A new research report released today by Coconut Software, in partnership with Future Branches Insights, exposes a critical 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 study of 100 senior financial institution leaders across the U.S. and Canada, and reveals that while 76% of institutions claim to deliver an integrated hybrid banking experience, only 3% describe their maturity as truly “intelligent” or “optimized.”
The findings underscore a significant operational gap: 61% of respondents said they frequently struggle to forecast staffing requirements to meet customer demand, with an additional 38% experiencing this challenge occasionally. This suggests that despite substantial investments in digital channels, many institutions are ill-prepared to align their workforce with fluctuating customer needs—a key component of successful hybrid banking.
In response to these challenges, the report highlights 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 50% have formal investment plans for AI-driven scheduling and intelligent advisor matching (58% each) and demand forecasting (53%) within the next 18 months. These investments indicate a strategic pivot toward using AI to bridge the gap between front-end digital experiences and back-end operational efficiency.
The research also points to a fundamental shift in how financial institutions view scheduling—from a purely 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 aligns with the growing recognition that scheduling is not just about logistics but about maximizing the value of every customer interaction.
Other key findings from the report include a preference for best-of-breed, integration-first vendor strategies (55%) over vendor consolidation, and a focus on strategic alignment (65%) and customer impact (42%) when funding new technology. Additionally, total cost of ownership (46%) is the most important factor in build-vs-buy technology decisions.
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. It offers data-backed insights into AI adoption, workforce planning, scheduling maturity, technology investment, and the future of branch performance. The full report, “Branch Forward,” is available for download, allowing institutions to benchmark their approach against industry peers. As banks and credit unions navigate the complexities of hybrid banking, this research provides a timely wake-up call: perception of integration is not enough—operational readiness is essential for delivering seamless customer experiences and achieving long-term success.
