Community Banking's Future: Human Connection in an AI-Driven World with Brian McEvoy

Rutger Van Faassen (00:01.144) Hello and welcome to another episode of Banking on Information. Today, my guest is Brian McEvoy, who is Chief Retail Banking Officer at Webster Five. Welcome to the podcast, Brian.

Brian McEvoy (00:16.242) Thank you, Rutger. Thank you for having me. Rutger Van Faassen (00:20.

302) Great. Well, we'll dive right in with that very first question. Why, Brian, do you do what you do? Brian McEvoy (00:28.

19) You know, I love this question that I've watched a number of your episodes and you know the the variety of answers is amazing. right? So let me give you kind of two parts, you know Why do why do I do what I do like first the company Webster Five, right? Why do we do what we do?

We operate as a mutual bank, which a lot of people don't know what that is. right? It's a bank, but we don't have shareholders or stockholders or any special interests. We are owned by our depositors.

So, everything we do is for the benefit of the communities we serve. Our actual mission statement, so why we do what we do is our mutual mission is to amplify the good in our communities. So that's what it all boils down to. It all comes back to how do we benefit the community?

So that's our reason why we do what we do. Why I do what I do, Rutger, and why I joined Webster Five in 2020, is because that type of mission really aligns with the corporate values, I guess, align with my own personal values. I was looking for a way to connect the work I do in banking with something a bit more meaningful and directly tied to helping people. Rutger Van Faassen (01:27.

096) Mm-hmm. Brian McEvoy (01:51.802) And so it was the perfect fit. Rutger Van Faassen (01:52.

312) Yeah. Yeah. So you are a person who wants to benefit the community and this, yeah, that seems like a perfect match with Webster Five. Now, what is the main thing that you solve for your members, the people that are customers of Webster Five?

What would you say you do for them? Brian McEvoy (02:16.542) Yeah, I think, you know, what doing for those Banks primarily are providing advice and guidance and money management to customers. right?

you know, As you know, and as you discussed on this podcast with a number of different people, the industry has, you know, the products and services have largely become commoditized. And then the delivery mechanism has shifted more and more and more towards self-service and digital tools. So we recognize that and we want to provide a service delivery model that gives you the best of the self-service tools and 24-7 access and just get the best digital products around, but really in a manner that is truly relationship management tied.

Rutger Van Faassen (03:11.992) Yeah. Brian McEvoy (03:13.018) So, you know, we have a close relationship with our customers, whether that's our commercial bankers with, you know, with their customers or branch team members with people who come and visit the branch, or if you want to call.

This is increasingly rare, I think, in banking. You want to call the bank and talk to somebody, You know, we have a contact center where you would get to know the five or six people that work in there on a first name basis. So it's, I think The way that we do things is we tie the best of the technology that's available out there with a true personalized experience in our assisted channels. Rutger Van Faassen (03:58.

658) Yeah, no, That is a very, very community focused. right? And absolutely something that people are looking for to have the best of the digital tools available, but also have someone to actually speak to a real human in the loop. I think is still very important for a lot of people.

Now, when that happens successfully, how do your customers talk about that? Like what, what did they say when that all goes well? Brian McEvoy (04:26.034) Yeah, I've got a real life use case actually.

So, my son who's 21 years old was recently looking to change banks. He didn't bank with us yet. Bad parenting on my part, right? So, he had a pre-existing relationship and he had some service issues, we'll just say, with that institution.

And so he asked me, said, Rutger Van Faassen (04:29.045) Mm-hmm. Yeah. Rutger Van Faassen (04:36.

024) Mm-hmm. Brian McEvoy (04:55.302) Hey, you know, should I come to your bank and why? And I said, yes, and here's why.

And they gave him a reason I just told you. And I offered him as a Gen Z, you know, potential customer multiple ways to interact with the bank. So you can open your account online. You know, we have a digital solution for account opening.

Or you can come into a branch. And he said, well, you know, I think I want to come into a branch which surprise me. And He's like, which one should I go to? And I gave him choices and he went to you know, one down the street from us.

And what he said, which really resonated with me, because I think it's the most important thing and probably the failure point for the most part with, you know, these kind of advice led conversations in branches across the industry is the rep that he met with, answered all of his questions and explained how things work to him. And so, you It was more than just a, you know, let's fill out the paperwork, let's get you set up and out the door transaction. And more of a, he came in, you know, he's got questions, he doesn't really understand how banking works.

And the representative sat down with them and took the time to guide him and provide him direction on how to make the most out of the services. that we use. And I would say that our customers, by and large, would tell you that's what happens in a Webster Five branch or the call center. or whatever.

And we get the proof points really to validate that. So In our community, we've been voted the best bank in the area, five out of the last seven years. Rutger Van Faassen (06:37.048) Mm-hmm.

Brian McEvoy (06:45.31) We have really unheard of NPS scores in the high 80s and low 90s. So I think our customers really understand the value we deliver and they champion it and really through word of mouth help us reach more of their friends and family. and other community members.

Rutger Van Faassen (07:05.782) Yeah. Now That is a very powerful story, especially given that it's your son, right? Like It's so close, but then still you learn from that and you actually get that feedback and almost see through his eyes.

right? How he not being a banker, right? And in banking sort of experiences what you do. And it's great to hear that he had such a great experience and really felt heard and...

and helped. right? To sort of say, hey, let me explain how this works. Let's not just tick boxes and get you on your way.

That is a very powerful way to get people to really experience what you do and set you apart, I think, from a lot of organizations. Now, yeah. Brian McEvoy (07:47.294) Taking the time, right, to spend the time with someone and not make any assumptions about what they want or what they know, because I'm guilty of it.

I made an assumption that because he's 21, his preference would be to do it by himself. I was dead wrong about that. And I think it helps dispel a lot of the myths about generational banking, right? And the research is starting to show this.

Right, Rutger, you know better than I do, I think, terms of what the research shows, know, Gen Z, which is the group that everybody's trying to you know, go and acquire as customers because you know, we want to you know, build the next generation of customers. and all that stuff. They're in the company for a long time, you know, know, meant that they didn't want to come into branches and want to talk to people. They don't know how to use the phone, like whatever the, the myths were and I think, you know, This example of my son, but also there's countless other examples like that, show that you know, they're really looking for a full service you know, banking model.

Yeah, they want to use online and you know, mobile banking and sure, they might want to deposit a cash cash at an ATM, instead of a branch, but they're still coming in and they have questions. They need to be reassured that they need confidence with the choices that they're making. And that's, I think where you know, good bankers always make a difference. Like that's in the margin.

Like that's where the difference happens. And that's why I believe in community banking. Rutger Van Faassen (09:22.498) Yeah, no, I hear you.

And it all comes down to trust. right? Who can I trust? Who's there for me when I need them?

It also doesn't have to be all the time. I don't think your son is eager to be at the branch for every transaction. I think he'd probably be very, very happy to do a lot of stuff online. But the moments that count, it is important that someone is there for you.

right? And can actually explain things and actually sort things out for you. think that is very powerful. Now, I like to do this thing called Futures Thinking.

which is We don't know what the future is gonna bring us, not even tomorrow, but we can think of a possible future. So let's think 10 years out, 2035, paint me a picture of what you think banking, community banking, what the world could look like. What is a possible future that you see? Brian McEvoy (10:11.

368) I think about this one a lot, Rutger, you know, kudos to you with this, this podcast with the format, like I know what questions are coming and I've watched a number of your episodes. But the answers have been fascinating, right? This is the hardest question, I think, for anyone to answer, because the future is like forever getting closer. right?

10 years out 10 years ago was a lot farther away than it is now. Rutger Van Faassen (10:20.426) Mm-hmm. Yep.

Rutger Van Faassen (10:35.714) Mm-hmm. Yeah. Brian McEvoy (10:39.

358) 10 years out, 50 years ago was even farther away. So, you know, I feel like the equivalent of 10 years out now, you know, is, you know, whatever, like what does next year look like? And so it's really, really difficult. But I do have some thoughts, you know, in terms of the industry.

One, I think there's a David and Goliath story that's going to play out. right? So in the US in particular, you know, I think bank consolidation has been lagging the rest of the world and we have a lot of banks and a lot of credit unions. And sure, there's been some rationalization of that over the past 20 years or whatever, but I think there could be a lot more, especially if the regulatory environment remains friendly to &A.

And I think that actually creates an opportunity for uh... you know mission-based community financial institutions because there's always going to be a place for you know a Webster Five where customers feel like they need to have a personal connection and that you go into a branch so can talk to somebody they can get somebody on the phone they can do all those things. right uh... There's always going be a place for the money centers and the convenience of you know I have uh...

can bank here or can move across the country or go to Florida or whatever and not have to change banks. I think that's a very real thing. It's the part in the middle that I think is really, really challenged. How do you operate as a 40 or 60 billion dollar bank?

I don't think you do in 10 years. I think it's really locally led community financial institutions and then large banks and really nothing in between. Rutger Van Faassen (12:19.758) All right.

Brian McEvoy (12:28.936) I think what's going to drive a lot of that too, and the thing that everybody should be thinking about. And I say this at the risk of it sounding cliche because everybody talks about AI and everybody talks about blockchain, but those are realities. right?

I think anybody in my position or a position like it, or a business line leader in commercial or investment banking or whatever. should really, really have a deep understanding, not just of generative AI, but agentic and any other type of artificial intelligence that's coming down the road because it's going to change workflows, it's going to change customer expectations. I also think it's going to drive, ironically maybe, the need for more human connection. One, because it's becoming increasingly difficult to see and really distinguish between what's real and what's artificially generated.

And so people are gonna wanna connect in person and have real human interactions. Two, I think the efficiency of it and the automation of rope tasks and really being able to deliver a lot of that in a more secure manner through blockchain is really gonna change the I guess, guts of the industry and we really need to be prepared for that. I don't know what that's going to look like end state, but I believe that those are the two components that are going to drive the bulk of that change.

Rutger Van Faassen (14:07.704) Yeah, no, absolutely. Definitely AI is here and here to stay. It's going to change everything.

Blockchain, same thing. right? It's not For a while some people were thinking like, maybe this is a fad. It'll go away.

Maybe it's just a phase, but no, those are two things that are going to be real. And, and especially also what you're talking about, the consolidation and kind of the bookends, right? So either you're very focused on one specific community or you have lots of scale, but that kind of stuck in the middle is that's, that's going to be hard. 10 years from now.

So I really, really agree about everything that you're saying. Now, if that becomes the reality, what can we do today to get ready for that? Brian McEvoy (14:46.686) You know, I think it's really about education.

right? You know, As we kind of talked about a little bit earlier, the speed of technology transformation, it's becoming more and more rapid. So it's more and more difficult to stay current on that, but it's also more and more important to stay current. Like, we didn't understand what the...

the risks and the opportunities that these technological innovations provide to our industry. And I think there's going to be winners and losers. And so what can we do now? It's try to answer the questions like you asked, Futures Thinking, what do we think it looks like?

How do you prepare yourself for that? How do you educate yourselves on the emerging capabilities and what the potential implications are? on your business. I think it's as simple as that.

Rutger Van Faassen (15:45.294) Yeah, that is always, and I think It's always a good answer, right? to stay informed and educate yourself about things that are coming, but especially here. it's no longer, You can no longer sort of deny that this is happening.

So yes, inform yourself, learn about it, do things like Futures Thinking, right? Think about what possible futures could be. No one can predict the future, but thinking about the future helps you sort of train that muscle and even sort of see things that you might otherwise not have seen. That is a great answer.

That's probably also a good point to wrap this up on. Thank you very much, Brian, for doing the Futures Thinking and for sharing your why and why Webster Five does what it does. Brian McEvoy (16:27.055) thank you.

Thanks for the opportunity. I really enjoyed it. Rutger Van Faassen (16:30.296) Great.

And until next time, choose to be curious.