Banking Service Quality Research Articles

Exploring the Nexus among Internet Banking Service Quality, Customer Satisfaction, Age, and Gender : A Developing Country Perspective during COVID-19

During COVID-19, the banking industry saw a paradigm shift of customers from “traditional” to “online” platforms. This research explored the moderation effect of age and gender in the relationship between online banking service quality and customer satisfaction during COVID-19. The study used explanatory and accurate novel methods to study the relationship between online banking service quality and customer satisfaction in the Indian banking industry. Structural equation modeling was used for testing the relationship. Multi-group moderation technique was employed to explain the moderation effect. The study highlighted that age significantly moderated the relationship between responsiveness, competence, and customer satisfaction. Gender significantly moderated the relationship between competence and customer satisfaction. The study’s novelty lies in finding the critical determinant of customer satisfaction in online banking during COVID - 19 and explaining the moderation effect of age and gender. Moreover, this study addressed feedback and complaint management, which has not been studied widely in the context of quality and satisfaction.

EFFECTS OF OPERATIONAL STRATEGIES ON PERFORMANCE OF COMMERCIAL BANKS IN MAKUENI COUNTY, KENYA

Purpose: The purpose of this study was to determine the effect of operational strategies on the performance of commercial banks in Makueni County in respect to banking services. The specific objective of this study was to investigate the influence of debt recovery, promotional strategies, employee training, the quality of bank services and products on the performance of commercial banks in Makueni County.
 Methodology: The study used cross-descriptive research design and data was collected using a questionnaire. The target population of this study was bank employees with managerial roles and responsibilities; the bank managers and their assistants. The bank managers and their assistants were targeted because they are familiar and are actively involved in the development of operational strategies of commercial banks. Since the population was small census was used to select all the bank managers and their assistants to form a sample size of at least 130 study participants. The data collected was analysed using descriptive and inferential statistics with the aid of SPSS version 21.
 Findings: Both the correlation and regression results revealed that there was a positive and significant relationship between debt recovery, promotional strategies, quality of services and products and employee training and performance of commercial banks in Makueni County. The theories tested in this paper included; resource based view, theory of constrains and contingency theory.
 Recommendations: The study recommends that the bank managers should keep on developing and implementing policies which improve on their operational strategies. The quality of their products as it is likely to impact on their performance positively. The government of Kenya should develop strategies to ensure that loans given by commercial banks are paid off to ensure commercial banks remain competitive just like all the other financial institutions in the country. More research needs to be conducted on the specific operational strategies so as to obtain in depth information on how each operational strategy influence performance of commercial banks.

Model for Evaluation of Banking Services' Quality

In modern business, quality is one of the key factors for recognising a product or service on the market. For this reason, quality is becoming a new business paradigm in all spheres of human activities, whether we talk about material products or services. Therefore, increasing attention is paid to quality management that is focused on meeting the requirements of clients in order to keep the old and attract new ones, so that the organisation can survive in conditions of fierce competition. It is evident that nowadays quality management is becoming a leading asset in competitive business in all industries. World companies are focused on quality, so we may often hear that the 20th century was actually the century of productivity, but the 21st century will be, without doubt, the century of quality. Bearing in mind the importance of the quality of services, there were valid reasons to focus the scientific research attention in this paper on defining the model of valuation of the quality of banking services, as a research objective. In achieving this goal, there were valid and scientifically justified reasons to apply the statistical method, as a general method, and the descriptive (Survey-Research) method, as a special one. The model for evaluating the quality of banking services, which is defined in this way, represents an important assumption of contributing to the improvement of relations with clients (Customer relationship management – CRM) with the goal of satisfying their needs and wishes, but also with the realization of business benefits.

The role of the hedonistic and utilitarian quality dimensions in enhancing user satisfaction in mobile banking

PurposeThe purpose of this study is to examine the components of the utilitarian and hedonistic dimensions of the quality of mobile banking services, their impact on customer satisfaction, as well as the effects of satisfaction on word of mouth (WOM) and intention to use.Design/methodology/approachThe analysis includes 307 mobile banking users in the Republic of Serbia. Reliability analysis, confirmatory factor analysis, structural equation modelling and multigroup analysis are applied in the paper.FindingsThe results show that security/privacy, perceived usefulness, perceived ease of use, design and enjoyment are important drivers of customer satisfaction, and that satisfaction has very strong effects on WOM and intention to use. In addition, there are apparent differences in the relationships between the two groups of respondents observed: innovators and followers.Originality/valueThe originality of the paper lies in the innovative model that includes a combination of the TAM model and the utilitarian/hedonistic dimension of the quality of mobile banking services. An element of the study which is of particular value is its segmentation of customers into innovators and followers – dividing respondents into two groups depending on whether they are among the first people in their environment to start using mobile banking services.

Determinants of institutional agricultural credit access and its linkage with farmer satisfaction in India: a moderated-mediation analysis

PurposeThe study assesses the relationship between institutional credit access and farmer satisfaction using contextual mediating and moderating variables. This study identifies various socioeconomic, service features and service quality determinants impacting institutional credit access.Design/methodology/approachThe authors used the stratified random sampling method and selected 512 farmers from 40 villages in Maharashtra, India. Initially, the study employed probit regression analysis to identify the credit adoption determinants. Subsequently, the relationship between institutional credit and farmer satisfaction is identified through moderated-mediation analysis using the Statistical Package for the Social Sciences and Analysis of a Moment Structures (SPSS - AMOS model).FindingsProbit model's results suggest that socioeconomic variables like education and bank distance; service quality variables like prompt service and employee behavior; and service characteristics variables like the interest rate, loan sanction time, repayment period, and documents for loan application significantly affect institutional credit adoption across the smallholders. Subsequently, the results of the moderating-mediation analysis show that working capital, perceived value and risk perception partially mediate the association between credit adoption and farmer satisfaction. The mediated effects are further moderated by farm advisory services and financial knowledge and skills.Research limitations/implicationsThe study is restricted in opportunity due to primary data, and it considers only farmers' perspectives to measure service quality and service features as constraints for institutional credit access.Practical implicationsThe government, nongovernment organizations, civil societies and private institutions should provide sufficient financial knowledge and training to the farmers via extension services to utilize the borrowed capital effectively to bring economic welfare and mental satisfaction.Originality/valueThe existing literature rarely considered banking service quality and service features (demand side) variables as determinants of credit access. Further, the study brings novelty in examining how the capital management cognitive factors of the formal credit adopters influence the relationship between credit access and satisfaction.

Customer satisfaction with digital banking channels in times of uncertainty

The unprecedented Lebanese economic crisis and the global COVID-19 pandemic have taken their toll on the Lebanese banking sector. This led to the need to investigate this sector in times of dire uncertainty by highlighting six digital banking channels offered by Lebanese banks. This study reveals how the banking industry has adapted to this novel situation by embracing dynamic technological changes to attain higher levels of customer satisfaction with digital banking channels (DBCs). Consequently, the study investigates the extent of DBC adoption, their usage benefits, the resulting service quality, and their aggregate impact on overall customer satisfaction with DBCs. The study measures customer satisfaction with digital technologies implemented in Lebanese banks during the most unstable period of Lebanese history. This study supported the deductive approach generating significantly interesting results by analyzing Spearman’s correlations regarding DBC adoption and investigating customer satisfaction levels with DBCs showing satisfactory results such as high correlation for mobile banking adoption (0.544), internet banking (0.533), transactional call center (0.528) followed by ATM (0.455). A multiple linear regression study found a positive relationship between DBC adoption in Lebanese banks and overall customer satisfaction with DBCs with an adjusted R-squared value of 0.454 for DBC benefits and an adjusted R-squared value of 0.802 for DBC service quality in Lebanese banks on their customer satisfaction.The final conclusion is that banks should invest in DBCs and develop them as they are the major determinants leading to improved customer satisfaction through higher adoption/diversification rates, improved service quality levels and greater benefits.

Religiusitas, Kepuasan Pelayanan, Dan Pengaruhnya Terhadap Loyalitas Nasabah Bank Syariah Di Kota Surabaya (Analisis Regresi Purposed Mediator dengan Bootstrap Matrix)

High customer loyalty can indicate the success of Islamic banks in line with increasingly fierce business competition between financial institutions and banks. This study aims to examine and analyze the relationship between bank services, customer satisfaction, one's religiosity, and customer loyalty of Islamic banks in the city of Surabaya. Using a research sample of Islamic bank customers who domiciled in Surabaya, this study uses a quantitative approach with a purposed mediator regression analysis with Bootstrap Matrix. The results showed that a person's religiosity and service quality of Islamic banks had a positive and significant effect on their loyalty as customers in Islamic banks. Then, the effect of service on customer loyalty, which is moderated by satisfaction, shows a positive but not significant effect. With the less significant effect of service on loyalty moderated by satisfaction, along with the increasingly fierce business competition between institutions and banks, Islamic banks need to improve the quality of services provided to customers and prospective customers to be able to compete with other financial institutions to obtain satisfaction and maintain customer loyalty. Finally, the results of the simultaneous test show that religiosity and service quality (moderated by customer satisfaction) have a positive and significant effect on customer loyalty in sharia banking in Surabaya.

Factors Affecting Individual Customer’s Satisfaction on the Mobile Banking Service Quality During Covid-19 Pandemic Period: The Case of Vietnam

This paper is aimed at analysing the factors affecting individual customer satisfaction with the mobile banking service quality during Covid-19 period in Vietnam. The methodology applied including SERVQUAL model, using e-SQ scale with EFA model. Data were collected from 405 observations answered via online survey of individuals using mobile banking service in period Jan-March 2022. Key findings of the research include: First, five factors affecting the positive customer satisfactions on mobile banking are ranked from highest to lowest impacts includes: Covid-19 pandemic, security, convenience/utility, empathy and responsiveness, and service fees. Second, Covid-19 pandemic provided the great opportunity for expanding mobile banking services, and Vietnamese banks have utilized this opportunity well by applying various promotion policies for encouraging more clients using mobile banking services. The digital transformation of banks enhances this process well. Third, the younger people have more satisfactions on mobile banking compared to older people, as the old have some difficulties in adapting to technological devices and softwares. Some recommendations have been proposed to improve the quality of mobile banking services for the new normal post-covid 19 pandemic period. Keywords: service quality, Covid-19, mobile banking, individual customers, satisfaction..

E-banking services and the satisfaction of customers in the Jordanian banks

PurposeThis study aims to discuss the main points in the dimensions of the quality of the electronic services to be considered in the future to adapt to future transactions and how to benefit from them.Design/methodology/approachThis study relies on the developments and to cope with them so that the banks and customers shift from dealing in the traditional way to the electronic method, which has become a cause of the gap in understanding customers for electronic banking use of the descriptive-analytical approach. A questionnaire was used as a source for collecting data and information about the study variables. It was distributed to three Jordanian banks, and the number of participants was 170. This study uses two primary sources for collecting data and information: secondary sources that relate to the theoretical aspect and preliminary sources related to the analytical aspect of the study subject.FindingsThe results showed that the impact of e-banking quality dimensions of the study (ease of use, time, confidentiality and security) was high, which required the bank to maintain its high levels and monitor them from time to time.Originality/valueThe value of this study comes from the following points: the relationship between the quality of electronic banking services and customer satisfaction; this study is one of the few field attempts in Jordan to assess the impact of the quality of electronic banking services on the satisfaction of customers in banks; this study provides new scientific results on the impact of the quality of electronic banking services on the satisfaction of customers in the Jordanian banks.

Mobile banking service quality and customer value co-creation intention: a moderated mediated model

PurposeThe objective of this paper is to explore the possible impact of mobile banking service quality (MBSQ) on customer value co-creation intention (CVCI).Design/methodology/approachA questionnaire was administered to research participants from Jordan. A total of 562 valid questionnaires were analysed. Mediation and moderation evaluations were performed in order to examine the function performed by MBSQ, customer engagement (CE), and social presence as determinants of CVCI. Structural equation modeling of type covariance-SEM using AMOS software was employed for the analysis.FindingsThe research results verify the proposition that MBSQ, CE, and social presence can all influence. In addition, the mediating role of customer engagement in respect of the relationship between MBSQ and CVCI is also confirmed in this research.Practical implicationsThis research is of use to bank managers who must allocate resources during the development of m-banking platforms, wherein value co-creation in banking can be promoted.Originality/valueThis study comprises an original contribution to current scholarship in the field of m-banking through its examination of the impact of customer engagement with m-banking. Moreover, this research augments current literature pertaining to the function of MBSQ in relation to CVCI as tempered by customer engagement and social presence.

Customer satisfaction and customer retention as a result of e-Service quality after the COVID-19 breakdown

With various technological innovation and digital payment system, customer expectations for the banking services has raised and these changes have paved a way for superior customer quality and satisfaction. The present study has utilized e-servqual modified model and format to evaluate the banking service satisfaction and retentions. The online survey has been distributed and collected among 167 people in Chennai city using a non-probability sampling technique. Furthermore the present study employed SPSS software to evaluate the banking service quality and satisfaction among the potential customers. As a result of e-servqual quality dimensions a positive association has been identified among potential retained customers.

The Potential for Enhancing the Quality of Electronic Banking Service in Light of the Adoption of Digital Marketing"A field study in the keycard outlets in Anbar Governorate"

This study sought to shed light on the variables of digital marketing tools and the quality of electronic banking service because of their great importance to banks today as there are one of the basic issues that enable banks to confront environmental changes. This reflects the objectives of the study, the most important of which was diagnosing what the study can produce in the light of the relationship of impact and the correlation between its variables.To achieve the desired objectives of the study, the descriptive analytical method was used. A sample of individuals working in the keycard outlets in Anbar Governorate with a size of (66) individuals was chosen to conduct the study using a variety of statistical tools and methods to analyze data and information. The SPSS.V23 software was used in the process of extracting the results. The study reached a set of conclusions, the most important of which is (there is a positive significant correlation between the two variables of digital marketing tools and the quality of the electronic banking service at the overall level, and the strongest correlation was between online marketing and the quality of the electronic banking service).Depending on the conclusions reached by the study, proposals were made that are consistent with these conclusions, the most important of which (it requires the outlets in question to consider the variable digital marketing tools in order to keep pace with growth and continuous development, as a major growth strategy in the business environment.

Analisis Kualitas Layanan Bank Syariah Indonesia Menggunakan Importance Performance Analysis

Currently, banking is experiencing rapid development so that bank management must be able to manage its business properly, this also applies to Indonesian Islamic Banks which have fewer customers than conventional banks. For this reason, Islamic banking must improve and improve the service facilities provided on an ongoing basis so that customer satisfaction is higher. The research method is a quantitative research using the Banking Service Quality (BSQ) approach and using a matrix diagram to determine which dimensions are priorities for improvement. The population in this study were all customers of Bank Syariah Indonesia in Pekanbaru City and the number of samples was 200 respondents using Roscoe technique.
 Keywords : Importance Performance analysis, Bank Service, Syariah Bank.

Problematika Bank Islam di Daerah Minoritas Muslim

This article examines the problems of Islamic banking in Muslim minority areas, especially Thailand. This type of research is a descriptive qualitative research object with the Islamic Bank Prachuap Khiri Khan Thailand, while the data collection techniques are interviews, observation, and documentation. Data analysis is carried out through synchronization between research data and theories that will support the conclusions of this study. The results of this study indicate that the Prachuap Khiri Khan branch of the Islamic bank faces several problems in carrying out its banking operations. These problems include, among others, factors in the banking world in Thailand, internal factors related to the banking system and also the employees who work at the Islamic Bank, as well as factors from the customers themselves, which in fact, the Thai Muslim community lacks enthusiasm for Islamic banks. The evaluation that has been carried out by Islamic Banks on the problems faced is to provide short courses to Islamic Bank employees, especially to employees at the front office because in that section they meet and socialize more directly with customers. Then, provide more intensive socialization through various social media, outreach to Islamic foundations or schools in Thailand to attract interest and cooperation between the two parties, and Islamic Banks from the center to branches conduct annual evaluations to improve the banking system. and improving the quality of banking services to customers of the Prachuap Khiri Khan Islamic Bank Branch.

Customer Understanding of the Profit-Sharing Ratio at Muamalat Bank

This study aims to determine the customer understanding of the profit-sharing ratio at Muamalat Bank Branch Manado using a qualitative method. The data in this study were obtained through triangulation techniques consisting of interviews, observations, and documentation. The data analysis method used includes the stages of data reduction, data presentation, and concluding. The result showed that, generally, the customer understanding of the profit-sharing ratio of savings products at Bank Muamalat is still inadequate. Customers do not understand clearly and in detail savings products (names and types of the savings product). It caused customers not to get an explanation and product knowledge from the bank at the beginning of the account opening. In explaining his understanding of profit-sharing, the customer depends on his educational background and profession. Customer understanding can also be seen from the selected savings products where the main informant has prime savings while the regular informant chooses everyday savings. The implications for knowledge are sozialication role from the bank, educational and occupational backgrounds as factors that affect the level of customer understanding. For the bank to provide feedback as material for the improvement of the quality of banking services and products based on Islamic principles and competitive for its share

The role of financial innovations the (FinTech) in enhancing the quality of banking service: An analytical study of the Iraqi banking system

يتناول البحث الحالي متغيرين على قدر عالي من الأهمية وهما الابتكارات المالية و FinTech وجودة الخدمة المصرفية وهذين المتغيرين يمثلان من الركائز الأساسية التي تساعد المصارف على تحسين ادائها والحصول على المزيد من الزبائن وبالتالي زيادة الربحية.
 يهدف البحث الى تقديم عدداً من الأساليب والأدوات لمساعدة المصارف العراقية على تطوير خدماتها المصرفية وفق أحدث الابتكارات المالية والتكنولوجية لتحقيق رضا الزبائن، وقد تضمن مجتمع الدراسة الجهاز المصرفي العراقي، وشملت الحدود الزمانية للدراسة المدة الممتدة (2017-2021) وتم الاعتماد على البيانات التي وفرها البنك المركزي العراقي إذ جرى معاملتها كمياً واحصائياً لاختبار الفرضيات الخاصة بعلاقات الارتباط والتأثير بين متغيرات الدراسة.
 وتوصلت الدراسة الى مجموعة من الاستنتاجات أهمها وجود مستويات تصاعدية لجودة الخدمة المصرفية لدى اغلب المصارف العراقية عبر مواكبتها للتطورات التي تشهدها الساحة المصرفية وفق أحدث الابتكارات التكنولوجية، اما أهم التوصيات فكانت ضرورة اهتمام السلطات الاشرافية والرقابية على المصارف العراقية في تبني المزيد من الابتكارات المالية والتكنولوجيا الحديثة وتوفير الوسائل كافة التي تساعد على تطور الجهاز المصرفي عبر تقديم خدمات مصرفية وفق أحدث الوسائل التكنولوجية المتطورة.

THE INFLUENCE OF MOBILE BANKING SERVICE QUALITY ON CUSTOMER SATISFACTION OF INDONESIAN SHARIA BANK (CASE STUDY: ASN UIN IMAM BONJOL PADANG)

This research is a type of quantitative research that aims to determine the effect of the quality of mobile banking Bank Syariah Indonesia on customer satisfaction. The data used in this study is primary data obtained directly from the answers of 88 respondents who are ASN UIN Imam Bonjol Padang as customers of mobile banking BSI The analytical method used is a simple linear regression analysis method. Based on the results of the study, it is known that the variable quality of mobile banking has an influence on customer satisfaction from the results of hypothesis testing or t-test, a significance value of 0.000 < than 0.05. From the simple linear regression equation, the X regression coefficient is 0.518 which states that if the quality of mobile banking services (X) increases by one unit, then customer satisfaction (Y) will increase by 0.518 or 51.8%. In the R-Square coefficient of determination the effect of mobile banking (X) on customer satisfaction (Y) is 0.713=71.3% and the remaining 28.7% is influenced by factors other than service quality that are not included in this study.

How Corporate Social Responsibility Enhance Banking Sector Customer Loyalty in Digital Environment? An Empirical Study

This study examines the relationship between corporate social responsibility (CSR) perceptions and customer loyalty in the banking sector while considering the mediating effects of customer satisfaction, corporate image, corporate reputation, service quality between CSR activities and customer loyalty. A self-administered survey was conducted on the banking customers in Pakistan. Based on 221 customers' data, the analysis was performed using the structural equation modeling (SEM) approach. The study results show that CSR positively influences customer loyalty in the banking sector, customer satisfaction, corporate image, and service quality affect the customer-business relationship. Notably, a new finding from the study highlights the importance of the mediating role of corporate image and service quality in enhancing the effect of CSR on customer satisfaction. The research findings provide valuable insights to banks in developing counties on developing a CSR strategy to strengthen customer loyalty.JEL Classification: M19, L21, M10, D22

Use of Digital Banking in Improving Services at Banks

This research is useful as a form of digital banking implementation in improving banking services to customers. The sample of this research is the number of digital banking users and the number of customers who have used digital applications from 2021. This study uses qualitative data analysis as a research method that describes descriptively about the application of digital banking in improving banking services and services to customers. analysis in terms of practices that need to be applied, so that it can be seen the extent of its implementation. These results show that the application of digital banking at the Bank is in accordance with the standards set by Bank Indonesia, the application of digital banking can improve the quality of banking services and services as well as increase customer loyalty

Analisis kepuasan nasabah bank terhadap pelayanan mobile banking di masa pandemi Covid-19

<div><p class="1eAbstract-text"><em>This study aimed to analyze the variables of E-Service Quality, Customer Satisfaction, and Positive Word-of-Mouth use of Bank Kalsel mobile during the Covid 19 pandemic. The data analysis method for 97 customers in this study was Partial Least Square- Structural Equation Modeling (PLS-SEM). The results showed that (1) E-Service Quality did not affect Positive Word-of-Mouth; (2) E-Service Quality affected Customer Satisfaction; (3) Customer Satisfaction affected Positive Word-of-Mouth; (4) E-Service Quality affected Positive Word-of-Mouth through Customer Satisfaction as an intervening variable. This study proved that the mediation variable Customer Satisfaction played a very important role and bridging the influence of the quality of mobile banking services with the intention of customers to conduct positive word-of-mouth communication about the bank's services. The implication is that no matter how good the quality of mobile banking services is perceived by bank management when customers do not feel satisfied, the positive word-of-mouth desired by banks from their customers will never be realized. Bank Kalsel management needs to periodically pay attention to and evaluate the quality of E-Service Quality, especially in terms of Efficiency, System availability, Fulfillment and Privacy. These factors have the value that affects Customer Satisfaction and Positive Word-of-Mouth. </em><em></em></p></div>