ASSESSING THE LEVEL OF CUSTOMER SATISFACTION IN CREDIT SERVICE: THE CASE OF CONSTRUCTION AND BUSINESS BANK SC

Abstract

The main purpose of this study is to assess the level of customer satisfaction at Construction and Business Bank based on the perception of credit customers. Five dimensions in service quality (servqual) such as Tangibility, Reliability, Responsiveness, Empathy, and Assurance were considered as the base for this study. A structured questionnaire with 5 point Likert scale has been used to collect the data by conducting survey. 140 credit customers were taken as sample size and chosen on a convenient basis from10 branches located in Addis Ababa City. Data has been analyzed by using SPSS software (version: 20) and Excel program. Thefindings of the study revealed that some majority of customers (slightly above average customers) are satisfied with bank’s quality of credit service delivery; this implies that there is undeniable number of customers who get dissatisfied with the bank’s credit services delivering. Among those factors that caused customer dissatisfaction are loan documentation process, period for loan approval and disbursement, lack of modern technology, margin of finance and system of credit service delivery process. Besides, among the five service quality dimensions, reliability and assurance are where thehighest gap observed. The bank should understand and respond to expectations of customers when judging the quality of its service offering. Hence, it should be conscious on the reliability of its current service delivery process, employ improved technology like internet and mobile banking, proper customer service training should be given to employees and regular research should be conducted to find out expectation about the various service aspect, and the current credit procedure and service delivery standard time better be reviewed.