Since 2009, Nedbank has spent about R1.5bn on automated teller machines (ATMs), kiosks and branches.
Nedbank chief executive Mike Brown said the R1bn earmarked for the next three years would be spent on a combination of branches, retailer points of presence and ATMs.
This means that from 2009 to 2015 Nedbank would have spent R2.5bn on expanding its footprint.
Brown could not disclose the breakdown and the areas in which these branches, ATMs and kiosks would be deployed for competitive reasons.
"We have identified 30 growth nodes and we will focus on those," Brown said.
Nedbank has been trying to shed its perceived elitist image by attracting a broader customer base, including the low-income segment. Based on this, the bank could be looking to invest in areas where it is under-represented.
Through initiatives such as the Nedbank Cup sponsorship and Ke Yona product offering the banking group has made inroads in attracting a broader customer base.
As at the end of June, Nedbank had 536 branches, 176 banking outlets including kiosks, 365 personal loan kiosks and 2,716 ATMs.
Nedbank is relatively underrepresented in terms of ATMs and branches when compared with Standard Bank, Absa and First National Bank (FNB).
In the period to end-June, FNB had 4,969 ATMs compared with 5,360 last year, and about 775 representation points, which includes branches.
Standard Bank had 587 branches, 74 loan centres, 9,070 access points, 7,200 ATMs, and 41 extended-hour outlets.
Absa had about 849 outlets, 5,971 ATMs, 3,252 non-Absa-owned ATMs, and 706 subsidiary outlets and ATMs.
Absa is the largest bank by customers in South Africa with more than 11m retail clients, followed by Standard Bank with about 9m, FNB with about 7.5m and Nedbank with about 5.6m,
However, although Nedbank has the lowest retail customer base among the big four, it grew its headline earnings by 25.1% competing only with FirstRand, which grew normalised earnings by 26% in the period to end-June.
Source: Business Day via I-Net Bridge
For more than two decades, I-Net Bridge has been one of South Africa’s preferred electronic providers of innovative solutions, data of the highest calibre, reliable platforms and excellent supporting systems. Our products include workstations, web applications and data feeds packaged with in-depth news and powerful analytical tools empowering clients to make meaningful decisions.
We pride ourselves on our wide variety of in-house skills, encompassing multiple platforms and applications. These skills enable us to not only function as a first class facility, but also design, implement and support all our client needs at a level that confirms I-Net Bridge a leader in its field.
Go to: http://www.inet.co.za
