Banking Service Quality Assessment in Major Cities in Tamil Nadu

Authors

  • J. Rajalakshmi

Abstract

After demonetization, the Indian Government has greatly focuses and encourages digital transactions. Most of the banks were adapting information technology enabled services to upgrade their process and make transactions easy, Banking Industry has undergone great changes currently. Paytm and other mobile wallets have faced tremendous growth which induced a keen competition in the banking industry. This study tried to measure the service quality of banking services as perceived by customers of public, private and foreign banks across various cities in Tamil Nadu. This study explores the customer perception towards banking service quality attributes, moreover, how customer’s expectations and perceptions of banking services are match with.
Quality of a service is an outcome of performance of service. It has become greater importance on the part of the service rendering organizations to derive methods to provide excellent service in order to become a market leader with major market share in their hands. The service rendering organizations are struggling hard to assess and practice the techniques to retain their service quality. Service quality is not only an instrument to hold competitive advantage; it has become a fundamental core of service concept in satisfying and delighting customer’s expectation among the service providing organization. Banking services is no exception.
An excellent method to assess the quality of service is using SERVQUAL tool, which was established by Parasuraman et al. This tool measures the quality of any kind of services based on the attributes of services which are otherwise called as dimensions of quality of service. This study on banking service quality assessment gives priority to indentify the gap between perceptions of customer’s and expectations of customer’s of public, private and foreign banks across various cities in Tamil Nadu. This study is basically analytical and descriptive in nature. Based on the data collected, the quality of banking service is assessed by computing the gap score for the expectations and perceptions towards the servqual attributes. The service quality gaps for service quality dimensions associated with different types of banks are compared across the cities. The findings of this research suggest the area of focus or the critical gaps to maintain competitive edge in banking service sector..

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Published

2020-04-11

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Section

Articles