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UniCredit Bank opens first franchise

UniCredit Bank, the fourth-largest bank on the Czech banking market, has launched a new trend in building and developing its distribution networks in the Moravian town of Otrokovice. That is where, in November, it has just opened its first franchise business premises in the Czech Republic under the UniCredit Bank Expres brand. Several additional such outlets will open before the end of this year. UniCredit Bank is planning a major expansion of such business premises based on this concept for 2011.

“A key part of our business plan for strengthening UniCredit Bank’s retail segment is to expand the sales network. We have already opened six standard branches this year, and there will be several more franchise branches. Before the end of 2012, we plan to more the double our branch network. In addition to standard UniCredit Bank branches and UniCredit Bank Expres franchise branches, we are continuing to develop our cooperation with the Partners network under the Partners banking services – UniCredit Bank brand. We will thus cover the entire Czech Republic much better than today,” commented Jaroslav Žahourek, Director of Retail Banking for UniCredit Bank.

The first franchise business premise in Otrokovice offers non-traditional opening hours: Monday, Wednesday and Friday from 8 a.m. to 7 p.m., Tuesday and Thursday from 9 a.m. to 4 p.m. Saturday morning opening hours are very convenient: 8–11 a.m. In case a client cannot come directly to the business premises, our representatives are ready to arrange a meeting with the client at his or her home or place of work.
UniCredit Bank’s banking franchises will offer a virtually complete range of products and services designed to meet the needs of individuals, business people and small companies. In respect of all parameters, and with no exceptions, the franchise outlets will provide the client with services comparable to those of a standard branch. This is true regarding both the products on offer and the high quality of the provided services. “The basic attributes of this concept – to which UniCredit Bank has given great emphasis and for which it has defined a unified standard – include a clearly defined product range, employee expertise at the business premises, along with their unified appearance. Because of this, the client will perceive no difference in regard to these fundamental aspects. On the other hand, our concept is based on the self-fulfilment and entrepreneurial thinking of the individual partner, the operator of the franchise office, whom we are supporting within clearly defined guideline to develop these strengths fully,” says Radim Štantejský, Director of Low-Cost Franchising Distribution for UniCredit Bank.

This form of developing and managing the commercial network represents for UniCredit Bank an optimum combination of necessary investment costs on the one hand and of target market share as measured by business premises in the Czech Republic on the other. A desire to tap into the natural entrepreneurial spirit of the partner (franchisee) operating the business premises has also played an important role in the decision to take this approach.

UniCredit Bank has set strict requirements for any future operator of a banking franchise. A candidate must go through a multi-level application procedure by which the Bank will evaluate, among other things, his or her professional experience, sales orientation, ability actively to acquire business, managerial skills and, last but not least, entrepreneurial mindset. Operation of the business premises must be the partner’s main activity. “Integrity along with moral and ethical qualities are absolutely essential,” added Mr Štantejský.