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Co-operative Bank - In-Store Banking
Co-op mini banks may go big
Kevin Feddy27/ 8/2008
THE
Co-op
is investing £2.5m in trials of mini-banks in its food stores and will roll out the initiative nationwide if the pilot proves successful, bosses said today.
The Manchester-based retail and financial services giant will also look to replicate the venture with mini-travel shops in its stores, under plans for greater cross-selling of its products.
Five mini-banks are operating in stores in Nottingham and Brighton, and a larger pilot is planned for early next year, with a view to 250 openings in its biggest outlets across the country from the second half of 2009, if the trials are welcomed by customers.
The mini-banks offer self- service cash machines, cheque and cash deposit facilities for current and savings accounts, a phone link to advisers for banking and insurance matters, and touchscreen devices so customers can browse products and leave their details for follow-up calls.
In some, there are trained advisers on hand to provide information and help about mortgages, investments and insurance. Co-op bosses have begun the scheme to grow their banking business, which currently has only 90 branches in addition to phone and internet operations.
Manned mini-banks could ultimately be opened in around 125 food stores, creating 250 jobs. Dick Parkhouse, managing director of
Co-operative Financial Services'
retail operations, who is spearheading the venture, said today: "We are prepared to invest a decent sum if it proves to be what customers want.
"We realise we need a larger physical footprint for our banking business, and this is a way to address it.
"While people love internet banking, there is still a segment who much prefer to deal face to face with someone.
"Even for those who love internet banking, there are certain transactions where they want to sit down with someone and check it through, for example mortgages, investment advice and insurance."
John Pal, a lecturer in retailing at
Manchester Metropolitan University, said the Co-op was making a sensible move.
"It's a great example of the trusted Co-op developing its brand," he said.
"I think the initiative will lead to greater cross-selling of products and services and provide greater convenience for the Co-op's customers which will lead to even greater loyalty."
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