Franchises missing as Kiwibank spreads net

By KEVIN TAYLOR

By the end of next week more than a third of Kiwibank's projected number of branches will be open, but only two or three so far are in NZ Post franchises.

Some franchises have been unhappy with the transaction fee being offered by Kiwibank and have indicated they will not sign up.

Anti-Kiwibank campaigner Act MP Rodney Hide has publicised the concerns of franchises since they were revealed early this year.

However, Kiwibank said yesterday franchises would increasingly come on board over the next few weeks and months as negotiations were finished, staff trained, and premises fitted out.

The state-owned bank's external relations manager, Bruce Thompson, said virtually all the branches opened so far were in corporate postshops. Only two or three were in franchises.

Kiwibank is aiming for about 300 branches by the end of May or early June - in the 140 NZ Post corporate outlets and 170-odd post franchises. By the end of next week 120 branches will be open.

Thompson said the first few weeks were heavily weighted towards opening at corporate postshops.

"The weighting will move from mainly corporate postshops to a mix of corporate and franchises, until ultimately it will only be franchises."

He said Kiwibank's plan was to open 25 to 30 a week, every week.

"There are only 140 corporate shops in total anyway - so to keep that going there has to be franchises in there."

Meanwhile, Kiwibank is signing up hundreds of customers a day.

Thompson said the demand was so great some customers were waiting up to two weeks to join. He would not give customer numbers, because other banks were watching the newcomer. "We are just delighted with the support."

nzherald.co.nz/kiwibank