A+ Federal Credit Union is finding brick-and-mortar branches still quite popular with Gen Y in hip, wired Austin, Texas.
In fact, a recent internal survey found 79% of Gen Y members have performed a transaction at a branch “and we think that’s pretty high,” said Kerry Parker, president/CEO of the 100,000-member, $955 million credit union in Texas’ capital city. “Our members just love ‘em.”
The trend in Texas lately among banks has been to reduce the number of branches but A+ expects to continue expanding brick and mortar while it also adds to the high tech product and service line, said Parker.
Using data from SNL Financial, the Texas Credit Union League noted that last year there were 151 branch openings but 189 closings, a net loss of 38, one of the larger state drops in the U.S.
Parker said her credit union currently has 15 branches in her competitive market, with two branches opened in 2010, one last year and two more planned during the next three months, including one at a high school and the other in suburban Cedar Park.
The A+ CEO told the Texas League that “after reviewing surveys and transaction information, we found that an overwhelming majority of our members access A+ through a variety of channels—including the branch. The reality is consumers want convenience and accessibility, and each individual has a different definition for that.”