Tech advances prompt Nomura Securities to consolidate branch offices in metropolitan areas
The firm plans to consolidate 25 branch offices, mainly in Tokyo, Osaka and Nagoya, from early August to early September.
Nomura Securities Co., Ltd., a subsidiary of Nomura Holdings Inc (TYO:8604), has unveiled plans for consolidation of some of its retail branch offices located in metropolitan areas. The firm intends to consolidate 25 branch offices, mainly in Tokyo, Osaka and Nagoya, from early August to early September.
Nomura has established a network of 156 branch offices throughout Japan to provide optimal financial services that meet the diversified needs of its clients. However, given recent advances in technology as well as the changing age demographic and increasingly diversified needs of clients, the functions and roles expected of branch offices have changed. Via the consolidation of branch offices and assigning specialized sales partners to each branch office, Nomura aims to more closely align its offering to the individual needs of its clients.
Nomura also aims to offer more flexible business hours as well as life planning and inheritance consulting services that make use of digital tools.
The growing digitalization of banking services has prompted other financial institutions in Japan to streamline their services too. For instance, back in August 2018, MUFG Bank, a unit of Mitsubishi UFJ Financial Group Inc (TYO:8306) was reported to be reducing the number of ATMs. As per media reports, MUFG Bank was planning to reduce its Japanese ATM network by 20% through fiscal 2023. The change reflects the rise in online sales and cashless payments, which lessens the need for personal banking services such as cash withdrawals. The number of MUFG Bank customers using online banking has increased by 40% over the past five years.