BRED, which operates mainly in the Île-de-France and Normandy regions, will be reserving its branches for customers who have made an appointment. ATMs will remain freely accessible for checking accounts, making cash withdrawals or depositing cheques. The bank is thus extending the system put in place during the lockdown to devote more time to its customers.
More time for customers
BRED, whose parent company is the BPCE group, has decided to extend the system developed during the containment period to all 350 of its branches. This means that customers will no longer be able to enter a branch to meet an advisor. Instead, they will have to make an appointment by telephone or via the bank's mobile application.
This mode of organization has been tested since 2019 in certain branches and was extended to all establishments with the Covid-19 pandemic. Despite the restrictions associated with it, BRED seems to be enjoying it, as its business grew by 4% over the first 9 months of the year.
According to BRED, this system allows more time to be devoted to customers during appointments, whether they take place on site or by telephone. " Because the demand for advice and availability remains, and is even more demanding than before", explains BRED CEO Olivier Klein to Les Echos newspaper.
No branch closures
European banks are facing additional profitability challenges as a result of the economic fallout from the coronavirus crisis. After announcing plans to cut 640 jobs in early November, Société Générale stated on December 7 that it intended to merge its retail networks with those of Crédit du Nord, which will result in the closure of 600 branches. In Europe as a whole, announcements of job cuts have multiplied in recent weeks.
However, BRED has no plans to close any of its outlets. Management assures us that the conversion to this new 100% appointment model will have no impact on the number of sites and their locations.
Focus on added value
To make the difference in a market where competition is particularly tough, BRED is focusing on added value. This involves investment in digital technology, a new organization of work, but also an increase in the training budget to enhance the skills of advisors. This strategy seems to be bearing fruit, since in 2019 the bank saw its revenues rise by 5.1%, to 1.25 billion euros. It remains to be seen whether this trend will continue over the long term.