Sustainability of Niche Market Segmentation in the Banking Industry

The purpose of this study was to investigate the sustainability of niche market segmentation in the banking industry using the case of Barclays Bank Premier Account. The study was guided by the following research questions: What are the effects of niche segmentation on customer acquisition? What are the effects of niche segmentation on customer satisfaction? and, What are the effects of niche segmentation on customer retention? This work adopted a descriptive research design. The sampling frame for it was obtained from Barclays Bank Headquarters. The study found that niche market segmentation greatly affects customer acquisition; customer satisfaction; customer retention; and customer attitude at Barclays Bank Premier Package. It also found that branding, price segmentation, service, quality customer relationships and referrals affected customer acquisition, customer satisfaction, customer retention and attitude of the customers. Researchers and academics can use the results of this study as a source of reference and information to develop topics for further studies.