A Study of Technology Driven Banking Service Quality in Selected Districts of Nagaland

Today, information and communication technology has become the heart of banking sector, which has brought an enormous transformation in the banking industry and made banking services easier, speedy and accessible anytime and anywhere. This has also made the customers well aware of the service level available around the world and thus expects the best from his bank. In this modern customer centric competitive arena, satisfaction and quality prove to be key factors and are interrelated. To strive in a market characterized by global competition, and technological advancements, banks need to be more customer-focused. Any bank that wants to compete in this global industry must offer services that create customer satisfaction. Hence, it is important for banks to understand what affects customer satisfaction and how to optimize service quality as a driver of customer satisfaction. This study made an attempt to compare customer satisfaction of public and private commercial banks with a sample of 500 bank customers by analyzing the item-wise degree of satisfaction of the customers for service quality taking 41 technology related items, grouped into 8 service quality dimensions. One way ANOVA has been applied to ascertain the significance level of the dimensions of service quality. The study showed that, except for satisfaction with Empathy and Reliability dimensions, the performance of private sector commercial banks is better than the public sector commercial banks. Thus, customers’ satisfaction level of private sector commercial banks in terms of technology based services is higher than that of public sector banks.