A new research report from Coconut Software, developed in partnership with Future Branches Insights, has uncovered a significant disconnect between how financial institutions view 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 financial institution leaders across the U.S. and Canada.
The findings reveal that while 76% of institutions claim to deliver an integrated hybrid banking experience, only 3% describe their maturity as truly 'intelligent' or 'optimized.' This disparity is further highlighted by the fact that 61% of respondents frequently struggle to forecast staffing requirements to meet customer demand, with an additional 38% experiencing this challenge occasionally. This 'hybrid maturity gap' suggests that institutions may be overestimating their operational capabilities in the face of rapidly evolving customer expectations.
In response to these challenges, the report indicates a critical uptake in AI integrations. More than half (56%) of respondents said they are already implementing AI in specific departments or workflows, while 22% are scaling AI institution-wide. Furthermore, over half have formal investment plans for AI-driven scheduling and intelligent advisor matching (58% each) and demand forecasting (53%) within the next 18 months. This focus on AI is part of a broader strategy to close the gap between digital aspirations and day-to-day operations.
The research also points to a fundamental shift in how financial institutions view scheduling: from an operational function to a driver of revenue and branch performance. Notably, 54% of respondents said appointment conversion value, or revenue per appointment, is the scheduling metric they are most focused on improving, while 38% ranked conversion optimization as their top business priority over the next 12 months. This indicates that institutions are increasingly recognizing the direct impact of efficient scheduling on their bottom line.
Other key findings from the report include a preference for best-of-breed, integration-first vendor strategies (55%) over vendor consolidation, and the importance of strategic alignment (65%) when funding new technology. Additionally, 46% of respondents rank total cost of ownership as the most important factor in build-vs-buy technology decisions.
Katherine Regnier, CEO of Coconut Software, commented on the findings, stating, '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.' She emphasized the need for 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 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. The full report can be downloaded from Coconut Software's website.
