Who Moved My Cheese Deposits?
From the 1998 best selling book, Who Moved My Cheese by Spencer Johnson, MD, the story stresses the need for embracing change because they keep moving the cheese.
For a community bank with a network of branches, “cheese” is represented by the deposits and relationships that each branch develops. And in response to the changing market, banks must adapt by adjusting their branch strategy accordingly.
The “Grow Deposits” Problem
By mining market intelligence data, it’s possible to forecast deposit balances in specific geo-coded locations.
The Need For a Branching Strategy
Every community bank needs a branching strategy.
A single office bank may consciously avoid branching as an unwarranted additional
expense, and for them, that is an acceptable branching strategy. Other banks may view
adding branches as an opportunity to lower their cost-of-funds, expand market share and provide new opportunities for retail staff, which could…
The Importance of Staying Informed During Strategic Planning
Your Branch Portfolio
Historically, bank branches have been viewed as a deposit gathering source. Over the years as a banker and a consultant, I have encountered many bank branches that were on sites owned or offered by insiders or friends of insiders. In many cases, that has left the bank with a marginal or unprofitable branch. Management needs to figure out how to deal with some of these legacy branches.
Branch Opportunity Grid Solution Demo Video
PFT COO Richard Buttermore provides an overview of our Branch Opportunity Grid, a solution that uses bank-specific and branch-specific metrics, correlated to market data, to highlight the branches in your network that have the greatest opportunities for retail and business banking deposit and loan growth, relative to performance and market opportunity.