Hybrid banking model to define future customer experience

Bank branches remain important but are changing role after a decade of intense digital transformation, according to National Bank of Greece (NBG) general manager of transformation, strategy and international activities Ernestos Panayiotou.

In a report shared by Greek business outlet Newmoney, the NBG executive explained that the priority is now a hybrid banking model combining digital convenience for everyday needs with high-quality human advice for more complex decisions.

Referring to recent developments at the recently-held Delphi Economic Forum, he mentioned that the bank has invested more than €1 billion in technology over the past five years, upgrading critical infrastructure and centralising non-sales processes.

This investment led to a redesign of the retail service model so that branches can focus on more complex products and overall customer experience.

By the end of 2025, the bank had 3.3 million digitally active users, with 66 per cent of transactions and 520,000 product sales taking place through digital channels.

At the same time, transactions at branch counters fell to below 2 per cent, while the bank increased its market share in products prioritised by branches, including investments, mortgages and small business loans.

Panayiotou noted that demographic change is shifting priorities, with the population expected to be smaller and older by 2050.

Such a trend will increase demand for guidance on pensions, care and wealth management.

It was also highlighted that future generations aged over 70 will be more familiar with digital tools, reinforcing the case for a hybrid model.

Under this approach, simple transactions and product purchases will be carried out almost entirely via mobile or embedded in daily interactions.

Branches are expected to evolve into financial advisory centres, without cash transactions, staffed by specialists trained in advisory services and equipped with infrastructure suited to older customers.

The National Bank executive pointed to the growing role of remote advisory services, highlighting the bank’s Live Banking channel, which already employs 45 advisers.

“The interpersonal contact will make the difference and determine trust in each banking brand,” he said.

His suggested that while digital services are becoming increasingly uniform, the quality of human advice will be the main differentiating factor for complex products and major life decisions.

Turning to corporate banking, the same trends are reportedly affecting businesses, both in demand and supply.

With fewer young consumers and more elderly ones reshaping markets, businesses face fewer young entrepreneurs, succession challenges in family firms and rising labour costs.

The forecast predicts that mergers and acquisitions will intensify, alongside greater outward orientation and faster innovation driven by investment in technology and artificial intelligence.

Banks will play not only a financing role but also an advisory one, using data and expertise to identify sectors and companies likely to succeed over the next two decades.

Healthcare, care services, pharmaceuticals, housing solutions for older people and specialised tourism for those aged over 60 were identified as key areas of opportunity.

Finally, the financial and insurance sectors are also expected to develop new products tailored to the needs of an ageing society.