Multichannel Banking: Unravel Complexity to Turn Ambitions into Reality

Multichannel distribution is a subject that has created high hopes within the banking community but also disillusionment and controversy, with the prediction about gradual closure of branches as yet unrealized, and the commercial contribution of remote channels still insignificant.

Frustrations are amplified by the substantial level of investment involved in moving from a branch-based to a multichannel service model that has so far failed to convince, both in containing distribution costs and in increasing revenue.

In order to cast some new light on multichannel distribution, Oliver Wyman conducted a survey involving thirty of top retail banks from five European countries: France, Italy, Spain, Germany, and the UK. The results show that multichannel banking is still a core priority and that many initiatives are being taken to make its potential for development a reality. European retail banks will have to focus their efforts on three main areas to achieve a properly integrated and efficient distribution model which profits as much as possible from each channel:

  1. Optimize the potential of each distribution channel, remove perceived obstacles, unlock hidden value
  2. Enhance the integration of clients' channel preferences to achieve a genuine multichannel client experience and improve contact management
  3. Align organization and processes to steer business in a multichannel direction

Multichannel Banking: Unravel Complexity to Turn Ambitions into Reality