International Journal of Business Management & Research - Volumes & Issues - Volume 9: June 2019, Issue 1

Customer Services in Banks at Crossroads: An Empirical Analysis in Punjab

  • Published: June 2019
Download PDF
Google Scholar

Authors

Dr. R.K. Uppal

DOI Number

–

Keywords

Desirability, Availability of Banking Services, Desirability -Availability Gap, Measures to Bridge – Widening Gap

Abstract

Apart from attracting new potential customers, business organizations, these days, realize the importance of retaining the existing customers. Developing long-term relationship with latter, requires the firms to ensure customer delight through quality service. Hence, to have a competitive edge, companies/multinational companies are focusing on service quality. In this study, an attempt has been made to analyze the desirability of 1200 bank customers regarding the reputation, service, performance, pricing pattern and location of a bank and the service they actually perceive. Hence, present paper studies the perceptions of bank customers regarding the gap between desirability and availability of banking services in three bank groups, namely, public sector, private sector and foreign banks. The study was conducted in Ludhiana district of Punjab in the month of October; 2018.Three bank branches working in Ludhiana district have been taken from respective bank groups. On the basis of five point Likert type scale, the study concludes that desirability regarding all parameters is very high as compared to available and hence, gap is widening. Various statistical tools like average, standard deviation, co-efficient of variation and weighted average scores has been used to compare the perceptions of customers regarding banking services of various banks. On the basis of empirical analysis regarding perceptions of bank customers about desirability and availability of banking services, the paper offers some recommendations to improve their services, reputation in the market, technology, location and pricing pattern. The paper also highlights the problems that may arise while implementing these measures and recommends solutions to remove/minimize these hurdles.

References

  • Albrecht, K., and R. Zemke (1985), “Service America: Doing Business in the New York in Lewis, Barbara (1991) Service Quality: An International Comparison of Bank Customers Expectations and Perceptions”, Journal of Marketing Management, 7, pp. 47- 62.
  • Ammayya, T. (1996), ‘Developing Competitive Advantage through Absorption of Technology in Knowledge, Skills and Attitudes of People’, IBA Bulletin, 18, No. 12, pp. 38-42.
  • Anderson, Eugene W; Claes Fornell and Don Lehman (1992), “Perceived Quality, Customer Satisfaction, Market Share and Profitability”, Working Paper, Department of Marketing, University of Michigan.
  • Berry, L. (1980), “Services Marketing is Different”, Business, May-June, pp. 8-30
  • Bolton, R.N., and J.H. Drew (1987), “Service Value and its Measurement”, in Cronin. J.Joseph and Steven. A. Tailor (1992) “Measuring Service Quality: A Re- examination & Extension”, Journal of Marketing, 56 (July), pp. 55-68.
  • Bolton, N., and J.H. Drew (1988), “A Model of Perceived Service Value”, Technical Note 88-420.1, GTE Laboratories, Waltham, MA.
  • Brady, M.K., and J.J. Cronin, (2001), “Some New Thoughts on Conceptualising Perceived Service Quality: A Hierarchical Approach”, Journal of Marketing, July, pp. 65-77.
  • Buzzle , and B. Gale (1987), The PIMS Principles (New York: Free Press).
  • Crosby, (1979), Quality is Free (New York: McGraw-Hill).
  • Drucker, Peter F. (1973), Management Tasks, Responsibilities, Practices, New York, Harper and Row, pp.64-65.
  • Gronroos, C. (1982), “Strategies Management and Marketing in the Services Sector” in Parasuraman A., V.A Zeitilaml, and L.L Berry (1985) “A Conceptual Model of Service Quality and its Implications for Future Research”, Journal of Marketing, 50, No.4, pp. 41-50.
  • Goodman, J.A., T.Marra, and L. Brigham (1986), “Customer Service: Costly Nuisance or Low-Cost Profit Strategy”, Journal of Retail Banking, Vol. 8, No. 3, pp.7-16
  • Gurney, Peter (1999), “Influence is Better Part of Loyalty”, Marketing News, Vol. 33, (Oct. 25), pp.40.
  • Verma, Harsh V (2001), “Service Failure and Recovery in Selected Industries”, Journal of Management Research, Vol. 1, No. 2, January-April, pp. 69-78.
  • Heskett, J., E. Sasser, and C. Hart (1990), Service Breakthrough: Changing the rules of the game (New York: Free Press).
  • Kotler, Philip (2006), Marketing Management, 12th ed. (Delhi: Pearson Education (Singapore) pvt. Ltd.).
  • Lee, YL and N Hing (1995), “Measuring Quality in Restaurant Operations: An Application of the SERVQUAL Instrument”, International Journal of Hospitality Management, 4, Nos. 3-4, pp. 293-310.
  • Levitt, T. (1981), “Marketing Intangible Products and Product Intangibles”, Harvard Business Review, May-June, pp. 94-102.
  • Levitt, Theodore (1983) The Marketing Imagination, New York, The Free Press, 6-7.
  • Lewis, B.R. (1991), “Service Quality: An International Comparison of Bank Customers Expectations and Perceptions”, Journal of Marketing Management, 7, pp. 47-62.
  • Lewis, R. (1993), “Service Quality Measurement”, Marketing Intelligence and Planning, Vol. 11, No. 4, pp. 4-12.
  • Lewis, B.R., and V.W. Mitchell (1990), “Defining and Measuring the Quality of Customer Service”, Marketing Intelligence and Planning, 8, No. 6, pp. 11-18.
  • Lytle, S. Richad, and Micheal P. Mokwa (1992), “Evaluating Health Care Quality: The Marketing Role of Outcomes” Journal of Health Care Marketing, Vol. 12, No. 2, pp. 4-14.
  • Bhat, Mushtaq A. (2003), “Srvice Quality in Public Sector Banks: An Emperical Investigation”, The Business Review, Vol.9, No. 2, March, pp. 44-52.
  • Ostowald, S., et al. (1998), “Quality Determinants and Hospital Satisfaction”, Marketing Health Services, Vol.17, Spring, pp.19-22.
  • Panasuraman, A., V.A. Zeithaml, and L. L. Berry (1988), “SERVQUAL: A Multiple Scale for Measuring Consumer Perceptions of Service Quality”, Journal of Retailing, 64, No. 1, pp. 12-40.
  • Sesha Sai, P V (1999), “Customer Service- Some HRD Interventions”, IBA Bulletin, Vol. XXI, No. 2, February, pp. 11-16.
  • Simla, Jaya and Niranjan Swain (2002), “Gaining Competitive Advantage Through Customer Service”, The Journal of Indian Management and Strategy, Vol. 7, No. 4, Oct.-Dec., pp.33-
  • Smith, S. (1987), “How to Quantify Quality”, Management Today, October, pp. 86-
  • Stevens, P; B. Knutson and M. Patton (1995), DINESERVE: A Tool for Measuring Service Quality in Restaurants”, Cornell Hotel and Restaurant Administration Quarterly, 36, No. 2, p.560.
  • Zeithaml, V.A. (1998), “Consumer Perceptions of Price, Quality and Value: A Means-end Model and Synthesis of Evidence”, Journal of Marketing, Vol. 52, July, pp. 02-22.

How to cite

–

Journal

International Journal of Business Management & Research

ISSN

2249-2143

Periodicity

Bi-Annual

Leading Research Intensive & Industry Driven University
Study at Leading Research Intensive
& Industry Driven University

University Campus

Desh Bhagat University,
Off to NH-44, Amloh Road, Mandi Gobindgarh,
District Fatehgarh Sahib, Punjab- 147301, India