Delivering a customer-focused experience means improving how we reach customers. Like being the first bank to use mobile to open accounts. And using our data intelligence to bring a next-generation, holistic experience to customers across U.S. Bank.
Adhering to our strategy means we strive to be better today than we were yesterday. Continually testing. Iterating. Evolving.
Being the most trusted choice means having rigorous governance, a stellar reputation and the highest ethical standards — all of which earn us top honors in our local communities and across the industry.
Our strategy helps us deliver the unparalleled experience of one U.S. Bank.
Despite the warp speed of evolving digital innovations, at the end of the day, banking is still a business about people and for people. Together, our four core businesses — Consumer & Small Business Banking, Wholesale Banking, Payment Services and Wealth Management & Securities Services — form one united organization. Our whole is much more than the sum of our parts. Together, we invest our hearts and minds to power human potential and give our customers the experience of one U.S. Bank.
U.S. Bank serves millions of retail and small business customers. Staying a step ahead requires delivering a unified customer experience, which in turn drives U.S. Bank’s growth and customer loyalty. Today’s landscape is changing almost every aspect of daily life. Banking is no exception. U.S. Bank is focused on being where the customer is, and investing in delivering service in exactly the right way. This is true for everything from technology, to branch design, to engaging customers at the human level. Even understanding the distinctive perspectives and cultures that shape how customers think about and manage their hard-earned dollars.
We’ve long since seen paper transactions go by the wayside. Today, digital is the new cash. In 2016, U.S. Bank was one of the first banks to join the Zelle, a new payments network that will change how customers do things — like pay the babysitter or split the dinner tab with friends. In 2017, the full Zelle experience will be available to our customers, with more than 19 financial institutions joining us to help make payments easier, faster and more secure.
While today’s transactions are often digital, relationships and the human touch remains at the heart of banking. U.S. Bank continues to place employees and branches where customers expect us to be, whether in their neighborhoods, local grocery stores, student unions or corporate offices. In 2016, from Seattle to Minneapolis, we introduced new U.S. Bank branch concepts tailored to personalized interactions with customers, whether they need help planning for retirement or opening a new line of credit.
U.S. Bank also made a difference in our communities last year by launching the Safe Debit Account, giving customers the benefits of a traditional checking account without checks or overdraft fees. It provides a safe, affordable way for customers to deposit money, withdraw cash, pay bills and manage their accounts through mobile or online banking. This affordable solution can help turn more people into savers by easily enabling them to forge their first-ever financial relationship.
Looking to the future, innovation presents a whole new frontier of possibilities. We work closely with companies in the fintech (financial technology) space to stimulate new ways of thinking, challenge old assumptions and create a better tomorrow for our customers. Imagine cars that can talk to the pump and pay for gas; ordering and paying for merchandise with the spoken word; protecting and unlocking credentials with the swipe of a fingerprint or scan of the eye. These are just a few of the many ways in which our world is changing and how U.S. Bank is working to harness the future for our customers.
In the increasingly complex business environment, U.S. Bank continues to be the consistent, predictable and reliable solution that middle market, large corporate, commercial real estate and financial institution customers turn to for their most important financial and operational needs. With our industry-leading financial strength and best-in-class debt ratings, we are uniquely positioned to help customers grow and stay a step ahead.
Over the past year, our Wholesale Banking group has continued to grow and evolve. The management team shared its vision and launched a new effort to drive growth by attracting and retaining top talent, winning new customers and building deeper relationships with existing customers.
And it’s working.
In 2016, average commercial loans grew by 9.7 percent. We achieved record revenue and market share gains in several areas and continued to grow our Foreign Exchange business. The Commercial Banking group extended its reach into new territories including Florida and North Carolina. In Global Treasury Management, we enhanced the award-winning Working Capital DNA® engagement process and made important changes in our product development group to drive further innovation and growth.
And many in the marketplace are taking notice.
In November 2016, Greenwich Associates named U.S. Bank a Best Brand overall for Small Business and Middle Market Banking.
As one bank, we work diligently to bring the whole bank to the customer. Last year we enhanced and expanded our long-standing Building Deeper Relationships program, making it even easier for customers to leverage the deep wealth of knowledge and expertise across our organization.
We offer expert guidance backed by financial strength and best-in-class debt ratings, making U.S. Bank a reliable and innovative partner. That’s why we work with nearly 90 percent of the Fortune 1000 companies that choose us as their bank each year.
“We’re extremely proud to partner with Freedom Alliance to present a mortgage- free home to Staff Sergeant Milosevic, a veteran who valiantly served our country.” Michael Ott President, The Private Client Reserve and Executive Sponsor of Proud to Serve Business Resource Group
In a changing world, our strong and diverse capabilities enable us to participate at every point in the payments life cycle. We focus on making it easier for customers to do business with U.S. Bank and ultimately helping businesses make commerce happen.
Our integrated payments approach is comprised of three businesses: consumer and small business issuing under our Retail Payments Solutions group; corporate issuing from Corporate Payment Services; and our merchant services division, Elavon, Inc., a wholly owned subsidiary. Spanning 14 countries and three continents, these three distinct businesses consistently rank in the top five or better in annual industry reports.1 Investments in new products and services, distribution, innovation and leading capabilities are the foundation for our continued growth.
1 As reported by annual Nilson Rankings. U.S. Bank and Elavon rank in the top five or better for U.S. general purpose cards, U.S. merchant acquiring, U.S. debit cards and commercial card issuing. Nilson Report issues are February 2016 Issue 1081, p. 4; March 2016 Issue 1082, p. 9; April 2016 Issue 1084, p. 10; June 2016 Issue 1089, p. 1.
Each year, U.S. Bank earns top industry accolades from around the world, earning the trust of our customers and partners along the way.
At U.S. Bank, we continually balance client security and privacy with the convenient possibilities our customers demand. Last year, we were the first bank to launch Visa’s geolocation service — new, opt-in technology in our mobile apps that enables location matching on credit card transactions. The service minimizes cardholder disruption and helps reduce fraud.
And Elavon, our merchant services division, balances security and convenience by ensuring that businesses have the latest in secure, card acceptance technology. Elavon leads the industry with 56 percent of its U.S. customers switching to EMV-enabled technology in 2016.2
Our passion to make commerce possible for our customers drives us to better connect and digitally engage clients. Last year, we made it even easier for corporate customers to choose virtual card payments by unveiling APConnector™. This innovative system minimizes the effort, security concerns and expense of integrating merchant software with our payment systems.
2 MasterCard has recognized Elavon for continuing to lead the industry in the number of merchants converted to EMV equipment.
Ahead of its time, we established an innovation practice group a decade ago to support the Payment Services group. The team’s award-winning work is embedded across our business and helps U.S. Bank stay on top of evolving technology, new customer demands and partnership opportunities that make the impossible, possible for our customers.
From the consumer who uses rewards points to make a dream vacation a reality. To an enterprising business owner who knows it’s possible to expand, create efficiencies and save costs with smart, secure payment solutions. Payment Services at U.S. Bank is uniquely positioned to be the one source customers and partners count on to balance security, convenience and innovation — wherever commerce happens.
Our Wealth Management & Securities Services businesses continue to prove themselves as powerful growth engines for U.S. Bank. The Wealth Management group has experienced strong results since the financial crisis, driven by organic growth, market segmentation and a keen focus on the customer.
We’ve forged deep relationships to better understand where customers are today and where they want to go in the future. That was never more the case than in 2016. Even in a challenging operating environment, our goals-based approach to wealth management has helped us grow our assets under management to $138 billion. Our client satisfaction is at record levels and we continue to invest in new technologies, people and processes to provide industry-leading client services. As evidence, U.S. Bank Wealth Management was once again ranked among the top 20 U.S. wealth managers by Barron’s.
Our Wealth Management group serves clients from the affluent through the ultra-high net worth. We are committed to helping clients achieve their possible at every stage, whether they are in the early stages of accumulating wealth or planning their legacies.
Our Securities Services businesses — consisting of corporate trust services, institutional trust and custody, fund services and asset management divisions — continue to increase in market share. U.S. Bank proudly ranks first in the nation in asset-backed, collateralized debt and municipal debt issuance.
“The most rewarding part of community work is helping a hopeful business owner discover the steps to making their dream a reality.” Byron Price Branch Manager, U.S. Bank St. Louis, Missouri
Our focus on staying a step ahead and maintaining market leadership has been recognized with several industry awards in 2016. The Global Corporate Trust Services Europe group was honored by the Alternative Credit Intelligence European Services Awards for best debt/loan administration — overall; and best trustee services — overall. And our Quintillion business received awards for best administrator — client service; and best administrator — overall.
U.S. Bank maintains its dominant market position by delivering an exceptional client experience on a global level. We stay a step ahead by continuing to invest in cutting-edge technology, people and processes. Last year, we enhanced our portal technology available to our collateralized debt obligation and institutional custody clients. Looking forward, our Securities Services group will continue to focus on investment, organic growth and global growth to drive the expansion of our businesses.