerous companies with on time, on-target, measurable and reliable results for companies operating in the retail banking area. LoBue's methodology, services, training and execution ensure corporate vision and objectives are carried out, achieving real solutions that create real results.

RELATED SUCCESS STORIES:

For more information, please contact Carl LoBue .