National Australia Bank (NAB) is, reportedly, considering to train all of its tellers to offer ”lite” financial advice, as its customers are gradually embracing online banking.
This move is part of NAB’s strategy to trim down the number of bank offices by nearly 25% and incorporate digital banking technology.
NAB executive general manager retail, Vicki, Carter was quoted by The Age as saying that the nature of the branches is changing as more and more people are opting for online banking.
NAB, which is considering to offer more ”lite advice” to customers, said that the number of branch transactions declined by 10%, whereas the mobile internet banking increased by 111% last year.
"The reality is that a lot of Australians won’t pay $4000, $5000 for a financial plan," Carter told the news agency.
"But many Australians still need help with simple rollover products, their superannuation products and their simple protection needs. That is unfilled at present, so … this is actually a gap in the market."
The ‘lite’ advice will enable NAB to continue to increase market share, where its mortgage market share has increased to 15.3%, compared to 13.3%, during the last three years.
”Most of the mortgages that we write out are with our existing customers," Carter added.
"We know if we look after our 24 to 30-year-olds’ wealth, help them with their first foray into credit, help them as they need that lite advice and simple superannuation and so on, that they will become our future mortgage customers.”