BPI starts green branching

MANILA, Philippines - The Bank of the Philippine Islands (BPI) has launched its newest branch concept known as “green branch.”

BPI executive vice president and head of Consumer Banking Group Natividad N. Alejo said that the commercial banking arm of the Ayala Group of Companies continues its expansion program taking into consideration the customer’s convenience, demand, technology, and efficiency of branch operations.

“We may not need big branches, but we will need more new branches albeit smaller, more focused,” Alejo said during the recent launching of the BPI Express Assist (BEA) Online.

The bank opened a “green branch” at the premises of the Asian Development Bank (ADB). It is a 9.5-square-meter branch that has a full compliment of electronic platforms, such as automated teller machines (ATMs), and computers for Internet banking.

But it has a lean compliment of trained personnel for face-to-face relationships or transactions, if necessary.

“It is not only the electronic devices, but also trained bank personnel to engage or assist customers better, and really probe what the customer wants, needs,” the BPI executive vice president said.

Alejo explained that while the country’s banking regulator will lift all restrictions on branching by 2015, banks must also look into the actual needs of the banking public and not just its own plans.

Over the years, bank customers are adapting to the electronic platforms offered by banks, such as the ATMs, credit and debit cards, phone banking, mobile and online banking activities.

BPI has a customer base of over five million of which 1.2 million are online. In fact, P19.2-billion worth of transactions are made online every month.

And with a young population that readily embrasses technology, the need to visit branches diminishes.

“It seems banks may not need big branches, but smaller, yet more focused ones,” Alejo pointed out.

In more advanced nations in the region, bank clients only visit a branch to open an account, then rely in electronic channels to do the rest of their banking transactions.

Branches will not be obsolete but it must be more attuned to the customers’ needs while taking into considerations increased efficiency and savings for the bank.

“That is where we are going,” the bank senior official said.

Meanwhile, BPI senior vice president and head of Electronic Channels Group Manuel C. Tagaza said they have registered a 38-percent growth in its 24/7 electronic banking platform.

“We are average 1,000 enrollments daily especially with the help of the branches,” Tagaza said.

By introducing electronic channels to the branch clients, the branch personnel have more time to sell. “So it is convenience for the bank clients, and increased efficiency and productivity for the branches,” he added.

With BEA Online, the customer can time at their convenience their arrival at the branch, thus saving time for both bank and customer.

The immediate target is to make BEA Online available to 90-percent of the 730 branches (including 53 BPI Family Savings Bank).

“Next month, mobile app version will be out for smartphone brousers, and later for all 3G mobile phones,” Tagaza said.