Banks Boost Visibility, Customer Service With Branches in Airport Terminals
Several banks have reportedly expanded their retail footprint into airport terminals.
These bank branches in airports offer convenience, comfort and a range of financial services to existing customers, while also serving as a platform for banks to engage with potential new ones, CNBC reported Friday (May 3).
Brands like Fifth Third Bank, Capital One and Wells Fargo have embraced this concept, creating airport lounge-like financial centers in high-traffic terminals, according to the report.
For weary travelers, airport bank branches offer a respite from the hustle and bustle of the terminal, the report said. These branches provide a quiet and comfortable environment where travelers can relax, work or attend to their financial needs.
With amenities comparable to airline rewards clubs, these lounges offer a range of services, including check cashing and currency conversion, per the report. Travelers can make use of these facilities while waiting for delayed flights or conducting business on the go.
In addition to serving as functional financial centers, these branches enable banks to maintain a visible presence in a digital era, according to the report. The high foot traffic in airports presents an opportunity for banks to engage with a diverse range of potential customers. Additionally, the visibility of these branches serves as a form of advertising, helping enhance brand recognition and attract new customers.
While the concept of bank branches in airport terminals has gained traction, some industry experts remain skeptical, per the report. One critic told CNBC that while the transaction volume may be high, the potential for new customer acquisition is limited because of the unlikelihood of travelers seeking to open accounts or receive financial advice in such locations.
This report comes at a time when some organizations are adding bank branches in a variety of locations, despite consumers’ shift to digital banking.
For example, both JPMorgan and Bank of America added branches in 2023.
“Branches have been a winning strategy for us that is helping us capture more market share,” Jennifer Roberts, CEO of Chase Consumer Banking, told Reuters in December.
In February, PNC Bank said it would invest $1 billion to open more than 100 new brick-and-mortar locations and renovate 1,200 existing ones through 2028.
The post Banks Boost Visibility, Customer Service With Branches in Airport Terminals appeared first on PYMNTS.com.