E*Trade Opens New York Investment Superstore As Part Of Clicks And Mortar Strategy

by Philip Morton, InvestorsOffshore.com

06 April 2001

The latest major brokerage to look at combining online services with the more physical and personal approach in a bid to win customers is US financial services giant E*Trade, which announced this week a major development in its clicks and mortar strategy with the opening of E*Trade Center, a financial services superstore based in New York's Madison Avenue that is desgined to give consumers "value added financial services and educational content in a high-tech, high-touch experience."

E*Trade said in a statement: 'E*Trade Center marks the next phase of the company's physical presence approach, which includes its E*Trade Zones concept intended to be rolled out in 20 new locations in the coming year and its network of over 10,000 E*Trade Bank ATMs. The opening of E*Trade Center is an integral component of the company's overall strategy to provide customers with brokerage, banking, insurance and wealth management services to meet individual investors' needs.'

Encompassing over 30,000 square feet, E*Trade Center allows visitors to make financial transactions in their E*Trade bank and securities brokerage accounts; participate in educational seminars, and keep abreast of the current financial markets with live audio and video financial news. The bottom floor of E*Trade Center features a professional trading services area for active investors where they have the ability to place trading orders and conduct business. E*Trade Center's mezzanine level offers a forum for high net worth customers to conduct financial transactions and receive "personalized attention from financial service associates."

Christos M. Cotsakos, chairman of the board and chief executive officer of E*Trade Group, commented: 'E*Trade Center is a milestone in our blended approach to financial services, which combines an emphasis on electronic delivery with a physical presence to provide customers with a high level of personalized service. In the changing market environment, it's important for investors to know they have both electronic and physical access to information, products and services to meet their individual investment needs.'

The reality is that competition and a general downturn in the fortunes of online brokerages has essentially forced E*Trade to tinker with its operations in order to resemble the traditional banking business.

E*Trade Center is located at 540 Madison Avenue and is open to visitorsMonday to Friday from 7:00 a.m. to 7:00 p.m., Saturday from 10:00 a.m. to 6:00 p.m., and Sunday from 12:00 p.m. to 6:00 p.m.

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