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 at banks and credit unions across the U.S. and Canada.
While 76% of respondents said they deliver an integrated hybrid banking experience, only 3% described their maturity as truly “intelligent” or “optimized.” This gap is further highlighted by the finding that 61% frequently struggle to forecast staffing requirements to meet customer demand, with an additional 38% experiencing this challenge occasionally. These numbers suggest that many institutions have invested in digital channels but have not yet developed the operational sophistication to align staffing with customer needs effectively.
The report indicates that financial institutions are aware of this gap and are turning to artificial intelligence (AI) to address it. More than half (56%) of respondents said they are already implementing AI in specific departments or workflows, while 22% are scaling AI institution-wide. Over the next 18 months, 58% have formal investment plans for AI-driven scheduling and Intelligent Advisor Matching, and 53% plan to invest in demand forecasting. This focus on AI suggests a recognition that predictive analytics and automation are key to bridging the operational maturity gap.
The research also shows a shift in how scheduling is perceived. Rather than viewing it as a mere operational function, 54% of respondents said that appointment conversion value, or revenue per appointment, is the scheduling metric they are most focused on improving. Additionally, 38% ranked conversion optimization as their top business priority for the coming year. This indicates that institutions are beginning to see scheduling as a strategic tool to drive branch performance and revenue growth.
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 also sheds light on technology investment strategies. A majority (55%) favor a best-of-breed, integration-first approach over vendor consolidation. When funding new technology, 65% say strategic alignment is one of the two most important factors, while 42% cite customer impact metrics such as Net Promoter Score (NPS) and Customer Satisfaction (CSAT). Additionally, 46% rank total cost of ownership as the most important factor in build-vs-buy decisions.
These findings come at a time when banks and credit unions are under pressure to deliver seamless experiences across physical and digital touchpoints. The report suggests that while many have made progress, true maturity requires a focus on operational excellence—particularly in workforce planning and the strategic use of AI. Institutions that can close the gap between their claimed integration and actual operational capabilities will be better positioned to compete in an increasingly digital landscape.
The full report, including detailed findings and benchmarks, is available for download at Coconut Software.
