Apple Bank, a $20 billion-asset bank based in New York City, is focusing on its middle-class roots, according to CEO Steve Bush.
Bush has led the privately held bank for about a decade and is working to bring in younger customers through increased marketing efforts. The bank is trying to increase its visibility in a digital world, he said.
Marketing Efforts
Apple Bank expects to spend about $10 million on marketing efforts this year, which has included partnerships with Major League Baseball’s New York Mets and a financial literacy-focused YouTube channel run by teenage sisters. The bank’s marketing expense has been consistent over the last four years and is expected to remain flat in 2027.
The bank‘s high-yield savings account geared toward kids has increased branch traffic, as have branch events bringing in school or youth sports groups, Bush said. Customers are also able to call Bush directly to offer suggestions or report mistakes, he added. Apple Bank operates in a market with many competitors, and it is working to distinguish itself.
Apple Bank is one of several banks operating in this market, competing with all five of the largest U.S. lenders within its geographic market. However, Bush sees benefits to serving the nation’s flagship market, citing the constant influx of new customers in New York.
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The bank is pursuing growth beyond New York, with assets growing about 24% over the past five years, according to Federal Deposit Insurance Corp. data. Apple Bank has about 79 branches across New York and New Jersey, with newer branches in the Garden State adding about $1 billion in deposits.
Expansion Plans
Apple Bank is assessing further physical expansion in New Jersey or Florida, with about 1,200 customers in Florida who have migrated from New York. The bank is working to build its brand in the state before opening branches, Bush said.
The bank has also sought to change its state charter to a national one, which was conditionally approved by the Office of the Comptroller of the Currency. This move will allow the bank to expand into new markets with greater simplicity, Bush added.
Notably, the bank’s long history, dating back to its founding in 1863, has provided a strong foundation of loyal customers from the middle and working class of New York City, including teachers, nurses, administrators, and small-business owners. However, Bush acknowledges that the bank’s age is not a guarantee of future success, citing the example of Credit Suisse, which failed at 166 years old.
Amid the increasingly competitive market, the biggest banks have honed their consumer-banking service with easy-to-use systems and advanced technology, which works well 99% of the time, Bush said. The bank’s newer branches in New Jersey, funded by the sale of larger, outdated branches, have added around $1 billion in deposits. Apple Bank’s assets have grown about 24% over the past five years, and the bank is working to expand its services to new customers.
