Demographic Effect on Switching Behaviour among Bank Customers in Ghana (Published)
The issues that confront banks in their quest to offer superior value are as a result of effective segmentation and this presents marketers with a huge responsibility of providing the right products for customers to be delighted. However, the characteristics of customers are not the same; hence; expectations also differ in the same regard. This makes it paramount to understand the demographic variables such as age, income and education and how these variables impact a customers’ likelihood to switch. The study utilized a cross-sectional survey of 987 bank customers and a convenience sampling technique was employed. The data was analysed with Cross-tabulation and Chi-square. The study concludes that age, income and education are significant to the tendency for customers to switch banks.
Keywords: Bank Customers, Demographic Characteristics, Segmentation, Switching Behaviour
Evaluation of Factors Influencing Switching Behaviour by Ghana Commercial Bank Customers (Published)
This study seeks to determine the factors which influence the switching behaviour of customers of Ghana Commercial Bank, Limited in Ho. A descriptive, cross-sectional survey was conducted among 350 purposively selected individual customers. Logistic regression analysis was used to identify the predictors of switching intentions among customers. Results show that four factors; X1 (High transaction fee), X4 (Attractiveness of alternatives), X7 (Inconvenience of bank location) and X9 (Inability to respond to system failure quickly) were statistically significant in the prediction of customer switching with a predicted switching rate of 82.29%. It is suggested there is a need for banks to review their bank charges or transaction fees in the banking sector since high transaction fees have an impact on customer switching behaviour. Also, management should establish more branches in the same township since customers switch in the inception of convenience in the services and location of the banks. Finally, banks should regularly update their system and also employed welled trained staff who will respond to system failure quickly. In addition, they should strive to provide the greatest possible customer satisfaction and convenience them that they have greater customer satisfaction than competitive banks.
Keywords: Customers, Logistic regression, Switching Behaviour