Brand-Switching In Nigerian Banks: Evidence From Critical Incidents

This paper investigates the critical incidents that characterize interface between banking service providers and their customers. The study also assesses the effects of critical incidents on the brand switching behavior in Nigeria Money Deposit Banks. Data were collected via self-administered questionnaire to customers of the banks under review in Nigeria. Some 150 customers were sampled using a combination of multistage and purposive sampling techniques. Data were analyzed using descriptive statistics and a correlation model. Empirical findings indicate that critical incidents are more significant among other variables that influence brand-switching in Nigeria Banks. Customers in the banking industry accommodate negative critical incidents from service-providers to a level of elasticity before brand-switching takes place. We also found a significant and strong positive relationship between negative critical incident and brand-switching. The study therefore recommends that service providers should consciously create positive critical incidents that would increase customers’ expectation/loyalty. The value of the study would proffer solutions to customers switching behavior