Comparative Study of Customer Satisfaction Between Public, Private and Cooperative Sector Banks in India

In the world of banking and finance nothing stands still. The biggest change of all is in the, scope of the business of banking. Banking in its traditional from is concerned with the acceptance of deposits from the customers, the lending of surplus of deposited money to suitable customers who wish to borrow and transmission of funds. Apart from traditional business, banks now a days provide a wide range of services to satisfy the financial and non financial needs of all types of customers from the smallest account holder to the largest company and in some cases of non customers. The range of services offered differs from bank to bank depending mainly on the type and size of the bank.

Impact of Performance Parameters on Customers’ Satisfaction level of Bancassurance Services in Public and Private Sector Banks

Customers perceive service in terms of tone, but how satisfied they are with the overall experience, is what defines their satisfaction. Whether the client is satisfied after purchase depends on the offer’s performance or the customer service in this case, in relation to the customer expectations. Yet, according to Zeithaml et al (2006) although service quality and client satisfaction are used interchangeably, there is indeed a distinction.

China’s domestic banks have struggled within the area of customer service and constantly experienced low levels of customer

The combined multi-attribute and Kano model provide some guidance regarding how service is perceived by bank customers in the mass affluent segment. There exists a substantial heterogeneity in customer perceptions of the service quality items (Strandberg et al., 2012). An alternative model presented by Gronroos (1990) emphasizes the functional (how), technical (what), and servicescape (where) dimensions. Gronroos (1990) includes the servicescape attributes in the functional dimension, while others (Bitner, 1992; Rust and Oliver, 1994) see the servicescape as a discrete dimension. According to Kang (2006), recent studies have attempted to include more items in models of perceived service quality, particularly items related to Gronroos’ dimensions (Strandberg et al., 2012). According to Kano et al. (1984) quality attributes can be divided into four distinct categories: taken-for-granteds, which produce dissatisfaction if they are performed unsatisfactory but will not result in increased satisfaction if they are performed above that level; proportionals, which produce more satisfaction the superior the performance and more dissatisfaction the poorer the performance; delighters, which creates satisfaction if they are performed but not necessarily in dissatisfaction if they are not performed; & neutrals, which are traits to which the customer is indifferent (Strandberg et al., 2012).

One would think that the main purpose for a bank besides managing one 's money would be giving good customer service. Excellence in customer service is the most important tool for sustained business growth. Customer complaints are part of the business life of any corporate entity. This is more so for banks because banks are service organizations. As a service organization, customer service and customer satisfaction should be the prime concern of any bank. Banks believe that by providing prompt and efficient service to their customers, this is essential not only to attract new customers, but also to retain existing ones because customer dissatisfaction would spoil the bank 's name and image (uco bank, n.d.).

The purpose of this study is to describe and analyze how advancements in technology have increased customer satisfaction in the banking sector.

Consumer satisfaction is the core goal of most organizations and companies, as customer satisfaction leads to successful organizations. One measure of customer satisfaction is service quality. In service quality, customers compare the quality of the product after usage to that of their expectations before usage and indicate whether or not they were satisfied with the products or services purchased. Customers evaluate service quality by comparing the service provider’s actual performance “perception” with what they think service performance would be `expectations’ in their service experience (Gronroos, 1992). Customers judge products on the effect they have on them after use, and if the effect is not the desired one, customers tend to turn to other products from competitors. Organizations have to identify service quality if they are to stand a chance with customers, and banks are no exception especially because service quality affects their quality, productivity and profitability. Delivering high service quality is considered an essential strategy for success and survival in this competitive environment (Clow and Vorhies, 1993;

Service quality has been increasingly recognized as a critical factor in the success of any business and banking sector in this case is not an exception .A bank customer will be loyal if they can produce greater value than their competitor (Dawes and Swailes 1999). In addition, higher profit will be earned by the banks if they can position themselves better than the competitors within a specific market (Davis at al. 1995) Therefore, banks should focus on service quality as a core competitive strategy. Customer loyalty, Oliver (1999) defined like acommitment to re-buy or re-patronize decision, preferred product or service in the future which influenceor causes having the potential to switching behavior. Thus loyalty related to both an attitudinal and behavioral dimensions (Dick and Basu 1994).

PSG COLLEGE OF ARTS AND SCIENCE Coimbatore -14 An autonomous college and Affiliated to Bharathiar University

This report is the outcome of a research created with the purpose of determining what impacts on customers’ satisfaction and expectation of service, as well as to study the relationship between the service nature, service quality, service failure, service recovery strategies and service guarantee. Evidence of how effective the service quality measurement models, such as SERVQUAL and SERVPREF, is also shown. The focus of this research is to show the main components of services, how

India’s banking sector has grown very fast over these years. India has a large web of banking it has 26 public sector banks, private sector consists of 20, and there are 43 foreign banks which is a good sign for banking sector. Also it consists of 61 regional banks. There has been a noticeable expansion in dealings through ATMs, and also with internet and mobile banking banks has shown tremendous growth.

The main purpose of this study is to assess effect of Mobile Money Services (MMS) on the performance of the banking institutions: a case of Kakamega town. Thus, it seeks to examine how various mobile money services transactions’ impact on the performance of banking institutions in Kakamega town and also to establish the effect of accessibility to mobile money services on the performance of banking institutions in Kakamega town and finally the effect of efficiency and proficiency of mobile money services on the performance of banking institutions in Kakamega town. A sample of 115 respondents will be used to gather data from 13 financial institutions in Kakamega town. Data collection will be basically through self-administered questionnaires, both structured and semi-structure; interviews and observation.

Finance has come a long way since the time when it wasn't recognized as a factor for growth and development. But recently, it is attributed as the brain of an economic system and most economies strive to make their financial systems more efficient. It keeps the policymakers on their toes as any problem in this sector could freeze the entire economy and even lead to a contagion. Financial Inclusion is an emerging need in day-to-day life which includes the all folk into the banking fold. Indian economy in general and banking services in particular have made rapid strides in the recent past. The Financial Inclusion concept has been introduced to entail the delivery of banking services at an affordable cost across a vast section of the underprivileged folk to get benefit from and improve their standard of living.

In a year’s time, the number of banks in India will rise by more than 45%. Until 2014 there were 25 public sector banks (PSBs) and 20 private banks, i.e. a total of 45 banks. With the Reserve Bank of India (RBI) having granted licenses to 2 private banks, 11 payment banks and 8 small finance banks, the number will rise to 66 in about 18 months when these banks get functioning. Contrast this with the period from 1990 to 2014 when only 9 banks were given licenses, but in 2014-15 alone, 21 licenses have been granted; it spells a serious change in market dynamics.