A Study to Identify Factors Responsible for Customer Satisfaction in Selected Banks of South Gujarat

Abstract

Customer satisfaction is an important component of the Marketing function and it can be simply defined the number of customers, or percentage of total customers, whose reported experience with a bank, its products, or its services exceeds specified satisfaction goals. With many banks in the industry turning customer centric, customer satisfaction levels are measured and plans for its improvement are done by all most all the banks in the industry. The focus of the present study is to gain knowledge about the factors influencing the consumers to prefer a particular bank and the problems and challenges faced by the customers on using such banks. For the purpose of obtaining the data, structured questionnaire method is used. Suitable tools have been exploited to obtain scientific evidence and further suggestions useful for the industry have also been presented. Factor Analysis is the statistical tool that has been used for data analysis. In analysis part initially KMO (Kaiser-Meyer-Olkin) and Bartletts Test was applied to the collected data. Kaiser-Meyer-Olkin Measure of Sampling Adequacy test shows the value of .875.The Principal Component Analysis extraction method was used to analyze the data with Varimax Rotation Method. The extracted communalities are above 0.500. For clarity of the factor definitions, factor loadings of more than 0.500 were considered. The factor analysis yielded 6 factors in all which explaining 55.125 percent of total variance. Applicative value: Implications of this research work will help the bankers of to identify that what are the various factors that can affect their customer satisfaction the most in the present competitive market. May be they can use these factors to drive Customer loyalty out of customer satisfaction.

Keywords: customer satisfaction, customer centric approach, challenges

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