The bank switching behaviour of Singapore’s graduates: Respondent characteristics

Altogether, 116 usable responses were obtained and the characteristics of the respondents are shown in Table 1. The greatest number of respondents were male, Chinese, in the younger age group and the lower income group. The respondents are considered to be reasonably representative of Singapore’s overall graduate population.

Survey form

A survey form was designed which had two sections to it. Section 1 was designed to identify the reasons why those respondents who had changed banks, had switched. The various reasons for switching were sourced from Keaveney (1995), the bank switching literature, comments from practising bankers and the authors’ personal experiences.

The survey form was pre-tested in two phases.

Method of analysis

A points system was created to enable the six incidents contained in the present researchers’ model to be ranked. The first ranked reason was allocated four points; the second ranked reason (if any) was allocated three points; the third ranked reason (if any) was allocated two points; and the fourth ranked reason (if any) was allocated one point. The various points for each reason were aggregated. Each reason was allocated to one of the six incidents based on what was said in the previous section which was headed ‘A model of switching’. This technique enabled an aggregate number of points to be calculated for the six types of switching incident. For instance, the incident entitled ‘inconvenience’ included switching due to a house move, a job move, or because of negative feelings about the opening hours of a respondent’s ‘bricks and mortar’ branch. The points scored for each of the three reasons were added up to produce the total points for the incident entitled ‘inconvenience’. Once the aggregate points for all six switching incidents had been calculated, a ranking was produced.

Table 1 Demographic characteristics of respondents

n = 116


Gender

Males

63

54.3

Females

53

45.7


Race

Chinese

98

84.5

Non-Chinese

18

15.5


Age

30
and below

88

75.9

31
and above

28

24.1


Monthly income

Below SGD3,000
p.m.

74

71.8

SGD3,000 p.m. and
above

29

28.2

Not quoted

13

Chi square tests were conducted on the demographic characteristics of the respondents to see if any subsets had switched to a significantly greater extent than their counterparts.