ConnectOne Bancorp, Inc. (CNOB): Marketing Mix Analysis [Dec-2025 Updated]

You're looking for the real story behind ConnectOne Bancorp, Inc.'s market move as we close out 2025, and honestly, the recent merger with FLIC is the whole game-changer, turning them into a much more serious regional bank. I've spent two decades watching these shifts, and what matters now is how they're stacking their Product-heavy on Commercial Real Estate lending-and the resulting Price power, with Net Interest Margin management projecting $\mathbf{3.25\%}$ or better for Q4. Plus, their Place is now spread across over $\mathbf{60}$ branches in key markets like New Jersey and Florida, all while keeping credit tight at just $\mathbf{0.28\%}$ in nonperforming assets. Dig into the four P's below to see exactly how this new structure is set up to perform.

ConnectOne Bancorp, Inc. (CNOB) - Marketing Mix: Product

You're looking at the core offerings ConnectOne Bancorp, Inc. puts in front of its clients. The Product element here is all about the banking and lending services ConnectOne Bank provides, heavily leaning into commercial relationships supported by its digital arm. It's a full commercial bank suite designed specifically for small to middle-market businesses, which is where their expertise really shines.

The bank's product strategy centers on high-touch service combined with operational efficiency, a model they've refined over time. As of the third quarter of 2025, the balance sheet reflects a significant scale, with total assets reaching approximately $14.0 billion and total loans at $11.3 billion. This scale supports the breadth of their product suite.

A major component of ConnectOne Bancorp, Inc.'s product focus is on secured lending, particularly in real estate. They maintain a strong focus on Commercial Real Estate (CRE) and Construction lending. To give you a sense of the historical concentration, as of December 31, 2023, the loan portfolio breakdown showed significant exposure in these areas:

This focus on CRE and Construction is complemented by their commitment to the full spectrum of business financing. You see this reflected in their current activity; loan originations for the third quarter of 2025 totaled over $465 million in new funding. Furthermore, they manage a diversified loan pipeline across Commercial & Industrial (C&I), CRE, and Small Business Administration (SBA) lending, which management noted in late 2025 was healthy and well-positioned for continued growth into 2026.

The pipeline itself shows strong pricing discipline; the weighted average rate on the loan pipeline was reported at 6.77% in the second quarter of 2025. Also, the bank is actively building out its noninterest income streams, expecting SBA products to contribute significantly to that in 2026.

The product ecosystem is enhanced by their fintech subsidiary, BoeFly, Inc. BoeFly, Inc. operates as a connected marketplace, specifically providing franchise funding solutions. It's a B2B platform that connects small business borrowers, franchisors, and a network of partner lenders to fuel franchise growth. This digital layer helps ConnectOne Bank source prequalified borrowers and diversify its noninterest income sources.

For the deposit side of the product mix, which funds the lending, ConnectOne Bancorp, Inc. competes on yield for core deposits. As of November 2025, the top-tier Annual Percentage Yield (APY) for their core deposit products reached 3.60%. Here's how that tiered structure looked effective November 3, 2025:

• Tier I ($0.00 - $2,499.99): Earns 0.00% APY.
• Tier II ($2,500.00 - $249,999.99): Earns 3.50% APY.
• Tier III ($250,000 and up): Earns 3.60% APY.

The bank's ability to attract and retain deposits remains a strength, evidenced by sequential core deposit growth of approximately 4% annualized since June 30, 2025, building on a strong second quarter. They are managing the cost of these deposits; the margin benefited from a 12 basis-point decrease in the average cost of deposits sequentially in Q3 2025. Finance: draft the 13-week cash view by Friday.

ConnectOne Bancorp, Inc. (CNOB) - Marketing Mix: Place

You're looking at the physical and digital infrastructure ConnectOne Bancorp, Inc. uses to get its services to market as of late 2025. The distribution strategy hinges on a post-merger footprint combined with a technology-forward, hub-based approach.

Following the June 2025 merger with The First of Long Island Corporation, ConnectOne Bancorp, Inc. immediately established a significantly larger physical network. As of June 30, 2025, the combined entity operates 61 locations across its core markets. This expansion was key to accelerating growth and strengthening franchise value post-transaction. The combined entity now has approximately $14 billion in total assets.

The geographic concentration of these distribution points is deliberate, focusing on high-density commercial corridors where ConnectOne Bank already has deep relationships or where the merger provided immediate scale.

The primary physical footprint for ConnectOne Bancorp, Inc. spans three key regions:

• New Jersey, the bank's home state.
• New York, with a specific focus on Long Island and the greater New York City metro area.
• Southeast Florida, supported by the West Palm Beach Office.

This physical presence is being managed under a strategic shift toward efficiency.

ConnectOne Bancorp, Inc. actively operates a reduced-branch model, viewing advances in technology as enabling this structure. The strategy prioritizes establishing regional offices that serve as business hubs rather than maintaining a dense retail branch network. The belief here is that key client acquisition and retention are driven by relationship officers meeting clients, supported by these central hubs, rather than relying solely on physical branch traffic.

The distribution of ConnectOne Bancorp, Inc.'s services is detailed by scale and focus below:

Digital channels are a critical component of the Place strategy, offering accessibility outside of traditional banking hours. Following the system conversion in mid-June 2025, legacy clients gained access to ConnectOne Bank's digital tools. These digital delivery channels support the reduced-branch model by allowing clients to service accounts and maintain relationships remotely.

Key digital capabilities available 24/7 include:

• Access to online and mobile banking platforms starting June 16, 2025.
• New technology features such as online account opening.
• Cloud-based loan origination systems.
• A modern escrow management solution.

The corporate nerve center for ConnectOne Bancorp, Inc. remains fixed at its headquarters. The Bank operates from its headquarters located at 301 Sylvan Avenue in the Borough of Englewood Cliffs, Bergen County, New Jersey, 07632.

Finance: draft 13-week cash view by Friday.

ConnectOne Bancorp, Inc. (CNOB) - Marketing Mix: Promotion

You're looking at how ConnectOne Bancorp, Inc. communicates its value proposition to the market as of late 2025. Promotion here isn't just ads; it's about reinforcing the core promise across every touchpoint, especially following the major integration with First of Long Island Corporation (FLIC).

Core mission is a People First approach, emphasizing personalized service and client relationships.

The promotion narrative centers on a People First philosophy. This translates into a focus on deep client relationships rather than just transaction volume. The success of this approach is reflected in the balance sheet improvements following the FLIC merger, which closed in 2Q25. For instance, the company's loan-to-deposit ratio improved to approximately 100% as of June 30, 2025, indicating a more stable funding base derived from relationships.

The quality of these relationships is quantified by deposit composition:

• Noninterest-bearing demand composition exceeded 21% as of June 30, 2025.
• Core balances increased by more than $500,000,000, or 17% annualized, even after accounting for a $200,000,000 decline in brokered deposits (as of Q2 2025).

Leveraging the successful merger integration to promote a unified, client-first mindset.

The integration of FLIC is a key promotional theme, signaling expanded scale and a unified culture. Chairman and CEO Frank Sorrentino III stated that the company is now operating as one unified entity with a 'single culture, consistent brand presence, and a shared vision'. The operational success of this integration is a major talking point to reassure clients and the market.

Key integration achievements promoted include:

• Full core systems conversion was completed within two weeks post-merger.
• Call center capacity was tripled to maintain responsiveness during the transition.
• The merger has significantly improved the loan and deposit mix, net interest margin, and profitability ratios.

Investor presentations in late 2025 highlight financial strength and franchise value to the market.

ConnectOne Bancorp, Inc. actively communicated its post-merger financial positioning through investor outreach, including a presentation in November 2025. The promotion here is about validating the merger's value proposition through hard numbers, especially after the Q2 2025 net loss of $(21.8) million. The narrative shifts to future potential and stability, as affirmed by KBRA in September 2025 with a Stable Outlook.

The following table summarizes key financial metrics used to promote franchise value as of mid-to-late 2025:

Digital marketing and technology focus to service clients and maintain business relationships.

ConnectOne Bancorp promotes its efficiency and modern service delivery through its technology backbone. The company operates a branch-lite model, which is supported by continuous investments in technology. The fintech subsidiary, BoeFly, Inc., is a specific promotional asset, functioning as a marketplace to connect franchise borrowers with funding solutions across a network of partner banks. This digital component supports the relationship focus by streamlining processes.

CEO commentary emphasizes disciplined execution and deepening client relationships.

CEO commentary in earnings calls and presentations reinforces the commitment to disciplined underwriting and relationship growth. Following the merger, management highlighted initiatives to grow fee income through SBA and treasury management activities. Disciplined execution is also visible in loan pricing; new loans were booked at rates above 7.45%. The focus remains on quality, with the CEO noting that markets are 'ripe with opportunities for a truly client-focused bank'. This disciplined approach is intended to drive profitability, with a path toward an ROA above the 1.0% mark in 2025.

ConnectOne Bancorp, Inc. (CNOB) - Marketing Mix: Price

You're looking at the pricing power of ConnectOne Bancorp, Inc. as of late 2025, which is heavily influenced by the interest rate environment and the successful integration of the recent merger. The core pricing metric for a bank like ConnectOne Bancorp, Inc. is its Net Interest Margin (NIM), which reflects the spread between what it earns on assets and pays on liabilities. For the third quarter of 2025, the NIM widened to 3.11% from 3.06% in the sequential quarter. To be fair, the spot NIM (the margin at the very end of the quarter) was already over 3.20%.

Management's outlook suggests this pricing strength will continue. They project the fourth quarter 2025 NIM to be 3.25% or even higher. This positive trajectory is supported by the redemption of high-rate subordinated debt on September 15, which was a drag on the reported Q3 margin, and the expectation that excess cash balances will rotate into loan fundings. Without those two temporary factors, the Q3 NIM would have exceeded 3.50%.

The pricing on new business is robust, reflecting the current market. While the specific weighted average rate for the Q2 2025 loan pipeline isn't explicitly stated here, the overall health of the loan book and pipeline supports the margin expansion. The company reported strong credit quality, which allows for competitive, yet profitable, pricing. Nonperforming assets stood at just 0.28% of total assets as of September 30, 2025. This low level of credit risk certainly underpins confidence in their lending rates.

When you look at the shareholder return component of price strategy, ConnectOne Bancorp, Inc. maintained its common stock dividend at $0.18 per share, payable on December 1, 2025. This steady payout signals confidence in sustained earnings power, which supports the stock price and the overall value proposition to investors.

Here's a quick look at how key performance indicators that drive pricing power stacked up in Q3 2025:

The factors influencing the attractiveness of ConnectOne Bancorp, Inc.'s pricing structure going forward include several elements that affect the cost of funds and asset yields. You should keep an eye on these:

• Projected Q4 2025 NIM target of 3.25% or higher.
• Expectation for 2026 exit NIM approaching 3.40-3.50%.
• Loan growth accelerating, with average loans increasing over 2% quarter-over-quarter in Q4.
• Recurring noninterest income run-rate is approximately $7 million per quarter.
• Annualized net charge-offs remaining below 0.20%.

Finance: draft 13-week cash view by Friday.