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The Banker’s Advocate
State Bank Department
COMMENTARY ON BANK MARKETING
Technology alters
delivery channels,
not fundamentals
The first bank in Ar- through the Community
kansas was approved by Reinvestment Act.
act of the initial state leg- Banks, like any busi-
islature in 1836, while the ness, are extremely cus-
first in America opened tomer-focused and they
54 years earlier, in 1782. race to gain market share,
Obviously, banks conduct increase deposits and be
business and market their that perfect financial insti-
services quite differently tution of choice. Banks
today. basically do it all, and they
So how much has bank do it all for one simple
marketing really changed? reason. Customers de-
For starters, stage- mand it.
coaches were replaced by Customers want a
armored trucks for trans- choice and their voices
porting money to and fro; have helped mold perhaps
ATMs replaced the need the biggest contradiction
to write a multitude of in banking today: Why is About the author
checks for cash; online it that banks build new
Brenda Scisson is a public relations counselor at Stone Ward, a Little Rock-
bill payments became the branches at record speed based advertising agency. Brenda formerly served as Director of Marketing
nemesis behind many while, at the same time, and Public Relations for Metropolitan National Bank. She was named Bank
post office closures; and they spend millions of Marketer of the Year in 2001 by the Bank Marketing Association of Arkansas.
bank lobbies stopped dollars on high technol-
looking like libraries and ogy, encouraging custom- Today, we can hardly all across America was
started resembling a retail ers to stay away from fathom the idea of living occurring during the na-
fast-food chain with ceil- branches? without this luxury. But tion’s “dot.com” boom.
ing danglers, tent-cards For one, bricks and when ATMs first came The first Internet banking
and posters. mortar will never go out around, consumers were product in America was
But as much as things of style in banking. That intimidated by them. To less than 15 years ago. In
have changed, they’ve is because banking is a this day, even the fanciest Arkansas, it came a few
stayed the same. human, touch-and-feel ATM machine cannot years later. Internet Bank-
Who can ever forget business that is more provide financial counsel. ing came in on a white
the legendary Christmas about relationships than it Humans do. horse, expected to revolu-
movie, “It’s a Wonderful is cash. At branches, live In June 1994, there tionize the way consumers
Life,” with banker George human beings, not voice- were 1,004 offices of manage their money. But
Bailey (James Stewart) activated recordings, re- FDIC-insured financial has it?
starting a community side and these human be- institutions in Arkansas, Virtual banks, i.e., with
housing project for the ings care a great deal compared with 1,513 in no public building and
under-served. This 1946 about serving their cus- June 2008. That is a 51 existing only on the Inter-
movie depiction is much tomers. You’ll never find percent increase. net, found that branch
akin to the good work that on the Internet. This proliferation of networks were needed and
rendered by bankers today Just look at ATMs. branches in Arkansas and
See CHANNELS, Page 5
September 30, 2009
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