American consumers' attitudes towards commercial banks: A comparison of local and national bank customers by use of geodemographic segmentation

Abstract

Purpose

This article demonstrates the application of geodemographic segmentation to the service industry by using commercial banking as a case example.

Design/methodology/approach

Data were collected through self‐administered questionnaires. Two sets of variables were used to profile market segments.

Findings

Study results indicate that there are substantial differences between customers of local and national US banks in their evaluation of the relative importance of bank service charges and overall confidence in the bank. Compared to national banks, local banks were evaluated more positively by customers in areas such as extra services offered by the bank, image of the bank, and convenience of the bank.

Originality/value

More focused and concentrated marketing strategies are suggested to achieve better local bank performance.

Citation

Kaynak, E. and Harcar, T.D. (2005), "American consumers' attitudes towards commercial banks: A comparison of local and national bank customers by use of geodemographic segmentation", International Journal of Bank Marketing, Vol. 23 No. 1, pp. 73-89. https://doi.org/10.1108/02652320510577375