Study: Merger-related Branch ClosingsDrive Consumers Away
ATLANTA - (08/24/05) Not surprisingly, a new study hasquantified that changes to branches and branch closing stemmingfrom mergers among banks can have an impact on customerrelationships, according to a recent research study bySYNERGISTICS RESEARCH Corp. The study, Consumer BranchMonitor 2005, found that one-third of the 2,000 consumersage 18 or older who were interviewed reported that the financialinstitution they use has merged or been acquired in the past twoyears. Of these respondents, one-third report that their branchchanged in some way as a consequence of a merger or acquisition --a change in appearance, service, location, or a closing (thistranslates to one-tenth of all respondents). One in 20 householdsreport closing accounts as a result of a merger or acquisition thatinvolved their financial institution. More than four in ten ofthose who report that their branch changed or closed as a result ofa merger or acquisition say they moved an account as aresult.