Social media, brand loyalty and the banking industry in Colombia

Abstract

This study analyzed the relationship between retail bank customers’ loyalty and trust, and focused social media marketing in Barranquilla, Colombia. The survey was conducted in-person among customers (528 participants) at various Colombian banks over a period of seven months, from May 2021 to November 2021. The responses on the survey were rated on a 5-point Likert scale, ranging from “Strongly disagree” to “Strongly agree”. The study also incorporated a focus group with 25 participants aged between 34 and 51. Moreover, the research employs factorial analysis to elucidate the underlying correlations between the variables. The discussion was structured around seven pre-determined variables: Personalization, Entertainment, Engagement, Marketing, Word of Mouth, Trust, and Loyalty. The load factors range between 0.583 and 0.914, implying a high correlation between the survey questions and the constructs. The Cronbach’s Alpha values (from 0.753 to 0.996) and the Composite Reliability values (from 0.739 to 0.875) suggest a high level of internal consistency within the constructs. In the realm of social media marketing, the research underscores the pivotal role of trust as an intermediary in cultivating brand loyalty. The study abstains from concentrating on hypothesis testing, instead it illuminates the criticality of understanding the role trust plays in social media marketing. The research results provide valuable insights for future investigations as well as for enhancing service marketing strategies in the banking sector. AcknowledgmentsThis study was funded by Education For All Online EU. We thank our participants for their generous contribution to this work.