Ensuring Customer Satisfaction in Banking Sector through Service Quality – A Study with Reference to Select Branches of State Bank of India

Dr. Rajesh Jain, Associate Professor, IMS, SAGE University, Indore

Prof. Samyak Jain, Assistant Professor, IMS, SAGE University, Indore

Prof. Alka Jain, Assistant Professor, IMS, SAGE University, Indore

Abstract

The banking industries are facing a rapidly changing market, new technologies, economic uncertainties, increasing competition, and especially more demanding customers. The income and business growth of the banks depends on loyal and satisfied customers. As a result, in today‟s competitive environment, banks are continuously trying to retain their existing customer and attract new customers by providing better quality services. The objectives of the study are (i) to understand the concept of service quality and customer satisfaction, and to examine the relationship between them and (ii) to appraise the level of service quality and customer satisfaction in select branches of State Bank of India. Primary data have been collected through a structured questionnaire by direct interacting with 110 banking customers of SBI from different areas of Barwani district. Bar chart, cross tabulation, Chi-square test, etc. have been used for interpreting the data. The study found that the service quality of SBI bank is not so satisfactory in Barwani district. The study suggests that the banks should increase their number of ATMs, cash counting machines, and number of front desk employees to improve their quality of services.

Key-words: Service Quality, State Bank of India, SERVQUAL Model, Tangibility, Reliability.