Services considered important to business customers and determinants of bank selection in Kuwait: a segmentation analysis

Abstract

Examines various segmentation analysis tools for bank marketing strategies. Aims to identify the relative importance of banking services to business customers’ needs, and to find out the true determinants of bank selection decisions. Profile analysis results revealed that Kuwaiti, non‐Kuwaiti, and joint business firms are significantly different in their perceptions of the relative importance of many services offered by Kuwaiti banks. Posits that the true determinants of bank selection decisions made by business customers are more likely to be a function of both the perceived importance of bank attributes and the differences among banks in a given region with regard to each of these attributes. Lists the most important factors which influence bank selection. Demonstrates by multiple discriminant analysis that “group membership” of business customer segments with different nationalities can be predicted on the basis of the determinants of bank selection decisions.