Determinants of Bank Selection: A Study on Consumer Perceptions and Expectations in Albania

This study investigates the factors influencing consumer perception in selecting banking services, focusing on service quality, customer satisfaction, and brand reputation within the Albanian banking sector. Using a structured questionnaire, 213 valid responses were gathered from customers in major cities, including Durres and Tirana. The analysis involved factor analysis, reliability testing, and regression analysis to explore the relationships between the identified factors and consumer decision-making. The findings reveal that service quality, encompassing tangibles, reliability, responsiveness, assurance, and empathy, plays a critical role in shaping consumer perceptions, with assurance, reliability, and responsiveness having the most significant impact. Additionally, customer satisfaction and the bank's brand influenced the selection process significantly. The results underscore the importance of banks enhancing service quality and maintaining a strong brand reputation to attract and retain customers in a competitive market. These insights provide valuable implications for bank marketers and strategists aiming to develop effective customer-centric approaches.