Customer Engagement as a Driver of Value Creation in Commercial Banking: Bridging the Internal Potential Market Gap-Evidence and a Structural Model for the Moroccan Banking Sector (Account and Financial Management Journal)

Summary

• The AFMJ journal issue reports an Impact Factor of 8.167 for this publication on banking value creation.p.1
• Common-method bias control is maintained with a full collinearity VIF requirement of < 3.3 across data layers.p.5
• Empirical validation shows reflective loadings exceeding 0.72, composite reliabilities from 0.81 to 0.90, and AVEs exceeding 0.55.p.6
• Structural drivers of vinculation include product equipment (β₁ = 0.34, p < 0.001), digital adoption (β₂ = 0.28, p < 0.001), and relationship tenure (β₃ = 0.19, p < 0.01).p.6
• Vinculation strongly impacts per-client profitability (β₄ = 0.52, p < 0.001) and IPM-gap closure (β₅ = 0.47, p < 0.001) with an R² ≈ 0.46.p.6

Key insights

1. Retail bank growth strategies often over-emphasise acquisition, failing to capture the core value residing in existing client relationships.p.1
2. The Internal Potential Market represents additional business mobilisable by elevating existing clients to average market relationship intensity.p.1
3. A divergence where penetration grows faster than participation signals an under-exploited Internal Potential Market.p.2
4. The mathematical construct for the Internal Potential Market is derived as IPM = Cₑ × (IRM − IRE).p.3
5. Product equipment, digital adoption, and relationship tenure act as direct antecedents to client vinculation.p.4
6. System-GMM estimation confirms that vinculation drives profitability independently of persistence and macro-cycle effects.p.6
7. Increasing vinculation by 10 points yields greater value per unit of cost than an equivalent 10-point increase in market penetration.p.6