The advent of digital channels curtailing the need for many front-line retail operations; pressure to achieve cost savings via reducing property-related expenses; and consumers’ changing preferences are just a few of the dynamics coalescing to transform traditional retail banking real estate in Asia Pacific.

 

More recently, footfall at retail banks also been impacted by lockdowns, social distancing and other restrictions to contain the spread of COVID-19: a trend that has forced more consumers to become accustomed to using online banking, cashless payments and other digital forms of financial services.

 

At the same time, virtual banks offering selected banking service via digital channels continue to expand rapidly and gain market share, prompting traditional retail banks to differentiate themselves by overhauling branch networks, enhancing customer services and improving the overall banking experience.

 

This ViewPoint by CBRE Research explains how retail banks in Asia Pacific can respond to these challenges to create a brick-and-mortar offering that resonates with customers and ensures they stay relevant in the digital era.