Banking Marketing in Customer Value Creation

Creation and delivery of customer value is one of the most important issues for banking in the light of the increasingly competitive market. Marketing in banking sector is inherently based on exchange processes – namely, transactions made between the bank and its customers, and related to exchange of certain values. Banking customers evaluate market offers from the viewpoint of prospective values – they strive for maximization of those values, while at the same time appraising the cost incurred in the process. They have certain expectations in regard to the value of services offered, and those expectations shape their behavior. This paper presents the notion of customer value and its determinants, as well as ways to improve customer value creation