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Banks are a necessity for the vast majority of the British public; most lack the sophisticated style that we expect on today's high street. It was this very problem, together with the need to improve sales and service that one of the UK's leading financial groups, the Alliance & Leicester wanted to address by implementing a major re-brand of its UK branch network.
Tim Neal, Senior Manager Network Planning, Alliance & Leicester "We realised very early on that we could create a vibrant retail environment that our customers would want to spend time in, if we gave them more access to self-service channels and made interaction between customers and staff more accessible. By offering them informality, as well as formality we could then maximise every sales opportunity that presented itself.
"But the planned re-brand programme was more than just a re-design of the branch network for us, what we were undertaking was a massive cultural change among our customers and our staff - but one that would allow us to develop closer customer relationships, maximise sales opportunities and reduce the overheads associated with a full counter service."
It was on this basis that the bank invited a number of retail design specialists to pitch in late 2003. Design4Retail were invited to a four way pitch for the re-design of the branch network; after much consideration the bank awarded the contract to Design4Retail in late 2004.
The new design concept was then approved in March 2005 following the design and development of a prototype branch at Alliance & Leicester's, Carlton Park, headquarters. Working alongside the bank's specialist implementation team, Design4Retail completed six new concept branches during 2005 and continues to roll-out the new branding to the present day, which now includes 100 branches nationwide.
The bank's brief was to create an exciting eye catching environment that enables staff to not only sell products and services but would also clearly communicate the group's core brand values too.
Lighting up time
Design4Retail introduced mood walls which pulse and change from orange to blue which have been designed to work on two levels - firstly they highlight the browse wall brochures and the self service suite and secondly, they work to create a significantly different environment to any other bank on the high street.
Different elements were used to enhance the customer experience by using music and lighting to bring the bank to 'life' in a more integrated way - although most prevalent when first entering the branch, colour change is carried right through the interior layout and is used to tie all the new branch elements together.
The result is a contemporary theme that creates a relaxed environment and style change according to the time of day. For instance, in the evening the external ATM area stands out and draws self-service traffic, this is an income generator and a great vehicle for the bank's value added products through the provision of a high density LCD screen above the ATM. Having this area lit up also provides enhanced security for customers using the ATM in the evening.
Tim Neal, Alliance & Leicester, said: "Although orange and blue is used by many other high street retailers, we are the only ones that have it pulsing and projecting out into the street. Thanks to our innovative colour change walls, we are also the only ones who can say that we change the interior of our branches every five seconds!"
Keeping customers happy
If the new branch exterior pulls customers into the branch, the interior provides an informal banking experience. The traditional counter has been 'demoted' to the back of the store, freeing up more space for staff and customers to interact. The front of house is now populated with a welcome desk, replacing the traditional office of the branch manager. Gone are the days when a branch would feel enclosed, the new layout encourages movement and the flow of staff and customers around the branch.
Design4Retail have created formal interview areas for customers to discuss their financial matters in private. Customers have identified, however that they are more than happy to discuss more immediate issues in more informal surroundings. New informal consultation pods allow customers to discuss their financial needs in a more relaxed manner.
This doesn't mean that the bank has compromised on privacy in order to deliver a 'more open' environment. The consultation pods provide privacy, while the use of background music gives a perception of privacy and creates an ambience that is unique among banks.
Tim Neal, Alliance & Leicester, "Design4Retail pulled out all the stops to deliver our vision. They are always pushing the envelope while remaining grounded as to the key factors associated with being a bank. They sourced fresh and inventive materials from new and innovative suppliers and together we created a vibrant retail environment, which clearly communicates service and product options to our customers in line with our core brand values."
Results
In the branches that have already launched, reaction from staff and customers has been overwhelmingly positive. But if we look at sales figures alone, the results do no disappoint.
Average sales performance of the new style branches has outperformed the remaining network by a significant factor and in line with the Alliance & Leicester business plan.
During 2006 the bank has been launching up to three new branches a week so that 20% of its network has already benefited from the new changes. During 2007 the bank has invested in a further 50 branches to complete the roll out.
Chris Baker, Creative Director, Design4Retail, comments: "Together we've delivered a brand focused, flexible retail solution that has revitalised the Alliance & Leicester brand and created an appealing environment that delivers better customer service, increases revenue and reduces costs at the same time."
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