Conference Title: International Conference in Business,Technology and Innovation 2013
Conference Title: UBT Publications
Contributing Editos: Prof. Albert Qarri, Prof. Ibrahim Krasniqi, Krenare Pireva, Evelina Bazini, Nita Abrashi
Co-Organizers: Ardian Emini, Vlora Aliu, Betim Gashi, Xhemajl Mehmeti, Kushtrim Dragusha, Murat Retkoceri, Kaltrina Bunjaku, Leonita Braha
Start Date: 2013-11-01
End Date: 2013-11-02
Venue, City, Country: : Hotel Bleart , Durres , Albania

Paper Title

Distribution Channels Management in Banking Sector


Merita Gjyshinca Peja, Edmond Hajrizi


This paper seeks to evaluate the Banking sector in Kosovo, more specifically distribution channels development, channels management, integration among them, and global trends and strategies. Distribution channels management in banking is becoming an essential component on achieving customer satisfaction, improve costs efficiency and profitability. IThe thesis describes how banks manage and take advantages of banking multi-channels through focusing on customer satisfaction, efficiency and channels integration versus costs. I will analyze the development and the roles of the following banking channels: Branch Network, ATM (Automatic Teller Machines), POS (Point of sales), E-banking, Call Centre, and make a recommendation on how the banking industry can best integrate all channels, use the most costeffective and profitable channel in order to remain competitive in the hyper-competitive environment while increasing customer satisfaction and efficiency. Kosovo has made outstanding progress in the last twelve years, especially in reconstructing the financial sector basically from the scratch and rebuilding confidence in it, much later than other countries in Southeastern and Central Europe. However, analyzing the development of distribution channels, in particular electronic channels, despite the fastest growth in the recent years compared to other regional countries, yet, Kosovo remain behind the regional countries and European countries in general. Kosovo has the fewest number of branch and Automatic Teller Machines per people/inhabitants, fewest number of POS (Point of sales ) as well as high number of unused POS terminals throughout the Kosovo, and fewest number E- banking users as well. Additionally, usage of alternative and electronic channels still remains in quite low level, as majority of the transactions are still executed inside the branches. The paper also describes how the electronic channels help to reduce the costs for both banks and customers.


banking Sector, Electronic Distribution Channels, Branch Network