Understanding Customer Choices in E-Financial Services.

The article discusses a study on consumer choice theory, offers insight for managers in the online financial services industry, and mentions research methods. Discrete choice analysis (DCA) was used to identify determinant attributes or market drivers and the DCA model was the framework for the study. Intercepts in the multinomial logit (MNL) models assess the impact of unobserved attributes and provide an evaluation of switching inertia. The similarities between the estimated MNL models for different segments was calculated by a chi-square test. The authors suggest that customers are willing to pay more for an online service that gives them offline value and online benefits.