Branch closing responds to evolving consumer habits, Royal Bank says

The Royal Bank of Canada branch at Front and Campbell streets in downtown Belleville is closing its doors this Friday. Photo by Casey Horn, QNet News

By Brad Bennett and Brendan Burke

BELLEVILLE – The closure of the Royal Bank of Canada’s longstanding downtown location this coming Friday is a response to the evolving habits of consumers, according to RBC’s regional vice-president.

A sign posted on the front door of the bank tells customers about the closure. Photo by Casey Horn, QNet News

“This decision was made after careful consideration of how we can best serve the Belleville community,” Randy Tredenick says. 

The Front Street location will shutter its doors and merge with the bank’s North Front Street office about two kilometres away.

Tredenick, who oversees branch operations in the Belleville area, said in an email to QNet News that the decision is part of an effort to meet the shifting demands and practices of customers in an increasingly online world.

“Over the years, as consumer banking habits have evolved, we have been broadening our client service to be a blend of online and mobile channels, branches and mobile expert advisers, depending on the needs of the clients and markets we serve.”

Almost 40 per cent of Belleville residents who bank with RBC do their banking online, Tredenick said. The move away from face-to-face bank transactions has translated to less traffic at the downtown branch, hurting the bottom line, he said.

“Quite simply, keeping the Belleville main branch open is not sustainable as less and less people are coming into the branch to do their banking.”

The last few years have seen a 30-per-cent drop in clients visiting the location, he said.

The merging of the two branches on North Front Street could add an hassle to the banking experience for some customers, he acknowledged.

“We recognize that this may cause some inconvenience to our clients and employees, but want to assure them that we will work with them to manage this consolidation seamlessly.” 

Employees affected by the downtown closure will keep their positions at the North Front location, Tredenick said.

While the building isn’t old enough to be designated a historical site, the branch’s move will still be felt in Belleville’s core, Greg Pinchin, city hall’s liaison with the city’s heritage committee, told QNet News.

“It’s always unfortunate when a business leaves downtown, but hopefully something will take its place,” he said.

Until then, the building’s vacancy spells economic consequences for the newly revitalized area, according chair of the Belleville Downtown Improvement Association, Dwayne Barratt.

“The people that had bank accounts there, they’ll be going elsewhere … which means they may not come downtown, so there will probably be a reduction in foot traffic,” he told QNet News. 

According to Barratt, less “feet on the street” means less business – and revenue – for downtown shops and restaurants.

But Barratt says efforts are underway by the BDIA to ensure migrating downtown businesses don’t become a trend.

“We have formed a business retention and expansion committee group … trying to, wherever possible, retain businesses as well as attracting businesses to downtown.”

As part of the association’s plan to maintain and spur growth, Barratt says the BDIA is in talks to launch a contest that would award entrepreneurs and young business owners with storefront space in downtown Belleville.

The bank will close its doors permanently at the end of the business day Thursday.