While until about a year ago most banks were entirely focused on downsizing their physical presence and saving money on keeping their branches open, some of them seem to have had a change of heart. One of them is JP Morgan, and, while they still seem focused on improving their online services and streamlining their branches in the US, they are now opening a new line of locations which will serve their most high profile clients.
Their strategy is simple, JP Morgan will be opening 14 premium branches in key locations around the country to serve their most high-net-worth clients. Since these individuals usually have different needs than the rest of the population, plus enough money to decide to move all their assets on a whim, leaving them without a contact person that can cater to their needs is counterproductive, and since most of the profitable branches are not located in higher end neighborhoods as middle and upper class individuals tend to prefer online banking due to convenience and clash of hours of operations, it makes sense to dedicate some of the savings to satisfy some of their more powerful clients in places where they would actually go to.
JP Morgan’s new branches across the country
The branches will be located in some of the wealthiest locations. Called JP Morgan Financial Centers, the 14 branches will be spread out between California, Florida, Massachusetts, and New York, at least for now. These will not look like or be like traditional branches, and will be decorated and staffed accordingly, with personnel more in tune with the specific needs of clients with significant financial assets.
These new branches promise to redefine the banking experience that JP Morgan offers, and the locations will mostly be repurposed First Republic branches, which JP Morgan acquired in May 2023. These have now been remodeled for the new purpose and offer a more exclusive and premium look.
Jennifer Roberts, CEO of Chase Consumer Banking, explained that “through these financial centers, we are redefining how affluent clients are served, offering a highly personalized level of service backed by the global capabilities of JPMorgan Chase.”
The newly launched centers are designed with upscale interiors and private consultation rooms, which are in line with the elevated level of service they aim to provide and the clientele they aim to capture and service. This development is part of a larger push by the bank to enhance its services for affluent clientele with two different streams depending on where the client has their account.
Chase Private Client caters to individuals maintaining a minimum of $150,000 in eligible assets, while J.P. Morgan Private Client targets those with over $750,000 in qualifying holdings. Clients in the latter group receive personalized attention from a dedicated banker supported by a broader advisory and banking team already, but these new branches will enable this assistance to be even more personalized and attentive.
These are not the first premium centers that have been opened by JP Morgan, the two first were opened in 224 and were a success with their clientele, which is what prompted them to continue with this strategy. They now have plans to double the total number by the close of 2025 in an effort to retain wealthy clients amid growing industry competition but also to position themselves as the go to for exclusive service.
Whether this will improve their overall service for their less fortunate clients or not is a question that remains unanswered, as they still have not announced any new regular branch openings or improvements on their online or telephone services.