The new 'bankers' hours': 24 x 7 x 365 customers demand convenience. And they get it.

• Author: Frisk, Travis C.
• Position: Internet generation banking practices

Did you ever stop to think that today's Generation X or Y may have no idea what's meant by the phrase "bankers' hours?"

Unlike their parents, today's Internet generation is growing up with full access to their money in the bank--day and night, including weekends and holidays. They are benefiting from a revolution that has made managing their finances simpler, easier and more convenient.

Consider the dramatic shifts in banking practices over the past decade, as reflected at KeyBank. In 1995, roughly two-thirds of transactions occurred in our branch network. In 1997, the ratio of branch to remote transactions was split evenly at 50/50. Just three years later, in 2000, the original ratio had been flipped, with more than two-thirds of transactions being done online, at ATMs or by telephone. In 2003, about 70 percent of Key's customer transactions will occur outside of a branch. In fact, Key's Internet site-Key.com-alone is a destination for more than 1.5 million visitors each month.

Satisfying so many customers with so many needs takes a combination of four distinct but interrelated delivery channels:

* brick-and-mortar branches in convenient locations near home and work,

* a nationwide ATM network,

* telephone call centers and

* a comprehensive online banking and investing site.

BRICK-AND-MORTAR MAINSTAYS

The branch system is the banking delivery channel most familiar to consumers. As they have been for years, branches are critical touchpoints for customers who desire one-on-one relationships with their banks. Even among the most technically savvy customers are people who want to discuss opportunities and needs face-to-face with someone they trust. When it comes to making complex decisions, some customers feel more comfortable in the company of a personal trusted advisor.

Bank branch offices will continue to be the backbone of the banking industry's retail presence. Many new bank branches are being built and existing ones upgraded to be more inviting and better able to meet the many needs of customers.

IT'S IN THE CARDS: ATMs ARE VITAL TO CUSTOMERS

The introduction and proliferation of automated teller machines that began in the mid-1970s made it easier than ever for customers to conduct basic transactions with their banking institutions. With an ATM card in their wallets, customers are able to get or deposit cash from thousands of locations, any time of day or night.

Recently, many ATM-only cards have been upgraded to debit cards. These cards...