Modelling satisfaction with ATMs: MANAGERIAL IMPLICATIONS

Since the model fits the two banking systems, which are at different stages of development, it seems reasonable to conclude that it could provide banks with a useful benchmarking tool. Although the markets for personal banking services have developed at a different pace in the UK and Hungary, both are currently experiencing intense competition. This competition manifests itself in both diversification of financial services and a high level of merger activity between banks. Consumers are becoming increasingly sophisticated and are likely to choose more than one provider and/or change bank to achieve their desired mix of financial services.

In view of the rapid and dynamic pace of change in the market, it is vital that banks continue to monitor and review consumer behaviour. Since it provides a tool for benchmarking both within and across countries, the above model offers a valuable mechanism for assessing new markets and monitoring existing ones because it appears to apply across national, cultural and economic boundaries. This is particularly important within the context of globalisation of markets. In addition, if this type of model were estimated in the same market places at regular intervals, it could be used to track the trends in consumer satisfaction and to test the effectiveness of marketing policies over time. This could provide a valuable input into the management decision-making process and the development of marketing policies and strategies.

Areas for further research

As with most research on consumer behaviour issues, this study has a number of limitations. First, only two countries were used in the comparison and further work should expand on this to include more countries. Secondly, the model could be expanded to include other demographic and psychographic variables that may be important in predicting individuals’ behaviour towards ATMs. Thirdly, if this type of study were undertaken over time, for example once a year, trends and patterns could be analysed relating to consumers’ perceptions and usage of ATMs.