A new research report released today by Coconut Software, in partnership with Future Branches Insights, reveals a significant disconnect between how financial institutions perceive their hybrid banking capabilities and their actual operational maturity. 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.
According to the findings, while 76% of financial institutions say they deliver an integrated hybrid banking experience, only 3% describe their maturity as truly 'intelligent' or 'optimized.' This gap 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 that challenge occasionally. These numbers suggest that despite technological investments, many banks and credit unions are not yet equipped to align their workforce with customer needs effectively.
The report also underscores 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. 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. This indicates a clear recognition of AI's role in addressing operational inefficiencies.
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 research reveals a fundamental shift in how scheduling is perceived—from an operational function to a driver of revenue and branch performance. 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 suggests that institutions are increasingly viewing scheduling as a strategic tool to enhance profitability.
Other key findings include that 55% favor a best-of-breed, integration-first vendor strategy rather than vendor consolidation. When funding new technology, 65% say strategic alignment is one of the two most important factors, while 42% cite customer impact such as NPS and CSAT. Additionally, 46% rank total cost of ownership as the most important factor in build-vs-buy technology decisions.
These insights come at a time when banks and credit unions are under pressure to improve branch performance and customer experience. The report's findings highlight the need for institutions to not only invest in technology but also to develop the operational capabilities to use it effectively. As hybrid banking becomes the norm, the ability to forecast demand and optimize staffing will be crucial for institutions looking to stay competitive.
The full report is available for download at [coconutsoftware.com](https://coconutsoftware.com) and offers data-backed insights for operations, retail banking, customer experience, and digital transformation leaders.
