A STUDY TO IDENTIFY AND ANALYZE THE SERVICE

QUALITY OF PRIVATE BANKING SECTOR

Submitted in partial fulfillment of the requirements for the award of the degree

Bachelor of Business Administration (BBA)

To
Guru Gobind Singh Indraprastha University, Delhi

Guide Submitted by

MS TINU ANAND VIBHOR GUPTA

ASSISTANT PROFESSOR 09919101718

Gitarattan International Business School

New Delhi -110085

Batch 2018-21

1
 CERTIFICATE OF THE ORGANISATION
I, Mr. Vibhor Gupta, Enrolment No. 09919101718 certify that Project Report /
Dissertation (Paper Code BBA-312) entitled “A STUDY TO IDENTIFY AND
ANALYZE THE SERVICE QUALITY OF PRIVATE BANKING SECTOR ” is done
by me and it is an authentic work carried out by me at ‘GITARATTAN
INTERNATIONAL BUSINESS SCHOOL’. The matter embodied in this Report has not
been submitted earlier for the award of any degree or diploma to the best of my
knowledge and belief.

Signature of Student

Date :……………..

Certified that the Project Report / Dissertation (Paper Code BBA-312) entitled “ A STUDY
TO IDENTIFY AND ANALYZE THE SERVICE QUALITY OF PRIVATE BANKING
SECTOR ” done by Mr. Vibhor Gupta, Enrolment No. 09919101718, is completed
under my guidance.

Signature of the Guide

Date:……………..

(Ms. Tinu Anand)

Assistant Professor
Gitarattan International Business School. Delhi- 110085

Countersigned

Director/Summer Training Coordinator

2
 ACKNOWLEDGEMENT
I express my deepest and most sincere thanks to MS TINU ANAND (Faculty Guide) and all my
teachers who provided me their valuable time and information. The Project Report/Dissertation
could not be possible without their able support and guidance. It was a great opportunity for me to
work on Private Sector Banks. I am extremely grateful to those who have shared their expertise
and knowledge with us and without whom the completion of this project would have been virtually
impossible.

I am indebted to all staff members of Gitarattan International Business School for their valuable
support and cooperation during the entire tenure of this project. Not to forget, all those who have
kept our spirits surging and helped me in delivering my best

Last but most important I thank ‘God Almighty’ above who guided me and bestowed me with
the wisdom and an opportunity to carry out the project.

3
 EXECUTIVE SUMMARY

Title of the Project

A STUDY TO IDENTIFY AND ANALYZE THE SERVICE QUALITY OF PRIVATE
BANKING SECTOR

Introduction

Service quality, popularly known as SERVQUAL is a well tested and an accomplished survey
method for measuring service quality which focuses on five service quality dimensions.
SERVQUAL surveys usually include 22 service areas distributed throughout the five service
quality dimensions. The survey conducted so far often asks the customers to provide two
different ratings on each attribute- one reflecting the level of service they would expect from
excellent organisations in a given sector and the other reflecting their perception of the service
delivered by a specific organisation within a sector. The difference between the expectation and
perception rating constitutes a qualified measure of service quality.Service industries cover a
wide range of differentiated organizations such as health care, education, banking, insurance,
hotels, transport, restaurant, etc. Such systems involve a very large variety of business processes
and a large scale interaction with variety of customers.The tool SERVQUAL is more or less
suitable for most of the service sectors. Still, the scope of SERVQUAL survey is limited to some
particular sectors. The use of SERVQUAL seems to be most effective in financial services,
health care and education sector. The present research article has made an attempt to highlight
the methodology of SERVQUAL by a survey conducted on the account holders of a selective
Private Sector Bank regarding the retailing banking services provided by the bank. Sixty seven
customers have been chosen as respondents for the study randomly because of the time and cost
constraints. The required data were collected through a well structured questionnaire.

4
Objectives

The study has following objectives:

● To find out the status of service quality provided by the selected Private sector banks.
● To explore the strengths and weaknesses of service quality of the selected Private sector
banks.
● To evaluate the quality of the dimensions of SERVQUAL of the selected Private sector
banks.

Scope

The scope of this research is to identify the service quality of private sector banks. This study only
focuses on the dimensions of service quality i.e. reliability, assurance, tangibility, empathy and
responsiveness.

Research Meathodology

The research would be based on both primary and secondary resources. A Survey has been
conducted through a well defined and structured questionnaire among the account holders of the
Private sector bank which is locally serving for more than two decades to represent the way to
conduct SERVQUAL survey. The tools design causes it to be best suited for use as a diagnostic
methodology utilized for determining large areas of service quality strengths and weaknesses. A
five point Likert scale will be used to get the level of expectation and perception associated with
each service quality criterion. After conducting the survey all the questionnaires would be
collected for tabulation.

5
 TABLE OF CONTENTS
S No Topic Page No

1. Certificate (s) 2

2. Acknowledgements 3

3. Executive summary 4

4. List of Tables 7

5. List of Figures 7

6. Chapter-1: Introduction 8

7. Chapter-2: Literature Review 12

8. Chapter-3: Data Presentation & Analysis 17

9. Chapter-4: Summary & Conclusions 23

10. Chapter-5: Recommendations 24

11. References/Bibliography 25

12. APPENDIX 26

6
 LIST OF TABLES
Table No. Title Page
No.
1. Private Banks in India 10
2. Perception of Customers 19
3. Perception of Customers (Tangibility) 19
4. Perception of Customers (Reliability) 20
5. Perception of Customers 20
(Responsiveness)
6. Perception of Customers (Assurance) 21
7. Perception of Customers (Empathy) 21

LIST OF FIGURES
Figure No. Title Page No.

1. Age 17

2. Gender 17

3. Education 18

4. Occupation 18

5. Bank Account exists in 18

6. Satisfaction of Respondents 22

7
 CHAPTER -1

INTRODUCTION

1.1 INTRODUCTION

Private Sector Banks are those banks in which the majority of the stake is held by shareholders
of the bank and not by the government. RBL bank, HDFC Bank, ICICI Bank, Yes Bank, are
some of the private sector banks in India. They provide all the banking products and services to
the customers. These products include Fixed Deposit, Savings Deposit, RD, Home Loan,
Personal Loan, Car Loan, Locker, Demat Facilities, Debit/ Credit Card, ATM, Foreign Exchange
Transactions, Insurance, Wealth Management, Net Banking, etc. Private Banks are known for
introducing information technology in the banking system.

The quality of service will be the dominant primary factor in ensuring the survival of service
provider in the Indian banking sector. Around the globe, service providers in the private banking
sector provide similar products and services to customers. The major way to attract customers to
use bank products and services is to provide high quality in services. In India, all private banks in
the banking industry follow moderate system to maintain better quality in service for satisfying
customers which will lead to customer retention and loyalty. Also the banking is a major part of
the service sector in India. Therefore the quality management and quality improvement are
necessary for success of the banking sector and for our economy. So it is important to measure
the service quality provided by these banks with the help of SERVQUAL. Effective functioning
of banking system is very crucial for the development of an economy.

Before 1991, the level of competition in banking industry was very low. After nationalization of
commercial banks, banking sector was majorly dominated by public sector banks in terms of
asset size. But in 1991, when India undertook a series of liberalization, privatization, and
globalization measures the banking industry has completely transformed with new private sector
banks opening up, expansion of existing private sector banks, and entry of foreign banks. Since
then Indian banking sector has witnessed a phenomenal growth. Presently, the scenario of this
industry is very dynamic and challenging. It has a large number of banks operating with mixed
ownership. Regulators and policy makers are making banking norms in line with international
standards with the aim that Indian banking system progresses with strong fundamentals.

8
However even after many initiatives and policy measures introduced to strengthen banking
sector there seems a lot of difference at the operational level of banks. Banks are required to
understand these difference, discover their weaknesses, and work in pace with rapidly changing
financial market.

By 2010, the supply, product range and reach of banking in India was generally fairly mature-
even though reach in rural India still remains a challenge for the private sector and foreign banks.
In quality of assets and capital adequacy, Indian banks are considered to have clean, strong and
transparent balance sheets relative to other banks in comparable economies in its region. The
Reserve Bank of India is an autonomous body, with minimal pressure from the government.

With the growth in the Indian economy expected to be strong for quite some time-especially in
its services sector-the demand for banking services, especially retail banking, mortgages and
investment services are expected to be strong.

1.2 Problem Statement

The service sector in India is a major growing sector. The analysis of this service sector is
equally important and for analyzing it, a SERVQUAL model is given by Zeithaml, Parasuraman
and Berry to compare the quality of services expected by the customer to the provider with the
perceived services. Also the banking sector is becoming very competitive with the development
in technology and equipment. While taking this competitiveness in view, the perception of
customers in attaining services should also be considered. Hence, this research is an attempt to
study and analyze the service quality in private sector banks.

1.3 Dimensions of SERVQUAL:

There are the following 5 elements of SERVQUAL namely:

1. Tangibles: Tangibles are the physical attributes which helps in measuring the service
quality and satisfaction such as equipment, building etc.
2. Reliability: Reliability relates to the personnel’s ability to deliver the service in a
dependable and accurate manner.
3. Responsiveness: The desire and willingness to assist customers and deliver prompt
service makes up the dimension of responsiveness.

9
 4. Assurance: Knowledgeable and courteous employees who inspire confidence and trust
from their customers establish assurance.
5. Empathy: Empathy is the caring and personalized attention the organization provides its
customers

Table No. 1: As on 27 November 2020, there are 19 Private Banks in India.

BANK NAME ESTABLISHED HEADQUARTERS TOTAL
BRANCHES
AXIS BANK 1993 MUMBAI, MAHARASHTRA 4800
BANDHAN BANK 2015 KOLKATA, WEST BENGAL 1187
CSB BANK 1920 THRISSUR, KERALA 417
CITY UNION BANK 1904 THANJAVUR, TAMIL NADU 700
DCB BANK 1930 MUMBAI, MAHARASHTRA 341
DHANLAXMI BANK 1927 THRISSUR, KERALA 247
FEDERAL BANK 1931 KOCHI, KERALA 1284
HDFC BANK 1994 MUMBAI, MAHARASHTRA 5430
ICICI BANK 1994 MUMBAI, MAHARASHTRA 5288
IDBI BANK 1964 MUMBAI, MAHARASHTRA 1892
IDFC FIRST BANK 2015 MUMBAI, MAHARASHTRA 523
INDUSIND BANK 1994 MUMBAI, MAHARASHTRA 1911
KARUR VYSYA BANK 1916 KARUR, TAMIL NADU 779

KOTAK MAHINDRA BANK 2003 MUMBAI, MAHARASHTRA 1600

NAINITAL BANK 1922 NAINITAL, UTTARAKHAND 147

RBL BANK 1943 MUMBAI, MAHARASHTRA 392
SOUTH INDIAN BANK 1929 THRISSUR, KERALA 929

TAMILNAD MERCHANTILE 1921 THOOTHUKUDI, TAMIL 509

BANK NADU

YES BANK 2004 MUMBAI, MAHARASHTRA 1119

10
1.4 OBJECTIVES OF STUDY

The study has following objectives:

1. To find out the status of service quality provided by the selected Private sector banks.
2. To explore the strengths and weaknesses of service quality of the Private sector banks.
3. To evaluate the quality of the dimensions of SERVQUAL of the selected Private sector
banks.

1.5 SCOPE

The scope of this research is to identify and analyze the service quality of private sector banks.
This study only focuses on the dimensions of SERVQUAL i.e. reliability, assurance, tangibility,
empathy and responsiveness. This study is to measure the service quality based on SERVQUAL
model of private sector banks and compare the statistics and to know the perception of common
people towards the private sector banks.

1.6 Research Methodology

1.6.1 Methodology for Data collection

The data was collected from both primary and secondary source. The primary data is collected
through questionnaire and phone calls. The questionnaire aims to gather information about the
respondent preferences on the different attributes. The secondary data is collected through,
websites, journals, books and other sources.

1.6.2 Techniques for Data analysis

a) Sampling tools and techniques: Convenience sampling will be used.
b) Sample Size & Data Collection: From the total population of Delhi/ NCR, 52 people will be
chosen as sample size for the study and the data is collected through a Structured Questionnaire.
c) MS-EXCEL, and MS-WORD will be used as research tool

11
 CHAPTER -2

LITERATURE REVIEW

2.1 Research Paper

Research papers and articles were studied and points of interests were noted and mentioned in the
report.

Manoj Dash, Saroj Dash, Jai Prakash Sharma (2012): A Study on the Relationship between
Customer Satisfaction and Service Attributes Offered by Public Sector and Private Sector
Banks in India, Journal of Money, Investment and Banking, ISSN (73-86).
The study talks about the changes in Indian banking system over the last fifty years and
especially in the last 15 years which took India to the path of free market economy. Also it
studied the journey from private ownership and control of commercial banks to government
ownership and control by way of nationalization, and introduction of new players in the shape of
Private Sector Banks and Foreign Banks. As the public stake and corporate governance in
government owned banks created a stiff competition in the environment so the study compares
the satisfaction of customers with private sector with of public sector banks and concluded that
the customers are more satisfied with the quality of services of private sector banks.

Aurora, S., & Malhotra, M. (1997). Customer satisfaction: A comparative analysis of

public and private sector banks. Decision, 24(1), 109-130.
The efforts were made to study the level of customer satisfaction and the strategies made by
public and private sector banks in India for marketing. This study studied various satisfaction
factors in the banks and concluded that customers are more satisfied with private banks mainly
because of the staff factor. Also they suggest that public sector banks should focus on equipment,
and staff training.

12
Ali A, L.S. Bisht. Customers’ satisfaction in public and private sector banks in India: A
comparative study. J Fin Mark. 2018; 2(3):27-133.
The study says that the satisfaction of the customers is very important factor in every service
industry to enhance the profitability and improve financial performance of the concern. The
banking sector is a financial service industry and the satisfaction of customers is much more
important for successfully running of banking business. The study concluded that the satisfaction
level of the customers vary due to different banking services and benefit of those to the
customers. They say that there are so many factors which are responsible for the discrimination
of the services which results in uneven satisfaction level.

Varghese, E. M. (2000).Marketing of banking services, Ph.D. thesis, Thiruvananthapuram.

University of Kerala.
This is conducted to compare public and private sector banks of Kerala. There were two banks
which were considered from public and private sector and their performance was analyzed. The
study revealed that there was no major differences between the services of public and of private
sector banks. Also, it concluded that the banks in both the sectors adopted similar internal
marketing strategies.

Bodla, B. S. (2004). Service quality perception in banks: An Indian perspective. Prajnan,

23(4), 321-333.
The four private sector banks and four public sector banks of Chandigarh, Delhi and Haryana
were examined for the analysis if their service quality. The study concluded that expectations of
customers and perceptions of customers are significantly different in the banks of these two
sectors. The study identified that the marketing efforts of banks in public sector have less
efficiency than in private sector, but for reliability and security, public sector banks are more
trustworthy.

13
Sudesh (2007). Service quality in banks-A study in Haryana and Chandigarh. NICE
Journal of Business, 2(1), 55-65.
The study analyzed the service quality of banks in India and concluded that the services of public
sector banks are not up to the mark. The public sector banks were rated low for tangibility,
responsiveness and empathy when compared to private sector banks. The study also suggested
that they should focus on the failure points and to make efforts for solving problems of
customers promptly.

Singh, S., & Arora, R. (2011). A comparative study of banking services and customer
satisfaction in public, private and foreign banks. J Economics, 2(1), 45-56.
This study was conducted to study the factors effecting customer satisfaction through service
quality of banks. Some of the selected branches of public sector banks and private sector banks
of Delhi were used to conduct the study. This concluded that the customers were not satisfied
with the employee behavior and tangibles of public sector banks and services of private sector
were perceived as costly with lack of accessibility and communication.

Lohani, M. B., & Shukla, K. K. (2011). Comparative study of customer perception towards
services provided by public sector bank and private sector bank. International Journal of
Engineering and Management Science, 2(3), 143-147.
The study focused on banks of Lucknow and concluded that satisfaction of customers from
services of private sector banks were of superior quality than of banks in public sector. The study
identified that customers prefer private sector banks mainly because of two reasons, building and
maintaining good relationship with the customers and also they are well equipped with the use of
latest technology unlike public sector banks.

14
Simon, L. M. (2012). A study on customer perception towards services provided by public
sector bank and private sector bank in Coimbatore region. Indian Journal of Research,
1(12), 113-115.
This study studied the customers’ perception regarding service quality of public sector and
private sector banks in Coimbatore. The study concluded that private sector banks and public
sector banks give tough competition to each other by providing enhanced quality and range of
services to each customer.

Franklin, L. L., & Arul, H. (2014). A comparative study on customer’s satisfaction in

service quality dimensions among public sectors banks and private sector banks in
Chennai city. International Journal of Business Quantitative Economics and Applied
Management Research, 1(6), 41-55.
In this study, banks of Chennai were surveyed and satisfaction and expectation of customers of
public and private sector banks were compared. The study reported that SERVQUAL of private
sector is better than public sector in all service dimensions except for assurance. The study
suggested that the public sector banks should concentrate on improving their performance to
maintain their market share in Chennai.

Parasuraman, Z., & Berry.L. (1988). “SERVQUAL: a multiple-item scale for measuring
customer perceptions of service quality. Journal of Retailing, Spring , 12-40.
This study is an attempt to develop conceptual framework of service quality which is based on
the interpretation of qualitative data from the research in four service businesses and introduced
the criteria and dimensions through which service quality can be assessed: Reliability,
Responsiveness, Competence, Accessibility, Courtesy, Credibility, Security, Understanding/
knowing the customer and Tangibility. Later these dimensions were integrated into only five
ones. This new model is known as 'Servqual', The name consists of the two words 'Service' and
'Quality', these five dimensions include: Assurance , Empathy, Reliability, Responsiveness, and
Tangibility.

15
Mualla, & Deeb, N. (1997). Mualla a Measuring Banking Service Quality Provided by
Jordanian Commercial Banks : A field Study" Derassat for Administrative Science.
Derassat for Administrative Science ,Vol 25 no(2), pp 335-357.
The study measured banking service quality provided and argued that the service quality
perceived by customers indicates leftover of their past perception of the service quality. The
study says satisfaction is an intermediary factor between the past experience of the service
quality received and the present perception of it. The study concludes that the customer's
satisfaction with the actual performance level of service has a further affect on the formation of
the customers' perceptions and expectations of service quality.

Chris Manolis, W., & Lasser, R. D. (2000). "Service Quality Perspectives & satisfaction in
private banking. Journal of service marketing , vol 14 (3).
This is an attempt to study the Service Quality Perspectives & Satisfaction in Private Banking
and the study defined service as a set of characteristics which meet the clients' needs and desire,
and strengthen the connective links and relationship between the organization and clients and
enhances the client’s value.

16
 CHAPTER-3

DATA PRESENTATION AND ANALYSIS

This chapter aims to obtain the objective of the study by critically analyzing the qualitative
data thoroughly by examining the responses.

Some information about the respondent’s background was collected using demographic variable
like age, gender, education, occupation.

Figure 1

Interpretation: Most of the respondents belongs to the below 25 age group. The next higher no of
respondents belongs to 25-35 age group.

Figure 2

Interpretation: Majority of the respondents are males with 70.7% and rest are the females.

17
 Figure 3

Interpretation: Majority of the respondents are graduate with 49.2% and then are the post graduate and
H.sc with 20.3%.

Figure 4

Interpretation: Majority of the respondents are students with 72.9% and then are the private jobs with
22%.

Figure 5

Interpretation: Majority of the respondents uses HDFC Bank with 44.1% and then are the ICICI Banks
users with 15.3%.

18
Perception of Customers about Service Quality Dimensions

Table 2: Perception of Customers about Service Quality Dimensions

Service Quality Dimension Mean SD
Tangibility 4.42 0.804
Reliability 4.23 0.906
Responsiveness 4.4 0.82
Assurance 4.47 0.784
Empathy 4.23 0.905
All of 5 4.35 0.844

Interpretation: The mean score of customer perception about assurance dimension is the
highest with 4.47 which is followed by tangibility, reliability, empathy and responsiveness
dimension. Hence, we can consider assurance as the best out of five dimensions in the study
since the mean score of customer perception is the highest in case of assurance dimension of
service quality. Also, the perception of customers in five dimensions of service quality has been
most concentrated in case of assurance since the value of standard deviation is the lowest while
the perception of customers has been largely scattered in case of reliability dimension since the
value of standard deviation is the highest.

Table 3: Bank wise Perception of Customers about Tangibility

Dimension of Service Quality
Name of Bank Mean SD
Axis 4.13 0.857
HDFC 4.63 0.663
ICICI 4.42 0.682
IndusInd 3.89 0.927
Kotak Mahindra 4.33 0.85
All of 5 4.28 0.796

Interpretation: The mean score of customer perception about tangibles dimension is highest in
HDFC with 4.63 which means that the tangibles are best evident in HDFC bank followed by
ICICI. Also, the perception of customers in tangibility element has been most concentrated in
HDFC Bank since the value of standard deviation is the lowest while the perception of customers
has been largely scattered in IdusInd since the value of standard deviation is the highest.

19
 Table 4: Bank wise Perception of Customers about Reliability
Dimension of Service Quality
Name of Bank Mean SD
Axis 4.08 1.256
HDFC 4.39 0.917
ICICI 4.11 0.737
IndusInd 4 0.577
Kotak Mahindra 4.33 0.816
All of 5 4.18 0.861

Interpretation: The mean score of customer perception about Reliability dimension is highest in
HDFC Bank with 4.39 which means that the respondents are reliable on HDFC bank followed by
Kotak Mahindra Bank. Also, the perception of customers in reliability element has been most
concentrated in IndusInd Bank since the value of standard deviation is the lowest while the
perception of customers has been largely scattered in Axis since the value of standard deviation
is the highest.

Table 5: Bank wise Perception of Customers about Responsiveness

Dimension of Service Quality
Name of the Bank Mean SD
Axis 4.56 0.788
HDFC 4.47 0.811
ICICI 4.33 0.745
IndusInd 4.13 0.781
Kotak Mahindra 4.33 0.624
All of 5 4.36 0.75

Interpretation: The mean score of customer perception about Responsiveness dimension is

highest in Axis Bank with 4.56 which means that Axis bank has best responsiveness dimension
followed by HDFC Bank. Also, the perception of customers in responsiveness element has been
most concentrated in Kotak Mahindra Bank since the value of standard deviation is the lowest
while the perception of customers has been largely scattered in HDFC since the value of standard
deviation is the highest.

20
 Table 6: Bank wise Perception of Customers about Assurance
Dimension of Service Quality
Name of the Bank Mean SD
Axis 4.63 0.599
HDFC 4.38 0.87
ICICI 4.72 0.558
IndusInd 4.13 0.781
Kotak Mahindra 4.5 0.645
All of 5 4.47 0.691

Interpretation: The mean score of customer perception about Assurance dimension is highest in
ICICI Bank with 4.72 which means that respondents are assured with ICICI Bank followed by
Axis Bank. Also, the perception of customers in assurance element has been most concentrated in
ICICI Bank since the value of standard deviation is the lowest while the perception of customers
has been largely scattered in HDFC since the value of standard deviation is the highest.

Table 7: Bank wise Perception of Customers about Empathy

Dimension of Service Quality
Name of the Bank Mean SD
Axis 4.2 0.927
HDFC 4.23 0.901
ICICI 4.13 0.909
IndusInd 4.3 0.781
Kotak Mahindra 4.47 0.499
All of 5 4.27 0.803

Interpretation: The mean score of customer perception about Empathy dimension is highest in
Kotak Mahindra Bank with 4.47 which means that element of empathy is more in Kotak Mahindra
Bank followed by IndusInd Bank. Also, the perception of customers in Empathy element has been
most concentrated in Kotak Mahindra Bank since the value of standard deviation is the lowest
while the perception of customers has been largely scattered in Axis Bank since the value of
standard deviation is the highest.

21
 Figure 6

Interpretation: Majority of the respondents are satisfied with the service quality with 77.4%.

22
 CHAPTER-4

SUMMARY AND CONCLUSION

4.1 Conclusion

The present study attempted to examine service quality dimensions of banking institutions and
also to understand difference between expectation and satisfaction of customers of private
banking sector. The study reveals that most of the customers are satisfied with the service
provided by the banks. Although there are different banks which are doing good in different
elements of SERVQUAL. Private sector banks need to be innovative and adaptive to maintain
their market place. Customer satisfaction is a pre-requisite to compete successfully in market. It
acts as a leading indicator of the customer retention and loyalty. Satisfied customer tends to
repeatedly avail same bank’s services and also buy their products. They also create new
customers by communicating positive message about it to others. As there is a stiff competition
between banks, they are forced to be customer- centric in order to retain the existing customers
and to acquire new ones. It is necessary for all banking institutions to deliver high quality
services and attempt to assess and monitor their service quality periodically. Such practice will
enable them to identify improvement areas and incorporate customer’s views while taking
control measures.

4.2 FINDINGS
1. The most of the customers are highly satisfied with the services provided by the private
banking sector.
2. HDFC Bank is leading in the dimension of tangibility and reliability of SERVQUAL.
3. Axis Bank, ICICI Bank and Kotak Mahindra Bank are leading in dimension of
responsiveness, assurance and empathy respectively.

4.3 LIMITATIONS

1. As the private bank interest rates are high, people prefer to take loans from public banks
where interest rates are lower.
2. The reach of private sector banks are limited to urban areas hence rural areas lacks
behind.

23
 CHAPTER-5

RECOMMENDATION
1. The private banks should focus on the modernization with the latest technology.

2. The private banks should focus on extending the range to rural areas and contribute in the
development.

3. The private banks should be doing a bit more of advertising so that the target audience
would be vast.

4. Also the banks should be giving equal importance to customer retention and customer
acquisition.

5. Employees should be more polite towards the customer and try to understand their needs
more patiently.

6. Employees should be more polite towards the customer and try to understand their needs
more patiently.

24
 REFRENCE/BIBLIOGRAPHY

Aurora, S., & Malhotra, M. (1997). Customer satisfaction: A comparative analysis of public
and private sector banks. Decision, 24(1), 109-130.

Varghese, E. M. (2000).Marketing of banking services, Ph.D thesis, Thiruvananthpuram.

University of Kerela.

Bodla, B. S. (2004). Service quality perception in banks: An Indian perspective. Prajnan,

23(4), 321-333.

Sudesh (2007). Service quality in banks-A study in Haryana and Chandigarh. NICE Journal
of Business, 2(1), 55-65.

Singh, S., & Arora, R. (2011). A comparative study of banking services and customer
satisfaction in public, private and foreign banks. J Economics, 2(1), 45-56.

Lohani, M. B., & Shukla, K. K. (2011). Comparative study of customer perception towards
services provided by public sector bank and private sector bank. International Journal of
Engineering and Management Science, 2(3), 143-147.

Simon, L. M. (2012). A study on customer perception towards services provided by public

sector bank and private sector bank in Coimbatore region. Indian Journal of Research, 1(12),
113-115.

Franklin, L. L., & Arul, H. (2014). A comparative study on customer’s satisfaction in service
quality dimensions among public sectors banks and private sector banks in Chennai city.
International Journal of Business Quantitative Economics and Applied Management
Research, 1(6), 41-55.

Parasuraman, Z., & Berry.L. (1988). “SERVQUAL: a multiple-item scale for measuring
customer perceptions of service quality. Journal of Retailing, Spring , 12-40.

Mualla, & Deeb, N. (1997). Mualla a Measuring Banking Service Quality Provided by
Jordanian Commercial Banks : A field Study" Derassat for Administrative Science. Derassat
for Administrative Science ,Vol 25 no(2), pp 335-357.

Chris Manolis, W., & Lasser, R. D. (2000). "Service Quality Perspectives & satisfaction in
private banking. Journal of service marketing , vol 14 (3).

https://en.wikipedia.org/wiki/List_of_banks_in_India#Private-sector_banks

25
 APPENDIX
QUESTIONNAIRE:

1. Email:

2. Name:

3. Age
3.1 Below 25
3.2 25-35
3.3 35-45
3.4 Above 45

4. Gender
4.1 Female
4.2 Male
4.3 Transgender

5. Education
5.1 H.Sc
5.2 Graduate
5.3 Post Graduate
5.4 Professional

6. Occupation
6.1 Student
6.2 Govt. Job
6.3 Private Job
6.4 Business

7. My bank account exists in

7.1 HDFC
7.2 Axis
7.3 IndusInd
7.4 Kotak Mahindra
7.5 Other:

8. According to me the bank uses up-to-date equipment.

8.1 Always
8.2 Often
8.3 Sometimes
8.4 Rarely
8.5 Never

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9. According to me the physical facilities are visually appealing like parking facilities, waiting
lounge, etc.
9.1 Always
9.2 Often
9.3 Sometimes
9.4 Rarely
9.5 Never

10. According to me the employees of banks are well-dressed/neat.

10.1 Always
10.2 Often
10.3 Sometimes
10.4 Rarely
10.5 Never

11. According to me the appearance of the physical facilities are consistent.

11.1 Always
11.2 Often
11.3 Sometimes
11.4 Rarely
11.5 Never

12. According to me the bank meets their promised time-frames for response or resolving the
issue.
12.1 Always
12.2 Often
12.3 Sometimes
12.4 Rarely
12.5 Never

13. According to me the bank is sympathetic and reassuring, when the customer has problems.
13.1 Always
13.2 Often
13.3 Sometimes
13.4 Rarely
13.5 Never

14. According to me the bank keep accurate records.

14.1 Always
14.2 Often
14.3 Sometimes
14.4 Rarely
14.5 Never

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15. According to me the employees tells exactly when the service will be performed.
15.1 Always
15.2 Often
15.3 Sometimes
15.4 Rarely
15.5 Never

16. I expect prompt service from employees of bank.

16.1 Always
16.2 Often
16.3 Sometimes
16.4 Rarely
16.5 Never

17. According to me employees are always willing to help customers.

17.1 Always
17.2 Often
17.3 Sometimes
17.4 Rarely
17.5 Never

18. According to me employees respond promptly to customer requests.

18.1 Always
18.2 Often
18.3 Sometimes
18.4 Rarely
18.5 Never

19. According to me the employees are trustworthy.

19.1 Always
19.2 Often
19.3 Sometimes
19.4 Rarely
19.5 Never

20. I feel safe when transacting with employees.

20.1 Always
20.2 Often
20.3 Sometimes
20.4 Rarely
20.5 Never

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21. According to me the employees are polite.
21.1 Always
21.2 Often
21.3 Sometimes
21.4 Rarely
21.5 Never

22. I feel that employees get adequate support from the bank to do their job well.
22.1 Always
22.2 Often
22.3 Sometimes
22.4 Rarely
22.5 Never

23. According to me the bank give each customer individualized attention.

23.1 Always
23.2 Often
23.3 Sometimes
23.4 Rarely
23.5 Never

24. According to me the employees give each customer individualized attention.

24.1 Always
24.2 Often
24.3 Sometimes
24.4 Rarely
24.5 Never

25. According to me the employees fully understand the needs of the customer.
25.1 Always
25.2 Often
25.3 Sometimes
25.4 Rarely
25.5 Never

26. I feel that the employees have the best interests of the customer at heart.
26.1 Always
26.2 Often
26.3 Sometimes
26.4 Rarely
26.5 Never

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27. According to me the bank operate at hours convenient to all customers.
27.1 Always
27.2 Often
27.3 Sometimes
27.4 Rarely
27.5 Never

28. I am satisfied with the service quality of banks.

28.1 Yes
28.2 No
28.3 Somewhat

29. I want to suggest some changes to bank. (Only if the reply of above question is 'NO' or
'SOMEWHAT')"

30