NZ Post and KiwiBank
#1
NZ Post and KiwiBank
Does it still make sense for them to be...together?
KiwiBank has blossomed while the postal service has struggled, the bank is subsiding the postal service and it's been going on for a while now. If KiwiBank is eventually to be floated or sold it's not going to make a lot of sense to attach it to a postal business as a liability. KiwiBank could continue to pay NZ Post for use of their stores but even there KiwiBank have started to go it alone with stand alone stores and specialist banking staff.
KiwiBank has blossomed while the postal service has struggled, the bank is subsiding the postal service and it's been going on for a while now. If KiwiBank is eventually to be floated or sold it's not going to make a lot of sense to attach it to a postal business as a liability. KiwiBank could continue to pay NZ Post for use of their stores but even there KiwiBank have started to go it alone with stand alone stores and specialist banking staff.
#2
BE Enthusiast
Joined: Jul 2011
Posts: 439
Re: NZ Post and KiwiBank
Kiwi Bank was created as a coalition deal between Labour and Jim Anderton's Alliance Party.
The left leaning Alliance were reacting against the Oz banks having carte blanche in NZ.
It would be a brave move by National to sell, as most Kiwi's support have at least one national bank NZ owned. I know Key would love to, but a pretty risky move politically.
The left leaning Alliance were reacting against the Oz banks having carte blanche in NZ.
It would be a brave move by National to sell, as most Kiwi's support have at least one national bank NZ owned. I know Key would love to, but a pretty risky move politically.
#3
Re: NZ Post and KiwiBank
A key reason why I am with Kiwibank is that it is NZ owned etc. In fact, I'm not paying higher fees for that choice and don't feel I am compromising on service.
My local branch has just set up one cashier space just for us so we don't have to queue with the postie people, but the person still does postie stuff if there is no one in his/her queue. Seems a more efficient way of doing it than having separate premises.
My local branch has just set up one cashier space just for us so we don't have to queue with the postie people, but the person still does postie stuff if there is no one in his/her queue. Seems a more efficient way of doing it than having separate premises.
#4
Re: NZ Post and KiwiBank
Bloomberg recently said that only 2 of 17 economist picked an OCR rate cut yesterday and one of the outliers was KiwiBank so well done there .
Interestingly consumer credit is now growing at only 3.3% which is sharply down and now less than half the pace of Agri (8.6%), Business (7.5%) or Housing (7.8%). Most people expect Agri to grow at a slower pace as farmers look to consolidate operations and reduce debt if the milk price/payout stays at current lows. Because Kiwibank have avoided getting into Agri lending they also fair a lower chance of wearing impairments which will also given them an advantage.
#5
BE Enthusiast
Joined: Jan 2008
Location: permanently locked down
Posts: 733
Re: NZ Post and KiwiBank
I've switched banks 3 times in the 8 years I've been here, but discounted the Kiwi Bank only for the shared offices with postal service, and the inevitable queues.
Though I guess it's probably not too much of an inconvenience given how infrequently you need to visit the bank these days.
While I've been reasonably pleased with the one I've been with the last couple of years Westpac (certainly compared to the other two) the fact that none of the big have passed on the full drop in the OCR recently is disappointing, but hardily surprising.
Though I guess it's probably not too much of an inconvenience given how infrequently you need to visit the bank these days.
While I've been reasonably pleased with the one I've been with the last couple of years Westpac (certainly compared to the other two) the fact that none of the big have passed on the full drop in the OCR recently is disappointing, but hardily surprising.
#7
Re: NZ Post and KiwiBank
I've switched banks 3 times in the 8 years I've been here, but discounted the Kiwi Bank only for the shared offices with postal service, and the inevitable queues.
Though I guess it's probably not too much of an inconvenience given how infrequently you need to visit the bank these days.
While I've been reasonably pleased with the one I've been with the last couple of years Westpac (certainly compared to the other two) the fact that none of the big have passed on the full drop in the OCR recently is disappointing, but hardily surprising.
Though I guess it's probably not too much of an inconvenience given how infrequently you need to visit the bank these days.
While I've been reasonably pleased with the one I've been with the last couple of years Westpac (certainly compared to the other two) the fact that none of the big have passed on the full drop in the OCR recently is disappointing, but hardily surprising.
#8
Lost in BE Cyberspace
Joined: Jun 2005
Location: In a large village called Auckland
Posts: 5,249
Re: NZ Post and KiwiBank
The reason it takes so long to get out is because they're all too bloomin nosey and trying to upsell you something you didn't know you needed. It's worse than McDonalds - 'Do you want life insurance with that?'
#9
Re: NZ Post and KiwiBank
High margin products.
There hasn't been much innovation within banks to create truly new products or services so traditional business lines have become very low margin. Traditional banks have missed out on transaction services like PayPal, Alipay, Apple Pay etc. and most fintech innovation is coming from new entries to the market place.
There hasn't been much innovation within banks to create truly new products or services so traditional business lines have become very low margin. Traditional banks have missed out on transaction services like PayPal, Alipay, Apple Pay etc. and most fintech innovation is coming from new entries to the market place.
#10
Re: NZ Post and KiwiBank
I got chatting to one of the people serving me and it sounds like bank staff are very unhappy. No pay rises, higher targets and more stress. I agree, it's probably not much better than working at MacDonalds - nicer uniform perhaps.
#11
Re: NZ Post and KiwiBank
Was reading that story about insurance company Youi being a bunch of cowboys today and recalled something I once read:
"People with targets and jobs dependent upon meeting them will probably meet the targets - even if they have to destroy the enterprise to do it." - W. Edwards Deming.
Some banks have just learned nothing about putting people and ethics first. If it's just a bunch of talentless managers and executives squeezing a lemon ever harder to extract some some marginal gain in efficiency that company will be in trouble in the long term.
"People with targets and jobs dependent upon meeting them will probably meet the targets - even if they have to destroy the enterprise to do it." - W. Edwards Deming.
Some banks have just learned nothing about putting people and ethics first. If it's just a bunch of talentless managers and executives squeezing a lemon ever harder to extract some some marginal gain in efficiency that company will be in trouble in the long term.
#12
Re: NZ Post and KiwiBank
Was reading that story about insurance company Youi being a bunch of cowboys today and recalled something I once read:
"People with targets and jobs dependent upon meeting them will probably meet the targets - even if they have to destroy the enterprise to do it." - W. Edwards Deming.
Some banks have just learned nothing about putting people and ethics first. If it's just a bunch of talentless managers and executives squeezing a lemon ever harder to extract some some marginal gain in efficiency that company will be in trouble in the long term.
"People with targets and jobs dependent upon meeting them will probably meet the targets - even if they have to destroy the enterprise to do it." - W. Edwards Deming.
Some banks have just learned nothing about putting people and ethics first. If it's just a bunch of talentless managers and executives squeezing a lemon ever harder to extract some some marginal gain in efficiency that company will be in trouble in the long term.
I interview people all the time for my business and it's clear to me that people do really well without the need for targets if they work for the right company.
#13
Re: NZ Post and KiwiBank
Does it still make sense for them to be...together?
KiwiBank has blossomed while the postal service has struggled, the bank is subsiding the postal service and it's been going on for a while now. If KiwiBank is eventually to be floated or sold it's not going to make a lot of sense to attach it to a postal business as a liability. KiwiBank could continue to pay NZ Post for use of their stores but even there KiwiBank have started to go it alone with stand alone stores and specialist banking staff.
KiwiBank has blossomed while the postal service has struggled, the bank is subsiding the postal service and it's been going on for a while now. If KiwiBank is eventually to be floated or sold it's not going to make a lot of sense to attach it to a postal business as a liability. KiwiBank could continue to pay NZ Post for use of their stores but even there KiwiBank have started to go it alone with stand alone stores and specialist banking staff.
#14
BE Enthusiast
Joined: Jul 2011
Posts: 439
Re: NZ Post and KiwiBank
My first reaction: this is all about NZ Post being prepared for privatisation.
Money in NZ Post kitty to make it more attractive.
Money in NZ Post kitty to make it more attractive.
#15
Re: NZ Post and KiwiBank
There was a story recently suggesting they are now trailing the market on some rates measures, it's likely they have grown as far as they can without more capital so are sitting on margin and safety instead. However by the admission of the banks executives they need IT investment and to improved risk & compliance management to grow further.
The more I look at the deal the more you realise what a bargain it is for the buyers, New Zealand Post must be desperate for the money (they are trimming staff at quite a rate, 500 last month).
The more I look at the deal the more you realise what a bargain it is for the buyers, New Zealand Post must be desperate for the money (they are trimming staff at quite a rate, 500 last month).