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Examines the changes that have taken place in personal banking in the 1980s and 1990s in the UK and the impact that these changes have had on the C2D market segment. Suggests that, following efforts to attract such customers in the early and mid‐1980s, the banks have been following a strategy of de‐marketing to these customers in the late 1980s and 1990s. Suggests that this strategy may be misguided. Draws parallels with recent developments in food retailing which would suggest that new banking concepts are needed rather than neglect or abandonment of market segments. Examines the development of credit unions in the 1980s and 1990s. These provide an alternative banking concept which is successful and well liked by its members but which in the UK (unlike other developed countries) has yet to achieve a significant foothold in the mainstream financial services marketplace. Suggests that bringing closer together the clearing banks and the credit union movement could form the basis of a new banking concept, with benefits for all parties.
International Journal of Bank Marketing – Emerald Publishing
Published: Feb 1, 1996
Keywords: Banking; Banks; Credit unions; Marketing
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