THE EFFECT OF SERVICE QUALITY ON CUSTOMER SATISFACTION: THE CASE OF ETHIO TELECOM POINTS OF SALES

Abstract

The main purpose of this descriptive and causal study is to investigate the effect of service quality dimensions on customer satisfaction. In addition it tries to measure customer satisfaction and the quality of service offered by ethio telecom points of sales. The five dimensions of SERVPERF model were used to measure the quality of service offered by ethio telecom points of sales. In order to answer raised research questions, both primary and secondary sources of data were used. The primary data were collected through administrating questionnaire. Non probabilistic sampling procedure with a combination of purposive and convenient sampling method was used to obtain 324 responses from customer of ethio telecom who visited ethio telecom points of sales recently. Correlation was used to investigate the relationship between dependent and independent variables. Regarding the satisfaction level measurement, 37.38% of respondents are satisfied and 6.54% are highly satisfied with the service provided at ethio telecom points of sales. And the level of services quality based on the customer perception indicate that the tangibility dimension of service quality is superior to other dimension with a mean score of 3.44 and on the other hand reliability is the least performed dimension with a mean score of 2.93. The correlation results indicate that there is a positive correlation between the dimensions of service quality and customer satisfaction. The research proves that empathy and assurance plays the most important role in customer satisfaction level followed by responsiveness, reliability and finally tangibility.