A Study on

“Customer Satisfaction Survey on Banks”

Submitted to the

School of Management Studies

University of Hyderabad
In Partial Fulfillment of the

Requirement for the Award of the Degree of

Master of Business Administration

Under the Guidance of

Dr. Chetan Srivastava

Lecturer, School of Management Studies
University of Hyderabad

By

Ankit Singh
08MBMA12
 For Getting A Copy Contact

ankitvns2007@gmail.com

MBA 2008-2010

School of Management Studies,

University of Hyderabad,
Gachibowli, Hyderabad,
Andhra Pradeh.
 CERTIFICATE

This is to certify that the project work entitled “Customer Satisfaction

Survey on Banks” has been carried out and submitted by Mr. Ankit Singh
under my guidance in partial fulfillment of his Masters Of Business
Administration at SCHOOL OF MANAGEMENT STUDIES,
UNIVERSITY of HYDERABAD.

Date: 21/04/09 Dr. Chetan Srivastava

Assistant Professor

School Of Management Studies

University Of Hyderabad
 DECLARATION

This to declare that the project title “Customer Satisfaction Survey on Banks” is
an authentic record of my original work carried out under the guidance of Dr.
Chetan Srivastava, Assistant Professor in Marketing, School of Management
Studies, University of Hyderabad.

The project work has been carried out solely for the purpose of submission
in partial fulfillment of Master of Business Administration at School of
Management Studies, University of Hyderabad.

I further declare that I have not submitted this document to any other School,
University, or Institution in whatever manner.

Date - Ankit Singh

08MBMA12
 ACKNOWLEDGEMENTS

First of all I express my gratitude to my project guide Dr. Chetan Srivastava,

Assistant Professor, School of Management Studies, University of Hyderabad. His
able guidance at each step of the project helped me to broaden my outlook on the
project and in successful completion of the project. I shall always remember his
polite way of correction and constant encouragement by asking various questions.
I convey my regards and special thanks to Dr. V. Venkata Ramana,
Professor and Dean, School of Management Studies, University of Hyderabad for
giving me this opportunity for doing this project.
I specially thank all the faculty members of the School of Management
Studies for having equipped me with the skills and the ability through their inputs,
which assisted me in the completion of the project.
I wish to thank all those people who have directly or indirectly been
instrumental in successful completion of this project work.
Finally, I would like to thank my Parents, Family, Friends, Colleagues and
God Almighty for their unending inspiration and encouragement.
 ACKNOWLEDGEMENTS

First of all I express my gratitude to my project guide Dr. Chetan

Srivastava, Assistant Professor, School of Management Studies, University of
Hyderabad. His able guidance at each step of the project helped me to broaden my
outlook on the project and in successful completion of the project. I shall always
remember his polite way of correction and constant encouragement by asking
various questions.
I convey my regards and special thanks to Dr. V. Venkata Ramana,
Professor and Dean, School of Management Studies, University of Hyderabad for
giving me this opportunity for doing this project.
I specially thank all the faculty members of the School of Management
Studies for having equipped me with the skills and the ability through their inputs,
which assisted me in the completion of the project.
I wish to thank all those people who have directly or indirectly been
instrumental in successful completion of this project work.
Finally, I would like to thank my Parents, Family, Friends, Colleagues and
God Almighty for their unending inspiration and encouragement.
1. Executive Summary

The report contains the brief description of the Banking Industry in India. It contains the
findings and analysis of the survey conducted to gather primary data to judge the importance
of various attributes that influence the satisfaction of customers in different manner and to
the different extent. These attributes are classified as Initial Experience, Service Delivery
Experience, Service Experience, Relationship Experience, and Grievance Handling. Further
an attempt has been made to know the overall satisfaction of the customers. The attempt has
also been made to categorize investors based on various demographic factors such as age,
income, etc. and to present a comparative analysis of the various demographic factors. The
size of the sample is limited to 120 only.
More than 50 % of the respondents are using fixed deposits and saving bank account
services of the banks. The highest number of respondents belongs to State Bank of India
Group followed by ICICI Bank, Andhra Bank, HDFC Bank and Bank of Baroda
Respectively. More than 40% of the respondents are the customers of the bank from more
than 10 years. Nearness to bank is the most important factor affecting the choice of more
than 30% followed by reputation of the bank which holds more than 25% of the share.
The data relating to customer satisfaction is analyzed using Analysis of Variance. The
analysis shows that customers give equal importance to all the attributes under each
classification to rank their satisfaction. The attributes under each category are ranked
according to their Weighted Average Mean. In terms of Initial Experience, Quality of
response to customer queries is considered most important to judge the customer satisfaction
and ICICI bank is at the top on this criteria. In terms of Service Delivery Experience,
Timeliness of service delivery is ranked most important and SBI is at the top. In terms of
Service Experience, Level of need fulfillment vis-à-vis expected is considered most
important and SBI is again at the top. In terms of Relationship Experience, Frequency and
quality of contact is considered most important and HDFC bank is leading the other banks.
Finally in terms of Grievance Handling, Quality of complaint resolution is considered to be
most important and SBI is again leading in on this criteria.
 2. Table of Contents

Certificate
Declaration
Acknowledgements
1. Executive Summary 1
2. Table of Contents 2
3. History of Indian Banking Industry 8-9
4. Background and Need for Study 10
5. Statement of Problem 10-11
6. Objective of Study 12
7. Testable Hypothesis 13
8. Limitations of Study 13
9. Theoretical Framework 14
10. Literature Review 15-22
11. Research Methodology
(a) Designing of Questionnaire 23-24
(b) Duration of Study 24
(c) Sample Selection 24
12. Data Collection and Analysis 24-35
13.Findings of the Study 64-65
14.Suggestions 66-67
15.Bibliography and References 68
16.Annexure I-II 69-72
3. HISTORY OF THE INDIAN BANKING INDUSTRY
The first bank in India, though conservative, was established in 1786. From 1786 till today, the
journey of Indian Banking System can be segregated into three distinct phases. They are as
mentioned below-
First Phase –
The General Bank of India was set up in the year 1786. The East India Company
established Bank of Bengal (1809), Bank of Bombay (1840) and Bank of Madras (1843) as
independent units and called it Presidency Banks. These three banks were amalgamated in 1920
and Imperial Bank of India was established which started as private shareholders banks, mostly
Europeans.
In 1865 Allahabad Bank was established and first time exclusively by Indians. Then
Punjab National Bank Ltd. was set up in 1894 with headquarters at Lahore. Between 1906 and
1913, Bank of India, Central Bank of India, Bank of Baroda, Canara Bank, Indian Bank, and
Bank of Mysore were set up. The Reserve Bank of India the central bank of India came in 1935.
During the first phase the growth was very slow and banks also experienced periodic
failures between 1913 and 1948. There were approximately 1100 banks, mostly small. To
streamline the functioning and activities of commercial banks, the Government of India came up
with The Banking Companies Act, 1949 which was later changed to Banking Regulation Act
1949 as per amending Act of 1965 (Act No. 23 of 1965). Reserve Bank of India was vested with
extensive powers for the supervision of banking in india as the Central Banking Authority.

Second Phase –

Government took major steps in this Indian Banking Sector Reform after independence.
In 1955, it nationalised Imperial Bank of India with extensive banking facilities on a large scale
especially in rural and semi-urban areas. It formed State Bank of india to act as the principal
agent of RBI and to handle banking transactions of the Union and State Governments all over the
country.

Before the steps of nationalisation of Indian banks, only State Bank of India (SBI) was
nationalised. It took place in July 1955 under the SBI Act of 1955. Nationalisation of Seven State
Banks of India (formed subsidiary) took place on 19th July, 1960.
 In 1969, major process of nationalisation was carried out. 14 major commercial banks in
the country were nationalised. Second phase of nationalisation Indian Banking Sector Reform
was carried out in 1980. Seven more banks were nationalised with deposits over 200 crores. This
step brought 80% of the banking segment in India under Government ownership.
Third Phase –
This phase has introduced many more products and facilities in the banking sector in its
reforms measure. In 1991, under the chairmanship of M Narasimham, a committee was set up
by his name which worked for the liberalisation of banking practices. The country is flooded
with foreign banks and their ATM stations. Efforts are being put to give a satisfactory service to
customers. Phone banking and net banking is introduced. The entire system became more
convenient and swift. Time is given more importance than money.
Steps taken by Government to regulate banking institutins in the country-

 1949- Enactment of Banking Regulation Act

 1955- nationalization of State Bank of India
 1959- nationalization of State Bank of India’s Subsidiaries
 1961- Insurance cover extended to deposits
 1969- Nationalisation of major 14 banks
 1971- Creation of Credit Gurantee Corporation
 1975- Creation of regional Rural Banks
 1980- Nationalisation of 7 Banks with deposits over 200 crores

Public sector banks in India-

There are 26 public sector banks in India. These include the following-
State Bank of India, State Bank of Bikaner and Jaipur, State Bank of Hyderabad ,State Bank of
Indore, State Bank of Mysore, State Bank of Patiala, State Bank of Saurashtra, State Bank of
Travancore, Andhra Bank, Allahabad Bank, Bank of Baroda, Bank of India , Bank of
Maharashtra, Canara Bank, Central Bank of India, Corporation Bank, Dena Bank,
Indian Overseas Bank, Indian Bank, Oriental Bank of Commerce, Punjab National Bank, Punjab
and Sind Bank, Syndicate Bank, Union Bank of India, United Bank of India
UCO Bank, and Vijaya Bank.
Private sector banks in India-
There are 9 private sector banks in India. These include the following-
Vysya Bank Ltd, Axis Bank Ltd, Indusind Bank Ltd, ICICI Banking Corporation Bank Ltd
Global Trust Bank Ltd, HDFC Bank Ltd, Centurion Bank Ltd, Bank of Punjab Ltd
IDBI Bank Ltd.
Foreign banks in India-
There are 12 foreign banks in India. These include the following-
American Express Bank Ltd, ANZ Gridlays Bank Plc, Bank of America NT & SA, Bank of
Tokyo Ltd, Banquc Nationale de Paris, Barclays Bank Plc, Citi Bank NC, Deutsche Bank AG,
Hongkong and Shanghai Banking Corporation, Standard Chartered Bank, The Chase Manhattan
Bank Ltd, Dresdner Bank AG.
4. BACKGROUND AND NEED FOR THE STUDY-
Modern management science’s philosophy considers customer satisfaction as a baseline
standard of performance and a possible standard of excellence for any business organization.
Customer satisfaction measurement provides a sense of achievement and accomplishment for
all employees involved in any stage of the customer service process. In this way, satisfaction
measurement motivates people to perform and achieve higher levels of productivity.
To reinforce customer orientation on a day-to-day basis, a growing number of companies
choose customer satisfaction as their main performance indicator. It is almost impossible,
however, to keep an entire company permanently motivated by a notion as abstract and
intangible as customer satisfaction. Therefore, customer satisfaction must be translated into a
number of measurable parameters which the customers consider the most for rating their
satisfaction.
Customer retention is an important element of banking strategy in today’s increasingly
competitive environment where banks are not only competing with their peers but also with
the non-banks and other financial institutions and the customer retention is possible only with
the customer satisfaction. Bank management must identify and improve upon factors that
provide satisfaction to customers. These include employee performance and professionalism,
willingness to solve problems, friendliness, level of knowledge, communication skills, and
selling skills, among others. Several studies have emphasized the significance of customer
satisfaction in the banking industry.
Most bank product developments are easy to duplicate and when banks provide nearly
identical services, they can only distinguish themselves on the basis of price and quality.
Therefore, customer satisfaction and retention is potentially an effective tool that banks can
use to gain a strategic advantage and survive in today’s ever-increasing banking competitive
environment. Also the customer retention is important because cost of acquiring new
customers is more than the cost of maintaining existing customers.
Also long-term customers if satisfied may generate positive word-of-mouth promotion for
the company. Therefore by satisfying customers the banks can increase their profits and gain a
strategic presence in the market.
5. STATEMENT OF PROBLEM- The “expectations” of customers influence their buying
behavior. The customers relate this expectation to the quality of service provided by the
banks. The level of expectation differs from person to person but everyone wants the banks
to provide the products and services which can satisfy their needs up to their expected level
or to a higher level so as to offer them a higher satisfaction. The level of satisfaction of
customers is affected by some other attributes also other than the quality of service such as
their experience with the bank employees etc. As there is a huge competition in the banking
sector in India, the customer satisfaction is an important factor in the success of the banks. So
with this background an attempt has been made to study the satisfaction of the customers of
various banks taking into consideration some important attributes which customers consider
for rating their satisfaction with a particular bank.
6. OBJECTIVES OF STUDY-
The customers do not evaluate all possible attributes while rating their satisfaction, but the
marketer’s search is for identification of “The key buying criteria” or “The key choice criteria”
or “determinant attributes’ which are defined as certain features of a service that affects the
customer satisfaction. The study has the following specific objectives-
a. To judge the importance of attributes that influence customers’ satisfaction with a
particular bank.
b. To compare the satisfaction levels of private and public sector banks.

7. TESTABLE HYPOTHESIS- The following hypothesis is made in the study-

a) The customers give equal importance to all the attributes related to initial experience,
service delivery experience, service experience, relationship experience and grievance
handling in determining their satisfaction level.
b) The private sector banks are able to bring greater satisfaction to the customers than
public sector banks.
8. LIMITATIONS OF STUDY-
1. Sample size was limited to 120 only. The sample size may not represent whole
market.
2. The study has not been conducted over an extended period of time considering both
market ups and downs. The market state has a significant influence on the satisfaction
level of customers. The study cannot capture such situations.
3. This study is limited to the customers of Hyderabad only. Therefore the inferences
cannot be generalized.
4. A few respondents were not able to understand some of the terms of the questionnaire
which may affect the study to a little extent.
9. THEORETICAL FRAMEWORK-
According to Philip Kotler, “satisfaction is a person’s feelings of pressure or
disappointment resulting from product’s perceived performance (outcome) in relation to
his or her expectations. Customer satisfaction is the level of a person’s felt state resulting
from comparing a product’s perceived performance (outcome) in relation to the person’s
expectations”.
This satisfaction level is a function of difference between perceived performance and
expectations. If the product’s performance, exceed expectation the customer highly satisfied or
delighted. If the performance matches the expectations the customer is satisfied. If the products
performance fall shorts of expectations the customer is dissatisfied.
Many companies are aiming for high satisfaction because customers who are just satisfied
still find it easy to switch when a better offer comes along. High satisfaction or delight creates an
emotional affinity with brand.
Variety of factors that affect customer satisfaction includes product quality, product
availability and after sales support such as warranties and services. Customer satisfaction is seen
as a proof of delivering a quality product or service. It is believed that customer satisfaction
brings sales growth, and market share. A company can always increase customer satisfaction by
lowering its price or increasing its services but this may result in lower profits. Thus the purpose
of marketing is to generate customer value profitability. The two major factors of marketing are
the recruitment of new customers (acquisition) and the retention and expansion of relationships
with existing customers (base management). All this is possible only when the customers are
satisfied with the companies.
Companies use the following methods to measure customer satisfaction-
a. Complaints and suggestion system- The companies obtain complaints and suggestions
through the customer service centers.
b. Customer satisfaction surveys- The companies send questionnaires to random sample
of their customers to find out how they feel about various aspects of the company’s
performance and also solicit views on their competitor’s performance.
c. Lost Customer Analysis- The companies contact customers who have stopped buying or
who have switched to another supplier to learn why this happened.
10. LITERATURE REVIEW-
Previous studies have identified the benefits that customer satisfaction delivers to an
organization. The longer a customer stays with an organisation the more utility the customer
generates (Reichheld and Sasser, 1990). In businesses where the underlying products have
become commodity-like, quality of service depends heavily on the quality of its personnel.
This is well documented in a study by Leeds (1992), who documented that approximately 40
percent of customers switched banks because of what they considered to be poor service.
Leeds further argued that nearly three-quarters of the banking customers mentioned teller
courtesy as a prime consideration in choosing a bank. The study also showed that increased
use of service quality/sales and professional behaviours (such as formal greetings) improved
customer satisfaction and reduced customer attrition.
Reichheld (1996) suggests that unsatisfied customers may choose not to defect, because
they do not expect to receive better service elsewhere. Additionally, satisfied customers may
look for other providers because they believe they might receive better service elsewhere.
However, keeping customers is also dependent on a number of other factors.
Fornell (1992), in his study of Swedish consumers, notes that although customer
satisfaction and quality appear to be important for all firms, satisfaction is more important for
loyalty in industries such as banks, insurance, mail order, and automobiles.
Ioanna (2002) further proposed that service quality is an imperative element impacting
customers’ satisfaction level in the banking industry.
To compete successfully in today’s competitive marketplace, banks must focus on
understanding the needs, attitudes, satisfactions and behavioural patterns of the market
(Kaynak and Kucukemiroglu, 1992). Consumers evaluate a number of criteria when
choosing a bank.
Kucukemiroglu's (1992) study of the Hong Kong banking market discovered that
customers choose their banks because of convenience, long association, recommendations of
friends and relatives, and accessibility to credit.
11. RESEARCH METHODOLOGY

(a) Designing of Questionnaire- To understand the savings preference, bank preference,

services taken, time period since becoming customer, and to identify the information sources
influencing bank selection, a questionnaire (ANNEXURE I) was designed and the
respondents were asked to mark their preferences on a ranking scale.
The questionnaire also contains 19 factors that affect the customer satisfaction. These
factors are divided into 5 major groups – Initial Experience, Service Delivery Experience,
Service Experience, Relationship Experience and Grievance Handling. Also the customers
were asked to rate their overall satisfaction on a 5 point scale ranging from Highly Satisfied
(1) to not at all Satisfied (5). These factors are as follows-

(A) Initial Experience-

1. Level of product Knowledge with bank staff
2. Quality of response to customer queries on product/service
3. Understanding of customer’s needs and unique perspective
4. Availability and quality of brochures, sales material
5. Presentation, Communication and Mannerism of staff
(B) Service Delivery Experience-
1. Timeliness of service delivery
2. Sharing of status while work-in-progress
3. Quality and sophistication of delivery
4. Behavior and mannerism of delivery staff
5. Level of congruence between time taken to deliver the services and stipulated time
(C) Service Experience-
1. Level of service quality vis-à-vis expectation
2. Level of need fulfillment vis-à-vis expected
(D) Relationship Experience-
1. Frequency and quality of contact
2. Knowledge of company products and customer opportunities
3. Conduct and Communication of relationship person
 (E) Grievance Handling-
1. Timeliness of complaint resolution
2. Quality of complaint resolution
3. Level of of iterations till the complaint was resolved
4. Knowledge and empathy of the customer servicing staff

(F) Overall Satisfaction- The overall satisfaction of customers.

(b) Duration of Study- The survey is conducted for a period of three months starting from
January 2010 to March 2010.
(c) Sample Selection- The survey is conducted on 120 persons out of whom 37 respondents are
the customers of SBI, 21 of ICICI, 13 of Andhra Bank, 12 of HDFC Bank, 17 of Bank of
Baroda, and rest were of other banks. The sample for study includes 24 Government Employees,
44 Private Sector Employees, 35 Self-Professionals, and 21 housewives so as to get effective
results. The survey was conducted in certain areas of Hyderabad.
12. Data Collection and Analysis- The report is based on primary data only. Primary data was
collected through the above designed Questionnaire using telephone calls, e-mails and also
personally interviewing the respondents. The data is analyzed using the correlation analysis, chi-
square test and analysis of variance. The profile of the investors is given below-
 INVESTOR PROFILE

INVESTOR PROFILE NO. OF RESPONDENTS

SEX
Male 83
Female 37
AGE
Below 30 25
30-40 42
40-50 32
50 and above 21
OCCUPATION
Salaried 68
Businessman/Professional 35
Housewives 21
ANNUAL INCOME
Below 2,00,000 31
2,00,000-3,00,000 46
3,00,000-4,00,000 23
Above 4,00,000 20
PRODUCTS
Fixed Deposits 27
Saving Account 42
Current Account 35
Other 16
BANKS
State Bank Group 37
ICICI Bank 21
Andhra Bank 13
HDFC Bank 12
Bank of Baroda 18
Other Banks 19
RELATIONSHIP WITH BANK
Less than 3 Year 21
3-5 Years 25
5-10 Years 23
More Than 10 Years 51
FACTORS AFFECTING CHOICE
Ownership/ Reputation 31
Nearness/Accessibility 42
Commercials 24
Friends/Family 23
 A. INITIAL EXPERIENCE-

NO OF
RANKING
ATTRIBUTES RESPONDENTS
(Based on Weighted Average)
1 2 3 4 5
Level of product Quality of response to
42 32 24 14 8 One
Knowledge of bank staff customer queries
Understanding of
Quality of response to
50 34 22 12 2 Two customer’s needs and
customer queries
unique perspective
Understanding of Presentation,
customer’s needs and 48 40 18 6 8 Three Communication and
unique perspective Mannerism of staff
Availability and quality of Level of product
26 32 20 24 18 Four
brochures, sales material Knowledge of bank staff
Presentation,
Availability and quality of
Communication and 38 40 32 8 2 Five
brochures, sales material
Mannerism of staff

Anova: Single Factor

SUMMARY
Groups Count Sum Average Variance
Row 1 5 120 24 186
Row 2 5 120 24 352
Row 3 5 120 24 362
Row 4 5 120 24 30
Row 5 5 120 24 314

ANOVA
Source of Variation SS df MS F P-value F crit
Between Groups 0 4 0 0 1 2.86608
Within Groups 4976 20 248.8

Total 4976 24

The F Value is much less than the critical or table value which shows that customers
consider all the attributes as important while rating their satisfaction. Therefore the hypothesis
that customers consider all the attributes important while rating their satisfaction stands accepted.
The difference in the sample is due to random sampling error.
 RANK OF BANK
ATTRIBUTES
1 2 3 4 5
Level of product
ICICI HDFC SBI BOB ANDHRA
Knowledge of bank staff
Quality of response to
ICICI HDFC ANDHRA SBI BOB
customer queries
Understanding of
customer’s needs and ICICI SBI ANDHRA HDFC BOB
unique perspective
Availability and quality of
HDFC ICICI SBI BOB ANDHRA
brochures, sales material
Presentation,
Communication and ICICI ANDHRA ANDHRA BOB SBI
Mannerism of staff

The above table ranks the banks in the sample on the basis of the data obtained from their
customers. In terms of Level of product Knowledge of bank staff, quality of response to
customer queries, understanding of customer’s needs and unique perspective, Presentation,
Communication and Mannerism of staff the ICICI bank ranks higher. In terms of Availability
and quality of brochures, sales material the HDFC bank is at the top.

It clearly shows that the private sector banks are able to offer a good initial experience to the
customers when compared with the public sector banks.
 B. SERVICE DELIVERY EXPERIENCE-

NO OF
RANKING
ATTRIBUTES RESPONDENTS
(Based on Weighted Average)
1 2 3 4 5
Timeliness of service Timeliness of service
64 42 10 4 0 One
delivery delivery
Sharing of status while Sharing of status while
58 28 20 12 2 Two
work-in-progress work-in-progress
Quality and sophistication Behavior and mannerism
30 24 42 18 6 Three
of delivery of delivery staff
Level of congruence
Behavior and mannerism between time taken to
57 29 14 16 4 Four
of delivery staff deliver the services and
stipulated time
Level of congruence
between time taken to Quality and sophistication
44 36 22 10 10 Five
deliver the services and of delivery
stipulated time
Anova: Single Factor

SUMMARY
Groups Count Sum Average Variance
Row 1 5 120 24 774
Row 2 5 120 24 454
Row 3 5 120 24 180
Row 4 5 120 24 419.5
Row 5 5 122 24.4 234.8

ANOVA
Source of Variation SS df MS F P-value F crit
Between Groups 0.64 4 0.16 0.000388 1 2.866081
Within Groups 8249.2 20 412.46

Total 8249.84 24

The F Value is much less than the critical or table value which shows that customers
consider all the attributes as important while rating their satisfaction. Therefore the hypothesis
that customers consider all the attributes important while rating their satisfaction stands accepted.
The difference in the sample is due to random sampling error.
 RANK OF BANK
ATTRIBUTES
1 2 3 4 5
Timeliness of service
SBI HDFC ICICI ANDHRA BOB
delivery
Sharing of status while
BOB ANDHRA SBI ICICI HDFC
work-in-progress
Quality and sophistication
SBI BOB ICICI ANDHRA HDFC
of delivery
Behavior and mannerism
ICICI HDFC ANDHRA SBI BOB
of delivery staff
Level of congruence
between time taken to
ANDHRA ICICI HDFC SBI BOB
deliver the services and
stipulated time

The above table ranks the banks in the sample on the basis of the data obtained from their
customers. In terms of timeliness of the service delivery and quality and sophistication of
delivery the State Bank of India is at the top. In terms of behavior and mannerism the ICICI bank
is leading the others. Bank of Baroda is at the highest level in terms of sharing the status of
service with the customers. Looking at Level of congruence between time taken to deliver the
services and stipulated time the Andhra Bank is at the top.
 C. SERVICE EXPERIENCE-

NO OF
RANKING
ATTRIBUTES RESPONDENTS
(Based on Weighted Average)
1 2 3 4 5
Level of service quality Level of need fulfillment
26 10 22 34 28 One
vis-à-vis expectation vis-à-vis expected
Level of need fulfillment Level of service quality
64 36 14 4 2 Two
vis-à-vis expected vis-à-vis expectation

Anova: Single Factor

SUMMARY
Groups Count Sum Average Variance
Row 1 5 120 24 80
Row 2 5 120 24 682

ANOVA
Source of Variation SS df MS F P-value F crit
Between Groups 0 1 0 0 1 5.317655
Within Groups 3048 8 381

Total 3048 9

The F Value is much less than the critical or table value which shows that customers
consider all the attributes as important while rating their satisfaction. Therefore the hypothesis
that customers consider all the attributes important while rating their satisfaction stands accepted.
The difference in the sample is due to random sampling error.

RANK OF BANK
ATTRIBUTES
1 2 3 4 5
Level of service quality
ICICI SBI HDFC ANDHRA BOB
vis-à-vis expectation
Level of need fulfillment
SBI ICICI ANDHRA BOB HDFC
vis-à-vis expected

The above table shows that in terms of expected versus actual quality ICICI bank is able to
satisfy the customers the most whereas the State Bank of India is able to fulfill the expected
needs of the customers in a better manner.
 D. RELATIONSHIP EXPERIENCE-

NO OF
RANKING
ATTRIBUTES RESPONDENTS
(Based on Weighted Average)
1 2 3 4 5
Frequency and quality of Frequency and quality of
58 28 14 16 4 One
contact contact
Knowledge of company Knowledge of company
products and customer 42 38 22 12 8 Two products and customer
opportunities opportunities
Conduct and Conduct and
Communication of 24 28 18 28 22 Three Communication of
relationship person relationship person

Anova: Single Factor

SUMMARY
Groups Count Sum Average Variance
Row 1 5 120 24 434
Row 2 5 122 24.4 230.8
Row 3 5 120 24 18

ANOVA
Source of Variation SS df MS F P-value F crit
Between Groups 0.533333 2 0.266667 0.001172 0.998829 3.885294
Within Groups 2731.2 12 227.6

Total 2731.733 14

The F Value is much less than the critical or table value which shows that customers
consider all the attributes as important while rating their satisfaction. Therefore the hypothesis
that customers consider all the attributes important while rating their satisfaction stands accepted.
The difference in the sample is due to random sampling error.
 RANK OF BANK
ATTRIBUTES
1 2 3 4 5
Frequency and quality of
HDFC ICICI ANDHRA BOB SBI
contact
Knowledge of company
products and customer ICICI SBI HDFC BOB ANDHRA
opportunities
Conduct and
Communication of ICICI BOB SBI ANDHRA HDFC
relationship person

The above table ranks the banks in the sample on the basis of the data obtained from their
customers. In terms of frequency and quality of contact the HDFC bank is at the top. In terms of
knowledge of the company products and conduct and communication of the relationship person
the ICICI bank is leading the others.

This again shows that private sector banks are able to give a good relationship experience to their
customers as compared to the public sector banks.
 E. GRIEVANCE HANDLING-

NO OF
RANKING
ATTRIBUTES RESPONDENTS
(Based on Weighted Average)
1 2 3 4 5
Timeliness of complaint Quality of complaint
30 24 42 18 6 One
resolution resolution
Quality of complaint Level of iterations till the
56 30 14 16 4 Two
resolution complaint was resolved
Knowledge and empathy
Level of iterations till the
44 36 22 11 9 Three of the customer servicing
complaint was resolved
staff
Knowledge and empathy
Timeliness of complaint
of the customer servicing 24 28 18 28 22 Four
resolution
staff

Anova: Single Factor

SUMMARY
Groups Count Sum Average Variance
Row 1 5 120 24 180
Row 2 5 120 24 406
Row 3 5 122 24.4 235.3
Row 4 5 120 24 18

ANOVA
Source of Variation SS df MS F P-value F crit
Between Groups 0.6 3 0.2 0.000953 0.999958 3.238872
Within Groups 3357.2 16 209.825

Total 3357.8 19

The F Value is much less than the critical or table value which shows that customers
consider all the attributes as important while rating their satisfaction. Therefore the hypothesis
that customers consider all the attributes important while rating their satisfaction stands accepted.
The difference in the sample is due to random sampling error.
 RANK OF BANK
ATTRIBUTES
1 2 3 4 5
Timeliness of complaint
ICICI SBI HDFC ANDHRA BOB
resolution
Quality of complaint
SBI BOB ANDHRA ICICI HDFC
resolution
Level of iterations till the
ICICI HDFC SBI BOB ANDHRA
complaint was resolved
Knowledge and empathy
of the customer servicing ICICI HDFC BOB SBI ANDHRA
staff

The above table ranks the banks in the sample on the basis of the data obtained from their
customers. In terms of timeliness of the complaint resolution, level of iterations till the complaint
is resolved and knowledge and empathy of the customer servicing staff the ICICI bank ranks the
highest. In terms of quality of complaint resolution the State bank of India rank the highest.

F. OVERALL SATISFACTION- In terms of overall satisfaction the ICICI bank is rated

the highest by the customers followed by State bank of India, HDFC bank, Bank of
Baroda and at the last Andhra Bank.
 Annexure - I
Questionnaire for Study

1. NAME ______________________________

2. E-MAIL ___________________________________________

3. Please tick mark-

I. AGE: Below 30 [ ] 30 – 40 [ ] 40 – 50 [ ] 50 and above [ ]
II. GENDER: Male [ ] Female [ ]
III. INCOME: < 200,000 [ ] 200,000-300,000 [ ] 300.000-400,000 [ ] 400,000 > [ ]
IV. OCCUPATION: Salaried [ ] Businessman [ ] Professional [ ] Housewife [ ]
V. QUALIFICATION: Below graduate [ ] Graduate [ ] Above Graduate [ ]
VI. MARITAL STATUS: Married [ ] Unmarried [ ]

4. To which bank you are the Customer_____________________________________

5. Form how much time you are with the bank______________

6. Which products/services you are taking from the bank-

[ ] Fixed Deposits [ ] Current Account [ ] Other

6. Which environmental forces influenced you the most to select your bank?
[ ] Ownership/Reputation [ ] Nearness [ ] Commercials [ ] Friends/Family
GIVE MARKS OUT OF 5 TO EACH OF THE FOLLOWING ATTRIBUTES BASED ON
YOUR SATISFACTION FROM SERVICES OF THE BANKS-

Give: 1 for Highly Satisfied

Give: 2 for Satisfied
Give: 3 for Moderately Satisfied / Unmarked
Give: 4 for Dissatisfied
Give: 5 for Not at all Satisfied
Please Refer Example- Grade Service Quality  4

INITIAL EXPERIENCE

1. Level of product Knowledge of bank staff 

2. Quality of response to customer queries on product/service 

3. Understanding of customer’s needs and unique perspective 

4. Availability and quality of brochures, sales material 

5. Presentation, Communication and Mannerism of staff 

SERVICE DELIVERY EXPERIENCE

1. Timeliness of service delivery 

2. Sharing of status while work-in-progress 

3. Quality and sophistication of delivery 

4. Behavior and mannerism of delivery staff 

5. Level of congruence between time taken to deliver 

the services and stipulated time
 SERVICE EXPERIENCE

1. Level of service quality vis-à-vis expectation. 

2. Level of need fulfillment vis-à-vis expected 

RELATIONSHIP EXPERIENCE

1. Frequency and quality of contact 

2. Knowledge of company products and customer opportunities 

3. Conduct and Communication of relationship person 

GRIEVANCE HANDLING

1. Timeliness of complaint resolution 

2. Quality of complaint resolution 

3. Level of iterations till the complaint was resolved 

4. Knowledge and empathy of the customer servicing staff 

OVERALL SATISFACTION- 
Thank You