Attributes influencing financial institutions selection by African youth tourists

Abstract

Youths are increasingly travelling to live, study and work in different parts of South Africa. A significant population of the youth in South Africa are opening bank accounts. In this vein, youth tourists have become an important customer segment for commercial banks in South Africa. The objectives of this study were to investigate the differences in the factors that influence bank selection amongst African youth tourists based on demographic variables. The study was conducted within a small town in South Africa with a higher education institution. A cross-sectional survey design was used in the study with a convenience sample of 96 local youth tourists. The results revealed that there were two main factors that emerged that influence bank selection, namely, service provision factors and accessibility factors. Additionally, it was noted that there was no statistically significant difference in the factors influencing bank selection in terms of demographic variables of the participants. An understanding of the selection behaviour of different demographic groups can aid banks to meet the needs of different demographic groups of local youth tourists.