Analysis of the banking market in Ireland

Résumé du document

An analysis of the banking market in Ireland: The banking sector in Ireland is a major contributor to the Irish economy. In 1998 alone, banks spent more than 2.3 billion in the economy, paying over 813 million to the exchequer in taxes. This sector is also one of the largest employers in the state, providing over 30,000 jobs. The aim of this study is to look at customer's loyalty to their existing banks, and their satisfaction and retention levels. Furthermore, we aim to identify the images associated with the different banks. The main areas we are going to look at are, satisfaction, perceived quality, perceived value, and corporate image, as these are significant elements in constructing customer loyalty. There has been an international trend towards increased financial sector consolidation in recent years, with a notable pick-up in mergers and acquisitions.

Extraits

[...] Key concepts and terms of use Correspondence table This is the raw cross- tabulation of two discrete variables, with marginals. The object of correspondence analysis is to explain the inertia (variance) in the table. The correspondence map is a visual and graphical tool used in order to identify relationships in this table. Points These are also known as “profile points”. A point is one of the values of one of the discrete variables in the analysis. For instance, in this case would be a point as would “bank attributes”. [...]

[...] Problem definition according to Malhotra and Birks (2000) involves stating the general problem and identification of the specific components of the marketing research problem. The following is a statement of the market research problem identified in relation to this research and an identification of the specific components of the problem. The problem facing the banking sector in Ireland at the present time is one of intense competition for customer accounts. A range of services are available to a wide variety of customers, however, the problem being faced by these institutions is the retention of their existing customers. [...]

[...] Two points that are far from each other would encourage the conclusion that their profiles are different, this principal applies in reverse for points that are close together. The following contingency table will be used to run a correspondence analysis so as to determine the degree of association between the variables. The cell counts were generated through SPSS cross-tabulations. It is clear from the above contingency table that Bank of Ireland is generally most associated with promotional activity. AIB and Permanent TSB are also most associated with promotional activity. Ulster Bank is most associated with being friendly and courteous. [...]

[...] MasterCard 3. American Express 4. MBNA Credit line Limit 1. Interest Rate Type of payment 1. All at once 2. Deferred SPSS was used to generate 19 cards (including 3 holdouts). Respondents were asked to rank these cards in order of their preference for each scenario. Limitations of our conjoint study Only four brands of credit card. No open ended questions on survey. Apathetic to filling in surveys. [...]

[...] A shift in attitude In September 2001 a company associated with MasterCard conducted a survey of credit card usage in Ireland. From this it emerged that half of all Irish credit card holders (of which 75% were under 25) had never heard of the annual Government tax of on each card. Considering this tax is levied automatically and many people have two or more cards, these consumers were informed once a year that anywhere between and was leaving their accounts. [...]