10.5937/sjm9-4511 = Assessing customers' perceived service quality in private sector banks in India

Abstract

This paper aims at constructing a measure of service quality for Indian private sector banks. The SERVQUAL model was used. In total 28 variables were considered to find their relative importance from customers' point of view. Factor analysis was used to reduce redundant variables and finally four dimensions were identified that are the dependability with facility, guarantee, security with value added services and compassion with cordialness. Then RIDIT test was done to identify the prioritization pattern that customers assign to different variables. The result shows that customers believe that bank's effort in instill confidence in customers, the bank's concern for customers' best interest and safety standards in transactions are vital factors for improving customer satisfaction.

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