Analyzing the Impact of Service Quality Dimensions on Customer Satisfaction and Loyalty in the Banking Industry of Iran

2013 ◽  
Vol 3 (3) ◽  
Author(s):  
Maysam MOLAEE ◽  
Reza ANSARI ◽  
Hadi TEIMUORI
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Banking Industry ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
The Impact ◽  
Customer Satisfaction And Loyalty

scholarly journals Assessing the Impact of Service Quality Dimensions on Customer Satisfaction in Commercial Banks of Mauritius

2019 ◽  
Vol 14 (1) ◽  
pp. 259-270 ◽  
Author(s):  
Lomendra Vencataya ◽  
Sharmila Pudaruth ◽  
Roubina TD Juwaheer ◽  
Ganess Dirpal ◽  
Nabeelah Meh Zabeen Sumodhee
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Banking Industry ◽  
Quality Factors ◽  
International Banks ◽  
Banking Institutions ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
The Impact

AbstractIn today’s hyper competitive banking arena, banking institutions are focusing on improving service quality. Providing excellent quality of service is important in creating and sustaining competitive advantage in the banking industry of Mauritius due to intense competition between local and international banks. Hence, the paper explores the impact of Service Quality (SQ) Dimensions on customer satisfaction. Using the SERVQUAL model, the paper seeks to examine the impacts of reliability, responsiveness, assurance, empathy and tangible aspects on customer satisfaction in banks of Mauritius. A sample of 200 banking customers was randomly selected and data were analyzed through SPSS version 22. The SERVQUAL model has been found as reliable factors and appropriate tool to measure, evaluate, support, and improve the quality of services in banking industry. Results indicated that all five service quality factors have significantly positively influenced customer satisfaction in banks. Regression analysis was also conducted and depicted that empathy is a significant predictor of customer satisfaction among the five SQ dimensions.

Service quality, customer satisfaction and loyalty in automobile repair services sector

2015 ◽  
Vol 32 (3) ◽  
pp. 250-269 ◽  
Author(s):  
Ernest Emeka Izogo ◽  
Ike-Elechi Ogba
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Past Research ◽  
Dimensional Structure ◽  
Content Type ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
Response Rate Data ◽  
The Impact ◽  
Customer Satisfaction And Loyalty

Purpose – The purpose of this study is to explore the dimensional structure of the SERVQUAL scale within non-western service setting as well as the impact of service quality dimensions on customer satisfaction and loyalty. Design/methodology/approach – A quantitative approach was employed, using 32-item, seven-point Likert-scaled questionnaire administered to 384 participants with 55.99 per cent usable response rate. Data were analysed using exploratory factor analysis, Cronbach’s internal consistency and γ test to, respectively, measure scale suitability, usability and strength/direction of association. Findings – The outcome from the study was the reduction of the 32 items to 26 scale items with 0.929 total α score. Further outcomes show that service quality dimensions are significant predictors of customer satisfaction and loyalty with the commitment dimension accounting for the highest degree of this impact. Research limitations/implications – Findings failed to corroborate past research as it was established that distinct efforts to measure customer satisfaction and loyalty within non-western service contexts proved to be less useful. However, outcomes cannot be generalized and as such, the modified scale that emerged from this research should receive more rigorous tests in other emerging services contexts. Practical implications – Automobile repair services firms within Ebonyi State will be better placed in their strategic responses to customer loyalty if they boost customers’ satisfaction through excellent service quality improvement actions. Social implications – The best way to enhance the welfare of the consumers of automobile repair services in Ebonyi State is by improving the empathy, tangibles, responsiveness, reliability and commitment dimensions of service quality. Originality/value – The paper demonstrates that the commitment dimension of service quality emerged as the most significant predictor of customer satisfaction and loyalty. The research also demonstrates that satisfied customers will definitely be loyal because a distinct effort to measure customer satisfaction and loyalty was found to be less useful.

Nonlinear impact of online retail characteristics on customer satisfaction and loyalty

2015 ◽  
Vol 7 (2/3) ◽  
pp. 152-169 ◽  
Author(s):  
Gerson Tontini ◽  
Júlio Cesar da Silva ◽  
Eliane Fátima Strapazzon Beduschi ◽  
Elis Regina Mulinari Zanin ◽  
Margarete de Fátima Marcon
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Fault Recovery ◽  
Online Retail ◽  
Content Type ◽  
One Dimensional ◽  
Service Accessibility ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
Customer Satisfaction And Loyalty

Purpose – The purpose of this paper is to consider the nonlinear impact of online retail stores’ quality dimensions on general customer satisfaction and loyalty. Design/methodology/approach – Using a quantitative approach, 429 online users answered a closed questionnaire regarding their present satisfaction with 26 service attributes, their general satisfaction and loyalty. Using factorial analysis with Varimax rotation, five service-quality dimensions are studied: service accessibility/speed, fault recovery, buying reliability, service and site flexibility and site interaction/feedback. Penalty and reward contrast analysis identifies the Kano model classification of the service-quality dimensions, and the nonlinear impact of these dimensions, and customer satisfaction, on customer loyalty. Findings – The results show that there is a nonlinearity between quality dimensions, customer satisfaction and loyalty. The dimension “service accessibility/speed” has a one-dimensional impact on customer satisfaction, but with higher reward impact than penalty impact. “Fault recovery” is a “must-be”, “buying reliability” and “service flexibility” are “attractive” and “site interaction/feedback” is one-dimensional. Besides, the dimension “service accessibility/speed” has also a direct impact on loyalty if achieving above-average performance, thus reinforcing general customer satisfaction. Originality/value – Few previous papers explore this nonlinearity in online retail services. So, future studies should lead to a theoretical and practical understanding of managing these services. Understanding this nonlinearity may help companies to better identify what improve or offer to customers.

The impact of perceived service quality dimensions on customer satisfaction

2017 ◽  
Vol 35 (3) ◽  
pp. 411-430 ◽  
Author(s):  
Rishi Kant ◽  
Deepak Jaiswal
Keyword(s):  
Public Sector ◽  
Customer Satisfaction ◽  
Service Quality ◽  
Corporate Image ◽  
Content Type ◽  
Perceived Service Quality ◽  
Public Sector Banks ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
The Impact

Purpose In the present competitive scenario in the Indian banking industry, service quality has become one of the most important facets of interest to academic researchers. The purpose of this paper is to determine the dimensions of perceived service quality and investigate their impact on customer satisfaction in the Indian banking context, with special reference to selected public sector banks in India. Design/methodology/approach On the basis of the empirical study, the authors validate a measurement model using structural equation modeling for investigating the impact of perceived service quality dimensions on customer satisfaction. The study sample consists of 480 respondents in the National Capital Region (NCR) of India; the data were collected through a structured questionnaire utilizing a seven-point Likert scale while implementing a purposive sampling technique. Findings The perceived service quality dimensions identified were tangibility, reliability, assurance, responsiveness, empathy, and image. The empirical findings revealed that “responsiveness” was found to be the most significant predictor of customer satisfaction. On the other hand, “image” (corporate image) has a positive but the least significant relationship with customer satisfaction followed by all other constructs. The exception is “reliability,” which is insignificantly related to customer satisfaction in Indian public sector banks. Research limitations/implications The study cannot be generalized in the context of Indian banking sectors, as it only focused on the public sector. The findings of this study suggest that the six dimensions of perceived service quality model are a suitable instrument for evaluating bank service quality for public banks in India. Therefore, bank managers can use this model to assess the bank service quality in the context of Indian public sector banks. Originality/value There is dearth of research focusing on corporate image as a dimension of perceived service quality and its effect on customer satisfaction in the Indian banking context. Furthermore, similar studies were rarely found in the Indian context, especially within the public banking sector. Hence, this paper attempts to accomplish the research gap by empirically testing the satisfaction level of a large sample of the population in NCR toward six dimensions of perceived service quality rendered by selected public sector banks in India.

The Relationship between Service Quality Dimensions, Customer Satisfaction and Loyalty in Technology based Self Service Banking

2016 ◽  
Vol 8 (2) ◽  
pp. 54-70 ◽  
Author(s):  
Rajiv Sindwani ◽  
Manisha Goel
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Mediating Role ◽  
Quality Perceptions ◽  
Bank Managers ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
Self Service ◽  
The Relationship ◽  
Customer Satisfaction And Loyalty

The technology based self service banking (TBSSB) refers to automated banking services that customer avail without interaction with bank employees. This paper investigates the relationship between dimensions of TBSSB service quality, customer satisfaction and loyalty. The paper also examines the mediating role of customer satisfaction in the relationship. The dimensions are identified and confirmed by conducting EFA and CFA respectively using SPSS 16.0 and AMOS 20.0. Dimensions of TBSSB SQ are identified as Convenience, Reliability & Security, Responsiveness and Personalization. AMOS 20.0 is used to investigate the relationship between dimensions using SEM. It is found that Convenience and personalization have significant effect on customer satisfaction, and personalization and customer satisfaction have significant effect on loyalty. Customer satisfaction is also confirmed as a mediating factor. This study may help bank managers to investigate the customers' quality perceptions about TBSSB services and enlighten banks about the aspects of services to be focused.

scholarly journals Effects of Service Quality on Customer Satisfaction in Nepalese Commercial Banks

2018 ◽  
Vol 24 (1-2) ◽  
pp. 1-16
Author(s):  
Achyut Gnawali
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Banking Sector ◽  
Joint Venture ◽  
Commercial Banking ◽  
Secondary Sources ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
Customer Attitudes ◽  
The Impact

 Service Quality and customer satisfaction have long been recognized as playing a crucial role for success and survival in today's competitive market. This study has tried to discover the impact of service quality on customer satisfaction in Nepalese commercial bank. A structured questionnaire with 5 point Likert scale has been used to collect the data by conducting survey. The sample size is 392 and is chosen on a convenient basis. Data has been analyzed by using SPSS software (version: 22).Both primary and secondary sources of data are collected and used. Result of the study shows that tangibility, reliability, responsiveness, assurance and empathy significantly and positively influence customer attitudes in terms of satisfaction, i.e. service quality dimensions are crucial for customer satisfaction in public, private and joint venture commercial banking sector in Nepal.The Journal of Development and Administrative Studies (JODAS) Vol. 24 (1-2), pp. 1-16

How Does Transparency Complement Customer Satisfaction and Loyalty in the Restaurant Business?

2019 ◽  
Vol 20 (6) ◽  
pp. 1423-1444
Author(s):  
Shiv Ratan Agrawal ◽  
Divya Mittal
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Madhya Pradesh ◽  
Relative Importance ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
Improve Service Quality ◽  
Customer Satisfaction And Loyalty

The study is an attempt to identify the preferred transparency components from customers’ viewpoint which complements customer satisfaction and loyalty through assurance and reliability in the Indian restaurant business. The study focused on the traditional restaurant settings in Madhya Pradesh (MP), India. A total of 477 usable responses were gathered from customers who dine out frequently in the traditional restaurants. The study disclosed the relative importance of transparency dimensions to improve service-quality dimensions (assurance and reliability) that in turn complement customer satisfaction and loyalty towards the restaurant business.

scholarly journals Determinants of service quality and its effect on customer satisfaction and loyalty: an empirical study of private banking sector

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rafikul Islam ◽  
Selim Ahmed ◽  
Mahbubar Rahman ◽  
Ahmed Al Asheq
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Banking Sector ◽  
Banking Services ◽  
Content Type ◽  
Research Findings ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
Private Banking ◽  
Customer Satisfaction And Loyalty

PurposeThe main purpose of this study is to investigate the impact of various service quality dimensions, namely reliability, responsiveness, visibility, employee commitment and access to service on customer satisfaction in the private banking sector of Bangladesh. The research also investigates the relationship between customer satisfaction and loyalty and effect of demographic variables on customer satisfaction.Design/methodology/approachThe researchers distributed 320 self-administered survey questionnaires among private banks' customers in Bangladesh and obtained 200 useable responses with a 62.5% valid response rate. The research data were analysed using confirmatory factor analysis (CFA) and structural equation modelling (SEM) approaches. Analysis of variance and logistic regression have also been used to obtain the supplementary findings.FindingsThe research findings indicate that visibility, responsiveness and employee commitment have positive and significant effect on customer satisfaction, whereas reliability and access to service are found to have insignificant influence on customer satisfaction of private banking services. The findings of this study also revealed that customer satisfaction has positive and significant relationship with customer loyalty. But except respondents' occupation type, all other demographic variables have no statistically significant relation with customer satisfaction.Research limitations/implicationsThe research focused solely on the private banking sector of Bangladesh, and thus the results may not be applicable to other service sectors.Originality/valueThis study conducted on customers' perception of private banking services is based on extended service quality dimensions and its relationship with customer satisfaction towards loyalty. The present research findings are anticipated to offer the guidelines for improving the customer satisfaction and loyalty of private banking services in Bangladesh as well as other countries.

Impact of Service Quality Dimensions on Customer Satisfaction in Commercial Bank

2020 ◽  
Vol 4 (1) ◽  
pp. 189-198
Author(s):  
Udgam Mishra
Keyword(s):  
Regression Analysis ◽  
Customer Satisfaction ◽  
Service Quality ◽  
Commercial Bank ◽  
Financial Institution ◽  
Descriptive Statistics ◽  
Quality Service ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
The Impact

 The ever-changing behavior of customer has indulged bank and financial institution have a sincere look at its service quality. Providing quality service ensures competitiveness and simultaneously optimizing the level of customer satisfaction. This paper examines the impact of Service Quality Dimensions on customer satisfaction. This paper examines the impact of tangibility, responsiveness, reliability, assurance and empathy on customer satisfaction in banks of Biratnagar. A sample of 127 account holders were randomly selected and date were analyzed through SPSS 26.0. Descriptive statistics, Factor analysis and Multiple regression analysis were used to evaluate the impact of SERVQUAL model on satisfaction. The findings from the paper indicate that empathy and assurance have most significant influence in satisfaction followed by reliability and responsiveness whereas tangibility has negative and no significant relationship with satisfaction.

scholarly journals Dimension Specific Technique of Evaluating Service Quality

2019 ◽  
Vol 8 (12) ◽  
pp. 2109-2118
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Business Environment ◽  
Three Dimensions ◽  
Market Condition ◽  
Cultural Issues ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
The Impact ◽  
The Relationship

In the course of changing business environment and strong antagonism from similar business firms, surviving in the market and to change according to the dynamic business environment have become a challenge for many business firms. The problem becomes more apparent in the context of Banking, where the products are not much differentiated from each other. Providing superior service than one another has become the key tool for surviving and gaining competitive advantage in the service industry since its offering compromise mainly with intangible elements. This research paper intends to provide to understand comprehensively the dimensions of service quality. Service expectations of banks are different from different markets. This research will extend the understanding of service quality due to disparity in market condition and contextual circumstances. Firstly it attempts to evaluate the relationship between service quality and customer satisfaction in the context of Indian retail Banks. Secondly, it assesses the impact of transactional factors on service quality. The present paper endeavored to apply the SERVPERF scale to identify, evaluate and prioritize the most significant consumer’s service quality dimensions. The study is undertaken in the city of Bhubaneswar of Odisha state. To extract significant factors of service quality dimensions, exploratory factor analysis is carried out. Reliability test was employed to verify the instrument to measure service quality.Further multivariate regression analysis is used to evaluate the impact of service quality dimensions on customer satisfaction. Three dimensions namely Tangibles, Reliability, and Responsiveness came out distinctively and revealed a strong relationship with customer satisfaction. Further Linear Regression is employed to analyze the influence of Transaction Factors on Service Quality. Occasional visitors and Saving account holders of the customer group have a significant influence on Service Quality. Many types of research in the past has been carried out to understand the relationship between Customer Satisfaction and Service quality, but then there is a requirement of researches into the dimensionality of service quality, for the reason that of disparity in market condition, contextual circumstances, and cultural issues. Moreover transactional factors are introduced in the research which will add richness in the literatures of service marketing. The finding of the study would also direct the bankers how well they could construct marketing strategies, serve present and prospective customers better for increasing and sustaining in the business

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