Published Online:May 2025
Product Name:The IUP Journal of Bank Management
Product Type:Article
Product Code:IJBM030525
DOI:10.71329/IUPJBM/2025.24.2.54-86
Author Name:J Madegowda
Availability:YES
Subject/Domain:Finance
Download Format:PDF
Pages:54-86
This study explores the continued relevance of branch banking in the context of fintech integration by analyzing perspectives from bank customers and officers. Using Factor Analysis, the study evaluates responses across six service dimensions—security, accessibility, personalized assistance, fraud prevention, customer support, and geographical connectivity. The results indicate a strong consensus on the enduring importance of branch banking, especially in areas with poor digital infrastructure and among customers with limited digital literacy. Both customer and officer responses emphasize the role of branches in ensuring secure transactions, fostering trust, and delivering tailored services for complex financial needs. Despite the rise of digital platforms, physical branches remain critical for supporting underserved populations and maintaining inclusive financial access. The findings support the adoption of hybrid banking models that integrate fintech innovations with human-centric branch services. Practical implications include training staff to manage high-stakes, personalized interactions and enhancing digital-physical synergy in service delivery. This study contributes to the growing discourse on digital transformation in banking by highlighting the sustained value of physical branches and offering a strategic framework for balancing digital efficiency with traditional relationship-based service
The banking business has seen substantial developments in recent decades, propelled by technological advancements, regulatory changes, and shifts in customer expectations. Historically, banking was established in physical branches, functioning as vital centers for financial transactions, advisory services, and building relationships between banks and their customers. This approach has been disrupted by the emergence of digitization and developments in financial technology (fintech), which have created new avenues for financial services (Vives, 2019).