Professional Evaluation of Bank Branch Performance Metrics in an Era of Digital Transformation in Nigeria

The digital transformation of Nigerian commercial banking is fundamentally altering the value proposition of physical bank branches, necessitating a re-evaluation of branch performance metrics beyond traditional deposit and loan volumes. This study conducts a professional evaluation of bank branch performance metrics in the context of digital banking transformation, with evidence from selected commercial bank branches in Port Harcourt, Rivers State, and Owerri, Imo State. A mixed-methods research design was employed, combining semi-structured interviews with 35 branch managers and regional directors across three commercial banks with documentary analysis of branch scorecards and digital adoption data for the period 2020 to 2023. Branch performance was evaluated using both traditional metrics (deposit mobilisation, loan disbursement, and revenue per employee) and digital-era metrics (digital product cross-selling rate, active mobile banking referrals, and complaint resolution rate). Thematic analysis and descriptive statistics were applied. Results showed that branches measuring digital cross-selling rate reported 29% higher overall performance index scores than branches relying solely on traditional metrics. Customer complaint resolution rate was the most understated metric, with branches in lower-scoring tiers recording significantly higher customer attrition. The study concludes that commercial bank branch performance management in Nigeria must transition to a hybrid metric framework that balances traditional financial indicators with digital adoption and service quality measures. Recommendations include mandatory digital performance dashboards for all branches in the South South and South East zones.

Keywords: bank branch performance, digital transformation, performance metrics, commercial banks, South South Nigeria