Coastal Financial Corporation (CCB): Marketing Mix Analysis [Dec-2025 Updated]

You're looking to map out Coastal Financial Corporation's market position as we head into late 2025, and honestly, it's a fascinating dual play you need to understand. They aren't just a local Washington State community bank anymore; their growth engine is clearly the CCBX BaaS platform, which is driving significant activity, evidenced by deposit growth of $59.0 million in Q3 2025 coming primarily from those partner programs. We need to look closely at how this blend-traditional lending that saw a $163.5 million rise in receivables alongside the fee income from CCBX-shapes their Product, Place, Promotion, and Price structure. Stick with me below to see how this strategy is actually priced and promoted in the market right now.

Coastal Financial Corporation (CCB) - Marketing Mix: Product

You're looking at the core offerings of Coastal Financial Corporation (CCB) as of late 2025. The product set here is a blend of traditional community banking and a significant, modern Banking-as-a-Service ($\text{BaaS}$) platform.

The $\text{CCBX}$ $\text{BaaS}$ platform provides the core infrastructure for fintech partners. This segment is clearly a growth engine. Total $\text{BaaS}$ program fee income for the three months ended September 30, 2025, reached \$7.6 million, marking an increase of 11.3% from the three months ended June 30, 2025. To manage risk on these partnerships, contracts fully indemnify Coastal Financial Corporation against fraud and 98.9% against credit risk on $\text{CCBX}$ loan partner balances as of September 30, 2025.

For traditional commercial and consumer lending, the portfolio showed clear expansion in the third quarter of 2025. Loans receivable increased by \$163.5 million during that quarter, which translates to a 4.6% rise. Average loans receivable as of September 30, 2025, were up \$68.7 million compared to June 30, 2025. The lending product mix includes commercial real estate and commercial business lines, residential mortgage and construction loans, and consumer financing.

Deposit products are the foundation, and they saw solid growth. Coastal Financial Corporation offers checking, savings, money market accounts, and certificates of deposit. Average deposits were \$3.97 billion for the quarter, an increase of \$40.7 million, or 1.0%, over the quarter ended June 30, 2025. This growth was notably driven by increases in $\text{CCBX}$ partner programs.

The off-balance sheet credit card receivables represent a key fee-based product line. As of September 30, 2025, there were 396,812 off-balance sheet credit cards with fee-earning potential. That number is up by 82,985 cards from the quarter ended June 30, 2025, and up by a substantial 315,386 from September 30, 2024. In Q3 2025, the company sold \$1.62 billion of loans, with \$1.37 billion of that being new activity on previously sold credit card receivables.

Coastal Financial Corporation also supports client liquidity and investment needs with treasury and cash management solutions specifically for small-to-medium-sized businesses. This is complemented by merchant card services, and trust and wealth management capabilities. Here's a quick look at some key Q3 2025 metrics:

The product strategy involves a deliberate mix of on-balance sheet assets and off-balance sheet fee generation. You can see the focus on scaling the $\text{CCBX}$ side, which drives both deposit growth and fee income, while still managing the traditional loan book. The product features include:

• $\text{CCBX}$ core infrastructure for fintech partners.
• Commercial real estate lending.
• Residential mortgage and construction loans.
• Consumer financing options.
• Checking and savings accounts.
• Money market accounts and certificates of deposit.
• Treasury and cash management services.

The company is definitely using its technology segment to enhance its traditional product suite, so the lines between the two are blurring. Finance: draft 13-week cash view by Friday.

Coastal Financial Corporation (CCB) - Marketing Mix: Place

Place, for Coastal Financial Corporation (CCB), is a dual-pronged approach, balancing a localized physical footprint with expansive digital and partnership-driven national access.

The community bank segment anchors its physical presence within the greater Puget Sound region of Washington State. This localized distribution is maintained through 14 full-service branches operating across Snohomish, Island, and King Counties. Coastal Financial Corporation's headquarters, located in Everett, Washington, serves as the operational anchor for this community-focused segment.

Digital distribution complements the physical network, allowing customers to access services where and when they need them. This includes the use of the internet and a dedicated mobile banking application for everyday transactions and account management.

The CCBX segment is the primary driver of geographic expansion beyond Washington State. This Banking as a Service (BaaS) platform provides national reach by integrating Coastal Financial Corporation's services through fintech partner platforms.

The effectiveness of this multi-channel strategy is evident in recent deposit performance. Deposit growth in the third quarter of 2025 demonstrated the power of the partnership channel. Total deposit growth for Q3 2025 was $59.0 million, representing a 1.5% increase over the linked quarter. Management noted this growth was driven primarily by the CCBX partner programs. Average deposits for the quarter ended September 30, 2025, stood at $3.97 billion.

Here's a quick look at the distribution channels Coastal Financial Corporation employs:

The physical distribution network is detailed by location type:

• Headquarters: Everett, Washington.
• Branch Count: 14 full-service locations.
• Counties Served: Snohomish, Island, and King Counties.
• Digital Services: Online and mobile banking access.
• Partner Pipeline (as of 9/30/2025): 2 partners in testing, 4 in implementation/onboarding.

The CCBX segment's contribution to the overall deposit base is a key indicator of its distribution success, with BaaS program fee income reaching $7.6 million for the three months ended September 30, 2025.

Finance: draft 13-week cash view by Friday.

Coastal Financial Corporation (CCB) - Marketing Mix: Promotion

You're looking at how Coastal Financial Corporation (CCB) communicates its dual value proposition: the stability of a community-focused bank alongside the high-growth potential of its industry leading Banking as a Service (BaaS) segment, CCBX. The promotion strategy centers on these two pillars.

The CCBX segment is a major focus for external communication, highlighting its role as a technology and risk management enabler. For instance, the T-Mobile deposit program, which launched on April 1, 2025, was promoted as a key driver for deposit growth, which totaled $205.9 million in the first quarter of 2025, with the T-Mobile deposits reflected in the second quarter figures.

Investor communications heavily feature the risk mitigation framework underpinning the CCBX growth engine. This is a critical point for anyone assessing the BaaS segment's scalability. You see this emphasis clearly in the reported credit risk protection.

The promotion of technology and risk management investment is framed as the necessary upfront cost for long-term scalability defintely. Management noted that noninterest expenses for Q3 2025 were $70.2 million, and they anticipate ongoing expense fluctuations due to new CCBX partner launches, which involve initial spending on compliance and operational risk management before revenue generation begins.

The active pipeline is promoted to show sustained future growth, demonstrating that the dual strategy is working to bring in new business. As of September 30, 2025, the pipeline status was detailed:

• Partners in testing: 2
• Partners in implementation/onboarding: 4
• Signed letters of intent (LOI): 2

This pipeline is part of a larger ecosystem, as the CCBX segment had established 29 partnerships by the end of September 2025. The BaaS program fee income for the third quarter of 2025 reached $7.6 million, an increase of 11.3% from the linked prior quarter, excluding nonrecurring revenue.

Coastal Financial Corporation (CCB) - Marketing Mix: Price

You're looking at how Coastal Financial Corporation (CCB) prices its offerings, which is fundamentally tied to its core lending and its rapidly growing Banking-as-a-Service (BaaS) segment, CCBX. The pricing strategy reflects the value derived from both traditional banking and technology-enabled fee streams, while managing interest rate risk.

The primary driver of Coastal Financial Corporation's revenue pricing remains its loan portfolio. For the third quarter ended September 30, 2025, net interest income stood at $77.9 million, confirming its position as the largest revenue source. This is a key component of the overall pricing model, which is directly influenced by the cost of funds and the yield on assets.

To give you a quick view of the revenue structure impacting pricing realization in Q3 2025, here are the key figures:

The fee-based income from the CCBX program is a significant and growing part of the pricing mix, showing strong customer adoption and transaction volume. This non-interest revenue stream was $7.6 million for the three months ended September 30, 2025. Importantly, this fee-based income is a growing component, increasing by 11.3% quarter-over-quarter from the second quarter of 2025.

Loan pricing, which directly impacts net interest income, is demonstrably sensitive to external monetary policy. Following a recent 0.25% reduction in the Fed funds interest rate, Coastal Financial Corporation experienced a direct compression in its asset yields for Q3 2025 compared to Q2 2025. Specifically, the yield on earning assets decreased by 0.12%, and the yield on loans receivable decreased by 0.16% for the quarter.

The structure supporting the pricing of CCBX-related assets involves robust risk mitigation, which allows for more aggressive pricing on the fee side. This pricing structure is supported by indemnification agreements that help manage the associated credit risk.

Here are the specifics on the risk mitigation supporting the CCBX pricing strategy as of September 30, 2025:

• Indemnification against fraud: Fully covered by partner contracts.
• Indemnification against credit risk on CCBX loan partner balances: 98.9% coverage.

If onboarding takes 14+ days, churn risk rises; you need to ensure the value proposition justifies the cost structure, especially when rates move. Finance: draft 13-week cash view by Friday.