Measuring Service Quality of Banks: An Empirical Study

Abstract

This study examines an interrelationship among service quality, satisfaction and customer loyalty. The objective of this study is to establish an inter-linkage among service quality, satisfaction and loyalty. For this purpose, existing SERVQUAL model has been extended to test the above linkage in a developing country context. A quantitative research approach is used in this study. A sample of 222 bank clients was drawn randomly from private and public sector banks in Bangladesh. The research findings suggest that there is a strong influence of service quality dimensions on satisfaction. It is also found that the customer satisfaction and reputation of the bank lead greater loyalty. Hence, the findings of the study would open up a new method of designing banking service in developing country like Bangladesh. It will also guide the bankers how well they could serve present and prospective customers. In fact, the study provides a framework for bankers to offer quality service. Key words: Banks, Service quality, Satisfaction, and Loyalty.

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