Customer Service Quality and Customer Service Expectations in Banking Sector

Hung, Y. H., Huang, M. L., & Chen, K. S. (2003). Service quality evaluation by service quality performance matrix. Total Quality Management and Business Excellence.

Source : Adapted from A. Parasuraman, Valerie Zeithaml, and Leonard Berry, “A Conceptual Model of Service Quality and Its Implications for Future Research,” Journal of Marketing, 49 (Fall 1985)

Customer satisfaction and service quality are the two important components that direct anyone’s attention in every concept related to marketing, services, etc. (Spreng and Mackoy, 2006). In today’s competitive era, the success lies in

In today’s society consumers want it quick, fast, in a hurry and they are not willing to wait. Customers are becoming more demanding and critical when not having their expectations met. It is important company adjusts to the ever changing attitudes and expectation of customers in the market place. Therefore it is a must for company to satisfy their customers. Customers’ satisfaction is the key to the success of any company. James McGaran is the manager in the Financial District office at Citibank; locate in the Los Angeles area. “Citibank is a niche player and pride themselves on building a profitable franchise by providing relationship banking combined with a high level of service to its customer” (Harvard Business School.

Source: A Parasuraman, Valarie A. Zeithaml, and Leonard L. Berry, “A Conceptual Model of Service Quality and its implications for Future Research”, Journal of Marketing, Fall 1985 p44.

Customer service is probably the most valuable intangible product that a company may sell. It may create both satisfaction and dissatisfaction. It is a process whereby a service provider offers help to the customers who need it or it may as simple as a human assistance to the customers who are dealing with the company or organization. It is a tool that an organization may use to gain loyalty from the customers besides offering good tangible products. For example, customers may expect good service when buying new apparels, but this is unlikely to be the primary factor in deciding whether to make a purchase (Businesscasestudies.co.uk., n.d.). Factors like price, comfort, style and brand are likely to be more persuasive (Businesscasestudies.co.uk., n.d.). However, a bad service can lead to dissatisfaction and discourage the buyer to make a purchase.

Commence with the concept of service quality, satisfaction is an substantial idea which known as noted value to comply with customer expectation (Edvardsson 1998). Therefore, it is needed satisfaction measurement in perceiving quality of service whether for customer or non customer perception (Fellesson and Friman 2008). Moreover, converting satisfaction into qualitative

When faced with the task to research and report service quality within Marley’s Motors, no technique does a better job than the SERVQUAL model. The service quality gaps model compares a company’s service performance to the expectations of their customers. These expectations are broken down into five separate dimensions. These dimensions include reliability, assurance, tangibles, empathy, and responsiveness. The analysis that was performed for this report was based on the empathy dimension of the SERVQUAL model. Empathy is known as “the ability to understand and share the feelings of another”(Oxford Dictionaries). In the case of Marley’s, we used three attributes to measure how successfully Marley’s handled the empathy dimension. These attributes included friendliness of staff, the amount of attention received by customers, and how well the customers’ needs we met. These three attributes combine to comprise the overall satisfaction with empathy. This dimension then influences overall satisfaction with Marley’s service department.

A regular SERVQUAL questionnaire was used for the study. Christensen (2011) in his study has concluded that the SERVQUAL questionnaire determines the difference between what the customer expects and what service is provided in reality. This research focused primarily on what the customers perceived about the quality of services being provided rather than their expectations. There were 3 questions; the first one evaluated the perception of the respondent in terms of the 5 dimensions. A 5 point scale was used for evaluation with 1 being the ‘Low’ and 5 being ‘High’.

Obviously, from a Best Value point of view the measuring of service quality in the service segment ought to consider client desires of service and also impression of service. Be that as it may, as Robinson (1999) postulated that: "It is clear that there is little agreement of supposition and much contradiction about how to gauge service quality". One service quality estimation show that has been widely used is the SERVQUAL model created by Parasuraman et al . (1985, 1986, 1988, 1991, 1993, 1994; Zeithaml et al. , 1990). SERVQUAL as the frequently utilized tool for measuring service quality has been to look at clients ' desires before an service experience and their impression of the real service conveyed

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 represents a fundamental aspect of delivery, which strongly influences consumer satisfaction and, as a result, loyalty. In today’s global market a customer’s service expectation has to be met and exceeded eventually in order to retain customers as well as achieve success. Perceived quality of a product or a service is becoming one of the major competitive factors in the business world and has led to the innovation of the ‘Quality Era’ (Peeler, 1996). In simple words, the comparison of customer expectations with service performance is service quality. On the other hand, customer satisfaction is defined as a pleasurable fulfilment response toward a good, service, benefit, or reward (Oliver, 1997). Both of these

Due to the intangibility of service quality, it is very difficult for a firm to know whether the consumers satisfy their service or not. Although it is difficult to measure service quality, it is still a development of a multiple-item scale for measuring service quality which is called SERVQUAL (Parasuraman et al. 1988). The SERVQUAL was developed originally based on the 10 potentially dimensions which revealed by Parasuraman et al. (1985) as access, courtesy, communication, tangibles, understanding/knowing the customer, responsiveness, reliability, security, competence, and credibility. But the final dimensions of the SERVQUAL are only five, tangibles, reliability, responsiveness, assurance, empathy (Parasuraman et al. 1988). As the five dimensions have some relationship with the difficult of measuring service quality. First one is the tangibles which include the physical facilities, equipment and appearance of personnel that will affect the service quality by the external environment. Reliability and the other three dimensions are all the internal effects which relate to the service producer him or herself. These four dimensions are more difficult to control than the external one which is tangibles. Both of the expectations of the consumer to the service and perceptions of the provider’s performance can be assessed by the SERVQUAL method (McAlexander

This literature review will provide an overview of the literature which surrounds service quality and customer satisfaction, it will also provide key definitions of terms discussed. An overview of Training and Development as well as a background of the company will also be provided.

3: Presenting quality service ; "Service quality is a focused evaluation that reflects the customer 's perception of specific dimensions of service: reliability, responsiveness, assurance, Empathy, tangibles. Satisfaction, on other hand, is more inclusive: it is influenced by perceptions of