Full metadata record
| DC Field | Value | Language |
|---|---|---|
| dc.contributor | Multi-disciplinary Studies | en_US |
| dc.creator | Lam, Yat-ming Eddie | - |
| dc.identifier.uri | https://theses.lib.polyu.edu.hk/handle/200/843 | - |
| dc.language | English | en_US |
| dc.publisher | Hong Kong Polytechnic University | - |
| dc.rights | All rights reserved | en_US |
| dc.title | The Markov chain approach to the analysis of credit card customers in strategic marketing | en_US |
| dcterms.abstract | The credit card market is always under vigorous competition in Hong Kong. Individual banks start the focus on adopting marketing strategy on relationship management to expand the penetration rate, and the usage of Customer Information System (CIS) in one of the emphasized approaches for many bankers. With the manipulation of detail customer profile and transaction information obtained from CIS, the bank can predict the future trend of customers, to associate with suitable marketing action to maximize profit. The aim of this research is to illustrate the use of Markov analysis as a predictive tool to determine the transition relationship between pre-defined states. Customer information for a medium sized bank in Hong Kong has been extracted for analysis. The model will be defined with the most appropriate definition of sub-states and transition matrix, and targeted to be the most predictive one among all possible combinations. The final model is developed out of twenty proposed models, with different combinations of sub-states and transition matrices. It achieved with the best result in chi-square testing, and passed in two validation tests. A lot of information is obtained from the model to identify potential customers in specific states, such as low and high spending utilization, attritor, dormant and overlimit customers. The model is also capable to predict the number of customers in various states over a certain period of time and perform marketing planning. In the research, various suggestions are recommended to the final model for marketing activities to suitable customers. It is concluded that the result and implication from the research should be beneficial to card business of the bank, specially in the strategic planning of credit card product. The Markov chain model can furnish the interrelationship between customer spending behaviour and transaction characteristic, to become a valuable tool in business application. | en_US |
| dcterms.extent | vi, 67, [35] p. ; 30 cm | en_US |
| dcterms.isPartOf | PolyU Electronic Theses | en_US |
| dcterms.issued | 1996 | en_US |
| dcterms.educationalLevel | All Master | en_US |
| dcterms.educationalLevel | M.Sc. | en_US |
| dcterms.LCSH | Credit cards -- China -- Hong Kong -- Marketing | en_US |
| dcterms.LCSH | Markov processes | en_US |
| dcterms.LCSH | Hong Kong Polytechnic University -- Dissertations | en_US |
| dcterms.accessRights | restricted access | en_US |
Files in This Item:
| File | Description | Size | Format | |
|---|---|---|---|---|
| b12355410.pdf | For All Users (off-campus access for PolyU Staff & Students only) | 3.21 MB | Adobe PDF | View/Open |
Copyright Undertaking
As a bona fide Library user, I declare that:
- I will abide by the rules and legal ordinances governing copyright regarding the use of the Database.
- I will use the Database for the purpose of my research or private study only and not for circulation or further reproduction or any other purpose.
- I agree to indemnify and hold the University harmless from and against any loss, damage, cost, liability or expenses arising from copyright infringement or unauthorized usage.
By downloading any item(s) listed above, you acknowledge that you have read and understood the copyright undertaking as stated above, and agree to be bound by all of its terms.
Please use this identifier to cite or link to this item:
https://theses.lib.polyu.edu.hk/handle/200/843