CUSTOMER AND THEIR NEEDS

Customer and their needs in the banking sector

CUSTOMER AND THEIR NEEDS IN THE BANKING SECTOR

Introduction

The idea of customer needs, preferences and customer loyalty has established much consideration and interest from both academics and practitioners in diverse industries. Progressively more competitive markets, being capable to identify customer needs to build consumer loyalty is seen as the major aspect in captivating the markets and creating an everlasting competitive advantage. Banking business is no exception as it has great dealings with the customers, so bank executive must realize the factors which control the customer needs and create the loyalty of the customers towards their particular banks. It is always expensive to catch the attention of new customers or attract them, so the bankers always attempt to discover ways to maintain their current customers and give attention to different factors which improves the customer loyalty among the customers of the Bank.

Nowadays, banking industry is viewed as a catalyst in economic development of a nation and, lot is anticipated from the banking group a d their role in the economic growth and d recovery from the financial crises. The acknowledgment of banking, as a tool for all comprehensive growth by economists, financial planners, reformist etc has made it a significant industry in the Government's planning of economic development and growth. The banking industry in European countries is hence witnessing remarkable changes because of political, social and economic transformations that are taking place locally and globally.

The concept of banking, which was previously limited to accepting of deposits from general public, has also undergone huge changes. Nowadays, the banking industry is considered as an instrument for all wide-ranging economic development as well growth, social responsibility and equiv-distribution of national resources.

Currently, banking sector is wooing existing clients, potential customers by offering new products, facilities, and services with the aim to retain/increase their customer base and enhance market share. The techniques the banking has altered, so has the customer changed too. The customer of 21st century is not what he was in the past. Today the customer is well-informed, demanding, investigative and sentient to his rights. It is hence a difficult task before the banking industry to resume their whole working modules, improvements of skills, technology, and strategies in order that they are proficient to survive the global competitive environment in the future.

All customers from diverse backgrounds have diverse expectations. Except the service standards in shape to meet each person's expectations, if no met he/she will not be pleased. Consequently banker has to understand each type of customer and his/her needs thoroughly to be proficient to offer customer particular services.

For all the turmoil in the global financial system since early 2008, some things have not been changed. The increasing numbers of various banks are in business still missing. The Bank's purpose is the same. Banks tender a safe shelter for the savings of individuals and businesses that hold up productive human endeavor, and economic growth through competent and effective provision of resources, and link the ...