Nedbank is testing a new hybrid banking model that combines self-service technology, digital on-boarding and human assistance in retail environments, as banks rethink the role of traditional branches.
The big-five bank has introduced a pilot Client Connect Zone, with deployment into several malls across the country in the mid- to long-term.
Nedbank says the Fleurhoff Mall Client Connect Zone pilot is planned for later this month. A Client Connect Zone is a technology-enabled banking hub that combines self-service kiosks with personalised consultant support, allowing customers to handle routine transactions and access expert assistance in one location.
According to Nedbank, the move comes as South African consumers increasingly adopt digital banking, but continue to use physical channels when they need assistance, advice or reassurance.
“Our customers are showing us that the future of banking isn’t about digital or physical, but it’s about creating experiences that combine the strengths of both,” says Werner Terblanche, managing executive of channel operations at Nedbank.
“People no longer think about banking in terms of channels. They simply want to engage with their bank in the way that best suits their needs at that particular moment. Sometimes that’s through an app, sometimes it’s self-service, and sometimes it’s a conversation with a consultant. Our responsibility is to make those experiences work seamlessly together, while meeting customers where life happens.”
Nedbank says its customer data shows the demand for assisted self-service is growing. Its network of 581 self-service kiosks (SSKs) facilitates more than half a million transactions a month across more than 60 banking services.
Almost 70% of instant-issued debit cards are dispensed through the SSK network, while 56% of cards issued through the kiosks go to entry-level banking clients.
Its Client Connect Zones strategy extends that digital infrastructure outside the conventional branch environment into malls or shopping centres, allowing customers to use technology while retaining access to the bank’s employees when required.
Customers will be able to complete everyday transactions, while consultants assist with account opening, digital on-boarding, product education, money app support and more complex financial conversations.
The concept effectively turns the physical banking point into an access layer for the bank's digital services, rather than a traditional transaction-heavy branch, notes the bank.
Nedbank offers customers multiple digital channels, including its money app, online banking, mobile banking and its Enbi digital banking assistant (AI chatbot).
The bank says it has also progressively moved services that were traditionally branch-based to digital channels, including services accessible through its money app and online banking platforms.
It says it poured R2.6 billion into technology over the past financial year, to accelerate digital innovation across its operations.
Smaller branch presence
Nedbank’s latest strategy comes as local banks reduce their physical branch footprints, as customers increasingly move routine banking to apps, online platforms, ATMs and self-service technology.
Nedbank, Absa and Standard Bank have reduced their branch network in recent years, with Standard Bank also moving towards cashless branches as cash usage declines.
Nedbank has reduced its ATMs to 345 over the past six years, while its branch network has declined to 539, from 546 last year.
In Absa group’s interim results for the six months ended 30 June 2026, the bank says it closed 79 physical bank branches and more than 100 ATMs in SA as customers increasingly adopt digital banking channels.
GoTyme bank previously told ITWeb it is removing kiosks from Pick n Pay stores, and is expanding its kiosks to mall hubs across the country, as part of a natural evolution of its hybrid ‘phygital’ model.
Meanwhile, First National Bank and Capitec Bank say they have continued to increase their bank branches.
According to Nedbank, self-service technology within the Client Connect Zones allows its bank employees to move away from routine transactions and spend more time on higher-value interactions.
“Approximately 26% of self-service usage relates to card dispensing, 16% to printing services and 7% to product sales, with the remainder covering a broad range of banking services. Card dispensing through the kiosks can also be up to 37.5% more cost-effective than traditional branch processes,” the bank notes.
The Client Connect Zone pilot is not about removing physical locations altogether, but making them more technology-intensive and strategically-focused, states Terblanche.
“This pilot is about much more than opening another banking facility. It represents the next evolution of our hybrid banking strategy. We believe the future of banking lies in creating connected experiences where customers can move seamlessly between digital banking, assisted self-service and personalised advice. Banking should be available wherever and whenever customers need it, not only inside traditional branches.”
Nedbank says it will use the pilot to measure customer engagement, product uptake, digital adoption, and customer feedback and referral opportunities.
Share
