Deposit account market in Italy Investor profile and sensitivity to price, processes, and macro factor

This thesis seeks to analyze the behavior of customers who have various savings products, whether they are sight account or term deposits, trying to understand what are the determining factors that lead customers to make a switch in these products. Another variable that is considered in the study is the switching cost phenomenon and how this could condition the market, either by making it difficult for customers to change providers or directly damaging the financial market, as this would increase the entry barriers for the competition. And finally, the sensitivity of customer demand is examined, considering the variations of the financial market agents in interest rates. A general analysis of the economic situation in Italy is also carried out and how this can influence the different decisions that families make in terms of acquiring assets, or how to save, contextualizing the general idea of work. The case study is based on a database provided by a financial institution with Spanish origin, with enough experience in international markets and with a presence in Italy. In addition, literature on economics, Switching Cost and Household Finance will be examined with the aim of analyzing the different approaches that have been applied to the study of these cases. More specifically, the individual characteristics of the holders of savings accounts will be studied, as well as the possible factors that lead to preferring to close an account or move that money to an account in a new bank. Thanks to this, it will be possible to compare the importance that a client gives to the interest rate offered by financial institutions or if other factors are taken into account when they empty an account or changing banks.