Benchmark branch succumbs to shifting norms

BENDIGO Bank’s flagship Bendigo Central branch in Bath Lane will close for good on Friday 14 August.

Officially opened by Prime Minister Kevin Rudd in December 2008 as part of the new $100m Bendigo Centre, it was billed as the first of its kind within the organisation’s entire national network due to its modern, open-counter banking environment.

In a statement posted to the branch closures section of its website, the bank said the decision to close a branch is not something it takes lightly.

It said after all options were considered, the main reason for the closure was fewer customers visiting branches to do their banking.

“When customers do visit a branch, it is much less often – approximately 21 per cent of our customers in the Bendigo Central branch only visited once in the last year,” the statement read.

“More than 28 per cent of these customers have chosen other locations to conduct their banking.”

Bendigo Bank's Mitchell Street branch will undergo a $500,000 conversion into what it describes as a — Bendigo Bank’s Mitchell Street branch will undergo a $500,000 conversion into what it describes as a “unified, state-of-the-art facility” in the CBD. Photo: Bendigo Bank/supplied.

The bank said 79 per cent of its Bendigo Bank Bendigo Central customers are currently registered for e-banking and/or phone banking, 69 per cent regularly use e-banking and/or phone banking, and only 5 per cent choose to bank in-branch only.

“This decision recognises that customers typically prefer to use the Mitchell Street location with customer foot traffic at the Bendigo Central branch steadily declining and reflects the evolving ways which customers choose to bank,” the statement concluded.

Finance Sector Union national secretary Julia Angrisano suggested the upcoming closure could be a sign of indifference from the bank towards its customers and staff.

“The only people who will win are the shareholders who may see a small rise in bank profits at the expense of the community right in the bank’s own heartland,” she said.

“Bendigo Bank believes it is only a minor inconvenience, but the people who require face-to-face banking services in the city will definitely think differently.”

Bendigo Bank chief customer officer Adam Rowse said the refurbishment of the Eaglehawk and Mitchell Street sites demonstrates a commitment to the branch network and region. Photo: Bendigo Bank/Supplied.

Before the closure, two of the four local branches to remain – Eaglehawk and Mitchell Street – will have undergone significant upgrades.

The Eaglehawk branch is currently closed for a $700,000 refurbishment and is expected to reopen on Wednesday 29 July.

The Mitchell Street branch will be closed from today and is expected to reopen on Monday 27 July while it undergoes a $500,000 conversion into a “unified, state-of-the-art facility in the centre of the city”.

Chief customer officer Adam Rowse said the upgrades show the bank’s ongoing commitment to its branch network and connection to the region.

“We are proud to be the only ASX 200-listed company headquartered in a regional city,” he said. “We are a community-focused bank with regional roots stretching back over 160 years, and our commitment to regional Australia remains as strong as ever.”