We polled community banks across the country on everything from their top investment priorities for 2026 (hint: AI and RTP made the list) to what they need to best serve their #1 client segment
In 2024, BNY launched its inaugural Voice of Community Banks survey and whitepaper, in collaboration with The Harris Poll, to get a pulse check on the state of community banks in the U.S.
“Community banks are more than financial institutions — they are the heartbeat of local economies, the stewards of trust, and the architects of inclusive growth,” says Shofiur Razzaque, Head of Community Banking & and Solutions, BNY. “As the financial landscape evolves, BNY is committed to supporting these institutions with the tools and insights they need to build a more resilient future.”
For this year’s survey, we captured insights from community bank leaders — but also wanted to hear from small business executives within their communities. According to our survey, over 50% of community banks said small business clients, ranging from brick-and-mortar retailers to professional service providers, were their #1 customer segment.
Since each type of small business has continuously evolving and unique needs, we wanted to learn more about these emerging demands — and pinpoint where community banks can help best fill gaps.
As one community banker shared: “As we expand into new markets and customer segments, we’re making a deliberate effort to bring together information from all our business lines, so that we can make genuine data-driven decisions. This will allow us to capture more opportunities, gain wallet share, and deliver real value to our customers.”
Here are just a few interesting findings from this year’s survey — with more rich insights in the full report.
Small Businesses Want to do More with Community Banks
More than half of the small business executives we polled plan to begin or expand relationships with community banks. The top reason cited: satisfaction with client service.
One small business owner in the risk management industry echoed these sentiments: “The community bank is more personal. We had a debit card issue and they drove [a new] one to us that same day. That's the way we do business — very white glove.”
Technology Investments and Less Manual Processes Are Top of Mind
Our survey shows that significant investments from community banks in AI, cybersecurity and fraud prevention, and digital banking capabilities will be top of mind in 2026. Additionally, of the 23% of community banks that plan to invest in modern payments next year, such as Real Time Payments, nearly 50% rank the capability as their top investment priority.
Operational efficiency also stood out as an opportunity for community banks to retain and land new small business clients. Of the community banks we polled, those that are growing their small business clientele were nearly twice as likely to report digitizing manual processes, with 48% more likely to invest in AI for operational efficiency.
As one community banker shared: “We’ve improved our speed to market a lot in really focusing on implementing [technology], adding automations, and really consolidating any technologies we’re using so we can be more efficient. There's an implementation cost to it, and you're not going to get the financial reward back as quickly, but what you are going to get is a customer where you wouldn't have gotten a customer.”
For more insights from the 2025 BNY Voice of Community Banks Survey results, go here.
Contact Information
BNY
Liz Ozaist
Elizabeth.Ozaist1@bny.com