Investigating factors affecting customer retention at Nedbank South Africa
- Authors: Madzivhandila, Rofhiwa
- Date: 2013
- Subjects: Banks and banking -- Customer services -- South Africa , Customer services -- Quality control , Bank marketing -- South Africa , Customer relations -- South Africa
- Language: English
- Type: Thesis , Masters , MBA
- Identifier: vital:8845 , http://hdl.handle.net/10948/d1020100
- Description: The banking sector plays an important role in the economy of any country across the world. The recent financial crisis shows how much of the world’s economy is influenced by the banking sector. There are different roles that banks play in contributing to the operation and growth of an economy. Their role spreads from that of intermediary to that of provider of payment clearing services. Banks are an important and integral part of any economy. According to a study by Greenberg & Simbanegavi (2009), the South African banking sector is fertile ground for high levels of competition amongst its players. This competition is important for the proper working of the modern economy. According to Van Leuvensteijn et al. (2008), because banks act as the main vehicle for monetary policy, reduced competition in the banking sector can hinder the efficiency of monetary policy. As a result of the competition in the banking sector, customer retention is a key component of banks’ strategies in today’s market. The main aim of the study was to investigate factors affecting customer retention at Nedbank South Africa. The study focused on the institutional causes of bank customer defection and sought to investigate the effects of three factors (Customer service quality, Satisfaction with product, and Switching costs) on Customer Retention. This study showed the importance of customer retention and more importantly how the mentioned three factors affect customer retention at Nedbank South Africa. One of the highlights that came out of this research was that 50 perscent of the respondents were either considering closing their account or were likely to close their account within the next 12 months. In conclusion, these three factors were found to be important in the customer retention strategy of the bank. Recommendations were presented by the author on how to integrate the factors into a retention framework that can contribute to the profitability of the bank. Areas of future research that can be helpful to the bank were also highlighted by the author.
- Full Text:
- Date Issued: 2013
- Authors: Madzivhandila, Rofhiwa
- Date: 2013
- Subjects: Banks and banking -- Customer services -- South Africa , Customer services -- Quality control , Bank marketing -- South Africa , Customer relations -- South Africa
- Language: English
- Type: Thesis , Masters , MBA
- Identifier: vital:8845 , http://hdl.handle.net/10948/d1020100
- Description: The banking sector plays an important role in the economy of any country across the world. The recent financial crisis shows how much of the world’s economy is influenced by the banking sector. There are different roles that banks play in contributing to the operation and growth of an economy. Their role spreads from that of intermediary to that of provider of payment clearing services. Banks are an important and integral part of any economy. According to a study by Greenberg & Simbanegavi (2009), the South African banking sector is fertile ground for high levels of competition amongst its players. This competition is important for the proper working of the modern economy. According to Van Leuvensteijn et al. (2008), because banks act as the main vehicle for monetary policy, reduced competition in the banking sector can hinder the efficiency of monetary policy. As a result of the competition in the banking sector, customer retention is a key component of banks’ strategies in today’s market. The main aim of the study was to investigate factors affecting customer retention at Nedbank South Africa. The study focused on the institutional causes of bank customer defection and sought to investigate the effects of three factors (Customer service quality, Satisfaction with product, and Switching costs) on Customer Retention. This study showed the importance of customer retention and more importantly how the mentioned three factors affect customer retention at Nedbank South Africa. One of the highlights that came out of this research was that 50 perscent of the respondents were either considering closing their account or were likely to close their account within the next 12 months. In conclusion, these three factors were found to be important in the customer retention strategy of the bank. Recommendations were presented by the author on how to integrate the factors into a retention framework that can contribute to the profitability of the bank. Areas of future research that can be helpful to the bank were also highlighted by the author.
- Full Text:
- Date Issued: 2013
Statistical relationship of customer behavioral characteristics in personal banking
- Authors: Rasuba, Maanda
- Date: 2009
- Subjects: Customer relations -- South Africa -- Management , Consumer behavior -- South Africa , Banks and banking -- Customer services -- South Africa
- Language: English
- Type: Thesis , Masters , MSc
- Identifier: vital:10566 , http://hdl.handle.net/10948/1165 , Customer relations -- South Africa -- Management , Consumer behavior -- South Africa , Banks and banking -- Customer services -- South Africa
- Description: This study investigates the relationship of bank customers’ behavioural patterns based on the customers past transactions, with respect to their profile characteristics. The main aim of this study is to illustrate that different categories of customers (based on demographical variables such as race, gender and age) have statistically significant differences in behaviour, with respect to how they operate their accounts. A theoretical overview on the literature of customer relationship management in the banking sector emphasises the importance of understanding customers to ensure that a business is successful. Four null-hypotheses where formulated based on a general research hypothesis. The data base provided a major South African bank is used to achieve the objectives. Extensive cleaning of the data set was necessary to ensure the validity of the results. The data set had 7860 customer keys. The large data base used contributed to the reliability of the results. The following behavioural variables were used in the study namely, transaction data, average debit and credit transaction amounts and average number of transactions per month. The main results of study indicate that different customer categories have statistically significant differences in behaviour, with respect to how customers operate their accounts. This implies that it is important for the banking sector to consider customer gender differences, age differences and race group differences in the relationship strategies which they employ in their multicultural environment. Further research in the area may be necessary before generalisation can be made on all banking customers.
- Full Text:
- Date Issued: 2009
- Authors: Rasuba, Maanda
- Date: 2009
- Subjects: Customer relations -- South Africa -- Management , Consumer behavior -- South Africa , Banks and banking -- Customer services -- South Africa
- Language: English
- Type: Thesis , Masters , MSc
- Identifier: vital:10566 , http://hdl.handle.net/10948/1165 , Customer relations -- South Africa -- Management , Consumer behavior -- South Africa , Banks and banking -- Customer services -- South Africa
- Description: This study investigates the relationship of bank customers’ behavioural patterns based on the customers past transactions, with respect to their profile characteristics. The main aim of this study is to illustrate that different categories of customers (based on demographical variables such as race, gender and age) have statistically significant differences in behaviour, with respect to how they operate their accounts. A theoretical overview on the literature of customer relationship management in the banking sector emphasises the importance of understanding customers to ensure that a business is successful. Four null-hypotheses where formulated based on a general research hypothesis. The data base provided a major South African bank is used to achieve the objectives. Extensive cleaning of the data set was necessary to ensure the validity of the results. The data set had 7860 customer keys. The large data base used contributed to the reliability of the results. The following behavioural variables were used in the study namely, transaction data, average debit and credit transaction amounts and average number of transactions per month. The main results of study indicate that different customer categories have statistically significant differences in behaviour, with respect to how customers operate their accounts. This implies that it is important for the banking sector to consider customer gender differences, age differences and race group differences in the relationship strategies which they employ in their multicultural environment. Further research in the area may be necessary before generalisation can be made on all banking customers.
- Full Text:
- Date Issued: 2009
Have the continuous improvement (CI) efforts at Absa Bank's Horizon Medium Business Banking Unit, in the Gauteng West Region successfully addressed the key concepts of continuous improvement as set out by Trollip, 2008?
- Authors: Ndlovu, Sinqobile Khobotho
- Date: 2008
- Subjects: Banks and banking -- Customer services -- South Africa , Organizational effectiveness
- Language: English
- Type: Thesis , Masters , MBA
- Identifier: vital:8721 , http://hdl.handle.net/10948/904 , Banks and banking -- Customer services -- South Africa , Organizational effectiveness
- Description: Success in today’s highly competitive financial sector requires an organization to have a sustainable competitive advantage that would distinguish it from the rest. Products offered by financial organizations are naturally the same and the quality of service plays a critical role in terms of creating the much needed competitive advantage. This calls for the implementation of quality initiatives like Continuous improvement (CI). This paper investigates the extent to which CI efforts at the Horizon business unit of Absa corporate and business banking have successfully addressed the key concepts of CI set out by Trollip (2008). A literature survey was undertaken into the elements and benefits of CI. Questionnaires were sent to all employees of the business unit for their views on CI and the impact, they believe it has on the unit’s endeavors to deliver faster, defect free, innovative products/services, whilst achieving tougher goals. In conclusion the research paper led to recommendations to improve the CI efforts at the Horizon business unit. The research also confirmed the importance of the commitment of all employees is essential for the success of CI efforts in improving the quality of service offered by an organization.
- Full Text:
- Date Issued: 2008
- Authors: Ndlovu, Sinqobile Khobotho
- Date: 2008
- Subjects: Banks and banking -- Customer services -- South Africa , Organizational effectiveness
- Language: English
- Type: Thesis , Masters , MBA
- Identifier: vital:8721 , http://hdl.handle.net/10948/904 , Banks and banking -- Customer services -- South Africa , Organizational effectiveness
- Description: Success in today’s highly competitive financial sector requires an organization to have a sustainable competitive advantage that would distinguish it from the rest. Products offered by financial organizations are naturally the same and the quality of service plays a critical role in terms of creating the much needed competitive advantage. This calls for the implementation of quality initiatives like Continuous improvement (CI). This paper investigates the extent to which CI efforts at the Horizon business unit of Absa corporate and business banking have successfully addressed the key concepts of CI set out by Trollip (2008). A literature survey was undertaken into the elements and benefits of CI. Questionnaires were sent to all employees of the business unit for their views on CI and the impact, they believe it has on the unit’s endeavors to deliver faster, defect free, innovative products/services, whilst achieving tougher goals. In conclusion the research paper led to recommendations to improve the CI efforts at the Horizon business unit. The research also confirmed the importance of the commitment of all employees is essential for the success of CI efforts in improving the quality of service offered by an organization.
- Full Text:
- Date Issued: 2008
The antecedents of customer satisfaction in a financial institution : a qualitative study
- Authors: Bleske, Adrian
- Date: 2008
- Subjects: Standard Bank Properties , Banks and banking -- South Africa , Banks and banking -- Customer services -- South Africa , Financial services industry -- South Africa , Bank management -- South Africa , Banks and banking -- Customer services -- Effect of marketing on
- Language: English
- Type: Thesis , Masters , MBA
- Identifier: vital:840 , http://hdl.handle.net/10962/d1015482
- Description: The following is a case study report on the Cape Town business unit of Standard Bank Properties. The research project falls within the ambit of services marketing which introduces several unique management challenges for service businesses that sell services as a core offering. The principal aim of the case study is to gain an understanding of why customers bank at the business unit and to discover what aspects are critical to customer satisfaction. A further goal of the research is to examine how the business unit could improve customer satisfaction and to highlight any impediments to further improving customer satisfaction at the business unit. It is generally regarded that quality customer service is essential to building customer relationships and hence the research project emphasis on services marketing and customer satisfaction within a financial services context. The paper commences with an overview of the South African Banking Sector and its unique challenges such as the Financial Service Charter and newly introduced legislation such as Financial Intelligence Centre Act. The case study will specifically investigate the property finance industry and a detailed analysis of the business unit's operations and process flow will also be undertaken. The reason for this background information is to assist the reader to understand how the business unit operates. The research project will investigate four unique differences between goods marketing and services marketing whereafter three theoretical propositions are introduced, namely the dyadic interaction and service encounter, the Service Profit Chain and finally Relationship Marketing. Evidence in the form of a narrative will be led from insights obtained from interviews conducted with customers and staff at the business unit against these propositions with support (or otherwise) from independent surveys and documents from the business unit. The result of this analysis is the identification of several areas of concern specifically: New employees and the service encounter, Problems with FICA, Lack of a customer complaint handling system, Empowerment issues, Turnaround times, Reliance on key staff These insights together with the evidence from the literature review will be analysed and several recommendations made to improve customer service and ultimately customer satisfaction at the business unit. Several recommendations for further research are offered as well as the identification of limitations including but not limited to the specificity of the case study report.
- Full Text:
- Date Issued: 2008
- Authors: Bleske, Adrian
- Date: 2008
- Subjects: Standard Bank Properties , Banks and banking -- South Africa , Banks and banking -- Customer services -- South Africa , Financial services industry -- South Africa , Bank management -- South Africa , Banks and banking -- Customer services -- Effect of marketing on
- Language: English
- Type: Thesis , Masters , MBA
- Identifier: vital:840 , http://hdl.handle.net/10962/d1015482
- Description: The following is a case study report on the Cape Town business unit of Standard Bank Properties. The research project falls within the ambit of services marketing which introduces several unique management challenges for service businesses that sell services as a core offering. The principal aim of the case study is to gain an understanding of why customers bank at the business unit and to discover what aspects are critical to customer satisfaction. A further goal of the research is to examine how the business unit could improve customer satisfaction and to highlight any impediments to further improving customer satisfaction at the business unit. It is generally regarded that quality customer service is essential to building customer relationships and hence the research project emphasis on services marketing and customer satisfaction within a financial services context. The paper commences with an overview of the South African Banking Sector and its unique challenges such as the Financial Service Charter and newly introduced legislation such as Financial Intelligence Centre Act. The case study will specifically investigate the property finance industry and a detailed analysis of the business unit's operations and process flow will also be undertaken. The reason for this background information is to assist the reader to understand how the business unit operates. The research project will investigate four unique differences between goods marketing and services marketing whereafter three theoretical propositions are introduced, namely the dyadic interaction and service encounter, the Service Profit Chain and finally Relationship Marketing. Evidence in the form of a narrative will be led from insights obtained from interviews conducted with customers and staff at the business unit against these propositions with support (or otherwise) from independent surveys and documents from the business unit. The result of this analysis is the identification of several areas of concern specifically: New employees and the service encounter, Problems with FICA, Lack of a customer complaint handling system, Empowerment issues, Turnaround times, Reliance on key staff These insights together with the evidence from the literature review will be analysed and several recommendations made to improve customer service and ultimately customer satisfaction at the business unit. Several recommendations for further research are offered as well as the identification of limitations including but not limited to the specificity of the case study report.
- Full Text:
- Date Issued: 2008
Challenges facing a financial insitution to improve service quality and customer retention
- Authors: Meyer, I T
- Date: 2001
- Subjects: Banks and banking -- Customer services -- South Africa , Bank management -- South Africa , Financial services industry -- South Africa
- Language: English
- Type: Thesis , Masters , MTech
- Identifier: vital:10846 , http://hdl.handle.net/10948/45 , Banks and banking -- Customer services -- South Africa , Bank management -- South Africa , Financial services industry -- South Africa
- Description: The financial industry and more specifically Retail banking is a very competitive industry. The profit margins are shrinking with the entrance of newcompetitors into the market place. During the last two to three years various foreign banks have opened offices in South Africa, cherry picking the high net worth customers fromthe traditional high street banks. The product range between these banks is the same, maybe at times presented in a different wrapping. The one differential factor between the various banks is service and the quality thereof. The researcher, being a banker, decided to investigate how to improve the quality of service which is the main problemof this study. The secondary problems or subproblems are: * How to solve service breakdown? * How to retain customers after a service breakdown? The researcher first did a literature survey focusing on the key drives of this research namely: * Improving quality service. * Problem resolution. * Customer retention. An empirical investigation was also undertaken focusing on the personal market segment and the high net worth individuals. The demarcation of the survey was restricted to a specific area on the South Coast of KwaZulu Natal, and in particular the retail market and three specific branches on the South Coast, namely: * Scottburgh; * Margate, and * Port Shepstone. The main finding of the empirical survey indicates an average service rating of 8.38, which is in excess of the financial institution’s national service objective of 8.22 for 2001. This indicates that in most areas the service quality of this financial institution is good. The results fromthe literature survey as well as the empirical investigation indicated that service quality can only be achieved through a collective effort from all role players within the bank. The resolution of service breakdown needs to be controlled and managed to rectify breakdowns effectively within specific time limits that are acceptable to the individual customer. The barriers to retain customerswill become less effective should the financial institution not be able to restore or improve service quality for their customers.
- Full Text:
- Date Issued: 2001
- Authors: Meyer, I T
- Date: 2001
- Subjects: Banks and banking -- Customer services -- South Africa , Bank management -- South Africa , Financial services industry -- South Africa
- Language: English
- Type: Thesis , Masters , MTech
- Identifier: vital:10846 , http://hdl.handle.net/10948/45 , Banks and banking -- Customer services -- South Africa , Bank management -- South Africa , Financial services industry -- South Africa
- Description: The financial industry and more specifically Retail banking is a very competitive industry. The profit margins are shrinking with the entrance of newcompetitors into the market place. During the last two to three years various foreign banks have opened offices in South Africa, cherry picking the high net worth customers fromthe traditional high street banks. The product range between these banks is the same, maybe at times presented in a different wrapping. The one differential factor between the various banks is service and the quality thereof. The researcher, being a banker, decided to investigate how to improve the quality of service which is the main problemof this study. The secondary problems or subproblems are: * How to solve service breakdown? * How to retain customers after a service breakdown? The researcher first did a literature survey focusing on the key drives of this research namely: * Improving quality service. * Problem resolution. * Customer retention. An empirical investigation was also undertaken focusing on the personal market segment and the high net worth individuals. The demarcation of the survey was restricted to a specific area on the South Coast of KwaZulu Natal, and in particular the retail market and three specific branches on the South Coast, namely: * Scottburgh; * Margate, and * Port Shepstone. The main finding of the empirical survey indicates an average service rating of 8.38, which is in excess of the financial institution’s national service objective of 8.22 for 2001. This indicates that in most areas the service quality of this financial institution is good. The results fromthe literature survey as well as the empirical investigation indicated that service quality can only be achieved through a collective effort from all role players within the bank. The resolution of service breakdown needs to be controlled and managed to rectify breakdowns effectively within specific time limits that are acceptable to the individual customer. The barriers to retain customerswill become less effective should the financial institution not be able to restore or improve service quality for their customers.
- Full Text:
- Date Issued: 2001
- «
- ‹
- 1
- ›
- »