Factors influencing the selection of banks for personal banking activities by employed people in Matara district

Abstract

The aim of this research is to investigate the factors influencing the selection of banks for personal activities by employed people in the Matara District which is the main commercial city of the Southern Province in Sri Lanka.The banking industry is continuously changing due to its current competitive nature. This industry tends to replace their traditional procedures with user-friendly and fully digitalized banking procedures that manage the high competition with other banks. Employed people in society have different attitudes toward the new trends in the banking sector. So, the goal of this study is to identify the variables that influence the choice of a bank for personal banking activities by employed people and make this information available to those who hope to choose a bank in the current context. This research used the convenient sampling method to collect data. Data were collected from randomly selected participants, who are employed in the Matara district, focusing on their perceptions and the criteria they use when selecting banks, and the factors that influence them to choose banks. The results showed that most affecting variable for selection of bank was their job category. Gender and education level were also found as factors affecting the selection of a bank among government and non-government banks for personal banking. The results will be helpful in preparing the strategic plans of the banks and it will be a guide for individuals to make banking easier for themselves. The implication of this research is bank management, academicians, and policy makers must devote resources and evaluate and redesign current marketing strategies in order to retain customers in the competitive bank environment in Matara district. Keywords: Customer Attitude, Customer Satisfaction, Trends in Banking