In recent years, newer digital-focused banks like Bank Zero, Discovery Bank, and TymeBank have shaken up the banking industry by operating almost entirely online. With significantly lower operating costs, they offer highly competitive prices on banking services.
Their growth has prompted traditional banks like Absa, FNB, Nedbank, and Standard Bank to develop and launch affordable entry-level banking products to remain competitive. While these traditional banks have enhanced their mobile apps and browser-based banking services, at least four major players have also expanded their physical presence in recent years.
Capitec, FNB, Nedbank, and Standard Bank have collectively opened 96 new branches over the past two years. However, these banks have adapted their branches to better integrate their digital banking capabilities with in-person services, thereby improving overall customer service efficiency.
Capitec, for example, has promoted digital channel usage for normal, day-to-day transactions, therefore reducing branch waits and increasing capacity for more complex interactions.
“With reduced transactional pressure, our branch staff can focus on providing personalised assistance, addressing client queries, introducing new products, and offering financial advice.”
-Capitec
Read the full article here: “Big surprise in bank branch closures”
