THE EFFECT OF SERVICE QUALITY DIMENSIONS ON CUSTOMER SATISFCATION IN CASE OF AWASH BANK

Abstract

The purpose of this study is the effect of Service Quality Dimensions on Customer Satisfaction in the case of Awash Bank. descriptive and explanatory research design was employed by using quantitative research approach to assess the service quality dimensions and their impacts on customer satisfaction. The researcher used questionnaire method to gather the primary data from the customers of the two main branches of awash bank (finfine and lagahar) The questioner was distributed for 230 and 229 respondents returns the filled questioners. The independent variable that services quality of the banks is measured by using the five service quality dimensions including tangibility, reliability, responsibility, assurance and empathy and while customer satisfaction is considered for dependent variable. The regression output briefly shows that there was a statistically weighty link between service quality dimensions and customer satisfaction which is more sustained by R2 result explaining that the dependent variable is explained more than 80% by the five service quality dimensions. Assurance dimension takes the highest fraction in influencing customer satisfaction followed by reliability, tangibility, responsiveness and empathy. As customer expectations are changing over time, bank managers are advised to measure their customer expectation against the actual performance regularly and handle complaints timely and effectively.