Customer Satisfaction Quality in Banking Sector

Abstract

Service sector generally and the banking sector particularly is facing a high level of challenges, especially with the level of customer expectation. Therefore, banks have started to improve their service quality. Technology progress and growth contributed significantly to changing the way of banking services, so customer satisfaction. Due to immense competition, banking is a customer-focused service industry, and customer happiness has become the most vital pillar of any banking business. The study aims to determine the main factors are enhancing customer satisfaction quality in the banking sector. To address the study's questions and evaluate hypotheses, a quantitative technique was adopted to answer questions and test hypotheses. About (8) interviews were conducted with managerial levels and (250) questionnaires were distributed to the banking sector customers using the Simple Random Sample technique to achieve the research purposes in Jordan using the banking sector as a case study. (173) questionnaires were valid for analysis, based on the Statistical Package for Social Sciences (SPSS. V.26). The findings of the research revealed that there is a significantly positive impact of reliability, technology aspects, assurance, responsiveness, employee competence, security and privacy on customer satisfaction quality in the banking sector. The research results confirmed the importance of providing the services error-free to enhance customer satisfaction and increase loyalty. The website should contain information that serves customers and employees should be able to provide appropriate assistance to customers and maintain the confidentiality of customer information and data. Finally, use electronic protection software and constantly update the electronic applications banking sector.

The Significance of Customer Service in Establishing Trust and Enhancing the Reputation of the Banking Industry in Bangladesh

“…The quality of customer service provided by banks has a direct impact on customer satisfaction and retention. Several studies have highlighted the importance of customer service in the banking industry (Gupta and Prakash, 2018;Hasan, 2016;Iqbal and Ahmad, 2018). According to Karmakar et al, customer service is an essential element of customer satisfaction and loyalty, and banks that provide excellent customer service are more likely to retain their customers (Karmakar et al, 2023).…”

“…The banking industry faces several challenges in providing excellent customer service, including lack of customer-centric culture, inadequate training, and the need to balance efficiency and customer satisfaction (Sai and Gandhimathi, 2014). To improve customer service, banks can adopt several strategies, including employee training, technology adoption, and a customer-centric culture (Hasan, 2016).…”

“…The model measures service quality based on five dimensions: reliability, assurance, tangibles, empathy, and responsiveness. Several studies have used the SERVQUAL model to measure service quality in the banking industry and have found that the model is effective in identifying areas for improvement (Hasan, 2016;Iqbal and Ahmad, 2018). The impact of customer service on customer satisfaction and loyalty is well-established in the literature.…”

“…Studies have found that customers who receive excellent customer service are more satisfied with their banking experience and are more likely to remain loyal to their bank (Sai and Gandhimathi, 2014;Gupta and Prakash, 2018). According to Hasan (2016), customer service is a crucial factor that influences customer satisfaction and loyalty, and banks that provide excellent customer service are more likely to retain their customers.…”

“…Studies have found that customers who use digital channels are generally more satisfied with their banking experience, and banks that adopt technology to improve customer service are more likely to retain their customers (Gupta and Prakash, 2018). However, there are also challenges associated with technology adoption, such as the risk of cyber threats and the need to balance efficiency with personalization and human interaction (Hasan, 2016). The relationship between employee satisfaction and customer service is crucial to consider, as employees who are satisfied with their job are more likely to provide excellent customer service.…”