Predicting retail banking consumer behaviour using statistics
Abstract
The рurрοѕe οf any eсοnοmiс-based aсtivitу is the creation of needs. As the financial activities are not an exception to this rule, understanding clients’ necessities and their satisfaction is of primary concern for all financial institutions. Being conversant with the exact details that constitute client behaviour and the processes that lead to particular decisions, has become an advantage for financial institutions investing resources in it. Finally, it will not only pay off by satisfying the clients’ needs, but it will also secure a long-standing loyalty and relationships with them. As all relationships, the one between the client and the bank requires support and mutual understanding.
Given the Serbian retail banking market, we may conclude the following: firstly, there is still potential for doing business in this filed; secondly, the particular segments of customers would accept new products; and thirdly, banks have to focus on the highest ranking clients concerning their credit worthiness. As regards the client behaviour over different product offerings, we can conclude that cash loans and credit card holders are not price sensitive, and that subsequently, the existing holders intend to increase their credit exposure.
References
Ajzen, I. (1991). Theory of planned behaviour. Organizational Behavior and Human Decision Processes, 50, 179-211.
Ajzen, I. (2000). The theory of planned behavior: Habit, perceived control, and reasoned action. Mannheim: Mannheimer Zentrum für Europäische Sozialforschung.
Ajzen, I. (2008). Consumer attitudes and behavior. In C. P. Haugtvedt, P. M. Herr, & F. R. Cardes (Ed.) Handbook of Consumer Psychology (pp. 525-548). New York: Lawrence Erlbaum Associates.
Ajzen, I., & Fishbein, M. (2002). Understanding attitudes and predicting social behavior. Upper Saddle River, NJ: Prentice-Hall.
Armitage, C.J., & Conner, M. (2001). Efficacy of the theory of planned behaviour: A meta-analytic review. British Journal of Social Psychology, 40(4), 471-499. doi: 10.1348/014466601164939
Brassington, F., Pettitt, S., & McMillan, K. (2010). Principles of marketing. Harlow: Financial Times Prentice Hall.
Campbell, D.T., & Russo, M.J. (2001). Social measurement. London: SAGE.
Conner, M., & Armitage, C.J. (2001). Extending the Theory of Planned Behavior: A meta-analytic review. British Journal of Social Psychology, 40(4), 471-499. doi: 10.1348/014466601164939
Farr, R. (1994). Attitudes, social representations and social attitudes. Papers on social representations, 3(1), 30-33.
Fishbein, M. (1979). A theory of reasoned action: Some applications and implications. Nebraska Symposium on Motivation. 27, 65-116.
Fishbein, M., & Ajzen, I. (2010). Predicting and changing behavior: The reasoned action approach. New York: Psychology Press.
Godin, G., & Kok, G. (1996). The theory of planned behaviour: A review of its applications in health related behaviours. American Journal of Health Promotion, 11(2), 87-98.
Kumar, A. (2013). Bank Marketing Mix in today banking sector. BPR Technologia: A Journal of Science, Technology & Management, 2(1), 17-26.
Miller, G.A. (1956). The Magical Number Seven, Plus or Minus Two. Psychological Review, 101(2), 343-352.
Muller, C., & Nordman, C.J. (2004). Which Human Capital Matters for Rich and Poor's Wages? Evidence from Matched Worker-Firm Data from Tunisia (October 2004). DIAL Working Paper No. DT/2004/09. doi: 10.2139/ssrn.652941
Raz, J. (2010). Engaging reason: On the theory of value and action. Oxford: Oxford University Press.
Read, S.J., & Miller, L.C. (2014). Connectionist Models of Social Reasoning and Social Behavior. Hoboken: Taylor and Francis.
Rose, P.S., & Hudgins, S.C. (2013). Bank management & financial services. New York: McGraw-Hill.
Storbacka, K., & Nenonen, S. (2014). Learning with the market: Facilitating market innovation. Industrial Marketing Management, 44, 73-82. doi: 10.1016/j.indmarman.2014.10.009
Storbacka, K., & Pennanen, R. (2014). Solution business: Building a platform for organic growth. Cham: Springer.
