Impact of Customers’ Satisfaction, Values, Habit and Switching Costs on Switching to Hong Kong Digital Banks
DOI:
https://doi.org/10.70301/JOUR/SBS-JABR/2025/13/1/5Keywords:
Virtual Banks, Digital Banks, CustomerAbstract
This study examines the factors behind retail banking customers in Hong Kong switching their use of traditional retail banks to digital banks utilizing the push-pull-mooring model. Satisfaction was proposed as a push factor. Utilitarian value, hedonic value and social value were proposed as pull factors. Habit and switching costs were proposed as mooring factors. It was hypothesized that all six factors could impact switching behavior. A quantitative survey was conducted with 360 residents of Hong Kong through an online questionnaire. The hypotheses were analyzed and tested using descriptive and inferential statistics. Utilitarian value, habit, and switching costs were found to be impactful to customer switching behavior using the PLS-SEM methodology. Their p values were below the threshold of significance (p < 0.05) at 0.006, 0.001, and 0 respectively. A case study conducted with 12 banking professionals provided further triangulation and insight into these findings. An implication of this study’s findings is that retail banks should pay great attention to the role of utilitarian value to attract customers in Hong Kong
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