International Journal of Multidisciplinary Research and Modern Education (IJMRME)
ISSN (Online): 2454 - 6119
([Link]) Volume II, Issue I, 2016
A STUDY ON CUSTOMER SATISFACTION
TOWARDS SERVICE PROVIDED BY STATE
BANK OF INDIA - WITH SPECIAL REFERENCE
TO ERODE DISTRICT
K. R. Sakthi Devi* & Dr. R. Eswaran**
* Assistant Professor, PG & Research Department of Commerce (CS), Vellalar College for
Women (Autonomous), Erode, Tamilnadu
** Assistant Professor, PG & Research Department of Commerce, Thiruvalluvar
Government Arts College, Rasipuram, Namakkal, Tamilnadu
Abstract:
Customer satisfaction is an important because it provides marketers and business
owners with a metric that they can use to manage and improve their businesses. The main
objective of the study is to study the level of customer satisfaction towards services
provided by SBI and to estimate the performance of SBI based on the service provided. For
this purpose a sample of 80 was collected were convenience sampling was used to analyse
the data with percentage analysis and chi-square as tools. The conclusion is that there is a
need for SBI staff to have training in the areas of technology and interactive skills.
Key Words: Customer Satisfaction, Service & Convenience Sampling
Introduction
“Customer satisfaction, business term of how the products and the services
supplied by the company meet or surpass the customer expectation. It is the key
performance indicator within the business.” Customer satisfaction can greatly achieved
by imparting Customer Relationship Management (CRM) in the company. Satisfaction is
a person’s feeling of pleasure or disappointment resulting from comparing a product
perceived performance in relation to his or her expectations; the customer is highly
satisfied. The key to generating high customer value customer loyalty is to delivery high
customer value for customer –companies, customer satisfaction by lowering its price or
increasing its service, the result may not reach high profits. The will experience some
level of satisfaction or dissatisfaction after purchasing the product. The marketer’s job
does not end when the product is bought but continues into post purchasing period.
Objectives of the Study:
To study the level of customer satisfaction towards services provided by SBI.
To estimate the performance of SBI based on the service provided.
To suggest the strategies for the bank to improve the level of customer
satisfaction.
Need of the Study:
The study was conducted to know the customer satisfaction regarding service
provided by SBI for the customers. The study totally revolves around the opinions and
feedback from the users. An opinion survey with the help of questionnaire was
conducted to know the users view on the services provided by SBI in Erode.
Limitations of the Study:
There may be a bias in collecting the primary data from the customers.
The study is limited to 80 respondents.
The study is conducted only in Erode district.
Research Methodology:
Reliability and Validity: The validity of a research depends on systematic method of
collecting the data and analyzing the same in a sequential order. Methodology presents
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International Journal of Multidisciplinary Research and Modern Education (IJMRME)
ISSN (Online): 2454 - 6119
([Link]) Volume II, Issue I, 2016
the Sampling design, Data sources, Tools for data collection, Construction of
questionnaire, Pilot study and the Frame work of analysis.
Area of the Study:
The survey was conducted with customers of SBI in Erode dist.
Sampling Design:
The study proposes to cover the satisfaction of the customers. As the study is
based on customers the samples don’t have criteria and for this purpose convenience
sampling is used for the research.
Data Sources:
The study used both primary data and secondary data. The primary data was
collected through field survey in the study area. First- hand information’s pertaining to
the benefits derived and the various competencies encountered were collected from 80
customers to know about activities towards project level of satisfaction on various
service provided by the bank.
Tools used for Collection of Data:
Framework of Analysis:
Frequency analysis
Chi square analysis
Data analysis and Interpretation:
Percentage Analysis:
Frequency Percent
18-20 3 3.8
21-25 29 36.2
Age
26-30 24 30.0
Above 30 24 30.0
Total 80 100.0
Male 56 70.0
Gender Female 24 30.0
Total 80 100.0
School 2 2.5
UG 3 3.8
PG 44 55.0
Educational Qualification Others 31 38.8
Total 80 100.0
Interpretation:
The above table shows about the demographic profile of the respondents were
the sample was collected with 80 respondents who are customers of SBI in Erode dist.
In analyzing about the age of the respondents 3.8% are from the age group of 18-20,
36.2% are from the age group of 21-25, 30% are from the age group of 26-30 and 30%
are from the age group of above 30. In analyzing about gender of the respondents 70%
are male and 30% are female which shows that most of the respondents are male in our
survey. In analyzing about educational qualification of the respondents 2.5% have
completed their schoolings, 3.8% have completed their UG, 55% have completed their
PG and 38.8% have completed other courses.
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International Journal of Multidisciplinary Research and Modern Education (IJMRME)
ISSN (Online): 2454 - 6119
([Link]) Volume II, Issue I, 2016
Satisfaction on Technology Usage:
ATM Services:
E - Extremely Satisfied, S - Satisfied, N - Neutral, D - Dissatisfied & ED - Extremely
Dissatisfied
[Link] ATM Services E % S % N % D % ED %
Promptness of
1 14 17.5 9 11.2 16 20.0 16 20.0 25 31.2
card delivery
Number of
2 0 0 34 42.5 20 25.0 11 13.8 15 18.8
Transactions
The quality of
3 8 10.0 32 40.0 24 30.0 10 12.5 6 7.5
notes (currency)
Convenient
4 8 10.0 24 30.0 26 32.5 9 11.2 13 16.2
location
Interpretation:
The above table shows about the level of satisfaction of customers towards ATM
services. Out of 80 respondents most of the respondents were extremely dissatisfied
(31.2%) about promptness of card delivery, most of the respondents were satisfied
(42.5%) with number of transactions, most of the respondents were satisfied (40%)
with the quality of notes, most of the respondents were satisfied (32.5%) with
convenient location.
Internet Banking Services:
Internet banking
[Link] E % S % N % D % ED %
Services
Account
1 information and 8 10.0 24 30.0 24 30.0 17 21.2 7 8.8
balance enquiry
2 E- payments 7 8.8 30 37.5 25 31.2 18 22.5 0 0
Account to
3 15 18.8 21 26.2 29 36.2 12 15.0 3 3.8
Account transfer
Due installment
4 8 10.0 24 30.0 26 32.5 9 11.2 13 16.2
enquiry
Statement request
5 (by email, fax, 8 10.0 23 28.7 25 31.2 16 20.0 8 10.0
mail)
Interpretation:
The above table shows about the level of satisfaction of customers towards
internet banking services. Out of 80 respondents most of the respondents were satisfied
and neutral (30%) about account information and balance enquiry, most of the
respondents were neutral (42.5%) with E-payments, most of the respondents were
neutral (36.2%) with Account to Account transfer, most of the respondents were
neutral (32.5%) with due installment enquiry and most of the respondents were neutral
(31.2%) with statement request.
Telephone Banking Services:
Telephone
[Link] E % S % N % D % ED %
banking Services
Pleasant musical
1 4 5.0 37 46.2 25 31.2 14 17.5 0 0
background
2 Reasonable 4 5.0 28 35.0 30 37.5 7 8.8 11 13.8
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International Journal of Multidisciplinary Research and Modern Education (IJMRME)
ISSN (Online): 2454 - 6119
([Link]) Volume II, Issue I, 2016
number of voice
prompts
3 Clear instructions 0 0 34 42.5 27 33.8 13 16.2 6 7.5
Voice directions /
4 on line directions 10 12.5 31 38.8 19 23.8 14 17.5 6 7.5
for new users
Provide additional
5 0 0 27 33.8 29 36.2 18 22.5 6 7.5
options
Interpretation:
The above table shows about the level of satisfaction of customers towards
telephone banking Services. Out of 80 respondents most of the respondents were
satisfied (46.2%) about pleasant musical background, most of the respondents were
neutral (37.5%) with reasonable number of voice prompts, most of the respondents
were satisfied (36.2%) with clear instructions, most of the respondents were satisfied
(38.8%) with voice directions / on line directions for new users and most of the
respondents were neutral (31.2%) with providing additional options on telephone
banking services.
Mobile Banking Services:
Mobile Banking
[Link] E % S % N % D % ED %
Services
Reward point
1 2 2.5 33 41.2 33 41.2 7 8.8 5 6.2
status
Prepaid Mobile
2 8 10.0 5 6.2 30 37.5 11 13.8 26 32.5
Recharge
SMS alerts about
specific
3 information to 0 0 18 22.5 25 31.2 19 23.8 18 22.5
the bank services
/ new products
Transactions
4 0 0 25 31.2 19 23.8 20 25.0 16 20.0
status
5 Expensive 4 5.0 30 37.5 35 43.8 9 11.2 2 2.5
Interpretation:
The above table shows about the level of satisfaction of customers towards
mobile banking services. Out of 80 respondents most of the respondents were satisfied
(41.2%) about reward point status, most of the respondents were neutral (37.5%) with
prepaid mobile recharge, most of the respondents were neutral (31.2%) with SMS alerts
about specific information to the bank services / new products, most of the respondents
were satisfied (31.2%) with transactions status and most of the respondents were
satisfied (37.5%) with expensive on mobile banking services.
Chi-Square Analysis:
Demographic Variables Vs Level of Satisfaction:
The relationship between demographic profile of the service users’ and the level of
satisfaction on ‘SBI’ is analysed using Chi-Square analysis.
The demographic profiles of the service users’ considered are Gender, Age, and
education.
569
International Journal of Multidisciplinary Research and Modern Education (IJMRME)
ISSN (Online): 2454 - 6119
([Link]) Volume II, Issue I, 2016
Demographic Profile (Age) and Satisfaction on Service Provided by SBI:
The hypothesis framed for analyzing the relationship between demographic
profile (age) of the service users’ and satisfaction on service provided by SBI.
H0: There is no significant relationship between demographic profile (age) of the service
users and satisfaction on service provided by SBI.
Level of satisfaction CHI-Square Value P Value Result
ATM services 1.094 0.000 Reject
Internet banking services 78.974 0.000 Reject
Tele banking services 1.446 0.002 Reject
Mobile banking services 1.547 0.001 Reject
From the above table it can be inferred that there is a significant relationship
exists between the demographic variable (age) and satisfaction on service provided by
SBI.
Demographic Profile (Gender) and satisfaction on Service Provided by SBI:
The hypothesis framed for analyzing the relationship between demographic
profile (gender) of the service users’ and satisfaction on service provided by SBI.
H0: There is no significant relationship between demographic profile (gender) of the
service users and satisfaction on service provided by SBI.
Level of satisfaction CHI-Square Value P Value Result
ATM services 36.934 0.000 Reject
Internet banking services 29.561 0.003 Reject
Tele banking services 38.201 0.004 Reject
Mobile banking services 43.111 0.060 Accept
From the above table it can be inferred that there is a significant relationship
exists between the demographic variable (gender) and satisfaction on service provided
by SBI with ATM services, Internet banking services, Tele banking services.
There is no significant relationship exists between the demographic variable (gender)
and satisfaction on service provided by SBI with Mobile banking services.
Findings:
Maximum of the respondents are from the age group of 21-25 in our survey
Majority of the respondents are male in our survey.
Majority of the respondents have completed their PG in our survey.
Most of the respondents were extremely dissatisfied about promptness of card
delivery, most of the respondents were satisfied with number of transactions,
most of the respondents were satisfied with the quality of notes, and most of the
respondents were satisfied with convenient location.
There is a significant relationship exists between the demographic variable (age)
and satisfaction on service provided by SBI.
Suggestions:
Training programmes should be devised for all staff including call centre and
Staff of Direct Sales Associates or Associates of SBI. More importance should be
given to upgrade product knowledge and communication skills in such training
programmes.
There is a need for SBI staff to have training in the areas of technology and
interactive skills.
The bank should attract best talent and retain that talent by right kind of policies
in respect of salary, incentives, etc.
570
International Journal of Multidisciplinary Research and Modern Education (IJMRME)
ISSN (Online): 2454 - 6119
([Link]) Volume II, Issue I, 2016
Conclusion:
A sample of 80 was collected were convenience sampling was used to analyse the
data with percentage analysis and chi-square as tools. The conclusion is that there is a
need for SBI staff to have training in the areas of technology and interactive skills.
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