Service Quality Dimensions: Key on Customer Satisfaction A Glance on Commercial Bank of Ethiopia

Abstract

This descriptive study strives to examine the effect of service quality on customer satisfaction in Banking Industries. In today’s competitive business, delivering quality service is the key and undeniable for a sustainable growth, competitive advantage and even survival for any of organizations to stay in this dynamic and turbulent environment. Satisfied customers are the bases for any successful business as customer satisfaction leads to repeated purchase, brand loyalty, and positive word of mouth which will have a positive impact on the success of the organization. The aim of the study was to apply SERVQUAL model in the context of service quality of Commercial Bank of Ethiopia, Leku Branch. The study showed that five service quality dimensions have a positive and significant relationship with customer satisfaction. The researcher has used descriptive research method and both primary and secondary data were used. To collect primary data, questionnaires were distributed for the customers of the Bank, Leku, Branch. The study also indicated that the collected data have been analyzed using descriptive and inferential statistics. The finding advised that the Bank (Leku Branch) needs to improve all dimensions of service quality.

Keywords: SERVQUAL, Bank, Tangibility, Reliability, Assurance, Responsiveness, Empathy and Customer Satisfaction.

DOI: 10.7176/IEL/9-3-02

Publication date: April 30^th 2019