Strengths

• The community has a positive outlook on Banner Bank. This is because the bank is very active in the social affairs, for example, it has donated nearly $2.5 million to over 2,000 community organizations and its employees have spent over 20,000 hours of community service helping the society.
• The company total assets grew/increased from $10.38 billion to $11.85 billion within a year, from June 2018 to June 2019.
• The rate at which the Banner Bank customers are depositing money in their respective accounts has increased by 7% over the past 12 months. This shows the bank is providing the best business environment for its clients.
• The cost of their shares also increased from $38.67 in 2018 to $43.99 in 2019.

Weakness

• When compared against their competitors, Banner Bank savings account offer little interest return, which may turn away potential customers.
• Banner Bank competitors offer more financial services options compared to it. Banner Bank offers; auto loans, commercial banks, a holding company, and mortgages, while its competitors offer options such as financial services investment, brokerage, and financial management.
• Banner Bank accounts have high monthly maintenance fees and few perks when compared to its competitors.
• Also, the bank has limited locations; it has only 200+ branches. Additionally, their ATM flow is restricted, hence, turning away customers to their competitors and limiting the number of customers they can reach.

Opportunities

• Banner Bank is taking an opportunity to dissolve their competitors through absorption in an attempt to dilute the banking market in the state of California.
• One bank they are absorbing in Northern California is the Alta Pacific Bancorp headquartered in Santa Rosa, California.
• This merger will increase the company presence in California as well as increase its portfolio from small to medium-sized business transactions in the state.
• Alta Pacific Bancorp has total assets of $436 million, which when combined with Banner Bank company holdings, the total assets value will increase to approximately $12.2 billion.

Threats

• The threats on a Banner Bank in California include biological factors such as adverse weather in the area, for example, fires and earthquakes that have plagued California are among the major factors causing a threat to the bank stability.
• Additionally, the periodic droughts in California have affected the agricultural business market which makes up approximately $404.9 million, or 5% of their loan portfolio.
• The over-saturation of the banking market in San Diego and Sacramento in particular, as well as the other areas of California, is showing that the company is at the risk of limited financial stability.

Other threats specific to the California Banner Banking market when compared to their other branches include:

• A high rate of loan delinquencies as well as an increase of foreclosures.
• An increase in their loan loss allowances.
• The real estates used as collateral for loans are steadily declining in value.
• Loss of the net worth of loan guarantors is seen more often in California which impacts their ability to pay back the loans.
• In 2018, Banner bank had $7.71 billion in outstanding high-risk loans compared to $6.75 billion in 2017.

STRENGTHS

• The bank's "return on average assets, return on average equity, and net interest margin all expanded for the quarter and six months ended June 30, 2019, compared to the same period last year."
• The company had a net income of $911,000 for the three months ended June 30, 2019, which is an increase compared to its net income of $664,000 for the same period last year.
• The company is growing, with total assets increasing from $244.8 million in June 2018, to $289.3 million in June 2019.
• The total deposits were $256.2 million on June 30, 2019, and have increased in comparison to the total deposits of June 30, 2018, which were $211.8 million.
• The community has a positive outlook on the Cornerstone Community Bank as it sponsors and/or is actively involved in community activities such as the 21st Century C.A.R.E., the Active 20-30 Club of Red Bluff, the Alzheimer’s Association of Northern California, the Anderson Chamber of Commerce, the Asphalt Cowboys of Redding, the Back to School Project, and the Berrendos Middle School among others.

WEAKNESSES

• Cornerstone Community Bank's marketing is not as robust as that of its competitors. Its positioning and unique selling points are not clearly defined. In its financial and annual reports, the company does not highlight the amount spent on marketing.
• Also, the bank has a limited number of locations. It only has three branches located in Red Bluff, Redding, and Downtown Redding. Hence, it is turning away customers to its competitors and limiting the number of customers it can reach.
• Cornerstone Community Bank's liabilities increased from $223,706 in June 2018 to $265,396 in June 2019.
• The company recorded a $110,000 provision for credit losses for the quarter ended June 30, 2019, compared to $40,000 for the same quarter last year.
• Its non-interest expense increased from $1,546,000 at the end of June 2018 to $1,775,000 at the end of June 2019.
• When compared with its competitors, its competitors offer more financial services in the area of business banking. For example, Partners Bank California offers physicians banking for physicians and medical groups.
• The websites of its competitors (such as that of Tri Counties Bank), is more organized compared to that of Cornerstone Community Bank. Cornerstone Community Bank's website looks less organized and is congested. Also, Cornerstone Community Bank does not have a readily available resource section on its website as opposed to Tri Counties Bank.

OPPORTUNITIES

• Cornerstone Community Bank through its American Dream Program has partnered with some of the most impactful businesses and organizations in the community to do something that would truly benefit the town all the way around.
•  Theory Collaborative, Crown Cleaners, Latino Outreach of Tehama County, and Jindra's Auto Service are among the partnership businesses and organizations locally owned and funded by the Cornerstone Community Bank through the American Dream Program.
• The American Dream Program offers opportunities and advantages of upcoming businesses and employment.

THREATS

• "General economic conditions, either nationally or regionally, may be less favorable than expected, resulting in, among other things, a deterioration in credit quality and/or a reduced demand for credit."
• "Legislative or regulatory changes, including changes in accounting standards and tax laws, may adversely affect the businesses in which Cornerstone Community Bancorp is engaged."
• There could be unfavorable changes "in the securities markets or with respect to inflation."

Research Strategy

STRENGTHS

• Five Star Bank primarily serves businesses in Northern California. Within this region, it is the only community bank to be ranked among "the top 25 independent banks in the nation". The Independent Community Bankers Association ranks it as the 18th best in the United States.
• SmartAsset, a financial modeling tool that receives 37 million visitors monthly, rates Five Star Bank's mobile app 4.2 out of 5 in terms of service quality. This is significantly above "the national average of 3.8". The Consumer Financial Protection Bureau (CFPB) receives "relatively few consumer complaints" about Five Star Bank; this has earned the bank a "superb consumer satisfaction rating" with the agency.
• According to Bankrate, a consumer financial services company that rates US banks, Five Star Bank has "exhibited a superior condition, earning a full 5 stars for safety and soundness." The community bank scored 40/40 in terms of asset quality, and 30/30 on earnings. Five Star Bank also earned an ROA (return on average assets) of 2.43%, which exceeds the 1% industry standard as well as the national average of 1% for US banks.

WEAKNESSES

• Five Star Bank has all its branches within the Sacramento Valley. It has a total of six offices — four in "Sacramento's Capital Region", one in Chico and another in Redding. This has placed the bank at a disadvantage compared to any competitors who have wider geographic coverage in the United States.
• Besides its low number of branch locations, the bank also has interest rates that are less competitive. This setback has the potential to lead its customers to competitors who have more enticing interest rates.
• In terms of capital, which is a measure of financial strength, Five Star Bank scored below the national average of 13.13%. This means that the financial institution has low protection against losses. Also, there is little protection available for depositors if the bank experiences financial crises.
• The community bank has low "Tier 1 capital ratio" of 11.79% which is significantly less than the national average — 25.65%. This is an indication that the bank will be unable to withstand economic headwinds like natural disasters, rising costs, and credit crisis.

OPPORTUNITIES

• A 2018 research study on US community banks reveals that traditional banks are yet to upgrade their lending services with current technology. This presents an opportunity for Five Star Bank to incorporate digital technology in providing services and improve its productivity. Early adoption of this financial technology enables the bank to provide faster, cheaper, and automated services that will increase its revenue per loan.
• Apart from adopting advanced digital technologies, there is an opportunity for mergers and acquisitions with fintech companies in the United States. Unlike most fintechs, community banks already have a customer base; they can also take deposits which provide them with low-cost funds.
• These traditional banks also have regulatory permission to conduct banking business in the US. This presents an opportunity for community banks like Five Star Bank to form alliances with fintech companies, thereby eliminating the regulatory and funding challenges encountered by digital banks. Also, such a partnership takes away the burden of research and investment into a new technology by community banks.

THREATS

• Morgan Stanley Research reveals that financial technology (fintech) lending services are growing fast. By 2020, this growth is expected to reach about $122 billion - "a ten-fold increase in just six years". Seventy nine percent of respondents in the survey mentioned that fintechs are reshaping competition. Another 7% believe that fintechs will transform the banking industry completely.
• The Financial Brand reports that there are currently more than "40 challenger banks in the U.S." that threaten the survival of traditional community banks and credit unions. Community banks like Five Star Bank, who operate based on the brick and-mortar-system, may be replaced with these challenger banks if this trend continues at this rate.
• While community banks are yet to fully adopt advanced digital technologies, they currently use technology in complementing their services. These technologies are threatened by cyberattacks which have become a major concern for the industry. Information technology security departments have witnessed rapid expansion. Also, expenditures in this area now comprise a larger share of community bank overhead.
• Out of 164 US community banks and credit unions' representatives surveyed by Safe Systems, 43% mentioned information security as a top challenge.

STRENGTHS

• The community has a positive outlook of Chase bank as seen in its various initiatives. For instance, through their Veterans Small Business Program, they recently committed a sum of $4.2 million to empower veteran businessmen and women. Additionally, through their Bunker Labs, Chase bank provides training and supports networking for veteran startups. Also, the bank offers low-interest loan to businesses owned by the veterans.
• The bank has also been responding speedily to its customers that are affected by the federal government shutdown and the Californian wildfires.
• Chase bank has partnered with USTA Foundation in a Return and Serve program that uses tennis and education to transform the lives of needy children. In 2018, the bank gave support to ten chapters in the National Junior Tennis & Learning (NJTL) network.
• Besides, the bank provides scholarships for high school students who participate in tennis and also supports organizational development training for nonprofit professionals. The company's Autism at Work program has also been recognized for supporting the autism community through its hiring initiative.
• Chase bank has a wider geographical coverage with about 50% of American households being their customers. They also have 16,000 ATM and 5000 branches. In California there are 1000 branches.
• The bank has collaborated with Current to enhance energy efficiency by installing energy management and digital technologies in all its branches and buildings. By installing LED lighting, Chase bank's cost for energy consumption has been cut by 50%.
• With total assets of $2.74 trillion, Chase bank enjoys a strong financial performance. In its 2018 annual report, the bank reported a steady increase in its net income from $24,733 million in 2016 to$32,474 million in 2018. It is also the first bank in the United States with digital coin.
• About 80% of fortune 500 companies do business with Chase bank. In 2018, the bank financed over 20,000 affordable housing. According to the 2018 annual report, residential mortgages in California increased from $68,855 million in 2017 to $74,759 million in 2018. They have about 49 million active digital customers and 33 million active mobile customers.
• In 2018, Chase bank recorded a 10% wage increase for its employees and it is the only bank that single-handedly lent $4 billion to the State of California. It was also ranked the first position for the tenth consecutive year in global investment banking fees.
• Through Chase Saphire Preferred Credit Card, the bank offers its customers a 60,000 bonus points in the first three months after spending a total $4,000 on purchases. The bonus, which is equivalent to $750, can be used in travel redemption and it also has no foreign transaction fees.
• Recently, the bank acquired Instamed in its bid to remain competitive in the health care payment space. Consumers can check for their payment details via an Instamed app and then pay using their credit cards.

WEAKNESS

• Compared to other regions, Chase bank in California has the highest number of unpaid principle balance of $5,420 million.
• The stock of the company performed relatively low from $203.07% in 2017 to$189.57 in 2018.
• In the 2019-second quarter financial results, average loans reduced by 2%. Net income from assets and wealth management also reduced by 5%.
• In February 2018, Chase bank experience a security challenge with its online banking system as some users accessed the banking details of other customers.

OPPORTUNITIES

• The bank's strong financial performance provides it with more opportunities to expand its operations in other sectors. For instance, through the acquisition of Instamed, the bank can continue to explore more opportunities in the vast health care market.
• With recent trends showing major shifts towards convenient payment methods, Chase Bank can leverage on Chase Pay® to explore the segment of the market that is interested in the same.
•  Digital mobile banking provides more opportunities for the bank to attract the new tech-savvy online bankers.

THREATS

• Natural disasters like Hurricane Michael and Hurricane Florence in California are posing a considerable threat to the bank's activities in the region.
• The high income tax rates in California which have been advanced by the new tax plan that took effect in 2018 will limit the ability of individuals to open new bank accounts.
• According to the Bureau of Statistics reports California has four metros that have the highest inflation rates. The high inflation rates are likely to be a hinder the bank's ability in handling its operations.

Strengths

• Redding Bank of Commerce’s visionary began in 1982 by a collaboration of a group of 13 Shasta County business professionals and by 353 stockholders who contributed to the bank’s strong foundation deeply in the community and continues to impact on its growth positively.
• Redding Bank of Commerce operations are anchored in strong fundamental values such as integrity, ownership, respect, excellence, and teamwork that inform the company’s operations and ensures that it sticks within its vision.
• The company is visionary in its statement to “earn our independence by delivering strong, sustainable returns to our shareholders that maximize the long-term value of our company.”
• The Merchant Bank of Commerce’s long history in community involvement with a commitment to invest in the communities where their “customers and employees live and work,” has earned it a good reputation among its clients in such local communities.
• Merchants Bank of Commerce has a robust corporate social responsibility framework that has involves community service, charitable course, and sponsorships, among other initiatives that seek to make an impact in the society. Redding Bank of Commerce, now Merchants Bank of Commerce, donated $50,000 to boost the Shasta Regional Community Foundation’s Community Disaster Relief Fund.
• With nine branches in Northern California counties, Redding Bank of Commerce enjoys a broader customer base and geographical coverage compared to its competitors.
• Merchants Bank of Commerce has a comprehensive security and fraud prevention strategy through its security center. The center attends to matters account compromise, email security, lost or stolen checks, ATM/debit cards, mobile banking security, and identity protection, among others.
• Merchants Bank of Commerce has reliable products and service portfolio with offerings in business banking (business checking, business savings, business loans, business savings, business services, and trade organization banking) and personal banking (checking, savings, investments, mortgage loans, online banking and account services.)

Weaknesses

• Redding Bank of Commerce has marketing that is not as robust as its competitors’. Its positioning and unique selling points are not clearly defined. From the financial and annual reports, the company does not highlight any amount spent on marketing efforts. 
• The Redding Bank of Commerce operates under a challenging regulatory framework that has hampered its ability to explore specific market opportunities.
• The Redding Bank of Commerce is experiencing challenges integrating the newly acquired Merchants Holding Company into its culture.
• The additional liabilities by Merchants Holding Company will be added onto existing obligations by the Redding Bank of Commerce thereby putting more pressure on the new formed Merchants Bank of Commerce in terms of trying to strike a balance and build its assets base.
• The bank has little recognition on social media with just about 1,791 likes on Facebook and no indication of any presence on Twitter.

Opportunities

• Redding Bank of Commerce can leverage advances in technology such as Artificial Intelligence (AI) for personalization of banking services, blockchain technology, and commercial loan origination systems (LOS) for an improved service portfolio and differentiated offerings.
• RBM’s parent company, Bank of Commerce Holdings reported financials to indicate a stable cash flow, which is an opportunity for the company to diversify its offerings and open more branches in new markets.
• The continuing shift towards digital banking, specifically mobile and online banking presents an opportunity for Reddit Bank of commerce to acquire new customers’ convenience and speed in banking.
• The acquisition of Merchant Bank of Commerce by the Bank of Commerce Holdings (parent company to Reddit Bank of Commerce) and subsequent change of name to Merchants Bank of Commerce presents an opportunity for the latter to leverage the consolidated resources to reposition itself in the industry as the force to reckon with in terms of service portfolio, and customer service among other aspects.

Threats

• The effect of the new tax policy that took effect in 2018 spells high-income tax rates in California and is likely to affect individuals’ ability to save and open more bank accounts.
• The Redding bank operates in a highly competitive financial services industry. The bank faces stiff competition from banks, thrifts, credit unions, and other non-bank financial institutions. Some of these competitors operate under fewer regulatory constraints, and some may have lower cost structures.
•  High inflation rates in the state of California may spell a challenging operating environment for consumers and subsequently affect their abilities to leverage on banking services. The four metro areas with the highest inflation rates were all from California, as reported by the Bureau of Labor Statistics in May 2018.
• Redding Merchant Bank has a concentration risk in real estate-related loans. About 81% of the bank’s loan portfolio was secured by real estate as of December 31, 2018. Any disruptions in the real estate market could spell doom for the company.

TRI-COUNTIES BANK SWOT ANALYSIS

STRENGTHS

• Tri-Counties bank is a wholly-owned subsidiary of TriCo Bancshares with a strong presence across Northern and Central California since 1975. The bank provides unique customer services with solutions focused on traditional stand-alone and in-store banking branches,
• The bank focuses on consumer, small business, and commercial banking services through its nationwide network of over 32,000 ATMs, banks, community networks, and internet banking services.
• TriCo Bancshares (TCBK) is the parent company of Tri -Counties Bank; it highlights a strong revenue growth of about 52% in its quarterly net income of $23.06 million vs. $15.02 million (Q2 2018-2019).
• The bank recently won the award for being the "Chico's Best Bank" in 2018.
• According to Bank Rate, the Tri-Counties Bank has been rated 4-star for safety and soundness with a capital score of 12, ranking below the national average of 13.13 and exceeding Asset Quality score above national average with 40 points.
• The mobile banking app of Tri-Counties Bank has featured a rating of 4.8-stars on Apple Store based on more than 2,200 reviews, and a 4.4-star rating on Google Play from 1180 reviews and 10,000+ installs.

WEAKNESS

• Tri-Counties Bank has a low average balance of savings deposits, which recorded a decline of $1.88 million as on June 2019 as compared to $1.92 million in March 2019. The bank attributes the decline due to the ongoing competitive pressures associated with deposit accounts across many of the markets it serves.
• The company reported a decrease in their year-to-date loan growth in 2019, totaling $81.67 million, wherein the nonperforming loans decreased by $6.90 million, past-due loans decreased by $2.78 million, and net-recoveries stood at $1.34 million during the same period.
• Tri-Counties Bank has very low visibility on social media with 2,285 followers on Facebook and a mere 43 followers on Twitter.
• The consumer reviews of mobile app users have repeatedly highlighted the issue of slow-functioning during complex account procedures, pointing at the poor bandwidth of the app.

OPPORTUNITIES

• The high demand for digitization and high-tech banking software tools remain a high success parameter for banks. Alternatively, the success of digital transformation depends on how the strategy, technology, and operations are executed across the organization.
• To leverage the digitization demand of consumers, the bank has started offering advanced internet banking options through its mobile banking app.
• The banking industry across the US and worldwide is striving to regain normalcy after the economic crisis and looking forward to more number of global M&A opportunities to strengthen their market share.
• Tri-Counties Bank has been following the inorganic growth policy by acquiring the North Valley Bank in 2015, increasing its assets to more than $3.9 billion and adding over 1,000 employees. The acquisition also leads to an increase in the retail banking portfolio by adding new branches in Redding, Shasta City, Weaverville, Crescent City, Eureka, Santa Rosa, Ferndale, McKinleyville, Willits, and Hayfork areas.
• In 2018, the Tri-Counties Bank acquired First National Bank of Northern California, gaining an entry in the Bay Area's market of the Northern California's largest community bank with assets of more than $6 billion.

THREATS

• Tri-Counties Bank has confined its services in a limited area across Northern and Central California; additionally, the pace of growth is slow with limited (1-2) recent acquisitions being made to enter new markets.
• According to the Deloitte Banking Industry Outlook report, the US banking industry has been facing a disruption in its regulatory realm of banking policies, wherein the government in the US is focusing on refining and replacing existing regulations. Alternatively, a new bill, Economic Growth, Regulatory Relief, and Consumer Protection Act, about the amendment of certain provisions in the Dodd-Frank Act may become a potential threat for the banking institutions like the Tri-Counties Bank.
• The industry report indicates that the pace of new regulations has declined under the current federal government, while the role of states has grown prominence.
• According to Julianna Graham, Senior Vice-President of the Tri-Counties Bank, the regulations have had a significant impact on commercial lending with more than 400 new rules been introduced to disrupt the banking industry.
• Additionally, Julianna Graham highlights that natural disasters like the campfire in California have affected affordable workforce housing business of the organization,

RESEARCH STRATEGY

SWOT ANALYSIS

STRENGTHS

• In the US, Farm credit has around 5,000,000 credit customers nationwide.
• In 2018, the company reported having issued $15.5 billion new loans to small farmers and ranchers.
• Additionally, the firm has 910,000+ loans and $272 billion of total loan volume as of Dec 2018.
• The company has a strong network of 72 customer-owned financial institutions and offers services throughout the US to a wide range of customers including farmers and ranchers, farmer-owned cooperatives and other agribusinesses, rural home buyers and rural infrastructure providers.
• Farm Credit has a strong rich history of 100 years in operation and presence in the market, wherein they have been serving rural communities and agriculture.
• According to the financial statements of the company, they have strong stability, profitability and financial assets of $340 billion along with the company's capital-to-asset ratio over 16%.
• Farm Credit operates under the unique and highly successful cooperative structure through the Federal Farm Credit Banks Funding Corporation which is an integral part of the Farm Credit System and offers highly rated notes and bonds on behalf of the four banks of the Farm Credit System namely: AgFirst FCB, AgriBank, FCB of Texas and CoBank, ACB and partners with a select group of dealers.
• The Farm Credit Council which represents the System before Congress, the Executive Branch of the United States Government, and others, has an extra edge than the other disruptors in the industry wherein they have a close grassroots involvement in the development of System positions and policies with respect to Federal legislation and governmental actions that impact the System.
• Farm Credit's administration has ranked in top 5 Best Places to Work Agency Rankings for consecutive 2 years (2017-2018) based on the satisfaction score of above 80 points with 0.6 point raise from the previous year.(Source 4)
• Farm Credit has a strong social media followership with around 105,548 people following on the company on Facebook and 13,300 followers on its official Twitter handle.

WEAKNESSES

• The company has been facing multiple consumer complaints relating to their transparency in the borrowing rates to the lenders wherein through the complaints board forum, there is a high concern raised by the borrowers who were given false commitments by the loan officers of Farm credit.
• Additionally, the company has been very slow in diversifying its technology and digitization efforts wherein Farm credit has not been found promoting or marketing any banking and farmers app or mobile technology in recent years.

OPPORTUNITIES

• As 20% of the total number of Farm Credit loans are made to young farmers, nearly 30% to beginning farmers and just over 50% to small farmers, Farm Credit has increased the focus on this emerging investor base and the company has increased the amount of its lending to young farmers by 7.6%, to beginning farmers by 7.1% and to small farmers by 6.8%.
• Despite the agricultural markets adrift and the U.S. farm economy fraying in recent years along with deepening farm debt and a sour farm economic outlook, there has been a strong demand for USDA farm loans in the market wherein more than 70% of all loan applications have been approved recently.
• Disrupting the increasing wave of demand for digitization, Farm Credit financing is making moves in this trend by updating their digital capabilities while relying on data analytics data to efficiently manage its operations and mitigate risk, eventually helping growers by providing easy access to operating credit during down economies and better crop insurance premiums.

THREATS

Research Strategy:

FIVE STAR BANK

Overview

•  Five Star Bank is a community bank which offers financial services for entrepreneurs, community leaders and business owners.

Marketing Messaging

•  Website: Five Star Bank main focus is on business customers and one of their key message is "Five Star Bank is the best community bank for business owners, entrepreneurs and community leaders!". They share pictures and quotes of their business customers on all pages of their website. Examples of their other messaging includes: "Five Star Bank helps customers with specialized business financing" and "We help you track and manage your account information and funds - faster and easier than ever." Five Star Bank also shares videos featuring their customers.
•  Facebook: The main message on their Facebook page is "Thank you for 20 great years in business!". They mainly post messages about their customers, community events and their employees. There is a message from their senior vice president which states "What makes Five Star Bank different from other banks is that we take the time to get to know our customers." and also quotes and photos of their customers.
•  Twitter: Five Star Bank writes about their appreciation and gratitude for their customers in their posts on Twitter. There are also quotes and pictures of their customers.
•  Instagram: Their shares include short overviews of some of their customers as well as quotes and photos of Five Star Bank partners.
•  Youtube: Videos on their Youtube channel mostly features interviews with their customers and includes messages such as "serving the farming community" and "serving legacy companies".

Products & Services

• Five Star Bank offers business products and services including: accounts, online & mobile banking, lending and treasury services.
• Their personal services include mobile deposits, e-statements, online & mobile bill pay, banking accounts and debit cards among others.

Assets Under Deposit

• Five Star Bank had total deposits of $1,256 billion on March 31, 2019.

Revenue

• Five Star Bank revenue in 2018 was $51,518 million.

Ad Samples

• Examples of advertising images are provided in the attached document. 

CORNERSTONE COMMUNITY BANK

Overview

•  Cornerstone Community Bank is headquartered in Red Bluff, California and it serves the community, individuals and businesses in Shasta, Butte, Tehama and Glenn Counties. They offer a wide range of deposits and other financial products, competitive rates and a variety of commercial and consumer loans and credit.

Marketing Messaging

•  Website: Cornerstone Bank focuses on business customers with messages such as: "Create your legacy" and "Big Ideas Deserve Detailed Attention". They also state that building relationships and finding unique solutions is very important. Examples of their messages also include: "Our Standard Savings account helps you move your dream forward." and "Simplify life with an account that makes it easy to appreciate the little things."
•  Facebook: Cornerstone Bank main message is "Moving Local Dreams Forward" and they also write about how much they value relationships they build with their customers. Other posts are mostly about community events and their employees.
•  Youtube: Their most recent video is from last year and it includes "Moving Local Dreams Forward" as the key message. 

Products & Services

•  Personal services include personal checking and saving accounts, debit card and loans.
•  Business customers can choose between a variety of business checking and savings accounts. Cornerstone Bank also offers business debit and credit cards, business loans and other services.

Assets Under Deposit

• Cornerstone Community Bank had total deposits of $256,2 million on June 30, 2019.

Revenue

• Cornerstone Community Bank revenue in 2018 was $11,852 million.

Ad Samples

• Examples of advertising images are provided in the attached document.

BANNER BANK

Overview

•  Banner Bank was on the Forbes 100 Best Banks in America list for the last three years and was also named the "Best Bank in the Pacific Region" by Money Magazine in 2018. They offer services to individuals and "businesses of all sizes" and also support their local communities.

Marketing Messaging

•  Website: Banner Bank messaging on and banners are mainly aimed toward young people. Their focus is on using their online banking services from anywhere and at any time. Examples of the messages they share are "Check options that fit your life.", Manage your finances when and where you choose." and Pay bills anytime, anywhere.".
•  Facebook: Banner Bank main message on Facebook is "Let's create tomorrow, together". Their other posts show pictures of young people and couples with messages such as "Simplify Your Life Week is the ideal time to consider paying bills online". There is also a video advertisement about how easy is to pay with your mobile phone by using a digital wallet.
•  Twitter: Here they share the same message "Let's create tomorrow, together." and use similar photos and messages like on Facebook to drive traffic to their website. Example of their messages is: "Want to pay on the go? A digital wallet makes it easy".
•  Youtube: Videos they share on Youtube feature their employees talking about products and services. There are also videos where some of their customers share their success stories and the key message is "Let's create tomorrow, together" as well.

Products & Services

• Banner Bank personal solutions include checking, savings, debit & credit cards, different kinds loans, online & mobile banking and other services.
•  Business Solutions has products and services such as online banking, merchant & international services, order checks, loans, business lines of credit and many others.

Assets Under Deposit

• Banner Bank had total deposits of $9,29 billion on June 30, 2019.

Revenue

• Banner Bank revenue in 2018 was $514,98 million.

Ad Samples

• Examples of advertising images are provided in the attached document.

GOLDEN VALLEY BANK

Overview

•  Golden Valley Bank is a locally owned community bank managed by Shareholders, Officers and Directors. Their mission is to create a unique banking experience and to be the best bank in the city. Some of their core values are great customer service and development of professional bankers.

Marketing Messaging

•  Website: Golden Valley Bank puts their Community Bank Service Award for 2019 in the spotlight on their web page. They are focused on customer service, using online services and finding solutions for specific needs of their customers. Examples of their message are: "The Home Loan Solution That Fits Your Needs" and "Manage Your Money with Ease." There are also pages on their website that display what their customers said about using Golden Valley.
•  Facebook: Their main message is "Connecting our Community". One of the posts displays that they have won the Community Bank Service Award and other posts share information about community events, their employees, partnerships and new services.

Products & Services

• Golden Valley Bank personal banking includes savings, home loans, debit & credit cards, online & mobile banking, mobile deposits and other services.
• Their business offering consists of commercial lending, checking & savings account, online banking, ACH service, eDeposit among others.

Assets Under Deposit

• Golden Valley Bank had total deposits of $308,7 million on June 30, 2019.

Revenue

• Golden Valley Bank revenue in 2018 was $9,67 million.

Ad Samples

• Examples of advertising images are provided in the attached document.

REDDING BANK OF COMMERCE (NOW CALLED MERCHANTS BANK)

Overview

• Redding Bank of Commerce changed its name to Merchants Bank of Commerce in 2019. After the change all branches and divisions of the bank were unified under one name. They offer both personal and business services and their key values include integrity, excellence and teamwork.

Marketing Messaging

•  Website: The messaging on their website if mainly focused on young people and families. Some of their banners display messages such as "Pick the perfect checking plan for you." and "Specialized for teens and young adults who want a smart start to banking." along with pictures of young people smiling. Messages for business customers feature pictures of young entrepreneurs and young people at meetings with notes such as "Find the perfect checking fit for your business." and "Lending solutions to get you started."
•  Facebook: Merchants Bank posts on Facebook target individuals and state how easy it is to use their services with pictures of young people. Examples of their messages are: "Online banking is easy with Merchants Bank of Commerce" and "MyBOC makes it easier for people 14-23 years of age to open an account". They also display messages for business users such as "We offer the services that will help your business grow." and "Merchants Bank of Commerce is here to help your business grow from small beginnings, to big dreams."

Products & Services

• Merchants Bank of Commerce provides personal products and services such as checking, savings, loans, mortgage and online banking among others.
•  Their business offering includes business checking, savings, loans, other business services and trade organization banking.

Assets Under Deposit

• Merchants Bank of Commerce had total deposits of $1,132 billion in 2018.

Revenue

• Merchants Bank of Commerce revenue in 2018 was $52,70 million.

Ad Samples

• Examples of advertising images are provided in the attached document.

CHASE

Overview

•  Chase is part of JP Morgan Chase & CO and it offers consumer and commercial banking. It has nearly 5,000 branches and 16,000 ATMs and provides service to almost half of American families with a wide range of financial services and products.

Marketing Messaging

•  Website: Chase has focus on attracting new customers by offering them a discount of up to $350. Their messaging states that they have products for everyone's specific need and features pictures of mostly young people of all races and genders. Some examples of the messages on their website include:"Explore credit cards with features and benefits to fit your lifestyle.", "Get access to cash for your business." and "Investing in the success of all small business."
•  Facebook: Chase advertises Chase QuickPay on their Facebook with a short video on how to use it and a link to their website. They also share interesting tips about credit for example with links to the news section of their website. Their Facebook page has posts with messages such as "Check out these DIY projects for inspiration on your next home renovation" which leads to an interesting article about home improvement on Chase web page and mentions their credit offerings. Other messages are: "You can set up recurring payments using Chase QuickPay with Zelle" and also success stories with videos featuring their business customers.
•  Twitter: Their Twitter page is mostly focused on their partnerships, community events and stories about their employees. Some of their posts include short description of the business that use their service and tips for their customer which lead to articles on their website. An example of their posting is: "If you owe less on your house than it's worth, you might be able to tap into that equity for #home renovations, or to pay off debt. Here's what to consider when deciding if a HELOC is right for you".
•  Instagram: Some of Chase Instagram posts have audio commentaries by players in sports where they talk about their financial journeys. There are also short videos that teach people about the stock market and also a picture a famous actor and his quote about finances in the description.
•  YouTube: Videos on their YouTube channel features professional athletes and stories about how they manage their finances. There are also various tips about credit, home equity and also tutorials about how to use their app. Their main message here is "Make more of what's yours", but there are also others such as "Banking made easy", which is displayed at the start of their app tutorials.

Products & Services

• Chase offers a wide range of personal products and services including: credit cards, checking accounts, savings accounts, CDs, car loans, mortgage and home equity among others.
• They also provide various business products and services some of which are: business credit cards, merchant services, commercial banking, business checking, payroll solutions and many others.

Assets Under Deposit

• Chase had total deposits of $670 billion in 2018.

Revenue

• Chase revenue in 2018 was $52,1 billion.

Ad Samples

• Examples of advertising images are provided in the attached document.

FARM CREDIT

Overview

•  Farm Credit provides financial services to over 500,000 customers across the United States, mostly in agriculture and rural communities. They offer a wide range of products to suit the needs of farmer-owned cooperatives, agricultural producers and other agribusinesses as well as for rural infrastructure providers and rural home buyers. Some of their services includes loans, leasing programs, cash management, crop insurance and credit life insurance among others.

Marketing Messaging

•  Website: Farm Credit's main message on their website says that they provide reliable and consistent financial services for agriculture and rural communities. There is a page on their website where they share their customers stories from each state in the US.
•  Facebook: Farm Credit shares customer success stories with links to their website and they showcase how much their customers are satisfied with their services. They have a video ad on their Facebook page about their support to the rural communities and agriculture. Some of their messaging includes information about the events they hosted, partnerships and their support to the farmers markets. An example of their marketing messaging is: "Farm Credit has supported rural communities and agriculture for over 100 years."
•  Twitter: Their posts on Twitter include short videos and pictures featuring their customers and links to the success stories on their website.
•  Instagram: Farm Credit mostly posts photos of their customers with a short overview of their story in the description as well as some nature related photos with messages that say how much they appreciate farmers.

Products & Services

• Farm Credit products include: loans, operating lines of credit, leases, rural home and land loans
• They offer finance for: equipment, facilities, inputs, real estate and land, processing, equipment and livestock.
• Farm Credit provides real estate appraisals, crop insurance, cash management services and also industry sector benchmarking and reports.

Assets Under Deposit

• Farm Credit had $352,5 billion of assets under deposit on June 30, 2019.

Revenue

• Farm Credit revenue in 2018 was $13,680 billion (Calculated).

Ad Samples

• Examples of advertising images are provided in the attached document.

Other information

• Farm Credit net income in 2018 was $5,332 billion.

Notes on Calculations

TRI-COUNTIES

Overview

•  Tri Counties Bank was established in 1975 and is a subsidiary of TriCo Bancshares. They provide consumer, small business as well as commercial banking services. Tri Counties Bank offers mobile and online banking, country-wide network of ATMs and personnel that is available 7 days a week by phone to answer questions.

Marketing Messaging

•  Website: Tri Counties Bank messaging on their website describes their bankers, who understand the needs of the customer, have the knowledge and find creative solutions. They share their customer success stories which include individuals, companies and non-profit organizations. There is a section on their web page where they shared all the materials used in their advertising campaign. Tri Counties bank uses short messages in TV and Radio spots including: "Refreshing Solutions", "The Journey Home" and "Service With Solutions". Web Banners and Print Ads contain messages including: "Did you hear about the banker who went the extra mile to help a couple..?" and "It's easy to switch to better banking.."
•  Facebook: Tri Counties bank shares messages such as "Own Your Financial Future", "Share Stories." and "Find Solutions." on their Facebook page along with pictures of young people with mobile phones and laptops. Their focus is on showcasing their products and services but they also invite people to share their own encouraging stories.
•  Twitter: Tri Counties bank messages on Twitter are pretty much similar to the ones on Facebook. Their focus is on customers being in control of their financial future. The posts include pictures of young people and also a short description of some of their products and services with a link to the website.
•  Instagram: Their Instagram posts mostly presents their employees and community events and there are only a few shares related to marketing. Some of their marketing messages are "Call us anytime." and "We offer a unique brand of customer #service with #solutions in communities throughout Northern and Central California."

Products & Services

•  Personal products and services include accounts, savings, mortgage loans, personal loans, digital banking, visa debit cards and account management tools among others.
• Tri Counties Bank offers business products and services such as business checking accounts, public funds savings, equipment financing, agriculture loans, business credit cards, business online banking, merchant services and business workshops among others.
• Tri Counties Bank also provides investment services to help people reach their financial goals. These services include planning for retirement and wealth management solutions

Assets Under Deposit

• Tri Counties Bank had total deposits of $5.34 billion on June 30, 2019.

Revenue

• Tri Counties Bank revenue in 2018 was $68,065 million. 

Ad Samples

• Examples of advertising images are provided in the attached document.

STRENGTHS

• The community has a positive outlook of Golden Valley Bank (GVB), especially the Golden Valley Bank Community Foundation which partnered with over 40 local businesses fundraising over $4.3 million in relief efforts to help the victims of the Camp Fire.
• GVB’s partnership with MoneyPass enables wider access to the bank’s network of ATM's surcharge-free.
• The Golden Valley Bank enjoys a good reputation among its customers. The bank was awarded the 2019 Grand National Winner of the Community Bank Service Award- the highest recognition awarded by ICBA in the nation for community service.
• Golden Valley Bank has enhanced security features for its Business Online Banking customer through the Security Tokens that ensure the security of information and protects from fraud and identity theft.
• Golden Valley Bank enjoys a strong financial performance. In its 2018 annual report, the bank reported that its total assets grew to $289 million, up from $225 million the previous year.
• Deposits grew to $265 million from $61 million and loans ended the year at $157 million compared to $143 million a year earlier.

WEAKNESSES

• Golden Valley Bank has limited locations. It only has two locations in Chico and Redding, thus limiting its services to a small geographical coverage.
• Competitors' such as the California Bank & Trust (CBT) have more efficient and organized websites compared to Golden Valley Bank’s website, which appears congested and is more difficult to navigate. Also, GBV does not have a readily available resources section on its website as opposed to CBT.
•  Golden Valley Bank has a weak social media presence and following compared to its competitors. For instance, Golden Valley Bank’s Facebook page has only been liked by 620 people compared to California Bank & Trust’s 6,106 people. GVB has no presence on other platforms such as Twitter and Instagram.
• Golden Valley Bank has a high average daily balance requirement ranging from $1,500 to $25,000 depending on the type of account.
• Golden Valley Bank’s total liabilities increased to $297,454,611 up from $204,382,310 for the period between March 2018 and March 2019.

OPPORTUNITIES

• The Golden Valley Bank recently opened a new location in Redding. It is an opportunity to spread its wings and gain more market share in previously unexplored locations.
• According to the Chico Economic Snapshot, during the 4th quarter of 2018, the overall performance of the local economy was up 2.1% with strong increases in housing.
• The positive economic outlook is an opportunity for Golden Valley Bank to spread its wings and take advantage of upcoming businesses and employment.
• In December 2018, 67% of local business leaders expected their sales to increase over the next 12 months spelling more opportunity for Golden Valley Bank to increase its deposits and have more accounts opened.
• Industry trends indicate that there is an opportunity in data-centric models of banking through the use of data and the internet of things (IoT) to improve service offerings to clients and more personalized experience for them.
• The cryptocurrency ripple is an opportunity for Golden Valley Bank to offer faster payments and a diverse range of digital payment methods to clients.

THREATS

• Natural disasters such as the Camp Fire in California has affected Golden Valley Bank’s operations. The Camp Fire destroyed Paradise, affecting five of GBV’s employees who lost their homes while displacing two others.
• In the aftermath of California wildfires, mortgage delinquencies are expected to go up as victims struggle to get back on track with their finances. This is a potential threat to the Golden Valley Bank.
• Competitors such as California Bank & Trust are continuously working to gain a more competitive advantage over Golden Valley Bank.
• In the online banking industry, the emergence of online financial start-ups as a trend is disrupting the industry coming as a major threat to banks even as the start-ups to gain more footing in the industry.