Wrong to assume TD customers will remain loyal
Editor:
As an ex-banker with several financial institutions in Canada and the UK, I understand the economics of banks reducing the number of outlets and customer “face time”, arguing that improved transportation and customer inconvenience is reduced through technology.
What tends to be forgotten is the real effect of branch closures on a community and the disparities in culture and consumer needs of different communities. One must ask: is this a rational economic move or a career benefiting one?
By moving its Creemore customers to Stayner the bank is effectively reducing its services to an assumed “captive” consumer base. It may be fundamentally wrong to believe that Creemore area customers will move their business to Stayner, either because both communities are in Clearview Township or because of the inconvenience of opening new accounts with competitor institutions.
The TD Creemore Branch fulfills a need for customers in a geographic area which includes not just Creemore, but New Lowell, North Mulmur, Duntroon, Glen Huron, Dunedin, Glencairn and spaces in-between. This is a large area that includes businesses, individuals, property owners and investors, many of whom look to the TD in Creemore as “their bank”. New development in the Creemore area will further expand the local customer base. It is difficult to believe the Creemore branch is unprofitable.
The TD has been a leader in Creemore community activities for many years, supporting local charities and initiatives. These initiatives, festivals and the Creemore Farmers’ Market attract many tourists (up to 4,000 per weekend) who rely on the TD ATM to pay merchants and vendors, while recognizing the TD as a community contributor. Loss of this facility alone imperils local businesses.
By leaving Creemore, the TD will operate only one branch in Clearview. The other closest TD branches will be Collingwood, Shelburne, and Angus, which locations all house competitor banks.
There is significant community anger at the proposed closing of the only bank in town. A drive to Stayner in the winter is often difficult due to road closures and weather issues. There is no public transportation in the municipality, so travelling to Stayner for many, is a major inconvenience. If customers must go to Stayner, they may well go to Collingwood, which has better shopping, more cultural attractions and several banks other than the TD.
In summary, the intended closing will be a lose-lose proposition. The bank will suffer reputationally for a long time and lose customers to competitors; customers will be greatly inconvenienced, and the community will lose a long-time supporter and a trusted business facilitator.
If the TD is more interested in profits than communities, carry on with the closure. As a long-time customer and shareholder, I object to it. Perhaps a review of this decision should be re-considered or re-worked.
Doug Mills,
Creemore.
