Branch Strategy, Repriced

Branch banking’s obituary was premature. ProSight’s latest Perspectives report finds branches still matter most for “difficult or complex transactions”—often the ones that generate the most revenue. The data also challenges the assumption that physical branches are primarily valued by older customers: in the 2026 ProSight Banking Outlook, a survey of 1,000 respondents conducted in September, 56% of Gen Z and 58% of millennials said they need their primary financial institution to have a branch or office near home or work.

The report’s throughline is that branch strategy is shifting from coverage (how many locations) to productivity and purpose (what branches do, how they’re staffed, and how technology frees time for higher-value conversations). Here are the main takeaways for bank leaders:

• Treat visibility as part of the value proposition. A mid-tier bank retail leader emphasized placement and presence: “we’re going to be visible, because that’s a big deal,” adding, “You want people to see that you’re in town.” Accenture’s 2023 Global Banking Consumer Study backs that up—67% of respondents “like seeing branches in their neighborhood as it portrays the stability and availability of their bank.”
• Give branches the right work—then staff for it. Customers may use branches less often, but still “prefer to have a bank nearby if they need it,” the same retail leader said. The report also notes it’s hard to justify full-time specialists in every community. (“There is not enough business in some communities to support a full-time mortgage person, a full-time wealth person, a full-time trust person,” a mid-tier bank program director said).
• Stop letting admin work eat the week. Branch managers spend an average of 11.6 hours per week on scheduling and administrative tasks, according to Zebra Technologies’ 2025 Branch Banking Employee Survey—time the report argues would be better spent on business development and customer relationships. The same survey found 41% of branch professionals spend less than half their time engaging with customers.
• Make the branch conversation “consultative”—but keep it moving. As one leader put it: “we’d love to spend an hour with each” customer but “if you work eight hours you’ve got to see more than eight people.” The goal is for conversations “to be very consultative … ask questions and be curious.” After all, “The more questions they ask, the more they’re going to uncover that their client may not know they need.”
• Use tech to cut friction, not replace the relationship. The same leader described a “move away from paperwork,” pointing to “a new account opening system that’s a lot more streamlined and less clunky” and “a new teller system” that’s “easier and quicker to use.”

Bottom line: The report emphasizes the importance of keeping branches visible, minimizing low value work, and optimizing in-branch processes so staff have time for the complex conversations that still drive revenue.