LCNB Corp. (LCNB): Marketing Mix Analysis [Dec-2025 Updated]

You're digging into how a regional player is actually making money in this environment, and frankly, the late 2025 picture for this Ohio-based institution is clear: it's an acquisition-driven machine focused on wealth. They've successfully pushed their wealth management assets to $1.40 billion as of Q1 2025, all while their core lending engine is showing real pricing strength, evidenced by a 3.57% Net Interest Margin in the third quarter. It's a classic community bank playbook, but the execution is sharp. So, if you want to see how their physical footprint, relationship-based promotion, and solid $6.936 million Q3 net income fit together, check out the full four P's breakdown below.

LCNB Corp. (LCNB) - Marketing Mix: Product

LCNB Corp. provides a full suite of deposit and lending solutions through its banking subsidiary, LCNB National Bank, which operates as a community-focused regional bank. You'll find their physical presence spans a network of full-service branches across southwestern Ohio and southeastern Indiana.

The core product set is designed to meet the needs of individual consumers, small businesses, and middle-market commercial clients. This includes the fundamental deposit products and a diverse array of credit facilities.

• - Full-service community banking for personal and business needs.
• - Core offerings: checking, savings, money market, and certificate of deposit accounts.
• - Diverse lending includes commercial and industrial loans, real estate and construction financing, agricultural loans, residential mortgages, and consumer lending.
• - Treasury management services support business customers with tools like automated clearinghouse (ACH) origination and remote deposit capture.
• - Digital banking tools for online and mobile access are emphasized alongside branch service.

The scale of the product delivery platform, as of March 31, 2025, is best seen when you look at the balance sheet supporting these offerings. The net interest margin, a direct reflection of the pricing on these core lending and deposit products, showed improvement, reaching 3.25% in Q1 2025, and further expanding to 3.57% by Q3 2025.

The high-growth area is definitely LCNB Wealth Management. This segment delivered a record $1.40 billion in assets under management (AUM) as of March 31, 2025, representing a 7.4% year-over-year increase for that quarter. This growth translated directly into fiduciary income of $2.2 million for Q1 2025, which was up 9.7% year-over-year.

You should note the strategic focus on cross-selling trust and investment services. Management highlighted leveraging these capabilities following the April 2024 acquisition, aiming for a positive tangible book value earn-back from that transaction earlier than initially projected. The total non-interest income for Q1 2025 was $5.2 million, significantly boosted by this fiduciary income and gains from loan sales, which totaled $0.841 million.

The digital component is supported by the bank's ongoing investment in its platform. While the specific technology stack isn't public, the emphasis on digital and mobile access aligns with the 2025 industry trend toward cloud-native, modular core banking systems that support hyper-personalization through AI/ML integration. This architecture helps reduce operational costs and enables faster deployment of new features for you and your clients.

LCNB Corp. (LCNB) - Marketing Mix: Place

The Place strategy for LCNB Corp. centers on a deep, localized presence across specific Ohio markets, augmented by digital access points. This distribution model prioritizes community banking proximity while integrating modern remote access capabilities.

LCNB National Bank maintains a concentrated physical footprint, serving customers across 10 counties in Southwest and South-Central Ohio as of the June 30, 2025 reporting period. This geographic focus is anchored by the main office in Lebanon, Ohio, which remains the corporate headquarters.

The physical network has been intentionally expanded through strategic mergers. The April 2024 Eagle Financial Bancorp, Inc. ('Eagle') acquisition and the November 2023 Cincinnati Federal acquisition were key drivers in broadening the physical reach into new Ohio markets, including strengthening the presence in the Cincinnati MSA. Following the 2023 acquisition, the combined entity was estimated to have 36 banking offices in Ohio and one branch office in Northern Kentucky.

Distribution is also managed digitally, offering customers access beyond the physical branch structure. LCNB National Bank utilizes the LCNB Mobile app for customer access and has partnered with the MoneyPass^® network to provide a surcharge-free nationwide ATM experience. Customers can search for these fee-free ATMs using the LCNB Mobile app or by visiting www.moneypass.com.

Here's a breakdown of the core geographic distribution elements as of mid-2025 and recent expansion activity:

The service area includes specific counties where LCNB National Bank offers convenient banking locations:

• Butler County
• Clermont County
• Clinton County
• Fayette County
• Franklin County
• Hamilton County
• Montgomery County
• Preble County
• Ross County
• Warren County

The firm also supports its distribution channels with digital tools, allowing customers to manage cards via Card Management in the LCNB app or online dashboard. This blend of localized branches and digital tools supports the strategy of delivering local, relationship-based financial services in their established and newly acquired markets.

LCNB Corp. (LCNB) - Marketing Mix: Promotion

Promotion for LCNB Corp. centers on reinforcing its identity as a local, relationship-based community bank serving customers and communities across Southwest and South-Central Ohio. This strategy is designed to resonate with the core audience by emphasizing personalized service over sheer scale.

CEO Eric Meilstrup's commentary in late 2025 frequently highlights the disciplined execution of the long-term strategy, specifically mentioning near-term efforts to optimize recent acquisitions. This suggests promotional messaging is likely aligned with demonstrating successful integration and the resulting stability and enhanced service offerings for existing and new clients.

The promotion efforts are clearly tied to tangible business outcomes, particularly following inorganic growth. LCNB Corp. is actively leveraging its acquisitions to drive the cross-selling of wealth and trust services. This is not just talk; the investment services division showed encouraging traction, increasing assets under management by over 300% at newly acquired branches over the past 12 months (as of Q2 2025). This success in growing fiduciary income, which rose 23.4% for the nine months ending September 30, 2025, is a key metric that validates the integrated marketing and sales approach.

The bank's emphasis remains on delivering value and exceptional service to its Ohio communities. This is supported by the consistent financial performance, which provides a strong foundation for promotional claims of stability and growth. For instance, in the third quarter ended September 30, 2025, LCNB Corp. reported net income of $6.936 million, a significant increase from $4.532 million in the prior year period. Furthermore, net earnings per share improved 58.1% year-over-year to $0.49 for Q3 2025.

The digital component of promotion supports the local model by ensuring accessibility. LCNB Corp. maintains a digital presence, offering online banking and promoting its mobile app capabilities to ensure convenience complements the in-person relationship focus. While specific social media engagement statistics for LinkedIn and Facebook are not publicly detailed, the overall financial health supports the marketing spend, as non-interest expense for Q1 2025 showed an increase primarily due to higher operating expenses associated with the Eagle acquisition and increased marketing expenses.

The commitment to shareholders, which often underpins community trust, is promoted through consistent distributions. The Board declared a cash dividend of $0.22 per common share for the fourth quarter of 2025.

Here are key financial results from the nine months ending September 30, 2025, which reflect the effectiveness of the overall strategy supported by promotion:

The promotion strategy is clearly focused on communicating the benefits derived from its physical footprint and recent growth activities. The bank serves customers in multiple Ohio counties, including Butler, Clermont, Clinton, Fayette, Franklin, Hamilton, Montgomery, Preble, Ross, and Warren Counties, reinforcing the local service message.

The core promotional message is about tangible value delivered through local expertise, which is quantified by the success in integrating new services. You can see this focus in the way they communicate the tangible results of their integration efforts.

• Strategy centers on a local, relationship-based community banking model.
• CEO commentary highlights strategic integration and optimizing recent acquisitions.
• Digital presence supported by online banking and mobile app services.
• Emphasis on delivering value and exceptional service to Ohio communities.
• Leveraging acquisitions to drive cross-selling of wealth and trust services, which is defintely a smart move.

LCNB Corp. (LCNB) - Marketing Mix: Price

You're looking at how LCNB Corp. structures its pricing, which for a bank means managing the rates it charges on loans versus the interest it pays out on deposits and other funding sources. The goal here is clearly to maximize the spread, and the Q3 2025 results show they've been quite successful in that effort. The strategy involves actively optimizing the balance sheet, which means letting lower-rate assets mature or pay off while simultaneously decreasing higher-cost funding, like certain certificates of deposit. This deliberate action directly impacts the core pricing metric.

The success of this pricing and balance sheet optimization is evident in the expansion of the Net Interest Margin (NIM). This margin is the clearest indicator of their pricing power in the current environment. Furthermore, the resulting profitability supports shareholder returns directly through dividends.

When we look at shareholder returns as part of the overall price proposition, LCNB Corp. has maintained a consistent commitment. For the fourth quarter of 2025, the board declared a quarterly cash dividend of $0.22 per share. This payout is supported by the strong earnings performance; for instance, the payout ratio based on Q3 earnings was approximately 45%, meaning the dividend is very well covered by current profitability.

Here are the key financial figures that demonstrate the effectiveness of LCNB Corp.'s pricing and asset/liability management as of late 2025:

• Net income for Q3 2025 reached $6.936 million.
• Diluted Earnings Per Share (EPS) for the third quarter of 2025 was $0.49.
• Tax-equivalent Net Interest Margin (NIM) expanded to 3.57% in Q3 2025.
• The quarterly cash dividend declared for Q4 2025 is $0.22 per share.
• Net Interest Income for the quarter was $18.126 million.
• Fiduciary income, a non-interest income component, grew 23.4% year-over-year.

The reduction in interest paid on liabilities, specifically the decrease in higher-cost certificates of deposit, combined with higher average rates on loans, is the mechanism driving that NIM expansion. This focus on optimizing the cost of funds is central to their current pricing approach, even as they managed a slight, planned reduction in net loans to $1.67 billion as of September 30, 2025. The company is positioning itself for a return to loan growth in the first half of 2026, so this current pricing discipline sets the stage for that expansion.