Effectively Execute Your Branch Strategy
A town with only one or no bank branch may look like an attractive opportunity for a community bank to establish a de novo branch. But be wary, there may be valid reasons why banks have avoided this town. Too often, branches in towns with only one bank don’t perform up to expectations because there isn’t the necessary support from daily necessities traffic.
If potential customers leave town on a regular basis to go to the grocery store or drugstore, chances are they are going to want to have their primary banking relationship where they’re going to run their daily errands.