THE EFFECT OF POINT OF SALE (POS) TERMINAL SERVICE QUALITY ON CUSTOMER SATISFACTION (THE CASE OF DASHEN BANK S.C)

Abstract

This research aims to measure the point of sale (pos) banking service quality at Dashen bank S.C. It also examined the effect of POS banking quality service towards customer satisfaction. The SERVQUAL model was used to determine customers’ perception of service quality at Dashen banks. To achieve the objectives of this study, data was collected through questionnaire from a sample of 144 customers’ which use point of sale machine for their card transaction. These respondents were selected using Purposive sampling and convenience sampling method. The data collected from the questionnaire were analyzed by using Statistical tools such as mean, correlation, and multiple regression analysis. The result of the study indicated that all the service quality dimensions showed a negative disconfirmation indicating that the service quality at Dashen banks is below the customers’ expectation. Moreover, the results of this study indicated that all the five service quality dimensions (reliability, tangibility, assurance, empathy and assurance) have positive and significant relationship with customer satisfactions. The finding of this study also indicated most customers are dissatisfied with the service provided by these private banks. The results also indicated that the three service quality dimensions (Responsiveness, Empathy and, Reliability) have positive and significant effect on customer satisfaction. Finally, the study suggests a series of measures which could be taken the banking industry such as improvement of point of sale banking service quality dimension, giving training to point of sale support officer and to solve the telecommunication infrastructure problem in order to increase customer’s satisfaction level.