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Paul - I couldn't agree more. Branches and all other channels should complement each other. They're not mutually exclusive.

In the same way that some "traditional" processes and systems are needed for a bank to operate. Doesn't mean those traditional systems cannot be improved, often dramatically - but they provide services and internal functions and controls where no new Fintech is really going to go.

They (old and new systems, branches and alternative channels) therefore need to learn to work together in the best possible way to optimize a client's experience and drive efficient, profitable relationships and transactions.

Who said anything about "increased branch investment"? The article says the banks is looking to move close to half its customers to online channels.

As for the $3BN amount that everyone gets so excited about, this number does not refer to investment in branch technology either. This is the global IT budget for everything from IT staff, datacenters, networks and communications, ATM networks, hardware, telecoms, software licenses, new product developments, new regulatory developments and an extremely long list of other elements including investment in new technologies and services.

For a bank with a truly global presence across mutliple countries, this is not such a big number.

To discard this strategy as simply rubbish seems short-sighted to me. The  biggest attacks to this way of thinking always seem to come from the “Tech” players themselves who have the obligation to believe their way is the only way.

Ana Botin is both banking smart and technology smart and you have to ask yourself where does most of a bank’s revenue and margins come from, and how do I maximize the way I service those business lines? I’m pretty sure it’s not just through online channels.

Interestingly enough, what is perhaps the greatest exponent of online channel distribution and disruption – Amazon – is right now today in talks to  potentially buy some of the (about to be bankrupt) Radio Shack stores across the US.

Why? So that they can leverage these stores as showcases for their own  strategic products.

Isn’t that what branch networks of banks should be all about?

Sure, maybe you don’t need as many branches, but that sort of ROI analysis is already business as usual for banks today, not a radical change in strategy.

To add to the "differences" commented by Alexander... has anybody tried to track down and wade their way through the descriptions and paperwork required and associated with this European initiative?

Has anyone even managed to actually track down all of the details?

Unfortunately, most European initiatives seem to be weighed down by so much paperwork that it can become an excessive challenge to many start-up initiatives.

Olivier, I think you raise a number of very valid observations.

I would even go a step further and suggest that in addition to the personalized customer experience you describe in terms of how a bank tailors its services and interactions with a consumer, they should also look to tailor and personalize the actual attributes of the underlying product offers that they provide.

Analyzing a customers needs or appetite for a particular solution based on the data resources you mention is absolutely valid, but converting the same analysis into a pure off the shelf product is not optimal as the end result is a "push" of a product catalogue that does not achieve the desired customer centric goals that everyone talks about and says they want to achieve.

Ideally, the underlying product processor systems need to be empowered with the ability to additionally tailor the characteristics of the underlying products to the specific personal needs of each consumer in terms of economic attrributes such as rates, term, liquidity, market participation etc.

Think of it as democratizing private bank style personalization, but at a retail, mass distribution level. Banking today however is still too much like Henry Ford's model of mass production, where you can choose any color as long as its black..!

Don't get me wrong, what you propose is completely valid, but I feel its only the first step in achieving the optimal solution for consumers.

Alex - yet again - you have hit the nail on the head about one of the simple truths about marketing and much of today's hype.

What you describe - even if personalized - is company driven personalization and marketing... instead of the famous customer centric driven marketing and personalization.

Getting the wrong proposal at the wrong time, or even the right proposal at the wrong time - can just end up creating consumer frustration.

Thanks Alexander.

Glad to see it wasn't such a dumb question or idea..! :-)

Hi Alexander - the whole area of mobile, NFC, virtual wallets and cards is not really my field so as always, following your posts is educational and enlightening.

As part of my ignorance I'm curious if maybe you can help me out on a doubt I have.

If a wallet (and similar services) is something that should be consumer driven and managed - is the concept of contactless stickers really going to work?

I saw the other day a "Bank Innovation / Finovate" article about someone recently receiving their Moven debit card and sticker. However, this same user already had a Discover sticker glued to the back of their smartphone.

Are we therefore headed to a world where we all have to collect stickers and cover our phone with multiple stickers to be able to choose what, where and how we want to make our purchases?

Obviously - I don't get it - but I have that choice today with my real wallet and a set of cards.

I guess what I'd really like is a single intelligent physical or virtual card with all other cards "embedded" that allows me to choose at the POS which underlying or related card or bank I want to post the transaction against. Anyone working in this field?

Alex - I couldn't agree more.

Always enjoy your posts - detailed, practical and with humor - thanks..!

Sounds like a good job that Moven was forced / obligated by US regulators to issue their customers with a card as well as their phone..!