Gravity model analysis of client-facing choice (in terms of probability evaluation of clients’ visits to banks)

摘要

The crisis of the banking sector caused a massive outflow of bank customers. Due to unfavorable situation inudthe currency and credit markets – exchange rate, undermining the stability of the course of the national currency,udoutflow of deposit funds, mass closing of accounts in banks – financial institutions went bust. Publicudconfidence in the banking sector has decreased, and as a result – the banks have begun to lose customers inudlarge numbers. In order to keep up, to survive in conditions of uncertainty, risk, and increased competition,udmost banks choose development strategies which are aimed at improving customer service, since customerudchoice and confidence in the bank are the key of successful banking business. That is why all aspects of theudbank’s activities should be aimed at creating a client base of the bank, sufficient to ensure profit as a result ofudits activities, to maintain the stability of the client base in the development of the bank. In this regard, theuddevelopment and implementation of a strategic direction for managing the customer base of the bank deservesudmore attention than not disposable customer selection. The client base and client selection should beudconsidered as ordinary management objects that require planning and forecasting using pro-technology andudmodern mathematical tools. Before the management of the bank there is a problem: how to stay in the marketudand not give up their positions to competitors and attract new clients’ attention to the bank. A solution to thisudproblem can be found by using gravity models.