AN ASSESSMENT OF
CUSTOMER SATISFACTION IN BANKING INDUSTRY
ABSTRACT
Quality improvement can lead to
increase in revenue and increased customer’s loyalty and the cross-selling of
bank products as loyal customers spend more time with chosen banks, attract
little administrative cost and are more profitable. The objective of the
research is to identify the service quality level. It also aims to determine
key factors in selecting a particular bank. The finding of this research
suggested hat the key factor in selecting a particular banks are credibility,
client, customer investors are dissatisfied with the quality of services as
provided by the banks in Nigeria. The research has indicated that the
complicated procedures and farms, queuing time, lack of individual approach and
absence of new technology are some of the factors which creates disadvantage
and lack of co-operation between the firm and bank. The study also proffers
solutions on how to improve the situation.
TABLE OF CONTENTS
Title
Page – – – – – – – – – i
Declaration – – – – – – – – ii
Approval
Page – – – – – – – – iii
Dedication – – – – – – – – – iv
Acknowledgment – – – – – – – v
Abstract – – – – – – – – – vi
Table
of Contents – – – – – – – vii
CHAPTER ONE
INTRODUCTION
1.1 Background of the Essay – – – – – 1
1.2 Objectives of the Essay – – – – – 3
1.3 Significance of the Essay – – – – – 3
1.4 Scope of the Essay – – – – – – 4
1.5 Limitation of the Essay – – – – – 5
CHAPTER TWO
LITERATURE REVIEW
2.0 Introduction – – – – – – – 6
2.1 The Concept of Customer Satisfaction – – – 6
2.2 Customer Satisfaction in the Banking Sector – 12
2.3 The Challenges Militating against Customer Satisfaction in Banking
Sector – – – – – – – 14
2.4 Importance of Customer Satisfaction – – – 16
2.5 Creating Loyal Customers through Customer Satisfaction 20
2.6 Customer Satisfaction through Value Creation – 29
2.7 Customer Retention through Customer Satisfaction 33
2.8 Competitive Advantage through Customer
Satisfaction Strategy – – – – – – 36
2.9 Summary of the Literature – – – – – 40
CHAPTER
THREE
SUMMARY,
CONCLUSIONA ND RECOMMENDATIONS
3.1 Summary – – – – – – – – 42
3.2 Conclusion – – – – – – – – 43
3.3 Recommendations – – – – – – 43
Bibliography
CHAPTER ONE
INTRODUCTION
1.1
BACKGROUND
OF THE ESSAY
Customer Satisfaction is perception of customer about a company and in
relation to whether his or her expectation is met or not (Praline, 2007).
Over the years a feeling of discontentment among customers and users of
bank services developed gradually with regard to irregular rendering of banks statement
delay in clearing and crediting changes lodged, failure to receive prior
guidance and endless queues at the banking hall and numerous other frustrating
and organizing experiences of customers generated dissatisfaction with the
banks.
The profits declared annually by the bank generate some resentment to
their customers and other uses of the service who believed nightly or through
that the service they received from the banks are mostly inadequate and
ineffective.
Many of the bank service in Nigeria need to be received. The review
should be seen as an attempt by the banks to determine the most effective
approaches for satisfying customers needs. For instance, the introduction of
computer technology was to enhance the quality of banking services to their
customers but the rate of effective utilization of computers still remain very
low.
Many banks have also introduced e-banking, value card credit card, and
(ATM) debit card so as to eliminate necessary queues and facilitate easy
transaction. Many banks also invested enormous capital in the construction of
magnificent high head office complexes; area offices and branches to provide
suitable working condition for staff and customers, and a the same time
enhancing their corporate image. The impact of customer satisfaction in banking
industry cannot be overemphasized, especially in the face of stiff competition,
obtainable in today’s business world. Hence the need to study the subject
matter: The assessment of customer satisfaction in banking industry. As such
emphasis of this essay shall be on this subject matter.
1.2 OBJECTIVES OF THE ESSAY
1.
To assess customers’ satisfaction
in banking industry
2.
To examine the general concept of
customer satisfaction in banking industry in Nigeria.
3.
To identify the factors militating
against customers satisfaction in banking industry.
4.
To proffer possible solutions to
the identified problems.
1.3 SIGNIFICANCE OF THE ESSAY
The study will be useful to players in the banking industries as well as
students as they utilize the findings of this essay.
The firms in the banking industry who may wish to sue the findings as a
basis for formulating policies aimed at improving customer satisfaction will
really find this essay useful as they utilize the findings.
Students as well as private individual who may wish to use this essay as
a reference material or a spring board to undertake their own work would find
this essay really significant.
1.4 SCOPE OF THE ESSAY
The essay covers the assessment of customer satisfaction in banking
industry as well as the challenges militating against customers’ satisfaction
in banking industry. The essay equally proffers recommendations to the
challenges confronting banking sector in their bid to effectively satisfy their
customers.
1.5 LIMITATION OF THE ESSAY
Time: Although time
is vital for one to get accurate and up-to-date data, this cannot be achieved
(being a student) because of academic stress.
Finance: Another
constraint is finance to conduct a research of this nature. Money is essential
to enable travelling to various branches of different geographical locations
and buy the necessary materials for this study. But it is factual that there is nothing like
“enough money” is the country.