A new research report from Coconut Software, developed in partnership with Future Branches Insights, reveals a significant disconnect between how financial institutions perceive their hybrid banking capabilities and their actual operational readiness. The report, titled 'Branch Forward: How Financial Institutions Are Investing in Technology, Scheduling, and the Future of CX,' is based on a survey of 100 senior leaders from banks and credit unions across the U.S. and Canada.
While 76% of respondents claim to deliver an integrated hybrid banking experience, only 3% describe their maturity as truly 'intelligent' or 'optimized.' This gap is further highlighted by the finding that 61% of institutions frequently struggle to forecast staffing requirements to meet customer demand, indicating a critical operational weakness as they aim to improve branch performance.
The report suggests that many institutions are turning to artificial intelligence to bridge this gap. More than half (56%) of respondents are already implementing AI in specific departments or workflows, and 22% are scaling AI institution-wide. Additionally, 58% have formal investment plans for AI-driven scheduling and intelligent advisor matching, and 53% plan to invest in demand forecasting within the next 18 months.
There is also a notable shift in how scheduling is perceived. Instead of viewing it as a purely operational function, financial institutions are now seeing it as a driver of revenue and branch performance. According to the report, 54% of respondents are most focused on improving appointment conversion value or revenue per appointment, and 38% rank conversion optimization as their top business priority over the next 12 months.
Other key findings include a preference for best-of-breed, integration-first vendor strategies (55% favor this over vendor consolidation), and the importance of strategic alignment (65%) and customer impact metrics like NPS and CSAT (42%) when funding new technology. Total cost of ownership is the most important factor in build-vs-buy decisions for 46% of respondents.
Katherine Regnier, CEO of Coconut Software, commented on the findings: 'Financial institutions have made significant progress connecting physical and digital banking, but the next stage of maturity isn't about adding more channels—it's about making every interaction more purposeful and productive. That requires institutions to better predict demand, connect the right people in the right place at the right time, and tie every interaction to clear outcomes. The institutions that solve that operational layer will be best positioned to turn hybrid banking into a true growth engine.'
The report is designed for operations, retail banking, customer experience, and digital transformation leaders, offering data-backed insights into AI adoption, workforce planning, scheduling maturity, technology investment, and the future of branch performance. To access the full findings and benchmark your institution's approach, you can download the report from the Coconut Software website.
