CINCINNATI-The consolidation of the industry by 2109 will likely have members accessing many fewer locations, with each branch offering the chance to bank with multiple credit unions.
It's the shared branch concept taken to the next level, explained Michael King, senior consultant at DEI here. "You will walk in and there will be three to five different CUs housed within one facility, all with separate teller lines and member service staff."
King predicted, in that type of environment, competition will be straightforward. "I envision only 100, maybe 50 credit unions, surviving in 100 years. But whatever the number, competition will be very rate sensitive."
The branches will be staffed with a minimal number of workers, compared with today's levels - much of that due to technology streamlining operations and reducing demand for in-person transactions. A great deal of the daily banking will come through handheld or home-based devices. "In 100 years you will be able to do whatever you need to do online, if that's still the term we use by then," King said.
It's hard to predict, admitted King, what will actually take place by 2109. "But we are seeing a glimpse of what's coming," he asserted. "Most teens and college students today don't want to go to a branch. They want to do everything remotely."
"Potentially, credit unions will be dealing with an entirely different member base, many of them being raised in an era in which the advances in technology are rapid," said King. "There may be no need for bricks and mortar 100 years from now."
