AAAA STUDYSTUDYSTUDYSTUDY ONONONON CUSTOMERSCUSTOMERSCUSTOMERSCUSTOMERS’’’’ SATISFACTIONSATISFACTIONSATISFACTIONSATISFACTION TOWARDSTOWARDSTOWARDSTOWARDS

BANKINGBANKINGBANKINGBANKING SERVICESSERVICESSERVICESSERVICES OFOFOFOF SBISBISBISBI ININININ KANYAKUMARIKANYAKUMARIKANYAKUMARIKANYAKUMARI DISTRICTDISTRICTDISTRICTDISTRICT

DissertationDissertationDissertationDissertation submittedsubmittedsubmittedsubmitted totototo ScottScottScottScott ChristianChristianChristianChristian CollegeCollegeCollegeCollege(Autonomous)(Autonomous)(Autonomous)(Autonomous) inininin partialpartialpartialpartial fulfillmentfulfillmentfulfillmentfulfillment ofofofof thethethethe requirementrequirementrequirementrequirement

forforforfor thethethethe awardawardawardaward ofofofof thethethethe DegreeDegreeDegreeDegree ofofofof

MASTERMASTERMASTERMASTEROFOFOFOFPHILOSOPHYPHILOSOPHYPHILOSOPHYPHILOSOPHY ININININCOMMERCECOMMERCECOMMERCECOMMERCE

SubmittedSubmittedSubmittedSubmitted bybybyby

ABYABYABYABYABDULABDULABDULABDULRABBRABBRABBRABB

Reg.Reg.Reg.Reg. No.No.No.No. 1175117511751175

(Research(Research(Research(Research Scholar)Scholar)Scholar)Scholar)

UnderUnderUnderUnder thethethethe GuidanceGuidanceGuidanceGuidance ofofofof

MR.MR.MR.MR. IIII SAMUELSAMUELSAMUELSAMUEL SUNDARSUNDARSUNDARSUNDAR SINGHSINGHSINGHSINGH

DEPARTMENTDEPARTMENTDEPARTMENTDEPARTMENT OFOFOFOF COMMERCECOMMERCECOMMERCECOMMERCE ANDANDANDAND RESEARCHRESEARCHRESEARCHRESEARCH CENTRECENTRECENTRECENTRE

SCOTTSCOTTSCOTTSCOTT CHRISTIANCHRISTIANCHRISTIANCHRISTIAN COLLEGECOLLEGECOLLEGECOLLEGE (AUTONOMOUS)(AUTONOMOUS)(AUTONOMOUS)(AUTONOMOUS)

NAGERCOILNAGERCOILNAGERCOILNAGERCOIL ---- 629629629629 003003003003

2011201120112011–––– 2013201320132013

AAAA STUDYSTUDYSTUDYSTUDY ONONONON CUSTOMERSCUSTOMERSCUSTOMERSCUSTOMERS’’’’ SATISFACTIONSATISFACTIONSATISFACTIONSATISFACTION TOWARDSTOWARDSTOWARDSTOWARDS

BANKINGBANKINGBANKINGBANKING SERVICESSERVICESSERVICESSERVICES OFOFOFOF SBISBISBISBI ININININ KANYAKUMARIKANYAKUMARIKANYAKUMARIKANYAKUMARI DISTRICTDISTRICTDISTRICTDISTRICT

DissertationDissertationDissertationDissertation submittedsubmittedsubmittedsubmitted totototo ScottScottScottScott ChristianChristianChristianChristian CollegeCollegeCollegeCollege(Autonomous)(Autonomous)(Autonomous)(Autonomous) inininin partialpartialpartialpartial fulfillmentfulfillmentfulfillmentfulfillment ofofofof thethethethe requirementrequirementrequirementrequirement

forforforfor thethethethe awardawardawardaward ofofofof thethethethe DegreeDegreeDegreeDegree ofofofof

MASTERMASTERMASTERMASTEROFOFOFOFPHILOSOPHYPHILOSOPHYPHILOSOPHYPHILOSOPHY ININININCOMMERCECOMMERCECOMMERCECOMMERCE

SubmittedSubmittedSubmittedSubmitted bybybyby

ABYABYABYABYABDULABDULABDULABDULRABBRABBRABBRABB

Reg.Reg.Reg.Reg. No.No.No.No. 1175117511751175(Research(Research(Research(Research Scholar)Scholar)Scholar)Scholar)

UnderUnderUnderUnder thethethethe GuidanceGuidanceGuidanceGuidance ofofofof

MR.MR.MR.MR. I.SAMUELI.SAMUELI.SAMUELI.SAMUEL SUNDARSUNDARSUNDARSUNDAR SINGHSINGHSINGHSINGH

DEPARTMENTDEPARTMENTDEPARTMENTDEPARTMENT OFOFOFOF COMMERCECOMMERCECOMMERCECOMMERCE ANDANDANDAND RESEARCHRESEARCHRESEARCHRESEARCH CENTRECENTRECENTRECENTRE

SCOTTSCOTTSCOTTSCOTT CHRISTIANCHRISTIANCHRISTIANCHRISTIAN COLLEGECOLLEGECOLLEGECOLLEGE (AUTONOMOUS)(AUTONOMOUS)(AUTONOMOUS)(AUTONOMOUS)

NAGERCOILNAGERCOILNAGERCOILNAGERCOIL ---- 629629629629 003003003003

2011201120112011–––– 2013201320132013

ii

CERTIFICATECERTIFICATECERTIFICATECERTIFICATE

iii

Mr.Mr.Mr.Mr. I.I.I.I. SamuelSamuelSamuelSamuel SundarSundarSundarSundar Singh,Singh,Singh,Singh, M.Com,M.Phil.,M.Ed.,M.Com,M.Phil.,M.Ed.,M.Com,M.Phil.,M.Ed.,M.Com,M.Phil.,M.Ed.,

Assistant Professor,

Department of Commerce and Research Centre,

Scott Christian College (Autonomous),

Nagercoil - 629 003.

CERTIFICATECERTIFICATECERTIFICATECERTIFICATE

This is to certify that the Dissertation entitled ““““AAAA STUDYSTUDYSTUDYSTUDY ONONONON

CUSTOMERSCUSTOMERSCUSTOMERSCUSTOMERS’’’’ SATISFACTIONSATISFACTIONSATISFACTIONSATISFACTION TOWARDSTOWARDSTOWARDSTOWARDS BANKINGBANKINGBANKINGBANKING SERVICESSERVICESSERVICESSERVICES OFOFOFOF SBISBISBISBI

ININININ KANYAKUMARIKANYAKUMARIKANYAKUMARIKANYAKUMARI DISTRICTDISTRICTDISTRICTDISTRICT””””,,,, submitted by ABYABYABYABY ABDULABDULABDULABDUL RABBRABBRABBRABB (Reg.(Reg.(Reg.(Reg.

No.No.No.No. 1175)1175)1175)1175) for the Degree of Master of Philosophy in Commerce; Scott

Christian College (Autonomous) is the bonafide record of dissertation

work done by him under my supervision during the period 2011 - 2013.

This report has not been previously submitted for any other Degree,

Diploma, Associateship and fellowship or any other similar title. This

report represents entirely an original and independent work by the

candidate.

iv

DECLARATIONDECLARATIONDECLARATIONDECLARATION

v

vi

CONTENTSCONTENTSCONTENTSCONTENTS

vii

CONTENTSCONTENTSCONTENTSCONTENTS

CHAPTERCHAPTERCHAPTERCHAPTERNO.NO.NO.NO. PARTICULARSPARTICULARSPARTICULARSPARTICULARS PAGEPAGEPAGEPAGE

NO.NO.NO.NO.

I INTRODUCTION AND DESIGN OFTHE STUDY

1-7

II REVIEW OF LITERATURE 8-21

III AN OVERVIEW OF BANKING

INDUSTRY22-45

IV ANALYSIS AND INTERPRETATION OF

DATA46-111

V SUMMARY OF FINDINGS,

SUGGESTIONS AND CONCLUSION112-119

BIBLIOGRAPHY 120-131

APPENDIX 132-138

viii

ACKNOWLEDGEMENTACKNOWLEDGEMENTACKNOWLEDGEMENTACKNOWLEDGEMENT

ix

ACKNOWLEDGEMENTACKNOWLEDGEMENTACKNOWLEDGEMENTACKNOWLEDGEMENT

Primarily and in the very first place, I express my deep sense of gratitude

to my Lord, the Almighty for His mercy and Grace, which I have received

bountifully and in abundance, throughout this course of study.

I owe my deep sense of gratitude and profound thankfulness to my

respectable guide Mr.Mr.Mr.Mr. I.I.I.I. SamuelSamuelSamuelSamuel SundarSundarSundarSundar Singh,Singh,Singh,Singh, Assistant Professor in

Commerce, Scott Christian College (Autonomous), Nagercoil for his

sincere guidance and extremely valuable suggestion extended to me

during this study. His expert knowledge and invaluable assistance

enabled me a lot in completing the dissertation successfully.

I am also equally grateful to Dr.Dr.Dr.Dr. M.M.M.M. Wilson,Wilson,Wilson,Wilson, Head of the

Department of Commerce, Scott Christian College (Autonomous),

Nagercoil for his valuable suggestions.

I express my gratitude to Dr.Dr.Dr.Dr. M.M.M.M. JazerJazerJazerJazer Jabanesan,Jabanesan,Jabanesan,Jabanesan, Principal Scott

Christian College (Autonomous), Nagercoil for making available the

needed facilities to complete the dissertation in time.

I express my sincere thanks to each and every Faculty members of

the Research Centre in Commerce, Scott Christian College (Autonomous),

for their help and suggestion at each stage of my research.

I express my sincere thanks to Mrs.Mrs.Mrs.Mrs. AgnesAgnesAgnesAgnes Sengamalai,Sengamalai,Sengamalai,Sengamalai, Head of

the Department of English, Alif Dhaal Dhangethi School, Republic of

Maldives for her sincere guidance and invaluable assistance in checking

the proof of this dissertation.

x

I express my sincere thanks to my classmates and friends for their

timely help in the data collection process.

I hereby record my heartfelt thanks to my beloved spouse, Mrs.Mrs.Mrs.Mrs.

RoseRoseRoseRose Aby,Aby,Aby,Aby, who spared more pains in assisting and encouraging me in

every possible way throughout my study.

AbyAbyAbyAby AbdulAbdulAbdulAbdul RabbRabbRabbRabb

xi

ListListListList ofofofof TablesTablesTablesTablesTableTableTableTable

NoNoNoNo

TitleTitleTitleTitle PagePagePagePage

NoNoNoNo

4.2.1 Age-Wise Classification of Respondents 46

4.2.2 Sex-Wise Classification of Respondents 47

4.2.3 Marital Status- Wise Classification of the Respondents 48

4.2.4 Educational Qualification of the Respondents 50

4.2.5 Occupation - Wise Classification of the Respondents 51

4.2.6 Income -Wise Classification of the Respondents 52

4.2.7 Source of Getting Information about SBI 53

4.2.8 Reason for the Preference of SBI 54

4.2.9 Types of Accounts Maintained by the Respondents 55

4.2.10 Duration of Bank Accounts Operated by the Respondents 57

4.2.11 Frequency of Using Banking Services 58

4.2.12 Mode of Dealing With Bank 59

4.2.13 Opinion on Saving Bank Account 60

4.2.14 Opinion on Formalities to Open an Account 62

4.2.15 Customers’ Satisfaction Level on Local Cheque Clearance 63

4.2.16 Customers’ Satisfaction Level on Outstation Cheque

Clearance

64

4.2.17 Respondents’ Opinion on Sanction of Loans 66

4.2.18 Commutance to Bank Premises 67

4.2.19 Availability of Service Material at Bank 68

4.2.20 Discharge of Banking Services in Time 70

4.2.21 Priority Allowed by the Bank to Customers 71

4.2.22 Individual Attention Enjoyed by Customers 72

4.2.23 Availability of Modern Amenities at the Bank 74

4.2.24 Promptness of Services from Customers’ Perspective 75

4.2.25 Convenience of Bank Working Hours to Customers 76

4.2.26 Bank’s Awareness in Solving Customers’ Issues 78

4.2.27 Opinion on Bank Staffs’ Behaviour 79

xii

4.2.28 Availability of Updated Physical Facilities in Bank 80

4.2.29 Safety in the Banking Business 81

4.2.30 Courtesy of Bank Staff to Customers 83

4.2.31 Informing of Time of Services by Bank Staff 84

4.2.32 Appearance of Bank Employees 85

4.2.33 Willingness of Bank Staff to ever Assist Customers 86

4.2.34 Maintenance of Error Free Records 88

4.2.35 Bank Staffs’ Understanding of Customers’ Specific Needs 89

4.2.36 Level of Bank Staff’s Response to Customers’ Needs 90

4.2.37 Availability of Customer Friendly Schemes 91

4.2.38 Access to Top Level Officials of the Bank 93

4.2.39 Bank Employees’ Consideration to Illiterate & Ignorant

Old Customers

94

4.2.40 Availability of Liaison Officer In the Bank 95

4.2.41 Bank’s Information About the Latest Strategies 97

4.2.42 Opinion on Presence of Middlemen in the Bank 98

4.3.1 Level of Satisfaction of the Sample Respondents towards

Banking Services of SBI

101

4.3.2 Age and Level of Satisfaction of the Respondents 103

4.3.3 Sexual Status and Level of Satisfaction of the

Respondents

105

4.3.4 Marital Status and Level of Satisfaction of the

Respondents

106

4.3.5 Educational Qualification and Level of Satisfaction of the

Respondents

107

4.3.6 Monthly Income and Level of Satisfaction of the

Respondents

108

4.3.7 Occupation and Level of Satisfaction of the Respondents 110

xiii

ListListListList ofofofof FiguresFiguresFiguresFigures

TableTableTableTable

NoNoNoNo

TitleTitleTitleTitle PagePagePagePage

NoNoNoNo

4.2.1 Age of Respondents 47

4.2.2 Sex of Respondents 48

4.2.3 Marital Status of the Respondents 49

4.2.4 Educational Qualification of the Respondents 50

4.2.5 Occupation of the Respondents 51

4.2.6 Income of the Respondents 52

4.2.7 Source of Getting Information about SBI 53

4.2.8 Reason for the Preference of SBI 55

4.2.9 Types of Accounts Maintained by the Respondents 56

4.2.10 Duration of Bank Accounts 57

4.2.11 Frequency of Using Banking Services 59

4.2.12 Mode of Dealing with Bank 60

4.2.13 Opinion on Saving Bank Account 61

4.2.14 Opinion on Formalities to Open an Account 62

4.2.15 Customers’ Satisfaction Level on Local Cheque Clearance 64

4.2.16 Customers’ Satisfaction Level on Outstation Cheque

Clearance

65

4.2.17 Respondents’ Opinion on Sanction of Loans 66

4.2.18 Commutance to Bank Premises 68

4.2.19 Availability of Service Material at Bank 69

4.2.20 Discharge of Banking Services in Time 70

4.2.21 Priority Allowed by the Bank to Customers 72

4.2.22 Individual Attention Enjoyed by Customers 73

4.2.23 Availability of Modern Amenities at the Bank 74

4.2.24 Promptness of Services from Customers’ Perspective 76

4.2.25 Convenience of Bank Working Hours to Customers 77

4.2.26 Bank’s Awareness in Solving Customers’ Issues 78

xiv

4.2.27 Opinion on Bank Staffs’ Behaviour 80

4.2.28 Availability of Updated Physical Facilities in Bank 81

4.2.29 Safety In the Banking Business 82

4.2.30 Courtesy of Bank Staff to customers 83

4.2.31 Informing of Time of Services by Bank Staff 85

4.2.32 Appearance of Bank employees 86

4.2.33 Willingness of Bank Staff to ever Assist Customers 87

4.2.34 Maintenance of Error Free Records 88

4.2.35 Bank staffs’ Understanding of Customers’ Specific Needs 90

4.2.36 Level of Bank Staff’s Response to Customers’ Needs 91

4.2.37 Availability of Customer Friendly Schemes 92

4.2.38 Access to Top Level Officials of the Bank 93

4.2.39 Bank Employees’ Consideration to Illiterate & Ignorant

Old Customers

95

4.2.40 Availability of Liaison Officer in the Bank 96

4.2.41 Bank’s Information about Latest Strategies 97

4.2.42 Opinion on Presence of Middlemen in the Bank Premises 99

4.3.1 Level of Satisfaction of Sample Respondents towards

Banking Services of SBI 101

xv

ChapterChapterChapterChapter –––– IIII

xvi

CHAPTERCHAPTERCHAPTERCHAPTER –––– IIII

INTRODUCTIONINTRODUCTIONINTRODUCTIONINTRODUCTION ANDANDANDANDDESIGNDESIGNDESIGNDESIGN OFOFOFOF THETHETHETHE STUDYSTUDYSTUDYSTUDY

1.1. Introduction

1.2. Statement of Problem

1.3. Significance of the Study

1.4. Scope of the Study

1.5. Objectives of the study

1.6. Hypothesis of the Study

1.7. Operational Definitions

1.7.1. Bank

1.7.2. Customer

1.7.3. Satisfaction

1.8. Period of the Study

1.9. Methodology

1.9.1. Area of Study

1.9.2. Method of Data collection

1.9.3. Sampling Techniques and Size

1.9.4. Tool for Analysis

1.10. Limitations of study

1.11. Chapter Schemes

xvii

ChapterChapterChapterChapter –––– IIIIIIII

xviii

CHAPTERCHAPTERCHAPTERCHAPTER –––– IIIIIIII

REVIEWREVIEWREVIEWREVIEWOFOFOFOF LITERATURELITERATURELITERATURELITERATURE

xix

ChapterChapterChapterChapter ---- IIIIIIIIIIII

xx

CHAPTERCHAPTERCHAPTERCHAPTER ---- IIIIIIIIIIII

ANANANANOVERVIEWOVERVIEWOVERVIEWOVERVIEWOFOFOFOF BANKINGBANKINGBANKINGBANKING INDUSTRYINDUSTRYINDUSTRYINDUSTRY

3.1. Introductio

3.2. Early History

3.3. Colonial Banking Origins in the 19th Century

3.4. Banking Industry in 20th Century

3.5. Post - Independence

3.6. Nationalization

3.7. Liberalization

3.8. Classification of Banking Industry in India

3.9. Company Profile of SBI

3.9.1. Competitor in the 21st Century

3.9.2. Principal Subsidiaries

3.9.3. Non- Banking Subsidiaries

3.9.4. Principal Competitors

3.9.5. Key Dates

3.9.6. Additional Details

3.9.7. State Bank of India’s Products and Services

3.9.8. State Bank of India’s Products Through its Network

3.10. Kanykumari District

xxi

3.10.1. Map of Kanyakumari District

3.10.2. Banks in Kanyakumari District

3.10.3. SBI in Kanyakumari District

xxii

ChapterChapterChapterChapter –––– IVIVIVIV

xxiii

CHAPTERCHAPTERCHAPTERCHAPTER ---- IVIVIVIV

ANALYSISANALYSISANALYSISANALYSIS ANDANDANDAND INTERPRETATIONINTERPRETATIONINTERPRETATIONINTERPRETATION OFOFOFOFDATADATADATADATA

4.1. Introduction

4.2. Analysis of Data

4.2.1. Age - Wise Classification of Respondents

4.2.2. Sex-Wise Classification of Respondents

4.2.3. Marital Status - Wise Classification of the Respondents

4.2.4. Educational Qualification - Wise Classification of the

Respondents

4.2.5. Occupation - Wise Classification of the Respondents

4.2.6. Income - Wise Classification of the Respondents

4.2.7. Source of Getting Information about SBI

4.2.8. Reason for the Preference of SBI

4.2.9. Types of Accounts Maintained by the Respondents in the

Bank

4.2.10. Duration of Bank Accounts Operated by the Respondents

4.2.11. Frequency of Using Banking Services

4.2.12. Mode of Dealing with Bank

4.213. Opinion on Saving Bank Account

4.2.14. Opinion on Formalities to Open an Account

4.2.15. Customers’ Satisfaction Level on Local Cheque Clearance

4.2.16. Customers’ Satisfaction Level on Outstation Cheque

xxiv

Clearance

4.2.17. Respondents’ Opinion on Sanction of Loans

4.2.18. Commutance to Bank Premises

4.2.19. Availability of Service Material at Bank

4.2.20. Discharge of Banking Services in Time

4.2.21. Priority Allowed by the Bank to Customers

4.2.22. Individual Attention Enjoyed by Customers

4.2.23. Availability of Modern Amenities at the Bank

4.2.24. Promptness of Services from Customers’ Perspective

4.2.25. Convenience of Bank Working Hours to Customers

4.2.26. Bank’s Awareness in Solving Customers’ Issues

4.2.27. Opinion on Bank Staffs’ Behaviour

4.2.28. Availability of Updated Physical Facilities in Bank

4.2.29. Safety in the Banking Business

4.2.30. Courtesy of Bank Staff to Customers

4.2.31. Informing of Time of Services by Bank Staff

4.2.32. Appearance of Bank Employees

4.2.33. Willingness of Bank Staff to ever Assist Customers

4.2.34. Maintenance of Error Free Records

4.2.35. Bank Staffs’ Understanding of Customers Specific

Needs

4.2.36. Level of Bank Staff’s Response to Customers’ Needs

4.2.37. Availability of Customer Friendly Schemes

4.2.38. Access to Top Level Officials of the Bank

4.2.39. Bank Employees’ Consideration to Illiterate & Ignorant

xxv

Old Customers

4.2.40. Availability of Liaison Officer in the Bank

4.2.41. Bank’s Information about the Latest Strategies

4.2.42. Opinion on Presence of Middlemen in the Bank Premises

4.3. Analysis of Degree of Satisfaction of Respondents towards

Banking Services of SBI in Kanyakumari District

4.3.1. Level of Satisfaction of the Sample Respondents Towards

Banking Services of SBI

4.3.2. Age and Level of Satisfaction of the Respondents

4.3.3. Sexual Status and Level of Satisfaction of the Respondents

4.3.4. Marital Status and Level of Satisfaction of the Respondents

4.3.5. Educational Qualification and Level of Satisfaction of the

Respondents

4.3.6. Monthly Income and Level of Satisfaction of the

Respondents

4.3.7. Occupation and Level of Satisfaction of the Respondents

4.4. Conclusion

xxvi

ChapterChapterChapterChapter ---- VVVV

xxvii

CHAPTERCHAPTERCHAPTERCHAPTER ---- VVVV

SummarySummarySummarySummary ofofofof Findings,Findings,Findings,Findings, SuggestionsSuggestionsSuggestionsSuggestions andandandand

ConclusionsConclusionsConclusionsConclusions

5.1 Introduction

5.2 Findings

5.3 Suggestions

5.4 Conclusion

1

INTRODUCTIONINTRODUCTIONINTRODUCTIONINTRODUCTION ANDANDANDAND DESIGNDESIGNDESIGNDESIGN OFOFOFOF THETHETHETHE STUDYSTUDYSTUDYSTUDY

1.1.1.1.1.1.1.1. IntroductionIntroductionIntroductionIntroduction

The business of banking is as old as the civilization itself. The mere fact

that the Babylonians, in 200 BC, lent money at higher rates of interest

against gold and silver under the temple’s safe custody, stands proof for

banking history. In ancient days, the main function of banks was granting

loans to individuals or the state in times of crisis.

Banking in India originated in the last decades of the 18th century. The

first banks were the General Bank of India, which started in 1786 and the

Bank of Hindustan. The oldest bank in existence in India is the State Bank of

India, a government owned bank that traces its origin back to June 1806 and

that is the largest commercial bank in the country. The passing of the Joint

Stock Company act in 1850 greatly helped in the establishment of many

commercial banks. Later in 1921, the Imperial Bank of India and in 1935 the

Reserve Bank of India were also established. After independence in 1947, the

RBI was nationalized enabling it with broader power. The government of India

nationalized 14 large commercial banks in 1969 and six more banks were

added to the list in 1980.

The banking industry in India is highly competitive, with banks not only

competing among each other; but also with non- scheduled banks and other

financial institutions. Like many other financial industries, the banking

industry is facing rapid changing market, new technologies and economic

uncertainties; fierce climates have presented and un-presented set of changes.

Banking is a customer oriented services industry. Therefore the customer is

the focus and customer is the determining factor.

The banking sector in India has made remarkable progress since the

liberalization and the opening up of the economy in the 90s. The government’s

2

decision to privatize banks by reducing state ownership culminated the

banking reform based on the recommendations of the Narasimha Committee.

New private sector banks have brought the necessary competition into

the industry and superseded the changes towards higher utilization of

technology, improved customer service and innovative products. The prime

motive of banks today is profit with clear indication from the government -

“Perform or Perish”. Now banks have started realizing that business depends

on client service and the satisfaction of the customer and this compels the

bank to improve customer service and build up relationship with customers.

With the emergence of universal banking, banks aim to provide all banking

products and services offering under one roof and their endeavor is to the

customer centric. With emergence of economic reforms in the world and in

general in India, private banks have come up in a big way with prime

emphasis on the technical and customer focused issue.

Customers are now becoming increasingly conscious of their rights and

are demanding ever more than before. The recent trends show that most of

the banks are shifting from a “product –centric model” to a “customer –centric

model” since customer satisfaction has become one of the major

determinations of business growth. In this context, prioritization of

performance and close monitoring of the customer satisfaction have become

essential for banks.

1.2.1.2.1.2.1.2. StatementStatementStatementStatement ofofofof ProblemProblemProblemProblem

A Customer satisfaction is an ambiguous abstract concept. Satisfaction

is a crucial concern for both customers and organizations including banks.

The efficiency of banking sector depends upon how best it can deliver services

to its customers. In the present day, in India, in order to survive in the

banking industry, banks are required to continually improve the quality of

services. In this study as attempt is made to evaluate the Customer’s

satisfaction towards Banking Services of SBI in Kanyakumari district.

3

1.3.1.3.1.3.1.3. SignificanceSignificanceSignificanceSignificance ofofofof thethethethe StudyStudyStudyStudy

Customers are now becoming increasingly conscious of their rights and

are demanding ever more than before. The changing needs of customers affect

the expectation of value added servicing for basic banking requirements. This

is made possible only in the post liberalization era through “customer centric”

services.

There is a great demand for banking services; speed, service, quality

and customer satisfaction which are going to become the key differentiator for

the successes of banking industry in India. Therefore, it is necessary for the

banks to get useful feedback on their actual response time and customers’

service quality and perceptions of banking, which will help the banks to take

positive steps to maintain a competitive edge in the banking Industry.

In India most of the customers are not completely satisfied with services

offered by the banks. In this environment, banks are forced to examine their

performance because their survival in the dynamic economies of the coming

years will depend upon their overall efficiencies.

1.4.1.4.1.4.1.4. ScopeScopeScopeScope ofofofof thethethethe StudyStudyStudyStudy

This research focuses the level of customer satisfaction derived from

banking services of SBI in Kanyakumari District. Furthermore it also includes

the factors that determine the use of banking services. Issues pertaining to

banks, customers’ satisfaction and banking services would also be considered.

1.5.1.5.1.5.1.5. ObjectivesObjectivesObjectivesObjectives ofofofof thethethethe studystudystudystudy

The main purpose of this study is to evaluate customer satisfaction of

banking service in the State Bank of India. The other objectives are:

4

•••• To examine the various services provided by SBI in Kanyakumari District.

•••• To identify the factors those influence the selection of SBI banking services

in Kanyakumari District.

•••• To study the level of customer satisfaction towards the services provided by

the SBI banks in Kanyakumari District.

• To examine the expectations and the level of satisfaction of the customers

towards the service rendered by SBI.

• To make suggestions for improving the bank’s customer services.

1.6.1.6.1.6.1.6. HypothesisHypothesisHypothesisHypothesis ofofofof thethethethe StudyStudyStudyStudy

•••• There are no significant differences between the Socio – economic

factors and the level of satisfaction of the respondents.

1.7.1.7.1.7.1.7. OperationalOperationalOperationalOperational DefinitionsDefinitionsDefinitionsDefinitions

1.7.1.1.7.1.1.7.1.1.7.1. BankBankBankBank

A bank is a financial institution and a financial

intermediary that accepts deposits and channels those deposits

into lending activities, either directly by loaning or indirectly

through capital markets. A bank is the connection between customers

that have capital deficits and customers with capital surpluses.

1.7.2.1.7.2.1.7.2.1.7.2. CustomerCustomerCustomerCustomer

There is no stand by definition of the term “customer”. A person

to be called a customer of a bank he should have an account in the

bank.

5

1.7.3.1.7.3.1.7.3.1.7.3. SatisfactionSatisfactionSatisfactionSatisfaction

In the view of customers, the aspects regard to facilities, convenience,

and ease can be termed of use, cost savings, time saving, human element,

employee behaviour, grievance mechanism and security towards banking.

1.8.1.8.1.8.1.8. PeriodPeriodPeriodPeriod ofofofof thethethethe StudyStudyStudyStudy

The study was conducted during the period from August 2012 to June

2013.

1.9.1.9.1.9.1.9. MethodologyMethodologyMethodologyMethodology

The methodology and design adopted for the study is as follows:

1.9.1.1.9.1.1.9.1.1.9.1. AreaAreaAreaArea ofofofof StudyStudyStudyStudyThis study has covered the entire area of Kanyakumari District.

1.9.2.1.9.2.1.9.2.1.9.2. MethodMethodMethodMethod ofofofof datadatadatadata CollectionCollectionCollectionCollection

The research design adopted for the study was a descriptive research. It

accounts for both primary and secondary data. PrimaryPrimaryPrimaryPrimary sourcesourcesourcesource ofofofof datadatadatadata were

collected from customers through structured interview schedule by way of

personal interview. The satisfaction reports of customers towards banking

services were collected by oral interview. The interview schedule was finalized

from the respondents of Kanyakumari district.

SecondarySecondarySecondarySecondary datadatadatadata were collected from books, journals viz. Indian Journal

of finance, Economic and Political weekly, Southern Economist, Bank Finance,

Magazines, Business India, Business Week, etc., Newspaper like Economic

Times, The Hindu, Business Line and Websites.

6

1.9.3.1.9.3.1.9.3.1.9.3. SamplingSamplingSamplingSampling TechniquesTechniquesTechniquesTechniques andandandand SizeSizeSizeSize

Sampling is a technique or method of selection of samples. Convenient

sampling method is used in this research. The researcher has taken 150

samples from the customers of SBI in Kanyakumari District consisting 38

samples each from Agstheeswaram, Kalkulam Taluks and 37 samples each

from Thovala and Vilavamcode Taluks.

1.9.4.1.9.4.1.9.4.1.9.4. ToolsToolsToolsTools forforforfor AnalysisAnalysisAnalysisAnalysis

The primary data were analyzed with the help of percentage, chi-square

test and charts.

1.10.1.10.1.10.1.10. LimitationsLimitationsLimitationsLimitations ofofofof StudyStudyStudyStudy• Although a large number of people availed banking services, due to time

constraint, the survey has been conducted only on 150 customers.

• The accuracy of the findings of study depends upon the correctness of

the responses provided by the respondents.

• Unwillingness of some respondents to provide information is another

limitation.

• Findings of this study may be influenced by personal bias of the

respondent.

1.11.1.11.1.11.1.11.ChapterChapterChapterChapter SchemesSchemesSchemesSchemes

•••• ChapterChapterChapterChapter IIIIThe first chapter deals with introduction, statement of the

Problem, significance of the problem, scope of the study,

hypothesis, conceptual definitions, period of the study,

methodology and limitations of the study.

7

•••• ChapterChapterChapterChapter IIIIIIIIThe Second chapter deals with the Review of Literature.

•••• ChapterChapterChapterChapter IIIIIIIIIIIIThe Third chapter deals with the present condition of the

Banking services in Kanyakumari District.

•••• ChapterChapterChapterChapter IVIVIVIVThe fourth chapter deals with an analysis of customers’

satisfaction and the limitations of banking services of SBI.

•••• ChapterChapterChapterChapter VVVVFifth chapter highlights the summaries of the major

findings of the study. A few suggestions based on these finding

were also made in this chapter.

8

REVIEWREVIEWREVIEWREVIEW OFOFOFOF LITERATURELITERATURELITERATURELITERATURE

This chapter presents a review of relevant literature on customers’

satisfaction in the banking industry. It gives an overview of the research

context which facilitates an insight into the reason of work undertaken in this

area. Particularly, it reviews the literature on customer behavior, concept of

customers’ satisfaction, which would facilitate the researcher to have a

comprehensive knowledge of the concepts used in the earlier studies by

different scholars and enable better understanding of the facts of the subject

under study.

AishAishAishAish etetetet al.,al.,al.,al., (2003)(2003)(2003)(2003)1111,,,, compared the bank selections of the small business

market across UK and Egypt and the result advocated various similarities and

provided evidence to suggest that brand name plays a major role in the bank

selection decision of the small business in both UK and Egypt.

AnthanassopoulasAnthanassopoulasAnthanassopoulasAnthanassopoulas (2001)(2001)(2001)(2001)2222,,,, conducted an empirical study on behavioral

response to customer satisfaction and examined the impact of customers’

satisfaction on consumer behavior responses. The sample consisted of 793

individual customers of commercial banks of Athens and Greece. Statistical

tools such as chi- square of approximation (RMESA) and confirmatory factor

analysis were used for the analysis. The result shows that there is a direct

effect of customer satisfaction on the following behavioral response of

customers 1), decision to stay with existing service provider; 2), positive word

of oral communication; and 3), intention to stay with existing service providers.

1 Aish Ema, Ennew C.T., and Mckechnie, S.A., (2003), “A Cross- Cultural

Perspective on the Role of Branding in Finance Services: The Small Business

Market”, Journal of Marketing Management, Vol.19, pp. 1021-1042.2 Anthanassopulas Antreas (2001), “Behavior Responses to Customer Satisfaction: An Empirical

Study”, European Journal of Marketing, Vol. 35 Nos 5 and 6, pp. 687-707.

9

AnneAnneAnneAnne MMMM SmithSmithSmithSmith (1990)(1990)(1990)(1990)3333,,,, in his article discusses the quality aspects of services

marketing and studies the four distinguishing characteristics of services-

intangibility, inseparability, heterogeneity and perishability and how they

respectively affect the customers’ perception of quality service from the banks.

This study revealed that the intensifying competition and increasing customer

expectation have created a climate where quality is considered to be a major

strategic variable for improving customer satisfaction and thereby contributing

to the profitability of banking industry.

AydinAydinAydinAydin SerkramSerkramSerkramSerkram etetetet al.,al.,al.,al., (2005)(2005)(2005)(2005)4444,,,, in their study show that perceived switching

cost had a moderate effect on the relationship between the customer

satisfaction and loyalty, and trust and loyalty. The effect of customer

satisfaction on loyalty in customers is less, when the switching cost is

perceived to be high rather than low.

AuroraAuroraAuroraAurora andandandand MalhotraMalhotraMalhotraMalhotra (1997)(1997)(1997)(1997)5555,,,, studied the level of customer satisfaction and

marketing strategies in both private and public sector banks in India. This

research revealed six factors of customer satisfaction in public sector banks viz,

routine operations, price, situational environmental technology and interaction.

But in private banking sector, they found seven factors in total, having staff

factors as the top ranked and situational factors as the lowest ranked items.

Instead of price factor, promotional factors have been explored by researchers.

In private sector banks the customer level of satisfaction is comparatively more.

3 Anne M. Smith (1990), “Quality Aspect of Service Marketing”, Marketing Intelligence and

Planning,, 8 (6), Emerald, 23-32.4 Aydin Serkran, Ozer Gokhan and Arasin Omer (2005), “Customer Loyalty and the Effect of

Switching Costs as Moderate Variable: A Case in the Turkish Mobile Phone Market”, Marketing

Intelligence and Planning,, Vo. 23, (1), pp. 89-103.5 Aurora,S. and Malhotra, M. (1997), “Customer Satisfaction: A Comparative Analysis of Public

and Private Sector Banks”, Decision 24(1-4), January- December, IIM Calcutta, 109-130.

10

BeckettBeckettBeckettBeckett etetetet al.,al.,al.,al., (2000)(2000)(2000)(2000)6666,,,, in the article draw tentative conclusions as to why

customers appear to remain loyal to the same financial provider, even though

in many instances they hold less favorable views towards these service

providers. For example, firstly many customers appear to perceive little

differentiation between financial providers, making any changes essentially

worthless. Secondly, customers appear to be motivated by convenience. Finally,

customers associate changing banks with high switching costs in term of

potential sacrifice and effort involved.

BoydBoydBoydBoyd etetetet al.,al.,al.,al., (1994)(1994)(1994)(1994)7777,,,, conducted a study on consumer choice criteria in

financial institutions selected in the USA. This research shows that reputation

and interest rates of loans as well as savings rates are more important than

friendliness of employees, moderate facilities and drive- in- service. This study

revealed that customers are more attracted in the services which make them

satisfied with their banker.

CroninCroninCroninCronin etetetet al.,al.,al.,al., (2000)(2000)(2000)(2000)8888,,,, in their article show that there is a string relation

between service quality and customer satisfaction. According to this research,

service quality influences the customers’ satisfaction.

DevlinDevlinDevlinDevlin andandandand GerrardGerrardGerrardGerrard (2005)(2005)(2005)(2005)9999,,,, studied the relative importance of various choice

criteria for main and secondary banks. The result shows that relatively,

rudimentary factors such as locations, recommendations and relationship were

6 Beckett A., Heve, P and Howcroft B.(2000), “An Exposition of Customer

Behavior in the Financial Services Industry”, The International Bank of

Marketing, 18 (1), p. 15.7 Boyd W.L., Leonard M and White C. (1994), “Customer Preference for Financial Services: An

Analysis”, International Journal of Bank Marketing, 12 (1), Emerald, pp. 9-15.8 Cronin J.J., Jr. Brady, and Hult T.M., (2000), “Assessing the Effect of Quality Value, Customer

Satisfaction on Consumer Behavioral Intentions in Service Environment”, Journal of Retailing, 79

(2), pp. 193-218.9 Devlin J. and Gerrard P. (2005), “A Study of Customer Choice Criteria for Multiple Bank

Users”, Journal of Retailing and Customer Services, Vol. 12, pp. 297-306.

11

found to be strongly influential in choosing the secondary bank. Offering an

incentive was also significantly more important in promoting the choice of

secondary bank service. Exceptions that found to be significantly more

important for main banks were low fees and over draft charges. The Indian

financial market is very diverse - including the preferences of service changes

across demographic factors like education, age, sex, salary, earning level etc.

DavidDavidDavidDavid CohenCohenCohenCohen andandandand ChristopherChristopherChristopherChristopher GanGanGanGan (2006)(2006)(2006)(2006)10101010,,,, examined the customers’

satisfaction and retention of bank customers in New Zealand. The study shows

that the most important element in banking is the customer satisfaction. This

research leads to a suggestion for bank managers to consider as to how they

might improve customer retention in today’s competitive banking environment

offering customers a satisfied service.

DuttaDuttaDuttaDutta K.K.K.K. andandandand DuttaDuttaDuttaDutta A.A.A.A. (2009)(2009)(2009)(2009)11111111,,,, in their article investigate the perception of

expectation of customers across all the banks in India. This study shows that

customers are most satisfied with the services provided by the foreign banks

followed by private banks and public banks. This study suggests that public

banks in India should improve the quality of their banking services.

EdwinEdwinEdwinEdwin M.M.M.M. andandandand FathimaFathimaFathimaFathima S.S.S.S. (2011)(2011)(2011)(2011)12121212,,,, conducted a study on the impact of

service quality and customer satisfaction in commercial banks. This study

shows that there is close link between the customers’ perception on the

service quality factor and customer satisfaction. This research further

10 David Cohen and Christopher Gan (2006), “Customer Satisfaction: A Study of Bank Customer

Retention in New Zealand”, www. Scribe.com, Discussion paper No. 109.11 Dutta, K. and Dutta, A. (2009), “Customer Expectation and Perception Across the Indian

Banking Industry and Resultant Financial Implications”, Journal of Service Research, 9 (1), Sage

Publications, pp. 31-49.12 Edwin M. Gnanadhas and Fathima S. Holy Ghost, (2011), “Impact of Service Quality in

Commercial Banks of the Customer Satisfaction: An Empirical Study”, International Journal of

Multidisciplinary Study, Vol. 1 (6), pp. 19-37.

12

shows that the impact of the service quality factor on customer

satisfaction is unique. The result of this study brought the suggestion that

bank managers have to formulate appropriate marketing strategies to

satisfy their customers.

FestusFestusFestusFestus OlorunniwoOlorunniwoOlorunniwoOlorunniwo andandandand MaxwellMaxwellMaxwellMaxwell K.K.K.K. HsuHsuHsuHsu (2006)(2006)(2006)(2006)13131313,,,, in their article

analyses the service quality, and customer satisfaction and behavioral

intentions in mass services. This study shows that there is direct and

indirect link between service quality and customers’ satisfaction and their

behavioral intention with the help of structural equation modeling.

GeigerGeigerGeigerGeiger H.H.H.H. (1975)(1975)(1975)(1975)14141414,,,, carried out the study to establish the needs of

customers and the status of bank’s customers. The perception of the

customers had on banks were studied along with customer judgment of

the range of services that the banks had to offer, the effectiveness of

various advertising and other sales promotion measures, the customers’

willingness to save and their banking habit. The result of this study

shows that satisfied customers are more optimistic in nature than those

who are critical of what their bank has to offer them.

HallowellHallowellHallowellHallowell RogerRogerRogerRoger (1996)(1996)(1996)(1996)15151515,,,, carried out a study on customer satisfaction in

banks. The result of this study suggests that banks should target and

serve only those who need it most. Only then the banks could meet

13 Festus Olorunniwo and Maxwell K. Hsu (2006), “A Typology Analysis of Service Quality,

Customer Satisfaction, and Behavioral Intentions in Mass Services”, Managing Service Quality,

16 (2), pp. 106-123.14 Geiger H. (1975), “Standard Survey for Analyzing Local Bank Competition”, The Use of

Market Research Financial Field, ESOMAR, pp. 85-95.15 Hallowell Roger (1996), “The Relationship of Customer Satisfaction, Customer Loyalty and

Profitability: An Empirical Study”, The International of Service Industry Management, 7 (4),

Emerald, pp. 27-42.

13

customers’ banking needs better than its competitors in a profitable

manner. By adopting this strategy customers will be retained for longer

periods.

HartlHartlHartlHartl (2006)(2006)(2006)(2006)16161616,,,, in his study reveals that the behavior of consumers is

unpredictable since their preferences are becoming more complex and different.

Their demands for sensory, health, process and convenience qualities have

become more heterogeneous. According to (Smith, 2009) individuals are

different from one another and even perceive the same thing differently.

HuuHuuHuuHuu PhuongPhuongPhuongPhuong TTTT andandandand KarKarKarKar YinYinYinYin HarHarHarHar (2000)(2000)(2000)(2000)17171717,,,, studied bank selection

preference of undergraduates in Singapore. The result of this study

identified nine criteria for selection of banks and five banks were identified,

and the decision problem was structured into a three- level hierarchy

using analytic hierarchy process. The finding of this study indicates that

undergraduates emphasize more on the pricing and product dimension of

bank service.

KrishnaKrishnaKrishnaKrishna KumarKumarKumarKumar (2010)(2010)(2010)(2010)18181818,,,, carried out a study on “customers’ satisfaction

Vs Quality” and the findings of this study were presented at the 6th

Banking Technology 2010 Conference and this shows that customer

satisfaction is the keyword to be retained in banking business and

customers should get what is needed at the desired time, place and right

price. His study found that 96% dissatisfied customers do not complain-

16 Hartl, J. (2006), “The Changing Consumer: Demanding but Predictable”, International food and

Agriculture Management Review, 9 (2), 88-93.17 Huu, Phnong T and Kar Yin Har (2000), “A Study of Banks Selection Decisions in Singapore

Using the Analytical Hierarchy Process”, The International Journal of Banking Marketing, 18

(4), Emerald, pp. 170-180.18 Krishna Kumar A. (2010), “Customer Satisfaction Vs Quality”, Paper Presented at 6th Banking

Technology 2010 Conference and Banking Technology Award of 2009, January 2010.

14

but share with others. 91% unhappy customers never purchase goods and

services again. Accordingly 82- 95% customers can be retained in the

banks if they get a prompt response. This study shows that customers’

needs go on changing and their expectations continue to increase.

Therefore, quality level should be improved in banking in order to satisfy

customers. It further shows that customer service required awareness of

needs, problem, fear and aspiration of the customers. The result of this

study shows that the major challenges in the banking industry in India is

to provide quality service to all customers as per their need.

KotovalasKotovalasKotovalasKotovalas andandandand SiomkosSiomkosSiomkosSiomkos (2006)(2006)(2006)(2006)19191919,,,, conducted studies on customers’

satisfaction in Greek banks. They thereby examined: 1), the factors

shaping Greek bank customers’ perceptions of service quality. 2), the

direct influence of perception on customers’ loyalty and customer

perception 3), the switching intention of private bank customers between

public and private banks. In this study, a sample of 200 customers was

taken for primary survey. The result of regression analysis showed that,

there was a direct and positive correlation between perceiving service

quality and customers’ loyalty in the case of both private and public sector

banks. The significant relationship has recorded demographic

characteristics and perceived qualities of both types of banks. Customers

of both banks were willing to express their complaints to the bank

employees. The result of this study shows that bank’s promotional efforts,

aimed at providing relevant information to the public might increase

loyalty level.

19 Kotovalas K. and Siomkos G.J. (2006), “An Examination of Relationship Between Service

Quality Perception and Customer Loyalty in Public Private Greek Banks”, International Journal

of Financial Service Management, Vol. 14, pp. 208-271.

15

LiangLiangLiangLiang ChiungChiungChiungChiung andandandand WangWangWangWang WenWenWenWen HungHungHungHung (2004)(2004)(2004)(2004)20202020,,,, in their article says that

the service quality attributes are of two types; one is product related and

the other one non- product related. These attributes may create

perception of symbolic, functional or experimental benefits among the

customers. The result of this study shows that the customers’

satisfactions positively affect customers’ trust and commitment on the

service provider, which in turn affect the customer behaviour too.

LewisLewisLewisLewis andandandand BirminghamBirminghamBirminghamBirmingham (1991)(1991)(1991)(1991)21212121,,,, carried out a study on the needs,

attitude and behavior of youth market for financial services. This study

shows that the youth market is not homogenous in term of needs and

behavior. Further, this study shows that there is direct link between

customer satisfaction and customer behavior.

LarocheLarocheLarocheLaroche atatatat el.,el.,el.,el., (1986)(1986)(1986)(1986)22222222,,,, studied the factors considered by the customers

for selecting a bank and found that location, convenience, and speed of

services, competence and friendliness of bank personnel scored most of

the points with maximum value in banking services.

NaceurNaceurNaceurNaceur JabnourJabnourJabnourJabnour andandandand HusseinHusseinHusseinHussein (2002)(2002)(2002)(2002)23232323,,,, carried out studies on measuring

service quality at commercial banks. The results of this study identified

20 Liang, Chiung- Jn and Wang, Wen- Hung (2004), “Attributes, Benefits, Customer Satisfaction

and Behavioral Loyalty – An Integrative Research of Financial Services Industry in Taiwan”,

Journal of Service Research, 4 (1), April- September, Sage Publications, pp. 23-57.21 Lewis B.R. and Birmingham G.H. (1991), “The Youth Market for Financial Services”,

International Journal of Bank Marketing, 9(2), Emerald, pp. 3-11.22 Laroch, M., Rosenblatt J.A. and Manning, T. (1986), “Services Used and Factors Considered

Important in Selecting a Bank: An Investigation Across Diverse Demographic Segments”,

International Journal of Bank Marketing, 4 (1), Emerald, pp. 35-55.23 Naceur Jabnour and Hussein (2002), “Marketing Service Quality at Commercial Banks”,

International Journal of Bank Marketing, 14 (6) pp. 3-11.

16

the service quality as the determinations of customers’ satisfaction in the

banking industry.

NaveenNaveenNaveenNaveen KumarKumarKumarKumar andandandand V.K.V.K.V.K.V.K. GangalGangalGangalGangal (2011)(2011)(2011)(2011)24242424,,,, carried out studies on

customer satisfaction in new generation banks. This study shows that,

customers’ expectations have increased rapidly in the banking industry of

India. New customers are looking for the best services at a reasonable

price. The result of this study shows that, the majority of Indian banks are

not very diversified in terms of the product and services they offer. Further,

this study suggests that, in the competitive banking industry, banks have

to implement strategic focus for retaining as many customers as possible.

It further emphasizes that customer retention is possible only through

customer satisfaction. Therefore, the customer satisfaction is the key to

success in today’s competitive banking industry in India.

NirmaljeetNirmaljeetNirmaljeetNirmaljeet VirkVirkVirkVirk andandandand PrabhjotPrabhjotPrabhjotPrabhjot KaurKaurKaurKaur MahalMahalMahalMahal (2012)(2012)(2012)(2012)25252525,,,, carried out a study

on customer satisfaction in public and private banks of India. This study

shows that the duration of the time which a customer spends with his

officer or manager is very important. The result of this study shows that

customers give more importance to their personal relationship with the

officer or manager rather than the bank they represent. Further this study

shows that private bank managers are ahead of public bank managers in

making relationship with their customers, thus winning their satisfaction.

24 Naveen Kuamr and V.K. Gangal (2011), “Customer Satisfaction in New Generation Banks: A

Case Study of HDFC Bank”, International Referred Research Journal, Vol.11 (4), pp. 177-186.25 Nirmaljeet Virk and Prabhjot Kaur Mahal (2012), “Customer Satisfaction: A Comparative

Analysis of Public and Private Banks in India”, Information and Knowledge Management, Vol.

2(3), pp. 1-7.

17

MeidanMeidanMeidanMeidan (1976)(1976)(1976)(1976)26262626,,,, carried out a study on bank managers’ attitude on bank

objectives and operations. The result of this study shows that 90% of the

customers are selecting a bank branch near to their home or place of work.

This study further shows that customer satisfaction and convenience are

the two most important factors for a customer to select his bank.

MahalakshmiMahalakshmiMahalakshmiMahalakshmi andandandand SarvanarajSarvanarajSarvanarajSarvanaraj (2011)(2011)(2011)(2011)27272727,,,, studied the satisfaction towards

the banking services in Trichy. This study shows that the key factors

influencing customer’s selection of a bank are range of service, rates, fees

and prices charged. This research further shows that the superior service

alone is not sufficient to satisfy customers. The result of this research

shows that excellent front office services, value added services, deposit

oriented services and providing innovative product will satisfy the clients’

need, which are essential to select, succeed and retain in the existing

banking industries.

MinraiMinraiMinraiMinrai LalithaLalithaLalithaLalitha andandandand ManaraiManaraiManaraiManarai AjayAjayAjayAjay K.K.K.K. (2007)(2007)(2007)(2007)28282828,,,, conducted a study and

examined the overall dimensions of customer satisfaction with bank services in

the UK. These researchers took a sample comprised of 578 respondents and

for the measurement of customers’ satisfaction factors, an analytical technique

was used. This study identified all overall dimensions of customer satisfaction

such as personal related consideration, financial consideration, and

26 Meidan A. (1976), “Branch Manager’s Attitude on Bank Objectives and Operations”,

Proceedings of the European Academy of Advanced Research in Marketing Conference,

Instead, 215-228.27 Mahalakshmi V.and Sarvanaraj M.G. (2011), “An Empirical Study on Customers’ Satisfaction

Towards Banking Services in Trichy”, Interdisciplinary Journal of Contemporary Research in

Business, Vol. 3 (4), pp. 237-253.28 Minrai Lalitha A. and Manirai Ajay K. (2007), “A Filed Study of Customers Switching

Behavior for Bank Services”, Journal of Retailing and Consumer Services, Vol. 14, pp. 208-

215.

18

convenience related consideration. The result of this study suggests that, bank

marketers should pay much more attention towards promoting factors like

personal, atmospherics, and convenience than what was done in the past. This

would help the bank in differentiating their offerings in customers’ perception

and thus attracting them from competitors.

MohammadMohammadMohammadMohammad RezaRezaRezaReza HamidizadehHamidizadehHamidizadehHamidizadeh andandandand NasrinNasrinNasrinNasrin JazaniJazaniJazaniJazani (2011)(2011)(2011)(2011)29292929,,,, examined the

influential factors on customers’ satisfaction in the banking industry. The

result of this study shows that perceiving quality has a positive and significant

impact on perceived value and customer satisfaction. Further this research

shows that perceived value has a positive and significant impact on customer

satisfaction. The result of this research suggested that managers should try to

improve the quality of hardware such as atmosphere, seats, location, parking

and personal appearance.

RajagopalaRajagopalaRajagopalaRajagopala NairNairNairNair (1994)(1994)(1994)(1994)30303030,,,, carried out a study on rural bank marketing and

the results show that security and liquidity are the major pre- requisites for

deposits by rural customers in selecting a banking industry. This study further

shows that the interest rate on fixed and demand deposits are not at all a

criteria for rural depositors to deposit their savings with commercial banks,

but rather the depositors seek good customer services.

ReichheldReichheldReichheldReichheld (1993)(1993)(1993)(1993)31313131,,,, in his article says that customer satisfaction alone is

enough and cannot guarantee loyalties to organizations since, between 65% to

85% of customers who switch to other organizations are satisfied customers.

29 Mohammad Reza Hamidizadeh and Nasrin Jazani (2011), “A Proposed Model for

Explanation of Influential Factors on Customer Satisfaction in Banking Industry”,

Interdisciplinary Journal of Contemporary Research in Business, Vol. 3(4), pp. 136-143.30 Rajagopala Nair (1994), “Rural Bank marketing In Kerala”, Un Published Doctoral

Dissertation, University of Kerala.31 Reichheld F.F. (1993), “Loyalty – Based Management”, Harvard Business Review, 71 (2), 64-

73.

19

What is needed is full customer satisfaction to ensure loyalty and improvement

in performance of organizations.

SarinSarinSarinSarin andandandand AnilAnilAnilAnil (2007)(2007)(2007)(2007)32323232,,,, conducted a study on contemporary issues in service

marketing. The result of this study shows that manpower in service

organization must work with the focus of satisfying customers. This article

suggests that banking should bring out the area requiring improvement and

further throw light on measures that would help to improve the quality of

service and elate customer feelings.

SurabhiSurabhiSurabhiSurabhi SinghSinghSinghSingh andandandand RenuRenuRenuRenu AroraAroraAroraArora (2011)(2011)(2011)(2011)33333333,,,, compared the banking services and

customers satisfaction in public and private and foreign banks. The result of

this study shows that nationalized banks need to improve employee behavior,

ambience and infra-structure. Further this research shows that training on

stress management and public dealing should be imparted to the employees of

nationalized banks in order to help them satisfy their customers.

TylerTylerTylerTyler KKKK andandandand StanleyStanleyStanleyStanley (2001)(2001)(2001)(2001)34343434,,,, in their research show that customer

satisfaction in banking depends on the customers’ relationship with officer or

manger rather than the bank they represent. Further this study shows that

the attitude of bank officers or managers and their relationship with customers

lead to customer retention and satisfaction.

32 Sarin and Anil (2007), “Contemporary Issues in Services Marketing”, Indian Journal of

Marketing, 37, pp. 40-44.33 Surabhi, Sigh and Renu Aroara, “A Comparative Study of Banking Services and Customer

Satisfaction in Public and Private and Foreign Banks”, Journal of Economic, Vol. 2(1), pp.

45- 56.34 Tyler K. and Stanley E. (2001), “Corporate Banking: The Strategic Impact of Boundary”,

International Journal of Bank Marketing, 19 (6), Emerald, pp. 246-252.

20

UppalUppalUppalUppal R.K.R.K.R.K.R.K. (2010)(2010)(2010)(2010)35353535,,,, conducted studies on customer complaints and this

research shows that the excellent customer service and customer satisfaction

is the most important factor to help sustained business growth. The result of

this research shows that customer complaints are continuously increasing in

the public sector banks which adversely affect customers’ satisfaction and

performance. Further this research suggests that each and every bank should

establish a customer care center to solve the complaints of the customers on

priority basis and that would facilitate customers’ satisfaction.

VijayVijayVijayVijay M.M.M.M. KumbharKumbharKumbharKumbhar (2011)(2011)(2011)(2011)36363636,,,, in his study attempted to examine a contribution

of various dimensions of service quality in customers’ satisfaction. A result of

this study indicates that, 13 variables were found and were good predictors of

overall satisfaction in e- banking. This study also evaluates influence of service

quality on brand perception, perceived value and satisfaction in e- banking.

VidhyaVidhyaVidhyaVidhya M.J.M.J.M.J.M.J. (2009)(2009)(2009)(2009)37373737,,,, compared the service offered by the ICICI and SBI. This

study shows the details of product and services offered by both the banks and

shows that most of people select the ICICI bank for their banking because of

the good customer services when compared to SBI.

VinilVinilVinilVinil KumarKumarKumarKumar (2012)(2012)(2012)(2012)38383838,,,, carried out a study on customer satisfaction in E-

banking. This study shows that customers are more satisfied with new

products and services offered by the banks. Further it suggests that, the

35 Uppal R.K. (2010), “Customer Complaints in Banks: Nature, Extent and Strategies to

Mitigation”, Journal of Economics and International Finance, Vol. 2(10), pp. 212-220.36 Vijay M. Kumbhar (2011), “Factors Affecting the Customer Satisfaction in E- Banking: Some

Evidence From Indian Banks”, Management Research and Practice, Vol. 3(4), pp. 1-14.37 Vidhya M.J. (2009), “ A Comparative Study of Customer Services in ICIC and SBI”, Un

Published Dissertation, ICFAI National College, Keelkattalai.38 Vinil Kumar (2012), “ A Study on Customer Satisfaction Towards E-Banking in Kanyakumari

District”, Unpublished Master’s Dissertation, Manom Maniam Sundaranar University, Tirunelveli.

21

banks have to adopt modern technology in banking industry in order to

make banking more convenient and thereby improve customers’

satisfaction.

22

ANANANAN OVERVIEWOVERVIEWOVERVIEWOVERVIEW OFOFOFOF THETHETHETHE BANKINGBANKINGBANKINGBANKING INDUSTRYINDUSTRYINDUSTRYINDUSTRY

3.1.3.1.3.1.3.1. IntroductionIntroductionIntroductionIntroduction

The Indian banking industry is currently termed as strong, since it

has withered the global economic slowdown showing good numbers with

strong support flowing in the Reserve Bank of India measures. According

to a study by Dan & Bradstreet (an international research body) “India’s

Top Bank 2008”, there has been a significant growth in the banking infra-

structure. Taking into account all banks in India, there are overall 56,640

branches or offices, 893,356 employees and 2708 ATMs. Public sector

banks made up a large chunk of the infra-structure, with 87.7 per cent of

all office, 82 per cent of staff and 60.3 per cent of all ATMs.

3.2.3.2.3.2.3.2. EarlyEarlyEarlyEarly HistoryHistoryHistoryHistory

The first bank in India, called The General Bank of India was

established in the year 1786. The East India Company established The

Bank of Bengal/Calcutta (1809), Bank of Bombay (1840) and Bank of

Madras (1843). The next bank was Bank of Hindustan which was

established in 1870. These three individual units (Bank of Calcutta, Bank

of Bombay, and Bank of Madras) were called as Presidency Banks.

Allahabad Bank which was established in 1865 was, for the first time

completely run by Indians. The Punjab National Bank Ltd. was set up in

1894 with headquarters at Lahore. Between 1906 and 1913, Bank of India,

Central Bank of India, Bank of Baroda, Canara Bank, Indian Bank, and

Bank of Mysore were set up. In 1921, all presidency banks were

amalgamated to form the Imperial Bank of India which was run by

European Shareholders. After that the Reserve Bank of India was

established in April 1935. At the time of first phase the growth of the

banking sector was very slow. Between 1913 and 1948 there were

approximately 1100 small banks in India.

23

3.3.3.3.3.3.3.3. ColonialColonialColonialColonial BankingBankingBankingBanking OriginsOriginsOriginsOrigins inininin thethethethe 19th19th19th19th CenturyCenturyCenturyCentury

The establishment of the British colonial government in India

brought with it calls for the formation of a Western-style banking system,

only to serve the needs and interests of the British imperial government

and of the European trading houses doing business there. The creation of

a national banking system began at the beginning of the 19th century.

The introduction of Western-style banking instituted deposit savings

accounts and, in some cases, investment services. The spread of colonial

influence also extended the scope of government and commercial financial

influence.

In 1806 the Bank of Calcutta was established to serve the city's

interests. The bank was granted a charter to serve all of Bengal in 1809,

becoming the Bank of Bengal. The Bank of Bengal also received the right

to issue its own notes, which became legal currency within the Bengali

region. This right enabled the bank to establish a solid financial

foundation, building an interest-free capital base.

Towards the middle of the century, the imperial government created

two more regional banks. The Bank of Bombay was created in 1840, and

was soon joined by the Bank of Madras in 1843. Together with the Bank

of Bengal, they became known as the "presidency" banks. All three banks

were operated as joint stock companies, with the imperial government

holding a one-fifth of the shares of each bank. The remaining shares were

sold to private subscribers and, typically, were claimed by the Western

European trading firms. These firms were represented on each bank's

board of directors, which was presided over by a nominee from the

government. While the banks performed typical banking functions, for the

Western firms and population and members of Indian society, their main

role was to act as a lever for raising loan capital, as well as help stabilize

government securities.

24

The charters backing the establishment of the presidency banks

granted them the right to establish branch offices. Into the second half of

the century, however, the banks remained single-office concerns. It was

only after the passing of the Paper Currency Act in 1861 that the banks

began their first expansion effort. That legislation had taken away the

presidency banks' authority to issue currency. Instead of placing the

issuing of paper currency under direct control of the British government

in India starting in 1862. The three banks then launched an expansion

effort, establishing a system of branch offices, agencies, and sub-agencies

throughout the most populated regions of the Indian coast, and into the

inland areas as well. By the end of the 1870s, the three presidency banks

operated nearly 50 branches among them.

3.4.3.4.3.4.3.4. BankingBankingBankingBanking IndustryIndustryIndustryIndustry inininin 20th20th20th20th CenturyCenturyCenturyCentury

The rapid growth of the presidency banks came to an abrupt halt in

1876, when a new piece of legislation, the Presidency Banks Act, placed

all three banks under a common charter--and a common set of

restrictions. As part of the legislation, the British imperial government

gave up its ownership stakes in the banks, although they continued to

provide a number of services to the government, and retained some of the

government's treasury capital. The majority of that, however, was

transferred to the three newly created Reserve Treasuries, located in

Calcutta, Bombay, and Madras. The Reserve Treasuries continued to lend

capital to the presidency banks, but on a more restrictive basis. The

minimum balance now guaranteeing under the Presidency Banks Act was

applicable only to the banks' central offices. With branch offices no longer

guaranteed a minimum balance backed by government funds, the banks

ended development of their networks. Only the Bank of Madras continued

to grow for some time, as it was supplied by the influx of capital from

development of trade among the region's port cities.

25

The loss of the government-backed balances was soon compensated

by India's rapid economic development at the end of the 19th century. The

building of a national railroad network launched the country into a new

era, seeing the rise of cash-crop farming, a mining industry, and

widespread industrial development. The three presidency banks took

active roles in financing this development. The banks also extended their

range of services and operations, although for the time being was excluded

from the foreign exchange market.

By the beginning of the 20th century, India's banking industry

boasted a host of new arrivals, and particularly foreign banks authorized

to exchange currency. The growth of the banking sector, and the

development of indigenous banks, in turn created a need for a larger

"bankers' bank." At the same time, the Indian government had outgrown

its colonial background and now required a more centralized banking

institution. These factors led to the decision to merge the three presidency

banks into a new, single and centralized banking institution. The Imperial

Bank of India was created in 1921. The Imperial Bank took on the role of

central bank for the Indian government, while acting as a bankers' bank

for the growing Indian banking sector. At the same time, the Imperial

Bank, this, despite its role in the government financial structure

remaining independent of the government, carried on its own commercial

banking operations.

In 1926, a government commission recommended the creation of a

true central bank. While some proposed converting the Imperial Bank into

a central banking organization for the country, the commission rejected

this idea and instead recommended that the Imperial Bank be

transformed into a purely commercial banking institution. The

government took up the commission's recommendations, drafting a new

bill in 1927. Passing of the new legislation did not occur until 1935;

26

however, with the creation of the Reserve Bank of India, that bank took

over all central banking functions.

The Imperial Bank then converted to full commercial status, was

accordingly allowed it to enter a number of banking areas, such as

currency exchange and trustee and estate management, from which it had

previously been restricted. Despite the loss of its role as a government

banking office, the Imperial Bank continued to provide banking services to

the Reserve Bank, particularly in areas where the Reserve Bank had not

yet established offices. At the same time, the Imperial Bank retained its

position as a bankers' bank.

Until the early 1950s, the Imperial Bank grew steadily, dominating

the Indian commercial banking industry. The bank continued to build up

its assets and capital base, and also entered a new phase of national

expansion. By the middle of the 1950s, the Imperial Bank operated more

than 170 branch offices, as well as 200 sub-offices.

3.5.3.5.3.5.3.5. PostPostPostPost ---- IndependenceIndependenceIndependenceIndependence

By then, India had achieved its independence from Britain. In 1951,

the new government launched its first Five Year Plan, targeting in

particular the development of the country's rural areas. The lack of a

banking infrastructure in these regions led the government to develop a

state-owned banking entity to fill the gap. As part of that process, the

Imperial Bank was nationalized and then integrated with other existing

government-owned banking components. The result was the creation of

the State Bank of India, or SBI, in 1955.

To streamline the functioning and activities of commercial banks,

the Government of India came up with the Banking Companies Act, 1949

which was later changed to Banking Regulation Act 1949 as per amending

Act of 1965 (Act No.23 of 1965). The Reserve Bank of India was vested

27

with extensive powers for the supervision of banking in India as a Central

Banking Authority. After independence, the government has taken many

important steps in regard of Indian Banking Sector reforms. In 1955, the

Imperial Bank of India was nationalized and was given the name "State

Bank of India", to act as the principal agent of RBI and to handle banking

transactions all over the country. It was established under State Bank of

India Act, 1955. Seven banks forming subsidiary of State Bank of India

was nationalized in 1960. On 19th July, 1969, a major process of

nationalization was carried out. At the same time 14 major Indian

commercial banks of the country were nationalized. In 1980, another six

banks were nationalized, thus raising the number of nationalized banks to

20. Seven more banks with deposits over 200 crores were nationalized.

Until the year 1980 approximately 80% of the banking segment in India

was under the government’s ownership. On the suggestions of Narsimhan

Committee, the Banking Regulation Act was amended in 1993 and thus

the gates for the new private sector banks were opened.

The following are the major steps taken by the Government of India

to Regulate Banking institutions in the country:-

1949 : Enactment of Banking Regulation Act.

1955 : Nationalization of State Bank of India.

1959 : Nationalization of SBI subsidiaries.

1961 : Insurance cover extended to deposits.

1969 : Nationalization of 14 major Banks.

1971 : Creation of Credit Guarantee Corporation.

1975 : Creation of Regional Rural Banks.

1980 : Nationalization of seven banks with deposits over 200 Crores.

28

3.6.3.6.3.6.3.6. NationalizationNationalizationNationalizationNationalization

By the 1960s, the Indian banking industry had become an

important tool to facilitate the development of the Indian economy. At the

same time, it had emerged as a large employer, and a debate was ensured

about the possibility to nationalize the banking industry. Indira Gandhi,

the-then Prime Minister of India expressed the intention of the

Government of India (GOI) in the annual conference of the All India

Congress Meeting in a paper entitled """"Stray thoughts on Bank

Nationalization". The paper was received with positive enthusiasm.

Thereafter, her move was swift and sudden, and the GOI issued an

ordinance and nationalized the 14 large commercial banks with effect

from the midnight of July 19, 1969. Within two weeks of the issue of the

ordinance, the Parliament passed the Banking Companies (Acquisition

and Transfer of Undertaking) Bill, and it received the presidential approval

on 9 August, 1969.

A second step of nationalization of 6 more commercial banks

followed in 1980. The stated reason for the nationalization was to give the

government more control of credit delivery. With the second step of

nationalization, the GOI controlled around 91% of the banking business in

India. Later on, in the year 1993, the government merged New Bank of

India with Punjab National Bank. It was the only merger between

nationalized banks and resulted in the reduction of the number of

nationalized banks from 20 to 19. After this, until the 1990s, the

nationalized banks grew at a pace of around 4%, closer to the average

growth rate of the Indian economy. The nationalized banks owe their

growth rate too many; including a special credit to Mr. P. Chidambaram

for having helped the Indian economy withstand the global financial crisis

in between 2007 and 2009.

29

3.7.3.7.3.7.3.7. LiberalizationLiberalizationLiberalizationLiberalizationIn the early 1990s, the then Narsimha Rao government embarked

on a policy of liberalization, licensing a small number of private banks.

These came to be known as New Generation tech-savvy banks, and

included Global Trust Bank (the first of such new generation banks to be

set up), which later amalgamated with Oriental Bank of Commerce, Axis

Bank(earlier as UTI Bank), ICICI Bank and HDFC Bank. This move along

with the rapid growth in the economy of India revolutionized the banking

sector in India which has seen rapid growth with strong contribution from

all the three sectors of banks, namely, government banks, private banks

and foreign banks.

The next stage for the Indian banking has been setup with the

proposed relaxation in the norms for Foreign Direct Investment, where all

Foreign Investors in banks may be given voting rights which could exceed

the present capital of 10%, at present it has gone up to 49% with some

restrictions. The new policy shook the banking sector in India completely.

Bankers, till this time, were used to the 4-6-4 method (Borrow at 4%;

Lend at 6%; Go home at 4) of functioning. The new wave ushered in a

modern outlook and tech-savvy methods of working for the traditional

banks. All this led to the retail boom in India. People not just demanded

more from their banks but also received more. Currently (2007), banking

in India is generally fairly mature in terms of supply, product range and

reach-even though reach in rural India still remains a challenge for the

private sector and foreign banks. In terms of quality of assets and capital

adequacy, Indian banks are considered to have clean, strong and

transparent balance sheets as compared to other banks in comparable

economies in its region. The Reserve Bank of India is an autonomous body,

with minimal pressure from the government. The stated policy of the Bank

on the Indian Rupee is to manage volatility but without any fixed

exchange rate-and this has mostly been true. With the growth in the

30

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.

In March 2006, the Reserve Bank of India allowed Warburg Pincus

to increase its stake in Kotak Mahindra Bank (a private sector bank) to

10%. This is the first time an investor has been allowed to hold more than

5% in a private sector bank since the RBI announced norms in 2005 that

any stake exceeding 5% in the private sector banks would need to be voted

by them. In recent years critics have charged that the non-government

owned banks are too aggressive in their loan recovery efforts in connection

with housing, vehicle and personal loans. There are press reports that the

banks' loan recovery efforts have driven defaulting borrowers to suicide.

3.8.3.8.3.8.3.8. ClassificationClassificationClassificationClassification ofofofof BankingBankingBankingBanking IndustryIndustryIndustryIndustry inininin IndiaIndiaIndiaIndia

Indian banking industry has been divided into two parts, organized

and unorganized sectors. The organized sector consists of Reserve Bank of

India, Commercial Banks and Co-operative Banks, and Specialized

Financial Institutions (IDBI, ICICI, IFC etc). The 28 unorganized sectors,

which is not homogeneous, is largely made up of money lenders and

indigenous bankers.

3.9.3.9.3.9.3.9. CompanyCompanyCompanyCompany ProfileProfileProfileProfile ofofofof SBISBISBISBI

State Bank of India (SBI) is the country's largest commercial bank.

The government-controlled bank--the Indian government maintains a

stake of nearly 60 percent in SBI through the central Reserve Bank of

India--also operates the world's largest branch network, with more than

14,119 branch offices throughout India, staffed by nearly 2,15,481

employees. SBI is also present worldwide, with seven international

subsidiaries in the United States, Canada, Nepal, Bhutan, Nigeria,

31

Mauritius, and the United Kingdom, and more than 173 branch offices in

37 countries. Long an arm of the Indian government's infrastructure,

agricultural, and industrial development policies, SBI has been forced to

revamp its operations since competition was introduced into the country's

commercial banking system. As part of that effort, SBI has been rolling

out its own network of automated teller machines, as well as developing

anytime-anywhere banking services through Internet and other

technologies. SBI also has taken advantage of the deregulation of the

Indian banking sector to enter the bank assurance, assets management,

and security brokering sectors. In addition, SBI has been working on

reigning in its branch network, reducing its payroll, and strengthening its

loan portfolio. In 2003, SBIs’ reported revenue is of $10.36 billion and

total assets are of $104.81 billion.

The new state-owned bank now controls more than one-fourth of

India's total banking industry. That position was expanded at the end of

the decade, when new legislation was passed providing for the takeover by

the State Bank of eight regionally based, government-controlled banks,

such as the Banks of Bikaner, Jaipur, Idnore, Mysore, Patiala, Hyderabad,

Saurashtra, and Travancore became subsidiaries of the State Bank.

Following the 1963 merger of the Bikaner and Jaipur banks, their seven

remaining subsidiaries were converted into associate banks.

In the early 1960s, the State Bank's network already contained

nearly 500 branches and sub-offices, as well as the three original head

offices inherited from the presidency bank era. Yet the State Bank now

began an era of expansion, acting as a motor for India's industrial and

agricultural development that was to transform it into one of the world's

largest financial networks. Indeed, by the early 1990s, the State Bank

counted nearly 15,000 branches and offices throughout India, giving it the

world's single largest branch network.

32

SBI played an extremely important role in developing India's rural

regions, providing the financing need to modernize the country's

agricultural industry. It extended support to develop new irrigation

methods and cattle breeding techniques, backing the creation of dairy

farming, pork and poultry farms as well. The bank also provided backing

for the development of the country's infrastructure, particularly on a local

level, where it provided credit coverage and development assistance to

villages. The nationalization of the banking sector itself, an event that

occurred in 1969 under the government led by Indira Gandhi, gave SBI

new prominence as the country's leading bank.

Even as it played a primary role in the Indian government's

industrial and agricultural development policies, SBI also continued to

develop its commercial banking operations. In 1972, for example, the

bank began offering merchant banking services. By the mid-1980s, the

bank's merchant banking operations had grown sufficiently to support the

creation of a dedicated subsidiary, SBI Capital Markets, in 1986. The

following year, the company launched another subsidiary, SBI Home

Finance, in collaboration with the Housing Development Finance

Corporation. Then in the early 1990s, SBI added subsidiaries SBI Factors

and Commercial Services, and then launched institutional investor

services.

3.9.1.3.9.1.3.9.1.3.9.1. CompetitorCompetitorCompetitorCompetitor inininin thethethethe 21st21st21st21st CenturyCenturyCenturyCentury

SBI was allowed to dominate the Indian banking sector for more

than two decades. In the early 1990s, the Indian government kicked off a

series of reforms aimed at deregulating the banking and financial

industries. SBI was now forced to brace itself for the arrival of a new wave

of competitors eager to enter the fast-growing Indian economy's

commercial banking sector. Yet, years as a government-run institution

had left SBI bloated--the civil-servant status of its employees had

33

encouraged its payroll to swell to more than 230,000. The bureaucratic

nature of the bank's management left little room for personal initiative, or

incentive for controlling costs.

The bank also had been encouraged to increase its branch network,

with little concern for profitability. As former Chairman Dipankar Baku

told the Banker in the early 1990s: "In the aftermath of bank

nationalization everyone lost sight of the fact that banks had to be

profitable. Banking was more to do with social policy and perhaps that

was relevant at the time. For the last two decades the emphasis was on

physical expansion."

Under Baku, SBI began retooling for the new competitive

environment. In 1994, the bank hired consulting group McKinsey & Co. to

help it restructure its operations. McKinsey then led SBI through a

massive restructuring effort that lasted through much of the decade and

into the beginning of the next, an effort that helped SBI develop a new

corporate culture focused more on profitability than on social and political

policy. SBI also stepped up its international trade operations, such as

foreign exchange trading, as well as corporate finance, export credit, and

international banking.

SBI had long been present overseas, operating some 50 offices in 34

countries, including full-fledged subsidiaries in the United Kingdom, the

United States, and elsewhere. In 1995 the bank set up a new subsidiary,

SBI Commercial and International Bank Ltd., to back its corporate and

international banking services. The bank also extended its international

network into new markets such as Russia, China, and South Africa.

Back home, in the meantime, SBI began addressing the technology

gap that existed between it and its foreign-backed competitors. Into the

1990s, SBI had yet to establish an automated teller network; indeed, it

had not even automated its information systems. SBI responded by

34

launching an ambitious technology drive, rolling out its own ATM network,

then teaming up with Gross Earnings Capital to issue its own credit card.

In the early 2000s, the bank began cross-linking its banking network with

its ATM network and Internet and telephone access, rolling out "anytime,

anywhere" banking access. By 2002, the bank had succeeded in

networking its 3,000 most profitable branches.

The implementation of new technology helped the bank achieve

strong profit gains into the early years of the new century. SBI also

adopted new human resources and retirement policies, helping trim its

payroll by some 20,000, almost entirely through voluntary retirement in a

country where joblessness remained a decided problem.

By the beginning of 2004, SBI appeared to be well on its way to

meeting the challenges offered by the deregulated Indian banking sector.

In a twist, the bank had become an aggressor into new territories,

launching its own line of bank assurance products, and also initiating

security brokering services. In the meantime, SBI continued its technology

rollout, boosting the number of networked branches to more than 4,000

by the end of 2003. SBI promised to remain a central figure in the Indian

banking sector as it entered its third century. According to March 2012, a

networking effort reaches 14,119 branches including 173 foreign offices in

37 countries across the globe. Including the branches that belong to its

associate banks, SBI has 21,500 branches.

3.9.2.3.9.2.3.9.2.3.9.2. PrincipalPrincipalPrincipalPrincipal SubsidiariesSubsidiariesSubsidiariesSubsidiariesBank of Bhutan (Bhutan); Indo Nigeria Merchant Bank Ltd. (Nigeria);

Nepal SBI Bank Ltd. (Nepal); SBI (U.S.A.); SBI (Canada); SBI Capital

Market Ltd.; SBI Cards & Payments Services Ltd.; SBI Commercial and

International Bank Ltd.; SBI European Bank plc (U.K.); SBI Factors &

Commercial Services Ltd.; SBI Funds Management Ltd.; SBI Gilts Ltd.;

SBI Home Finance Ltd.; SBI Securities Ltd.; State Bank International Ltd.

35

(Mauritius); State Bank of Bikaner & Jaipur; State Bank of Hyderabad;

State Bank of Indore; State Bank of Mysore; State Bank of Patiala; State

Bank of Saurastra; State Bank of Travancore.

3.9.3.3.9.3.3.9.3.3.9.3. Non-BankingNon-BankingNon-BankingNon-Banking SubsidiariesSubsidiariesSubsidiariesSubsidiaries

Apart from its five associate banks, SBI also has the following non-

banking subsidiaries:

� SBI Capital Markets Ltd

� SBI Funds Management Pvt Ltd

� SBI Factors & Commercial Services Pvt Ltd

� SBI Cards & Payments Services Pvt. Ltd. (SBICPSL)

� SBI DFHI Ltd

� SBI Life Insurance Co. Ltd.

� SBI General Insurance

In March 2001, SBI (with 74% of the total capital), joined with BNP

Paribas (with 26% of the remaining capital), to form a joint venture life

insurance company named SBI Life Insurance company Ltd. Now-a days

SBI Life Insurance Co. Ltd ranks among the top and most trusted Life

Insurance Companies in India and also abroad. In 2004 SBI DFHI

Ltd(DISCOUNT AND FINANCE HOUSE OF INDIA) was founded with its

headquarter in MUMBAI,MAHARASHTRA.SBI DFHI Ltd is primary dealer

that trades in Fixed income securities(treasury bills, state development

loans, government securities, non SLR bonds, corporate bonds) and Short

Term Money Market instruments(certificates of deposits, commercial

paper, inter-corporate deposits, call and money notice deposits).

36

3.9.4.3.9.4.3.9.4.3.9.4. PrincipalPrincipalPrincipalPrincipal CompetitorsCompetitorsCompetitorsCompetitorsICICI Bank; Bank of Baroda; Canara Bank; Punjab National Bank;

Bank of India; Union Bank of India; Central Bank of India; HDFC Bank;

Oriental Bank of Commerce.

3.9.5.3.9.5.3.9.5.3.9.5. KeyKeyKeyKey DatesDatesDatesDates

• 1806:1806:1806:1806: The Bank of Calcutta is established as the first Western-type

bank.

• 1809:1809:1809:1809: The bank receives a charter from the imperial government

and changes its name to Bank of Bengal.

• 1840:1840:1840:1840: A sister bank, Bank of Bombay, is formed.

• 1843:1843:1843:1843: Another sister bank is formed: Bank of Madras, which,

together with Bank of Bengal and Bank of Bombay become known

as the presidency banks, which had the right to issue currency in

their regions.

• 1861:1861:1861:1861: The Presidency Banks Act takes away currency issuing

privileges but offers incentives to begin rapid expansion, and the

three banks open nearly 50 branches among them by the mid-

1870s.

• 1876:1876:1876:1876: The creation of Central Treasuries ends the expansion phase

of the presidency banks.

• 1921:1921:1921:1921: The presidency banks are merged to form a single entity,

Imperial Bank of India.

• 1955:1955:1955:1955: The nationalization of Imperial Bank of India results in the

formation of the State Bank of India, which then becomes a primary

37

factor behind the country's industrial, agricultural, and rural

development.

• 1969:1969:1969:1969: The Indian government establishes a monopoly over the

banking sector.

• 1972:1972:1972:1972: SBI begins offering merchant banking services.

• 1986:1986:1986:1986: SBI Capital Markets is created.

• 1995:1995:1995:1995: SBI Commercial and International Bank Ltd. are launched as

part of SBI's stepped-up international banking operations.

• 1998:1998:1998:1998: SBI launches credit cards in partnership with GE Capital.

• 2002:2002:2002:2002: SBI networks 3,000 branches in a massive technology

implementation.

• 2011:2011:2011:2011: In 2011-12, SBI's net profit rose by about 42 per cent to Rs

11,707 crore - one of highest net profits earned by a corporate in the

country.

• 2012:2012:2012:2012: As on March 31, 2012, the bank had total permanent staff

strength of 2, 15,481, which included 80,404 officers, 95,715

clerical staff and the remaining 39,362 were sub-staff.

• 2012:2012:2012:2012: A networking effort reaches 14,119 branches including 173

foreign offices in 37 countries across the globe. Including the

branches that belong to its associate banks, SBI has 21,500

branches.

• 2012:2012:2012:2012: SBI enjoys leadings positions in the retail car loan financing

and home loan businesses and its retail advances grew 10.9 per

cent to Rs 1,82,427 crore in the year ended March 31, 2012.

• 2013:2013:2013:2013: State Bank of India suffered an 18.5 per cent drop in its net

profit to Rs.3, 299 crore during the fourth quarter ended March 31,

2013, from Rs.4, 050 crore a year ago. However, for the whole of

2012-13, the net profit rose by 20.5 per cent to Rs.14,105

38

3.9.6.3.9.6.3.9.6.3.9.6. AdditionalAdditionalAdditionalAdditional DetailsDetailsDetailsDetails

• PublicPublicPublicPublic CompanyCompanyCompanyCompany (60%(60%(60%(60% Government-Owned)Government-Owned)Government-Owned)Government-Owned)

• Incorporated:Incorporated:Incorporated:Incorporated: 1921 as the Imperial Bank of India

• Employees:Employees:Employees:Employees: 2, 15,481.

• TotalTotalTotalTotal Assets:Assets:Assets:Assets: $360 billion (2012)

• StockStockStockStock Exchanges:Exchanges:Exchanges:Exchanges: Mumbai Kolkata Chennai Ahmedabad Delhi New

York London

• TickerTickerTickerTicker Symbol:Symbol:Symbol:Symbol: SBI

• NAIC:NAIC:NAIC:NAIC: 522110 Commercial Banking

3.9.7.3.9.7.3.9.7.3.9.7. StateStateStateState BankBankBankBank ofofofof IndiaIndiaIndiaIndia’’’’ssss ProductsProductsProductsProducts andandandand ServicesServicesServicesServices

• Personal Banking

• NRI Services

• Agriculture

• International

• Corporate

• SME

• Domestic Treasury.

3.9.8.3.9.8.3.9.8.3.9.8. StateStateStateState BankBankBankBank ofofofof IndiaIndiaIndiaIndia’’’’ssss ProductsProductsProductsProducts ThroughThroughThroughThrough ItsItsItsIts NetworkNetworkNetworkNetwork

• Domestic Treasury.

• SBI Vishwa Yatra Foreign Travel Card.

• Broking Services

• Revised Service Charge.

• ATM Services.

• Internet Banking.

• E-Pay.

• E-Rail.

• RBIEFT.

• Safe Deposit Lockers.

39

• Gift Cheques.

• MICR Codes.

• Foreign Inward Remittances.

40

3.10.3.10.3.10.3.10.KanyakumariKanyakumariKanyakumariKanyakumari DistrictDistrictDistrictDistrict

The Kanyakumari District lies at the southernmost tip of the

Indian Peninsula. It is the smallest district of Tamil Nadu. The district

has the total area of 1672 sq.kms. It has 2 revenue divisions, 4 taulks,

4 municipalities, 9 blocks, 18 revenue firhas, 81 revenue villages, 7

assembly constituencies and 1 parliamentary constituency.

41

3.10.1.3.10.1.3.10.1.3.10.1.MapMapMapMap ofofofof KanyakumariKanyakumariKanyakumariKanyakumari DistrictDistrictDistrictDistrict

42

3.10.2.3.10.2.3.10.2.3.10.2.BanksBanksBanksBanks inininin KanykumariKanykumariKanykumariKanykumari DistrictDistrictDistrictDistrict

In Kanykumari, there are 113 nationalized bank branches, 24

cooperative bank branches, 113 Primary Agriculture Co-operative banks,

33 private sector bank branches and 1 TIIC Branch functioning to provide

credit for the development and growth of the district.

The total number of commercial banks in Kanyakumari District is

143 branches. Out of the 143 branches, 112 branches are public sectors

banks, 25 branches are private sector banks and six banks are New

Private Sector Banks. Out of these, 79 branches are seen in semi urban

area whereas 44 branches are at urban area. The remaining 20 branches

are in rural area.

3.10.3.3.10.3.3.10.3.3.10.3.SBISBISBISBI InInInIn KanyakumariKanyakumariKanyakumariKanyakumari DistrictDistrictDistrictDistrictThe State Bank of India has 18 branches in the Kanyakumari

district of Tamil Nadu. They function at Aramboly, Arumanai,

Chemmanvilai, Colachel, Kalkulam, Kappiarai, Ramanpudur, Karungal,

Kothanallur, Kuzhithurai, Manjalumoddu, Nagavedu, Nagercoil,

Vadiveeswaram, Thadikkarankonam, Thengamputhur, Thingal Nager and

Vivekanandapuram.

43

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15, page 7-11.

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Vol.32.

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10.Gorden, E and Natarajan, K. (1992), “Banking Theory, Law and

practice,” Himalaya publishing House, Mumbai.

1.Gordon E. and Natarajan K (2001), “Financial Markets and Services”,

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30.

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conditions”, Daily Thanthi vaniga paguthi, Nagercoil.

45

17.Reddy, Y.V., (2005) “Banking Sector Reforms in Indian – An

Overview”, Southern Economist.

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Analysis with special Reference to private sector Banks”, Indian

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publishing house Pvt. Ltd., New Delhi.

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Southern Economist.

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District.

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Sage Publications.

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Thacker and Co. Ltd.,

46

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29.www.wikipedia.com

30.www.Indian-bank.com

31.SSRN.com

32.Reserve Bank of India: www.rbi.org.in

47

ANALYSISANALYSISANALYSISANALYSIS ANDANDANDAND INTERPRETATIONINTERPRETATIONINTERPRETATIONINTERPRETATION OFOFOFOF DATADATADATADATA

4.1.4.1.4.1.4.1. IntroductionIntroductionIntroductionIntroductionThe SBI is offering various services to meet the financial needs of

the society. The success depends on its marketing ability and customer

satisfaction. The service offered are accepting deposits, lending loans,

providing safety lockers, clearing cheques and the like. In this study an

attempt has been made by the researcher to analyze the account holder’s

opinion about the SBI in Kanyakumari District. An attempt is also made

by the researcher to project the future trend on deposits, advances and

profit of the bank.

The required information for analysis purpose was collected from 150

respondents with the help of a structured interview schedule. The data

received were analyzed as under:

4.2.4.2.4.2.4.2. AnalysisAnalysisAnalysisAnalysis ofofofof DataDataDataData

4.2.1.4.2.1.4.2.1.4.2.1. AgeAgeAgeAge ---- WiseWiseWiseWise ClassificationClassificationClassificationClassification ofofofof RespondentsRespondentsRespondentsRespondentsAge is a primary factor in determining the level of usage pattern of

banking services. The following table shows the age-wise classification of

the respondents

TableTableTableTable 4.2.14.2.14.2.14.2.1

AgeAgeAgeAge ---- WiseWiseWiseWise CCCClassificationlassificationlassificationlassification ofofofof RRRRespondentsespondentsespondentsespondents

AgeAgeAgeAge GroupGroupGroupGroup RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Below 25 Years 23 15.3

25-35 Years 36 24

35-45 Years 34 22.7

Above 45 Years 57 38

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

48

Table No. 4.2.1 shows that out of 150 respondents, 15.3 percent of

respondents fall under the age below 25 years. 24 percent respondents are

in between 25-30 years. 22.7 percent respondents fall under the age group

between 35-40 years and 38 percent respondents come under the age

group of above 45 years category.

FigureFigureFigureFigure 4.2.14.2.14.2.14.2.1

AgeAgeAgeAge ofofofof RespondentsRespondentsRespondentsRespondents

0

5

10

15

20

25

30

35

40

Below 25 Years 25-35 Years 35-45 Years Above 45 Years

PercentagePercentagePercentagePercentage

15.3

24 22.7

38

AgeAgeAgeAge

4.2.2.4.2.2.4.2.2.4.2.2. Sex-Sex-Sex-Sex- WiseWiseWiseWise ClassificationClassificationClassificationClassification ofofofof RespondentsRespondentsRespondentsRespondentsThe banking services are availed by both males and females. The

following table shows the sex-wise classification of the respondents.

TableTableTableTable 4.2.24.2.24.2.24.2.2

Sex-WiseSex-WiseSex-WiseSex-Wise ClassificationClassificationClassificationClassification ofofofof RespondentsRespondentsRespondentsRespondents

SexSexSexSex RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Male 61 41

Female 89 59

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

49

Table No. 4.2.2 shows the sex-wise classification of respondents.

Out of 150 respondents selected for study, 41 percent respondents are

males and 59 percent respondents are females.

FigureFigureFigureFigure 4.2.24.2.24.2.24.2.2

SexSexSexSex ofofofof RespondentsRespondentsRespondentsRespondents

PercentagePercentagePercentagePercentage

41%

59%

Male

Female

SexSexSexSex

4.2.3.4.2.3.4.2.3.4.2.3. MaritalMaritalMaritalMarital StatusStatusStatusStatus –––– WiseWiseWiseWise ClassificationClassificationClassificationClassification ofofofof RespondentsRespondentsRespondentsRespondentsGenerally banking is used by all, irrespective of the marital status

whether they are married or unmarried. The following table shows the

marital status of the respondents.

TableTableTableTable No.No.No.No. 4.2.34.2.34.2.34.2.3

MaritalMaritalMaritalMarital StatusStatusStatusStatus –––– WiseWiseWiseWise ClassificationClassificationClassificationClassification ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

MaritalMaritalMaritalMarital StatusStatusStatusStatus RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Married 62 41

Unmarried 88 59

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary data.data.data.data.

50

Table No. 4.2.3 shows the marital status-wise classification. From

the above table it is found that 41 percent respondents are married and

59 percent respondents are unmarried.

FigureFigureFigureFigure 4.2.34.2.34.2.34.2.3

MaritalMaritalMaritalMarital StatusStatusStatusStatus ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

Percentage

41%

59%

Married

Unmarried

MaritalMaritalMaritalMarital StatusStatusStatusStatus

4.2.4.4.2.4.4.2.4.4.2.4. EducationalEducationalEducationalEducational QualificationQualificationQualificationQualification ---- WiseWiseWiseWise ClassificationClassificationClassificationClassification ofofofof

thethethethe RespondentsRespondentsRespondentsRespondentsGenerally banking is used by all, irrespective of the Educational

qualification. The following table shows the educational qualification –wise

classification of the respondents.

51

TableTableTableTable No.No.No.No. 4.2.44.2.44.2.44.2.4

EducationalEducationalEducationalEducational QualificationQualificationQualificationQualification ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

QualificationQualificationQualificationQualification RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Below HSC 25 16.66

Graduate 54 36

Post- Graduate 30 20

Professional 41 27.33

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.4 shows the educational qualifications of the

respondents. It reveals that the 16.66 percent respondents are having

educational qualification below higher secondary level, 36 percent

respondents are Graduate, 20 percent of respondents are Post- Graduates

and 27.33 percent respondents are professionals.

FigureFigureFigureFigure 4.2.44.2.44.2.44.2.4

EducationalEducationalEducationalEducational QualificationQualificationQualificationQualification ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

QualificationQualificationQualificationQualification

0 5 10 15 20 25 30 35 40

Below HSC

Graduate

Post- Graduate

Professional

Percentage

16.66

36

20

27.33

52

4.2.5.4.2.5.4.2.5.4.2.5. OccupationOccupationOccupationOccupation ---- WiseWiseWiseWise ClassificationClassificationClassificationClassification ofofofof thethethethe RespondentsRespondentsRespondentsRespondentsOccupation is the deciding factor of the status of an individual.

This occupies an important role in using banking services. The table below

shows the occupation of the respondents.

TableTableTableTable No.No.No.No. 4.2.54.2.54.2.54.2.5

Occupation-WiseOccupation-WiseOccupation-WiseOccupation-Wise ClassificationClassificationClassificationClassification ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

OccupationOccupationOccupationOccupation RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Government employee 77 51.33

Private Employee 24 16

Self- employee 32 21.33

Professional workers 17 11.33

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.5 shows the occupation –wise classification of

respondents. It depicts that 51.33 percent respondents are government

employees, 16 percent of the respondents are private employees, 21.33

percent respondents are self-employed and11.33 percent respondents are

professional workers.

FigureFigureFigureFigure 4.2.54.2.54.2.54.2.5

OccupationOccupationOccupationOccupation ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

OccupationOccupationOccupationOccupation

P e rc e n ta g e

B e lo w H S C , 1 6 .6 6

G ra d u a t e , 3 6P o s t - G ra d u a t e , 2 0

P ro f e s s io n a l, 2 7 . 3 3

B e l o w H S C

G r a d u ate

P o s t- G r a d u ateP r o f e s s i onal

53

4.2.6.4.2.6.4.2.6.4.2.6. IncomeIncomeIncomeIncome ---- WiseWiseWiseWise ClassificationClassificationClassificationClassification ofofofof thethethethe RespondentsRespondentsRespondentsRespondentsPeople at all levels of income use banking services. The table below

shows the classification of respondents on the basis of their monthly

income.

TableTableTableTable No.No.No.No. 4.2.64.2.64.2.64.2.6

Income-WiseIncome-WiseIncome-WiseIncome-Wise ClassificationClassificationClassificationClassification ofofofof RespondentsRespondentsRespondentsRespondents

MonthlyMonthlyMonthlyMonthly IncomeIncomeIncomeIncome RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Up to 10,000 10 6.66

10,000- 20,000 13 8.66

20,000- 30,000 51 34

Above 30,000 76 50.66

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.6 reveals the income-wise classification of the

respondents. From the above table it is found that, 6.66 percent of

respondents are earning up to 10,000 p.m. 8.66 percent of respondents’

monthly income is between Rs. 10,000 and Rs. 20,000 p.m. 34 percent

respondents’ monthly income is from Rs. 20,000 to Rs. 30,000 and 50.66

respondents are getting more than Rs. 30,000 p.m.

FigureFigureFigureFigure 4.2.64.2.64.2.64.2.6

IncomeIncomeIncomeIncome ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

0 10 20 30 40 50 60

Up to 10,000

10,000- 20,000

20,000- 30,000

Above 30,000

Percentage

6.66

8.66

34

50.66

IncomeIncomeIncomeIncome

54

4.2.7.4.2.7.4.2.7.4.2.7. SourcesSourcesSourcesSources ofofofof GettingGettingGettingGetting InformationInformationInformationInformation AboutAboutAboutAbout SBISBISBISBIThe following table shows the major sources of information about

SBI to the respondents.

TableTableTableTable No.No.No.No. 4.2.74.2.74.2.74.2.7

SourceSourceSourceSource ofofofof GettingGettingGettingGetting InformationInformationInformationInformation aboutaboutaboutabout SBISBISBISBI

SourceSourceSourceSource RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Advertisement 40 26.67

Friends 79 52.67

Relatives 31 20.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

The above Table No. 4.2.7 shows the sources of getting information

about SBI by the respondents. It reveals that 26.67 percent of the

respondents came to know about this bank through watching

advertisements, 52.67 percent of respondents through friends and 20.67

percent of respondents got awareness through relatives.

FigureFigureFigureFigure 4.2.74.2.74.2.74.2.7

SourcesSourcesSourcesSources ofofofof GettingGettingGettingGetting InformationInformationInformationInformation aboutaboutaboutabout SBISBISBISBI

0

10

20

30

40

50

60

Advertisement Friends Relatives

Percentage

26.67

52.67

20.67

SourcesSourcesSourcesSources ofofofof informationinformationinformationinformation

55

4.2.8.4.2.8.4.2.8.4.2.8. ReasonReasonReasonReason forforforfor thethethethe PreferencePreferencePreferencePreference ofofofof SBISBISBISBIThe customers have different criteria for preferring a bank. The

following table shows the reason for the preference of the SBI banking

services by the respondents.

TableTableTableTable No.No.No.No. 4.2.84.2.84.2.84.2.8

ReasonsReasonsReasonsReasons forforforfor thethethethe PreferencePreferencePreferencePreference ofofofof SBISBISBISBI

ReasonsReasonsReasonsReasons RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Customer service 20 13.33

Easy accessibility 60 40

Favourable interest 20 13.33

Quick service 40 26.67

Goodwill 10 6.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.8 shows the reason for the preference of SBI by the

respondents. From the above table, it is found that 13.33 percent of the

respondents have preferred this bank because of the customer service

rendered by the bank, 40 percent respondents prefer this bank due to

easy accessibility, 13.33 percent of the respondents have preferred this

bank because of favorable interest, 26.67 percent of the respondents

prefer this bank due to quick service and the remaining 6.67 percent

prefer this bank because of its goodwill among the public.

56

FigureFigureFigureFigure 4.2.84.2.84.2.84.2.8

ReasonReasonReasonReason forforforfor thethethethe PreferencePreferencePreferencePreference ofofofof SBISBISBISBI

0

5

10

15

20

25

30

35

40

45

Customer service Easy accessibility Favorable interest Quick service Goodwill

PercentagePercentagePercentagePercentage

13.33

40

13.33

26.67

6.67

ReasonReasonReasonReason forforforfor thethethethe PreferencePreferencePreferencePreference

4.2.9.4.2.9.4.2.9.4.2.9. TypesTypesTypesTypes ofofofof AccountsAccountsAccountsAccounts MaintainedMaintainedMaintainedMaintained bybybyby RespondentsRespondentsRespondentsRespondents InInInIn

thethethethe BankBankBankBankThere are different types of accounts in the SBI to help the

customers to deposit and withdraw their money at any time. The following

table shows the types of account maintained by the respondents in the

SBI.

TableTableTableTable No.No.No.No. 4.2.94.2.94.2.94.2.9

TypesTypesTypesTypes ofofofof AccountsAccountsAccountsAccounts MaintainedMaintainedMaintainedMaintained bybybyby thethethethe RespondentsRespondentsRespondentsRespondents

TypesTypesTypesTypes ofofofof accountaccountaccountaccount RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Current account 20 13.33

Savings bank account 55 36.67

Fixed deposit account 10 6.67

Recurring deposit account 15 10

Loan account 50 33.33

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary DataDataDataData

57

The above Table No.4.2.9 shows classification of types of account

maintained by the respondents in SBI. It reveals that 13.33 percent

respondents are current account holders, 36.67 percent respondents have

saving bank accounts, 6.67 percent respondents have fixed deposits

account, 10 percent of the respondents have recurring deposit account,

and 33.33 percent respondents have loan accounts.

FigureFigureFigureFigure 4.2.94.2.94.2.94.2.9

TypesTypesTypesTypes ofofofof AccountsAccountsAccountsAccounts MaintainedMaintainedMaintainedMaintained bybybyby thethethethe RespondentsRespondentsRespondentsRespondents

PercentagePercentagePercentagePercentage

Current account, 13%

Savings bank account, 37%

Fixed deposit account, 7%

Recurring Deposit account, 10%

Loan Account, 33% Current account

Savings bank account

Fixed deposit account

Recurring Deposit account

Loan Account

TypesTypesTypesTypes ofofofof AccountsAccountsAccountsAccounts

4.2.10.4.2.10.4.2.10.4.2.10.DurationDurationDurationDuration ofofofof BankBankBankBank AccountsAccountsAccountsAccounts OperatedOperatedOperatedOperated bybybyby thethethethe

RespondentsRespondentsRespondentsRespondentsIt is important to note how long the customers were using bank

accounts and thereby availing banking services. The following table shows

the duration of bank accounts operated by respondents.

58

TableTableTableTable No:No:No:No: 4.2.104.2.104.2.104.2.10

DurationDurationDurationDuration ofofofof BankBankBankBank AccountsAccountsAccountsAccounts OperatedOperatedOperatedOperated bybybyby thethethethe RespondentsRespondentsRespondentsRespondents

PeriodPeriodPeriodPeriod RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Below One year 28 18.67

1 to 3 years 26 17.33

3 to 6 years 64 42.67

More than 6 years 32 21.33

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.10 shows the duration of bank account operated by

the respondents. The above table depicts that 18.67 percent respondents

are dealing with this bank for less than one year, 17.33 percent

respondents having account with the bank for more than one year, 42.67

percent respondents are dealing with this bank for more than 3 years and

21.33 percent respondents are dealing with the bank for more than 6

years.

FigureFigureFigureFigure 4.2.104.2.104.2.104.2.10

DurationDurationDurationDuration ofofofof BankBankBankBank AccountsAccountsAccountsAccounts

0

5

10

15

20

25

30

35

40

45

Below One year 1 to 3 years 3 to 6 years More than 6 years

Percentage

18.67 17.33

42.67

21.33

DurationDurationDurationDuration ofofofof BankBankBankBank AccountsAccountsAccountsAccounts

4.2.11.4.2.11.4.2.11.4.2.11.FrequencyFrequencyFrequencyFrequency ofofofof UsingUsingUsingUsing BankingBankingBankingBanking ServicesServicesServicesServices

59

It is important to note how often a customer uses banking services.

The following table shows the frequency of using banking facilities by

respondents.

TableTableTableTable 4.2.114.2.114.2.114.2.11

FrequencyFrequencyFrequencyFrequency ofofofof UsingUsingUsingUsing BankingBankingBankingBanking ServicesServicesServicesServicesFrequencyFrequencyFrequencyFrequency ofofofof

bankingbankingbankingbanking

No.No.No.No. ofofofof RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Daily 19 12.67

Once to thrice a week 56 37.33

Once in two weeks 42 28.00

Once in a moths 33 22.00

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary DataDataDataData

Table No. 4.2.11 shows the frequency of using banking services by

the respondents. The above table shows that, out of the 150 respondents

selected for study, 12.67 percent of the respondents are using - banking

services daily where as 37.33 percent of the respondents are banking once

to thrice a week. 28 percent of the respondents are using banking services

once in two weeks and the remaining 22 Percent of the respondents are

using the banking services once in a month.

60

FigureFigureFigureFigure 4.2.114.2.114.2.114.2.11

FrequencyFrequencyFrequencyFrequency ofofofof UsingUsingUsingUsing BankingBankingBankingBanking ServicesServicesServicesServices

PercentagePercentagePercentagePercentage

Daily, 13%

Once to thrice a week, 37%

Other, 50%

Once in two weeks, 28%

Once in a month, 22%

FrequencyFrequencyFrequencyFrequency ofofofof BankingBankingBankingBanking

4.2.12.4.2.12.4.2.12.4.2.12.ModeModeModeMode ofofofof DealingDealingDealingDealing WithWithWithWith BankBankBankBankIt is important to segregate respondents who use banking

facilities online and both traditional banking facilities. The following table

shows the classifications of respondents according to the mode of dealing

with bank.

TableTableTableTable No.No.No.No. 4.2.124.2.124.2.124.2.12

ModeModeModeMode ofofofof DealingDealingDealingDealing withwithwithwith BankBankBankBank

DealingDealingDealingDealing RespondentRespondentRespondentRespondent PercentagePercentagePercentagePercentage

E-Banking 72 48

Traditional Banking 78 52

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.12 shows the classification of respondents

according to the mode of dealing with bank. It depicts that 52 percent

61

respondents deal with traditional banking where as 48 percent

respondents are dealing with this bank trough E-banking.

FigureFigureFigureFigure 4.2.124.2.124.2.124.2.12

ModeModeModeMode ofofofof DealingDealingDealingDealing withwithwithwith BankBankBankBank

PercentagePercentagePercentagePercentage

E-Banking, 85%

Traditional banking, 15%

E-Banking

Traditional banking

ModeModeModeMode ofofofof DealingDealingDealingDealing withwithwithwith BankBankBankBank

4.2.13.4.2.13.4.2.13.4.2.13.OpinionOpinionOpinionOpinion onononon SavingSavingSavingSaving BankBankBankBank AccountAccountAccountAccountIt is important to know customers’ opinion on saving bank account

maintained by then in the bank. The table below shows the respondents’

opinion on saving bank account.

TableTableTableTable No.4.2.13No.4.2.13No.4.2.13No.4.2.13

OpinionOpinionOpinionOpinion onononon SavingsSavingsSavingsSavings BankBankBankBank AccountAccountAccountAccount

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Highly Satisfied 24 16.00

Satisfied 92 61.33

Dissatisfied 30 20.00

Highly dissatisfied 4 2.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

62

The above Table No.4.2.13 shows the respondents’ opinion on saving

bank account. It shows that, out of the 150 respondents, 16 percent

saving account holders are highly satisfied with bank’s services, 61.33

percent of the respondents are satisfied with the services towards savings

account, 20 percent of the respondents are dissatisfied with the services

rendered and only 2.67 percent of the respondents are highly dissatisfied.

FigureFigureFigureFigure 4.2.134.2.134.2.134.2.13

OpinionOpinionOpinionOpinion onononon SavingSavingSavingSaving BankBankBankBank AccountAccountAccountAccount

OpinionOpinionOpinionOpinion onononon SavingSavingSavingSaving BankBankBankBank AccountAccountAccountAccount

4.2.14.4.2.14.4.2.14.4.2.14.OpinionOpinionOpinionOpinion onononon FormalitiesFormalitiesFormalitiesFormalities totototo OpenOpenOpenOpen anananan AccountAccountAccountAccount

Customers may have different opinion on the formalities involved in

opening an account in the bank. The following table shows the

respondents’ opinion on formalities involved in opening an account.

63

TableTableTableTable No.No.No.No. 4.2.144.2.144.2.144.2.14

OpinionOpinionOpinionOpinion onononon FormalitiesFormalitiesFormalitiesFormalities totototo OpenOpenOpenOpen anananan AccountAccountAccountAccount

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Highly Satisfied 42 28.00

Satisfied 83 55.33

Dissatisfied 12 8.00

Highly satisfied 13 8.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

The above table No. 4.2.14 shows the respondents’ opinion about

the formalities involved in opening an account. It reveals that 28 percent

respondents are highly satisfied with the formalities involved to open an

account, 55.33 percent respondents are satisfied. 8 percent of the

respondents are dissatisfied and 8.67 percent of the respondents are

highly dissatisfied.

FigureFigureFigureFigure 4.2.144.2.144.2.144.2.14

OpinionOpinionOpinionOpinion onononon FormalitiesFormalitiesFormalitiesFormalities totototo OpenOpenOpenOpen anananan AccountAccountAccountAccount

0

10

20

30

40

50

60

Highly Satisfied Satisfied Dissatisfied Highly satisfied

Percentage

28

55.33

8 8.67

FormalitiesFormalitiesFormalitiesFormalities totototo OpenOpenOpenOpen anananan AccountAccountAccountAccount

64

4.2.15.4.2.15.4.2.15.4.2.15.CustomersCustomersCustomersCustomers’’’’ SatisfactionSatisfactionSatisfactionSatisfaction LevelLevelLevelLevel onononon LocalLocalLocalLocal ChequeChequeChequeCheque

ClearanceClearanceClearanceClearanceBank has its own policy for clearing local cheque. The following

table shows the customers satisfaction level on clearing local cheques.

TableTableTableTable No.No.No.No. 4.2.154.2.154.2.154.2.15

CustomersCustomersCustomersCustomers’’’’ SatisfactionSatisfactionSatisfactionSatisfaction LevelLevelLevelLevel onononon LocalLocalLocalLocal ChequeChequeChequeCheque ClearanceClearanceClearanceClearance

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Highly Satisfied 24 16.00

Satisfied 110 73.33

Dissatisfied 6 4.00

Highly dissatisfied 10 6.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.15 shows the respondents’ satisfaction level on local

cheques clearance. From the above table it is found that, out of 150

respondents selected for study 16 percent of the respondents are highly

satisfied with regards to clearing of local cheques, 73.33 percent of the

respondents are satisfied with regards to clearings of local cheques, 4

percent of the respondents are dissatisfied and the remaining 6.67 percent

of the respondents are highly dissatisfied with this service.

65

FigureFigureFigureFigure 4.2.154.2.154.2.154.2.15

CustomersCustomersCustomersCustomers’’’’ SatisfactionSatisfactionSatisfactionSatisfaction LevelLevelLevelLevel onononon LocalLocalLocalLocal ChequeChequeChequeCheque

ClearanceClearanceClearanceClearance

LocalLocalLocalLocal ChequeChequeChequeCheque ClearanceClearanceClearanceClearance

4.2.16.4.2.16.4.2.16.4.2.16.CustomersCustomersCustomersCustomers’’’’ SatisfactionSatisfactionSatisfactionSatisfaction LevelLevelLevelLevel onononon OutstationOutstationOutstationOutstation ChequeChequeChequeCheque

ClearanceClearanceClearanceClearanceBank plays an important role in clearing of outstation cheques. Table

4.2.16 shows the customers’ satisfaction level on outstation cheques

clearance.

TableTableTableTable No.No.No.No. 4.2.164.2.164.2.164.2.16

CustomersCustomersCustomersCustomers’’’’ SatisfactionSatisfactionSatisfactionSatisfaction LevelLevelLevelLevel onononon OutstationOutstationOutstationOutstation ChequeChequeChequeCheque ClearanceClearanceClearanceClearance

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

High satisfied 25 16.67

Satisfied 110 73.33

Dissatisfied 7 4.67

Highly dissatisfied 8 5.33

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

66

Table No. 4.2.16 shows the respondents’ satisfaction level on

outstation cheques clearance. From the above table it is found that out of

150 respondents 16.67 percent of respondents are highly satisfied, 73.33

percent of the respondents are satisfied. 4.67 percent of respondents are

dissatisfied with regards to the collection of outstation cheques and 5.33

percent of respondents are highly dissatisfied with regards to the

collection of outstation cheques.

FigureFigureFigureFigure 4.2.164.2.164.2.164.2.16

CustomersCustomersCustomersCustomers’’’’ SatisfactionSatisfactionSatisfactionSatisfaction LevelLevelLevelLevel onononon OutstationOutstationOutstationOutstation ChequeChequeChequeCheque ClearanceClearanceClearanceClearance

OutstationOutstationOutstationOutstation ChequeChequeChequeCheque ClearanceClearanceClearanceClearance

4.2.17.4.2.17.4.2.17.4.2.17.RespondentsRespondentsRespondentsRespondents’’’’ OpinionOpinionOpinionOpinion onononon SanctionSanctionSanctionSanction ofofofof LoansLoansLoansLoansLoan is one of the methods of lending money from the bank. Bank has

certain rules and regulations for lending. The table below shows the

respondents opinion on sanction of loan.

67

TableTableTableTable No.4.2.17No.4.2.17No.4.2.17No.4.2.17

RespondentsRespondentsRespondentsRespondents’’’’ OpinionOpinionOpinionOpinion onononon SanctionSanctionSanctionSanction ofofofof LoansLoansLoansLoans

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

High satisfied 34 22.67

Satisfied 89 59.33

Dissatisfied 15 10.00

Highly dissatisfied 12 8.00

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No.4.2.17 shows the respondents’ opinion on loan sanctioning

process. From the above table it is found that 22 .67percent of the

respondents are highly satisfied with loan sanctioning process and 59.33

percent of the respondents are satisfied. 10 percent of the respondents are

dissatisfied and 8 percent of the respondents are highly dissatisfied.

FigureFigureFigureFigure 4.2.174.2.174.2.174.2.17

RespondentsRespondentsRespondentsRespondents’’’’ OpinionOpinionOpinionOpinion onononon SanctionSanctionSanctionSanction ofofofof LoansLoansLoansLoans

0 10 20 30 40 50 60 70

High satisfied

Satisfied

Dissatisfied

Highly dissatisfied

PercentagePercentagePercentagePercentage

22.67

59.33

10

8

RespondentsRespondentsRespondentsRespondents’’’’ OpinionOpinionOpinionOpinion onononon SanctionSanctionSanctionSanction ofofofof LoansLoansLoansLoans

4.2.18.4.2.18.4.2.18.4.2.18.CommutanceCommutanceCommutanceCommutance totototo BankBankBankBank PremisesPremisesPremisesPremises

68

Distance to the bank is the major factor affecting the bank selection

decision. The following table shows the respondents’ opinion about

distance to the premises of the bank.

TableTableTableTable No.No.No.No. 4.2.184.2.184.2.184.2.18

CommutanceCommutanceCommutanceCommutance totototo BankBankBankBank PremisesPremisesPremisesPremises

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Very far 38 25.33

Far 103 68.67

No frequent transport

Available

9 6.00

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.18 shows the respondents’ opinion about distance to

the premises of the bank. It depicts that 25.33 percent respondents have

to commute a very far distance to reach the bank where as 68.67 percent

of the respondents have to travel quite a long distance. The remaining 6

percent of the respondents do not have frequent transport facilities

available to the bank.

69

FigureFigureFigureFigure 4.2.184.2.184.2.184.2.18

CommutanceCommutanceCommutanceCommutance totototo BankBankBankBank PremisesPremisesPremisesPremises

DistanceDistanceDistanceDistance totototo BankBankBankBank

4.2.19.4.2.19.4.2.19.4.2.19.AvailabilityAvailabilityAvailabilityAvailability ofofofof ServiceServiceServiceService MaterialsMaterialsMaterialsMaterials atatatat BankBankBankBankAvailability of service materials such as pamphlets, statements and

various forms are necessary to the customers. The table below is the

respondents’ opinion about the availability of these materials associated

with banking services.

TableTableTableTable No.No.No.No. 4.2.194.2.194.2.194.2.19

AvailabilityAvailabilityAvailabilityAvailability ofofofof ServiceServiceServiceService MaterialsMaterialsMaterialsMaterials atatatat BankBankBankBank

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Rarely 56 37.33

Very scarce 82 54.67

Available but not given to

customers

12 8.00

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

70

Table No. 4.2.19 shows availability of services materials at bank.

From the above table it is found that, out of 150 respondents have

selected for the study, 37.33 percent of the respondents seen such

materials at the bank very rarely whereas 54.67 percent of the

respondents are seen them very scarce. The remaining 8 percent of the

respondents are at the opinion that materials are available but not given

to the customers.

FigureFigureFigureFigure 4.2.194.2.194.2.194.2.19

AvailabilityAvailabilityAvailabilityAvailability ofofofof ServiceServiceServiceService MaterialsMaterialsMaterialsMaterials atatatat BankBankBankBank

PercentagePercentagePercentagePercentage

Rarely, 37%

Very scarce, 55%

Available but not given to customers,

8%

Rarely

Very scarce

Available but not given to customers

ServiceServiceServiceService MaterialsMaterialsMaterialsMaterials

4.2.20.4.2.20.4.2.20.4.2.20.DischargeDischargeDischargeDischarge ofofofof BankingBankingBankingBanking ServicesServicesServicesServices inininin TimeTimeTimeTimeAll the customers expect banking services at a reasonable time. The

following table shows the respondents’ opinion on discharge of banking

services in time.

71

TableTableTableTable No.No.No.No. 4.2.204.2.204.2.204.2.20

DischargeDischargeDischargeDischarge ofofofof BankingBankingBankingBanking ServicesServicesServicesServices inininin TimeTimeTimeTime

PerformancePerformancePerformancePerformance RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Sometimes 134 89.33

Always 16 10.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.20 shows the respondents’ opinion on the discharge of

banking services in time. From the above table it is found that, out 150

respondents 89.33 percent of the respondents feel that banks perform

their services at appropriate time only on sometimes. 10.67 percent of the

respondents said that bank performs their services always in the

appropriate time.

FigureFigureFigureFigure 4.2.204.2.204.2.204.2.20

DischargeDischargeDischargeDischarge ofofofof BankingBankingBankingBanking ServicesServicesServicesServices inininin TimeTimeTimeTime

PercentagePercentagePercentagePercentage

Sometimes, 89%

Always, 11%

Sometimes

Always

DischargeDischargeDischargeDischarge ofofofof BankingBankingBankingBanking ServicesServicesServicesServices inininin TimeTimeTimeTime

72

4.2.21.4.2.21.4.2.21.4.2.21.PriorityPriorityPriorityPriority AllowedAllowedAllowedAllowed bybybyby thethethethe BankBankBankBank totototo CustomersCustomersCustomersCustomersTable below is the respondents’ opinions on priority allowed by the

bank to customers.

TableTableTableTable No.No.No.No. 4.2.214.2.214.2.214.2.21

PriorityPriorityPriorityPriority AllowedAllowedAllowedAllowed bybybyby thethethethe BankBankBankBank totototo CustomersCustomersCustomersCustomers

PriorityPriorityPriorityPriority RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Some staff 28 18.67

Very rarely 43 28.67

Never 79 52.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.21 shows the respondents’ opinions on priority

allowed by the bank to customers. From the above table it is found that

18.67 percent of the respondents are getting priority treatments from

some staff of the bank whereas 28.67 percent of the respondents are

getting priority treatment from the bank very rarely. The remaining 52.67

percent of the respondents are never getting any priority treatment from

the bank.

73

FigureFigureFigureFigure 4.2.214.2.214.2.214.2.21

PriorityPriorityPriorityPriority AllowedAllowedAllowedAllowed bybybyby thethethethe BankBankBankBank totototo CustomersCustomersCustomersCustomers

PercentagePercentagePercentagePercentage

Some staff, 19%

Very rarely, 29%

Never, 52%

Some staff

Very rarely

Never

PriorityPriorityPriorityPriority AllowedAllowedAllowedAllowed bybybyby thethethethe BankBankBankBank totototo CustomersCustomersCustomersCustomers

4.2.22.4.2.22.4.2.22.4.2.22. IndividualIndividualIndividualIndividual AttentionAttentionAttentionAttention EnjoyedEnjoyedEnjoyedEnjoyed bybybyby CustomersCustomersCustomersCustomersMany customers expect individual attention from the bank- officials,

especially, regular customers. The table below is the respondents’ opinion

on individual attention enjoyed by customers.

TableTableTableTable No.No.No.No. 4.2.224.2.224.2.224.2.22

IndividualIndividualIndividualIndividual AttentionAttentionAttentionAttention EnjoyedEnjoyedEnjoyedEnjoyed bybybyby CustomersCustomersCustomersCustomers

AttentionAttentionAttentionAttention RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Not at all 63 42.00

Always 52 34.67

Sometimes 35 23.33

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.22 shows the respondents’ opinion regarding the

individual attention which they receive from the bank. From the above

table it is found that 42 percent of the respondents are not at all getting

74

individual attention from the bank. 34.67 percent of the respondents are

always getting individual attention whereas 23.33 percent of the

respondents are getting individual attention only sometimes only.

FigureFigureFigureFigure 4.2.224.2.224.2.224.2.22

IndividualIndividualIndividualIndividual AttentionAttentionAttentionAttention EnjoyedEnjoyedEnjoyedEnjoyed bybybyby CustomersCustomersCustomersCustomers

IndividualIndividualIndividualIndividual AttentionAttentionAttentionAttention

4.2.23.4.2.23.4.2.23.4.2.23.AvailabilityAvailabilityAvailabilityAvailability ofofofof ModernModernModernModern AmenitiesAmenitiesAmenitiesAmenities atatatat thethethethe BankBankBankBankThe bank which has modern equipment, tools and technology can

provide better and faster services. The following table is the respondents’

opinion about the availability of modern equipment and tools in the bank.

75

TableTableTableTable No.No.No.No. 4.2.234.2.234.2.234.2.23

AvailabilityAvailabilityAvailabilityAvailability ofofofof ModernModernModernModern AmenitiesAmenitiesAmenitiesAmenities atatatat thethethethe BankBankBankBank

ModernModernModernModern equipmentequipmentequipmentequipment RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Not many 73 48.67

Many 21 14.00

Nothing 56 37.33

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.23 shows the respondents’ opinion about availability

of modern equipment and tools in the bank. From the above table it is

found that 48.67 percent of the respondents’ banks do not have many

modern equipment and tools. At the same time 14 percent of the

respondents’ banks have much modern equipment and tools whereas

37.33 percent of the respondents’ banks have no modern equipment and

tools at all.

FigureFigureFigureFigure 4.2.234.2.234.2.234.2.23

AvailabilityAvailabilityAvailabilityAvailability ofofofof ModernModernModernModern AmenitiesAmenitiesAmenitiesAmenities atatatat thethethethe BankBankBankBank

ModernModernModernModern AmenitiesAmenitiesAmenitiesAmenities atatatat thethethethe BankBankBankBank

76

4.2.24.4.2.24.4.2.24.4.2.24.PromptnessPromptnessPromptnessPromptness ofofofof ServicesServicesServicesServices fromfromfromfrom CustomersCustomersCustomersCustomers’’’’

PerspectivePerspectivePerspectivePerspectiveThe following table is the respondents’ opinion about the prompt

services which they receive from the bank’s staff.

TableTableTableTable No.No.No.No. 4.2.244.2.244.2.244.2.24

PromptnessPromptnessPromptnessPromptness ofofofof ServicesServicesServicesServices fromfromfromfrom CustomersCustomersCustomersCustomers’’’’ PerspectivePerspectivePerspectivePerspective

ServicesServicesServicesServices RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

un crowded 32 21.33

Usual time 67 44.67

Never 51 34.00

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.24 shows the respondents’ opinion about the prompt

services of the bank’s staff. From the above table it is found that 21.33

percent of the respondents are receiving prompt services from the bank if

it is not crowded. 44.67 percent of the respondents are getting prompt

services from the bank in the ordinary banking time. The remaining 34

percent of the respondents are never getting any prompt services from the

bank.

77

FigureFigureFigureFigure 4.2.244.2.244.2.244.2.24

PromptnessPromptnessPromptnessPromptness ofofofof ServicesServicesServicesServices fromfromfromfrom CustomersCustomersCustomersCustomers’’’’ PerspectivePerspectivePerspectivePerspective

PromptPromptPromptPrompt ServicesServicesServicesServices ofofofof BankBankBankBank

4.2.25.4.2.25.4.2.25.4.2.25.ConvenienceConvenienceConvenienceConvenience ofofofof BankBankBankBank WorkingWorkingWorkingWorking HoursHoursHoursHours totototo CustomersCustomersCustomersCustomersBank operating hours play a major role in success of banking business

and it attract many customers. Table below is the respondents’ opinion on

bank operating hours.

TableTableTableTable No.No.No.No. 4.2.254.2.254.2.254.2.25

ConvenienceConvenienceConvenienceConvenience ofofofof BankBankBankBank WorkingWorkingWorkingWorking HoursHoursHoursHours totototo CustomersCustomersCustomersCustomers

ConvenienceConvenienceConvenienceConvenience RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Not at all 57 38.00

Sometimes /Usually 84 56.00

In some seasons 9 6.00

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

78

Table 4.2.25 shows the respondents’ opinion on bank operating

hours. From the above table it is found that, out of 150 respondents

selected for the study, bank operating hours are not convenient for 38

percent of the respondents. For 56 percent of the respondents bank

operating hours are convenient only sometimes and for the remaining 6

percent of the respondents only in some seasons.

FigureFigureFigureFigure 4.2.254.2.254.2.254.2.25

ConvenienceConvenienceConvenienceConvenience ofofofof BankBankBankBank WorkingWorkingWorkingWorking HoursHoursHoursHours totototo CustomersCustomersCustomersCustomers

PercentagePercentagePercentagePercentage

Not at all, 56%Sometimes, 38%

In some seasons, 6%

0%

Not at all

Sometimes

In some seasons

ConvenienceConvenienceConvenienceConvenience ofofofof BankBankBankBank WorkingWorkingWorkingWorking HoursHoursHoursHours totototo CustomersCustomersCustomersCustomers

4.2.26.4.2.26.4.2.26.4.2.26.BankBankBankBank’’’’ssss AwarenessAwarenessAwarenessAwareness inininin SolvingSolvingSolvingSolving CustomersCustomersCustomersCustomers’’’’ IssuesIssuesIssuesIssuesThe following table is the respondents’ opinion of the bank’s interest

in solving their problems.

79

TableTableTableTable No.No.No.No. 4.2.264.2.264.2.264.2.26

BankBankBankBank’’’’ssss AwarenessAwarenessAwarenessAwareness inininin SolvingSolvingSolvingSolving CustomersCustomersCustomersCustomers’’’’ IssuesIssuesIssuesIssues

ProblemsProblemsProblemsProblems RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Not at all 25 16.67

Occasionally 94 62.67

Frequently 31 20.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No.4.2.26 shows the banks’ interest in solving the

respondents’ problem. From the above table it is found that, 16.67percent

of the respondents’ bank is not at all taking any interest in solving their

problem. 62.67 percent of the respondents, banks show interest in solving

their problems occasionally and it reveals that only 20.67 percent of

respondents’ banks are taking major steps in solving their problem

frequently.

FigureFigureFigureFigure 4.2.264.2.264.2.264.2.26

BankBankBankBank’’’’ssss AwarenessAwarenessAwarenessAwareness inininin SolvingSolvingSolvingSolving CustomersCustomersCustomersCustomers’’’’ IssuesIssuesIssuesIssues

BankBankBankBank’’’’ssss AwarenessAwarenessAwarenessAwareness inininin SolvingSolvingSolvingSolving CustomersCustomersCustomersCustomers’’’’ IssuesIssuesIssuesIssues

80

4.2.27.4.2.27.4.2.27.4.2.27. OpinionOpinionOpinionOpinion onononon BankBankBankBank StaffsStaffsStaffsStaffs’’’’ BehaviourBehaviourBehaviourBehaviourBanks staffs’ behavior will greatly affect and bring confidence in

customers. Table below is the respondents’ opinion about banks staffs’

behaviour.

TableTableTableTable No.No.No.No. 4.2.274.2.274.2.274.2.27

OpinionOpinionOpinionOpinion onononon BankBankBankBank StaffsStaffsStaffsStaffs’’’’ BehaviourBehaviourBehaviourBehaviour

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

No 30 20.00

Sometimes 99 66.00

Never 21 14.00

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.27 shows the respondents’ opinion on bank staffs'

behaviour. From the above table it is found that 20 percent of respondents

are not getting confidence by the behaviour of the bank’s staff. 66 percent

of respondents are sometimes feeling confident and the remaining 14

percent of respondents are not able to gain confidence through the bank

staff’s behaviour.

81

FigureFigureFigureFigure 4.2.274.2.274.2.274.2.27

OpinionOpinionOpinionOpinion onononon BankBankBankBank StaffsStaffsStaffsStaffs’’’’ BehaviourBehaviourBehaviourBehaviour

BankBankBankBank StaffsStaffsStaffsStaffs’’’’ BehaviorBehaviorBehaviorBehavior

4.2.28.4.2.28.4.2.28.4.2.28.AvailabilityAvailabilityAvailabilityAvailability ofofofof UpdatedUpdatedUpdatedUpdated PhysicalPhysicalPhysicalPhysical FacilitiesFacilitiesFacilitiesFacilities inininin BankBankBankBankBank’s physical facility such as Computer, Telephone, and Printing

machine is key factors which affect the banking business. The following

table is the respondents’ opinion about the bank’s physical facility.

TableTableTableTable No.No.No.No. 4.2.284.2.284.2.284.2.28

AvailabilityAvailabilityAvailabilityAvailability ofofofof UpdatedUpdatedUpdatedUpdated PhysicalPhysicalPhysicalPhysical FacilitiesFacilitiesFacilitiesFacilities inininin BankBankBankBank

FacilitiesFacilitiesFacilitiesFacilities RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

not very recently 79 52.67

Itis very outdated 44 29.33

updated recently 27 18.00

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.28 shows the respondents’ view on availability of

updated physical facilities in bank. From the above table it is found that

82

52.67 percent of respondents feel that they were not updated very recently,

29.33 percent of respondents say they are very out dated and 18 percent

of respondents feel they were updated recently.

FigureFigureFigureFigure 4.2.284.2.284.2.284.2.28

AvailabilityAvailabilityAvailabilityAvailability ofofofof UpdatedUpdatedUpdatedUpdated PhysicalPhysicalPhysicalPhysical FacilitiesFacilitiesFacilitiesFacilities inininin BankBankBankBank

PhysicalPhysicalPhysicalPhysical FacilitiesFacilitiesFacilitiesFacilities inininin BankBankBankBank

4.2.29.4.2.29.4.2.29.4.2.29.SafetySafetySafetySafety inininin thethethethe BankingBankingBankingBanking BusinessBusinessBusinessBusinessSafety is the important factor in banking. The table below shows the

safety factor realized by customers in their banking transactions.

TableTableTableTable No.No.No.No. 4.2.294.2.294.2.294.2.29

SafetySafetySafetySafety inininin thethethethe BankingBankingBankingBanking BusinessBusinessBusinessBusiness

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Very much 95 63.33

not so much 34 22.67

sometimes yes 21 14.00

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

83

Table No. 4.2.29 shows the respondents’ view on safety in their

banking transactions. From the above table it is found that 63.33 percent

of respondents feel safe in their transactions where 22.67 percent of

respondents do not feel very safe and 21 percent of respondents are

feeling safe sometimes only.

FigureFigureFigureFigure 4.2.294.2.294.2.294.2.29

SafetySafetySafetySafety inininin thethethethe BankingBankingBankingBanking BusinessBusinessBusinessBusiness

SafetySafetySafetySafety inininin BankingBankingBankingBanking

4.2.30.4.2.30.4.2.30.4.2.30.CourtesyCourtesyCourtesyCourtesy ofofofof BankBankBankBank StaffStaffStaffStaff totototo CustomersCustomersCustomersCustomersThe following table is the classification of the respondents’ opinion

about bank’s staff behavior and how much bank’s staffs are courteous to

customers.

84

TableTableTableTable No.No.No.No. 4.2.304.2.304.2.304.2.30

CourtesyCourtesyCourtesyCourtesy ofofofof BankBankBankBank StaffStaffStaffStaff totototo CustomersCustomersCustomersCustomers

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Never 57 38.00

Some staff 49 32.67

All staff 44 29.33

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary DataDataDataData

Table No. 4.2.30 shows the respondents’ view about bank’s staff

behavior and how much bank’s staffs are courteous to them. It is found

that 38 percent of respondents’ bank staffs are never courteous to them.

32.67 percent of respondents are of the opinions that some staffs are

courteous whereas 29.33 percent of respondents are of the opinion that all

staffs are courteous to them.

FigureFigureFigureFigure 4.2.304.2.304.2.304.2.30

CourtesyCourtesyCourtesyCourtesy ofofofof BankBankBankBank StaffStaffStaffStaff totototo CustomersCustomersCustomersCustomers

CourtesyCourtesyCourtesyCourtesy ofofofof BankBankBankBank StaffStaffStaffStaff

85

4.2.31.4.2.31.4.2.31.4.2.31. InformingInformingInformingInforming ofofofof TimeTimeTimeTime ofofofof ServicesServicesServicesServices bybybyby BankBankBankBank StaffStaffStaffStaffThe service time is the key factor which attracts the customers

towards bank. The table below is the respondents’ view about the time of

service of the bank staff.

TableTableTableTable No.No.No.No. 4.2.314.2.314.2.314.2.31

InformingInformingInformingInforming ofofofof TimeTimeTimeTime ofofofof ServicesServicesServicesServices bybybyby BankBankBankBank StaffStaffStaffStaff

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Sometimes 67 44.67

Never 53 35.33

Always 30 20.00

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

From the above table it is found that, 44.67 percent of respondents

feel sometimes they get the information about the service time where

35.33 percent of respondents feel they are never getting information about

the service time and 20 percent respondents feel they always get the

information regarding the service time.

86

FigureFigureFigureFigure 4.2.314.2.314.2.314.2.31

InformingInformingInformingInforming ofofofof TimeTimeTimeTime ofofofof ServicesServicesServicesServices bybybyby BankBankBankBank StaffStaffStaffStaff

InformingInformingInformingInforming ofofofof TimeTimeTimeTime ofofofof ServicesServicesServicesServices bybybyby BankBankBankBank StaffStaffStaffStaff

4.2.32.4.2.32.4.2.32.4.2.32.AppearanceAppearanceAppearanceAppearance ofofofof BankBankBankBank EmployeesEmployeesEmployeesEmployeesThe following table shows the respondents’ opinion on bank

employees’ appearance.

TableTableTableTable No.No.No.No. 4.2.324.2.324.2.324.2.32

AppearanceAppearanceAppearanceAppearance ofofofof BankBankBankBank EmployeesEmployeesEmployeesEmployees

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Yes all of them 53 35.33

Never 48 32.00

Some of them 49 32.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table 4.2.32 shows the respondents’ view on bank employees’

appearance. From the above table it is found that 35.33 percent of

respondents feel that the bank employees are having pleasing

87

appearances, 32 percent of respondents said that they are not having

pleasing appearances and 32.67 percent of respondents said that some of

them are having pleasing appearances.

FigureFigureFigureFigure 4.2.324.2.324.2.324.2.32

AppearanceAppearanceAppearanceAppearance ofofofof BankBankBankBank EmployeesEmployeesEmployeesEmployees

AppearanceAppearanceAppearanceAppearance ofofofof BankBankBankBank EmployeesEmployeesEmployeesEmployees

4.2.33.4.2.33.4.2.33.4.2.33.WillingnessWillingnessWillingnessWillingness ofofofof BankBankBankBank StaffStaffStaffStaff totototo everevereverever AssistAssistAssistAssist CustomersCustomersCustomersCustomersThe following table shows the bank staffs’ willingness to assist the

respondents.

TableTableTableTable No.No.No.No. 4.2.334.2.334.2.334.2.33

WillingnessWillingnessWillingnessWillingness ofofofof BankBankBankBank StaffStaffStaffStaff totototo everevereverever AssistAssistAssistAssist CustomersCustomersCustomersCustomers

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Yes, always 87 58.00

Not at all 32 21.33

Some of them 31 20.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

88

Table No. 4.2.33 shows the respondents’ view on bank staffs’

willingness to assist the customers. From the above table it is found that,

58 percent of respondents are of the opinion that bank’s staffs are always

willing to assist them whereas 21.33 percent respondents are not at all.

Remaining 20.67 percent of respondents are of the opinion that some of

the bank’s staffs are willing to assist them.

FigureFigureFigureFigure 4.2.334.2.334.2.334.2.33

WillingnessWillingnessWillingnessWillingness ofofofof BankBankBankBank StaffStaffStaffStaff totototo everevereverever AssistAssistAssistAssist CustomersCustomersCustomersCustomers

WillingnessWillingnessWillingnessWillingness ofofofof BankBankBankBank StaffStaffStaffStaff totototo AssistAssistAssistAssist CustomersCustomersCustomersCustomers

4.2.34.4.2.34.4.2.34.4.2.34.MaintenanceMaintenanceMaintenanceMaintenance ofofofof ErrorErrorErrorError FreeFreeFreeFree RecordsRecordsRecordsRecordsIt is very important to keep error free records in banking industry. The

following table is the respondents’ opinion on error free record

maintenance in the bank.

89

TableTableTableTable No.No.No.No. 4.2.344.2.344.2.344.2.34

MaintenanceMaintenanceMaintenanceMaintenance ofofofof ErrorErrorErrorError FreeFreeFreeFree RecordsRecordsRecordsRecords

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Yes 82 54.67

No 43 28.67

Sometimes 25 16.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table 4.2.34 shows the respondents’ opinion on the error free

record maintenance in the bank. From the above table it is found that,

54.67 percent of respondents are of the opinion that banks maintain error

free records, whereas the 28.67 percent of respondents disagree with it

and 16.67 percent of respondents are of the opinion that sometimes they

are maintained.

FigureFigureFigureFigure 4.2.344.2.344.2.344.2.34

MaintenanceMaintenanceMaintenanceMaintenance ErrorErrorErrorError FreeFreeFreeFree RecordsRecordsRecordsRecords

PercentagePercentagePercentagePercentage

Yes, 55%No, 29%

Sometimes, 16%

Yes

No

Sometimes

MaintenanceMaintenanceMaintenanceMaintenance ofofofof ErrorErrorErrorError FreeFreeFreeFree RecordsRecordsRecordsRecords

90

4.2.35.4.2.35.4.2.35.4.2.35.BankBankBankBank StaffsStaffsStaffsStaffs’’’’ UnderstandingUnderstandingUnderstandingUnderstanding ofofofof CustomersCustomersCustomersCustomers’’’’ SpecificSpecificSpecificSpecific

NeedsNeedsNeedsNeedsThe following table is the respondents’ view on bank staffs’

understanding about customers’ specific needs.

TableTableTableTable No.No.No.No. 4.2.354.2.354.2.354.2.35

BankBankBankBank StaffsStaffsStaffsStaffs’’’’ UnderstandingUnderstandingUnderstandingUnderstanding ofofofof CustomersCustomersCustomersCustomers’’’’ SpecificSpecificSpecificSpecific NeedsNeedsNeedsNeeds

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Yes 78 52.00

Only some of them 53 35.33

None of them 19 12.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.35 shows the respondents’ opinion on bank staffs’

understanding about specific needs of customers. From the above table it

is found that, 52 percent of respondents say yes, 35.33 percent of

respondents say only some of them and 12.67 respondents say none of

them understanding the customer’s specific needs.

91

FigureFigureFigureFigure 4.2.354.2.354.2.354.2.35

BankBankBankBank StaffsStaffsStaffsStaffs’’’’ UnderstandingUnderstandingUnderstandingUnderstanding ofofofof CustomersCustomersCustomersCustomers’’’’ SpecificSpecificSpecificSpecific NeedsNeedsNeedsNeeds

BankBankBankBank StaffsStaffsStaffsStaffs’’’’ UnderstandingUnderstandingUnderstandingUnderstanding ofofofof CustomersCustomersCustomersCustomers’’’’ SpecificSpecificSpecificSpecific NeedsNeedsNeedsNeeds

4.2.36.4.2.36.4.2.36.4.2.36.LevelLevelLevelLevel ofofofof BankBankBankBank StaffsStaffsStaffsStaffs’’’’ ResponseResponseResponseResponse totototo CustomersCustomersCustomersCustomers’’’’ NeedsNeedsNeedsNeedsThe following table shows respondents’ opinion about the level of

bank staffs’ response to customer needs.

TableTableTableTable No.No.No.No. 4.2.364.2.364.2.364.2.36

LevelLevelLevelLevel ofofofof BankBankBankBank StaffsStaffsStaffsStaffs’’’’ ResponseResponseResponseResponse totototo CustomersCustomersCustomersCustomers’’’’ NeedsNeedsNeedsNeeds

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Yes 58 38.67

No 42 28.00

Sometimes 50 33.33

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.36 shows the respondents’ opinion on level of bank

staffs’ response to customer needs. From the above table it is found that,

38.67 percent of respondents are of the opinion that bank staffs are too

busy to respond to their requisitions, 28 percent respondents disagree to

92

it and 33.33 percent respondents are of the opinion that bank staffs are

sometimes too busy to respond to their requisitions.

FigureFigureFigureFigure 4.2.364.2.364.2.364.2.36

LevelLevelLevelLevel ofofofof BankBankBankBank StaffsStaffsStaffsStaffs’’’’ ResponseResponseResponseResponse totototo CustomersCustomersCustomersCustomers’’’’ NeedsNeedsNeedsNeeds

LevelLevelLevelLevel ofofofof BankBankBankBank StaffsStaffsStaffsStaffs’’’’ ResponseResponseResponseResponse totototo CustomersCustomersCustomersCustomers’’’’ NeedsNeedsNeedsNeeds

4.2.37.4.2.37.4.2.37.4.2.37.AvailabilityAvailabilityAvailabilityAvailability ofofofof CustomerCustomerCustomerCustomer FriendlyFriendlyFriendlyFriendly SchemesSchemesSchemesSchemesThe table below is the classification of the respondents on the basis

of their view on customer friendly schemes of the bank.

TableTableTableTable No.No.No.No. 4.2.374.2.374.2.374.2.37

AvailabilityAvailabilityAvailabilityAvailability ofofofof CustomerCustomerCustomerCustomer FriendlyFriendlyFriendlyFriendly SchemeSchemeSchemeScheme

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Not many 72 48.00

Very few 45 30.00

Not any 33 22.00

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

93

Table No. 4.2.37 shows the respondents’ opinion on availability of

customer friendly schemes in the bank. From the above table it is found

that, out of 150 respondents, 48 percent of respondents are of the view

that not many customer friendly schemes are available at the bank. 35

percent of respondents are of the opinion that very few customer friendly

schemes are available at their bank and 22 percent of respondents feel

that their banks have not any such schemes.

FigureFigureFigureFigure 4.2.374.2.374.2.374.2.37

AvailabilityAvailabilityAvailabilityAvailability ofofofof CustomerCustomerCustomerCustomer FriendlyFriendlyFriendlyFriendly SchemesSchemesSchemesSchemes

PercentagePercentagePercentagePercentage

Not many, 48%

Very few, 30%

Not any, 22%

Not many

Very few

Not any

CustomerCustomerCustomerCustomer FriendlyFriendlyFriendlyFriendly SchemesSchemesSchemesSchemes

4.2.38.4.2.38.4.2.38.4.2.38.AccessAccessAccessAccess totototo TopTopTopTop LevelLevelLevelLevel OfficialsOfficialsOfficialsOfficials ofofofof thethethethe BankBankBankBankThe following table is the classification of the respondents according to

their view on access to top level officials of the bank.

94

TableTableTableTable No.No.No.No. 4.2.384.2.384.2.384.2.38

AccessAccessAccessAccess totototo TopTopTopTop LevelLevelLevelLevel OfficialsOfficialsOfficialsOfficials ofofofof thethethethe BankBankBankBank

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

No access at any time 10 6.67

Access for specified customers 73 48.67

Access available very rarely 67 44.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.38 shows the respondents’ view about the access to the

top level officials of the bank. It shows that, 6.67 percent of respondents

have no access to the top level officials of the bank at any time, 48.67

percent respondents are of the opinion that access is available only for

specified customers and 44.67 respondents are of the opinion that access

is available very rarely.

FigureFigureFigureFigure 4.2.384.2.384.2.384.2.38

AccessAccessAccessAccess totototo TopTopTopTop LevelLevelLevelLevel OfficialsOfficialsOfficialsOfficials ofofofof thethethethe BankBankBankBank

AccessAccessAccessAccess totototo TopTopTopTop LevelLevelLevelLevel OfficialsOfficialsOfficialsOfficials

95

4.2.39.4.2.39.4.2.39.4.2.39.BankBankBankBank EmployeesEmployeesEmployeesEmployees’’’’ ConsiderationConsiderationConsiderationConsideration totototo IlliterateIlliterateIlliterateIlliterate &&&&

IgnorantIgnorantIgnorantIgnorant OldOldOldOld CustomersCustomersCustomersCustomersThe following table shows the respondents’ view on bank employees’

consideration to illiterate and ignorant old customers.

TableTableTableTable No.No.No.No. 4.2.394.2.394.2.394.2.39

BankBankBankBank EmployeesEmployeesEmployeesEmployees’’’’ ConsiderationConsiderationConsiderationConsideration totototo IlliterateIlliterateIlliterateIlliterate &&&& IgnorantIgnorantIgnorantIgnorant OldOldOldOld

CustomersCustomersCustomersCustomers

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Very considerate 20 13.33

No consideration at all 54 36.00

Some staff are considerate 76 50.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.39 shows the respondents’ opinion about bank

employees’ consideration to illiterate and ignorant old customers. From

the above table it is found that 13.33 percent of respondents feel that

bank employees are very considerable whereas the 36 percent of

respondents say that there is no consideration at all. 50.67 percent of

respondents are of the opinions that of some staff only consider the old

and ignorant customers.

96

FigureFigureFigureFigure 4.2.394.2.394.2.394.2.39

BankBankBankBank EmployeesEmployeesEmployeesEmployees’’’’ ConsiderationConsiderationConsiderationConsideration totototo IlliterateIlliterateIlliterateIlliterate &&&& IgnorantIgnorantIgnorantIgnorant OldOldOldOld

CustomersCustomersCustomersCustomers

BankBankBankBank EmployeesEmployeesEmployeesEmployees’’’’ considerationconsiderationconsiderationconsideration totototo illiterateilliterateilliterateilliterate &&&& ignorantignorantignorantignorant oldoldoldold customerscustomerscustomerscustomers

4.2.40.4.2.40.4.2.40.4.2.40.AvailabilityAvailabilityAvailabilityAvailability ofofofof LiaisonLiaisonLiaisonLiaison OfficerOfficerOfficerOfficer inininin thethethethe BankBankBankBankIt is very important to have proper grievance liaison officer in the

bank in order to alleviate better and improved human relations. The table

below is the respondents’ view on availability of grievance facilities in the

bank.

TableTableTableTable No.No.No.No. 4.2.404.2.404.2.404.2.40

AvailabilityAvailabilityAvailabilityAvailability ofofofof LiaisonLiaisonLiaisonLiaison OfficerOfficerOfficerOfficer inininin thethethethe BankBankBankBank

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

None 4 2.67

Sometimes 54 36.00

Yes 92 61.33

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

97

Table No. 4.2.40 shows the respondents’ view on availability of

grievance facility in the bank. From the above table it is found that, 2.67

percent of respondents are of the opinion that no grievance facilities are

available in the bank. 36 percent of respondents are of the opinion that

grievance facilities are available but some times. The majority 61.33

respondents reveal the fact that grievance facilities are available in the

bank.

FigureFigureFigureFigure 4.2.404.2.404.2.404.2.40

AvailabilityAvailabilityAvailabilityAvailability ofofofof LiaisonLiaisonLiaisonLiaison OfficerOfficerOfficerOfficer inininin thethethethe BankBankBankBank

PercentagePercentagePercentagePercentage

None, 3%

Sometimes, 36%

Yes, 61%

0%

None

Sometimes

Yes

AvailabilityAvailabilityAvailabilityAvailability ofofofof LiaisonLiaisonLiaisonLiaison OfficerOfficerOfficerOfficer inininin thethethethe BankBankBankBank

4.2.41.4.2.41.4.2.41.4.2.41.BankBankBankBank’’’’ssss InformationInformationInformationInformation aboutaboutaboutabout thethethethe LatestLatestLatestLatest StrategiesStrategiesStrategiesStrategiesTable below is the classification of the respondents on the basis of

their opinion about the bank’s information on latest strategies like rate of

interest and loan issues etc.

98

TableTableTableTable No.No.No.No. 4.2.414.2.414.2.414.2.41

BankBankBankBank’’’’ssss InformationInformationInformationInformation aboutaboutaboutabout thethethethe LatestLatestLatestLatest StrategiesStrategiesStrategiesStrategies

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Only to selected customers 85 56.67

not at all to any one 51 34.00

Yes, to all 14 9.33

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.41 shows the respondents’ view on bank’s information

about latest strategies. From the above table it is found that, 56.67

percent of respondents are of the opinion that banks inform these

information to only selected customers, 34 percent of respondents are of

the opinion that banks not giving any information to any one and 9.33

percent respondents are of the view that banks are giving information to

all customers about the latest strategies.

FigureFigureFigureFigure 4.2.414.2.414.2.414.2.41

BankBankBankBank’’’’ssss InformationInformationInformationInformation aboutaboutaboutabout thethethethe LatestLatestLatestLatest StrategiesStrategiesStrategiesStrategies

InformationInformationInformationInformation aboutaboutaboutabout thethethethe LatestLatestLatestLatest StrategiesStrategiesStrategiesStrategies

99

4.2.42.4.2.42.4.2.42.4.2.42.OpinionOpinionOpinionOpinion onononon PresencePresencePresencePresence ofofofof MiddlemenMiddlemenMiddlemenMiddlemen inininin thethethethe BankBankBankBank

PremisesPremisesPremisesPremisesThe following table shows the respondents’ opinion about the

unauthorized middlemen inside the bank.

TableTableTableTable No.No.No.No. 4.2.424.2.424.2.424.2.42

OpinionOpinionOpinionOpinion onononon PresencePresencePresencePresence ofofofof MiddlemenMiddlemenMiddlemenMiddlemen inininin thethethethe BankBankBankBank PremisesPremisesPremisesPremises

OpinionOpinionOpinionOpinion RespondentsRespondentsRespondentsRespondents PercentagePercentagePercentagePercentage

Always discouraged 94 62.67

Sometimes can be

found

34 22.67

They are seen inside

always

22 14.67

TotalTotalTotalTotal 150150150150 100100100100

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table No. 4.2.42 shows the respondents’ view presence of

unauthorized middlemen inside the bank. From the above table it can be

said that 62.67 percent respondents are discouraged with unauthorized

middlemen inside the bank, 22. 67 percent respondents are of the opinion

that these agents are found sometimes and 14.67 respondents are of the

view that they are always seen inside.

100

FigureFigureFigureFigure 4.2.424.2.424.2.424.2.42

OpinionOpinionOpinionOpinion onononon PresencePresencePresencePresence ofofofof MiddlemenMiddlemenMiddlemenMiddlemen inininin thethethethe BankBankBankBank PremisesPremisesPremisesPremises

OpinionOpinionOpinionOpinion onononon PresencePresencePresencePresence ofofofof MiddlemenMiddlemenMiddlemenMiddlemen inininin thethethethe BankBankBankBank PremisesPremisesPremisesPremises

101

4.3.4.3.4.3.4.3. AnalysisAnalysisAnalysisAnalysis ofofofof DegreeDegreeDegreeDegree ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof RespondentsRespondentsRespondentsRespondents

towardstowardstowardstowards BankingBankingBankingBanking ServicesServicesServicesServices ofofofof SBISBISBISBI inininin KanyakumariKanyakumariKanyakumariKanyakumari

DistrictDistrictDistrictDistrict

An attempt is made to analyze the relationship between the level of

satisfaction of the sample respondents and the socio economic factors by

using chi-square test. The socio economic factors considered are

(i) Age

(ii) Sex

(iii) Marital Status

(iv) Educational Qualification

(v) Occupation

(vi) Income

In order to study the relationship between the socio-economic

factors and the level of satisfaction of the respondents have been grouped

into 3 categories namely low, medium and high level and chi-square test

has been applied.

The level of customer satisfaction is determined by the score value

calculated for 5 statements by adopting 5 points scaling technique. If the

score value is greater than or equal to X +σ and is classified as high level

of satisfaction and if the score value is less than or equal to X - σ it is

classified as low level of satisfaction and it is between the high and low

level of satisfaction then it is classified as medium level of satisfaction. The

score values are given below

High level Medium level Low level

X +σ In between X -σ

43 36-42 35

102

4.3.1.4.3.1.4.3.1.4.3.1. LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof SampleSampleSampleSample RespondentsRespondentsRespondentsRespondents

towardstowardstowardstowards BankingBankingBankingBanking ServicesServicesServicesServices ofofofof SBISBISBISBILevel of satisfaction of sample respondents towards banking

services of SBI is given in Table No. 4.3.1.

TableTableTableTable 4.3.1.4.3.1.4.3.1.4.3.1.

LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof SampleSampleSampleSample RespondentsRespondentsRespondentsRespondents towardstowardstowardstowards BankingBankingBankingBanking

ServicesServicesServicesServices ofofofof SBISBISBISBI

Sl.Sl.Sl.Sl. No.No.No.No. LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction NumberNumberNumberNumber ofofofof

RespondentsRespondentsRespondentsRespondents

PercentagePercentagePercentagePercentage (%)(%)(%)(%)

1 High 45 30

2 Medium 65 43.33

3 Low 40 26.67

Total 150 100

Sources:Sources:Sources:Sources: PrimaryPrimaryPrimaryPrimary datadatadatadata

For determining the relationship between the customer satisfaction

towards banking services of SBI in Kanyakumari District and their

demographic background Chi- Square test has employed.

FigureFigureFigureFigure 4.3.14.3.14.3.14.3.1

LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof SampleSampleSampleSample RespondentsRespondentsRespondentsRespondents towardstowardstowardstowards BankingBankingBankingBanking

ServicesServicesServicesServices ofofofof SBISBISBISBI

30303030

43.3343.3343.3343.33

26.6726.6726.6726.67

0000

10101010

20202020

30303030

40404040

50505050

PercentagePercentagePercentagePercentage

HighHighHighHighMediumMediumMediumMediumLowLowLowLow

LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof SampleSampleSampleSample RespondentsRespondentsRespondentsRespondents

103

CHI-SQUARECHI-SQUARECHI-SQUARECHI-SQUARE TESTTESTTESTTEST

Chi-Square is an important non-parametric test and as such no

rigid assumptions are necessary in respect of the type of population. We

require only the degrees of freedom implicity of course the size of the

sample for using this test. As a non-parametric test, chi –square can be

used.

i) As a test of goodness of fit and

ii) As a test of independence

Chi-square symbolically written as x2 the symbol x2 is the Greek letter

chi. The x2 test was first used by Karl Pearson. The quantity x2 describes

the magnitude of the discrepancy theory and observation.

In order that researcher may apply the chi-square test of goodness

of fit or as a test to judge the significance of association between attributes,

it is necessary that the observed as well as theoretical distribution must

be adjusted to give the same total frequency as researcher find in case of

observed distribution. X2 is then calculated as follows.

X2= ∑ ⎥⎦

⎤⎢⎣

⎡ −EE 2)0(

Where

O = Observed Frequency

E = Expected Frequency

Expected Frequency = Row total x Column total

Grand total

104

If the calculated value of x2 is greater than the table value of certain

level of significance, the null hypothesis is rejected. It may be concluded

that there is some relationship between the factors. If the calculated value

of x2 less than the table value at a certain degree of level of significance, it

is said to be non-significance and we shall accept the null hypothesis.

NullNullNullNull HypothesisHypothesisHypothesisHypothesisThe null hypothesis is framed to find out whether the demographic

factors of the respondents are independent of their level of satisfaction.

4.3.2.4.3.2.4.3.2.4.3.2. AgeAgeAgeAge andandandand LevelLevelLevelLevel ofofofof satisfactionsatisfactionsatisfactionsatisfaction ofofofof thethethethe RespondentsRespondentsRespondentsRespondentsAge is an important factor to analyze the level of satisfaction of

respondents. The table no.4.3.2 shows the age and level of satisfaction of

various selected respondents.

TableTableTableTable No.No.No.No. 4.3.24.3.24.3.24.3.2

AgeAgeAgeAge &&&& LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

Sl.Sl.Sl.Sl. NoNoNoNoLevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction

TotalTotalTotalTotalAgeAgeAgeAge HighHighHighHigh MediumMediumMediumMedium LowLowLowLow

1Below 25 Years 6666 11111111 6666 23232323

225-35 Years 10101010 20202020 6666 36363636

335-45 Years 6666 16161616 12121212 34343434

4Above 45 Years 23232323 18181818 16161616 57575757

TotalTotalTotalTotal 45454545 65656565 40404040 150150150150

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table 4.3.2 Shows that 23 respondents are below 25 years of age

and out of them 6 show high level satisfaction and 11 medium level and 6

show low level satisfaction out of 34 who are of 35 to 45 years of age, 6

105

show high level satisfaction, 16 show medium level and only 12 show low

level satisfaction. Out of 36 respondents in the age group of 25 to 35 years,

10 respondents show high level satisfaction 20 respondents show medium

level satisfaction and 6 respondents show low level satisfaction

respectively. Out 57 respondents in the age groups of above 45 years, 23

show high level satisfaction, 18 and 16 respondents show medium, and

low level satisfaction respectively.

AgeAgeAgeAge andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction Chi-Chi-Chi-Chi- SquareSquareSquareSquare TestTestTestTest

Sl.Sl.Sl.Sl. NoNoNoNo ParticularParticularParticularParticular ValuesValuesValuesValues

1 Calculated value (χ2) 8.36

2 Degrees of freedom 6

3 Table Value 12.592

Inference Accepted

Degree of Freedom = (r-1) (c-1)

= (4-1) (3-1)

= 3 x 2

= 6

From the above analysis, it is seen that the calculated value is less

than the table value and hence the hypothesis is accepted. Thus the age

of the respondents if said to be independent of the level of satisfaction

towards the banking services of SBI.

4.3.3.4.3.3.4.3.3.4.3.3. SexualSexualSexualSexual StatusStatusStatusStatus andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof

RespondentsRespondentsRespondentsRespondentsSexual status is an important factor to analyze the level of

satisfaction of respondents. The Table no 4.3.3 shows the sexual status

and the level of satisfaction of various selected respondents

106

TableTableTableTable NoNoNoNo 4.3.3.4.3.3.4.3.3.4.3.3.

SexualSexualSexualSexual StatusStatusStatusStatus andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

Sl.Sl.Sl.Sl. NoNoNoNo SexSexSexSexLevelLevelLevelLevel ofofofof satisfactionsatisfactionsatisfactionsatisfaction

TotalTotalTotalTotalHighHighHighHigh MediumMediumMediumMedium LowLowLowLow

1 Male 29292929 36363636 24242424 89898989

2 Female 16161616 29292929 16161616 61616161

TotalTotalTotalTotal 45454545 65656565 40404040 150150150150

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata (Figure(Figure(Figure(Figure inininin bracketsbracketsbracketsbrackets denotesdenotesdenotesdenotes percentage)percentage)percentage)percentage)

Table shows that the 61 respondents are female and out of them 29

show high level satisfaction 36 show medium level satisfaction and 24

show low level of satisfaction. Out of 89 male respondents, 16 show high

level satisfaction, 29 show medium level satisfactions, and 16 show low

level satisfaction.

SexualSexualSexualSexual andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction Chi-Chi-Chi-Chi- SquareSquareSquareSquare TestTestTestTest

Sl.Sl.Sl.Sl. NoNoNoNo ParticularParticularParticularParticular ValuesValuesValuesValues

1 Calculated value (χ2) 1.89

2 Degrees of freedom 2

3 Table Value 5.99

Inference Accepted

Degrees of Freedom = (r-1) (c-1)

= (2-1) (3-1)

= 1 x 2

= 2

The above analysis reveals that the calculated value is less than the

table value and hence the hypothesis is accepted. Therefore, it can be

concluded that the level of satisfaction is independent to the sexual status

of the respondents.

107

4.3.4.4.3.4.4.3.4.4.3.4. MaritalMaritalMaritalMarital StatusStatusStatusStatus andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof thethethethe

RespondentsRespondentsRespondentsRespondents

Table 4.3.4 clearly shows the marital status of the respondents and

their level of satisfaction towards Customers.

Table:Table:Table:Table: 4.3.44.3.44.3.44.3.4

MaritalMaritalMaritalMarital StatusStatusStatusStatus andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

Sl.Sl.Sl.Sl. NoNoNoNo MaritalMaritalMaritalMarital StatusStatusStatusStatus

LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction TotalTotalTotalTotal

HighHighHighHigh MediumMediumMediumMedium LowLowLowLow

1 Married 20202020 27272727 15151515 62626262

2 Unmarried 25252525 38383838 25252525 88888888

Total 45454545 65656565 40404040 150150150150

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table 4.3.4 shows that the 62 respondents are married and out of

them 20 show high level satisfaction 27 show medium level satisfaction

and 15 show low level of satisfaction. Out of 88 unmarried respondents,

25 show high level satisfaction, 38 show medium level satisfaction, 25

show low level satisfaction.

MaritalMaritalMaritalMarital StatusStatusStatusStatus andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction Chi-Chi-Chi-Chi- SquareSquareSquareSquare TestTestTestTest

Sl.Sl.Sl.Sl. NoNoNoNo ParticularParticularParticularParticular ValuesValuesValuesValues

1 Calculated value (χ2) 1.42

2 Degrees of freedom 2

3 Table Value 5.99

Inference Accepted

Degrees of Freedom = (r-1) (c-1)

= (2-1) (3-1)

= 1 x 2

= 2

108

The above analysis reveals that the calculated value is less than the

table value and hence the hypothesis is accepted. Therefore, it can be

concluded that there is no relationship between the marital status and the

level of satisfaction of the respondents towards the banking services of SBI.

4.3.5.4.3.5.4.3.5.4.3.5. EducationalEducationalEducationalEducational QualificationQualificationQualificationQualification andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction

ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

Table 4.3.5 shows the education qualification and level of

satisfaction of the respondents.

Table:Table:Table:Table: 4.3.54.3.54.3.54.3.5

EducationalEducationalEducationalEducational QualificationQualificationQualificationQualification andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof thethethethe

RespondentsRespondentsRespondentsRespondents

Sl.Sl.Sl.Sl. NoNoNoNoEducationalEducationalEducationalEducational

QualificationQualificationQualificationQualification

LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction

HighHighHighHigh MediumMediumMediumMedium LowLowLowLow TotalTotalTotalTotal

1 Up to +2 9 10 6 25

2 Graduates 17 21 16 54

3 Post Graduates 10 11 9 30

4 Professional 9 23 9 41

45 65 40 150

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table 4.3.5 reveals that out of 25 respondents with educational

qualification up to +2, 9 show high level satisfaction, 10 show medium level

satisfaction and 6 low level satisfactions. Out of 30 respondents who are

Graduates, 10 show high level satisfaction, 11 show medium level

satisfactions and 9 show low level satisfaction. Out of 41 respondents who

are Professional, 9 show high level satisfaction, 23 show medium level

satisfactions and 9 show low level satisfaction. Out of 54 respondents who

109

are degree, 17 show high level satisfaction, 21 show medium level

satisfactions and 16 show low level satisfaction.

EducationalEducationalEducationalEducational QualificationQualificationQualificationQualification LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction Chi-Chi-Chi-Chi- SquareSquareSquareSquare TestTestTestTest

Sl.Sl.Sl.Sl. NoNoNoNo ParticularParticularParticularParticular ValuesValuesValuesValues

1 Calculated value (χ2) 7.13

2 Degrees of freedom 6

3 Table Value 12.592

Inference Accepted

Degrees of Freedom = (r-1) (c-1)

= (4-1) (3-1)

= 3 x 2

= 6

The above analysis shows that the calculated value of chi- square

test in less than the table value and hence the hypothesis is accepted.

Therefore, it can be concluded that the level of satisfaction of the

respondents is independent of their educational qualification.

4.3.6.4.3.6.4.3.6.4.3.6. MonthlyMonthlyMonthlyMonthly IncomeIncomeIncomeIncome andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof thethethethe

RespondentsRespondentsRespondentsRespondentsTable 4.3.6 clearly reveals the income and the level of satisfaction of

the respondents.

Table:Table:Table:Table: 4.3.64.3.64.3.64.3.6MonthlyMonthlyMonthlyMonthly IncomeIncomeIncomeIncome andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

Sl.Sl.Sl.Sl. NoNoNoNo MonthlyMonthlyMonthlyMonthly IncomeIncomeIncomeIncomeLevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction

HighHighHighHigh MediumMediumMediumMedium LowLowLowLow TotalTotalTotalTotal1

Up to Rs 10000 3333 4444 3333 10101010

2Rs 10000-Rs20000 4444 5555 4444 13131313

3Rs 20000-Rs 30000 17171717 23232323 11111111 51515151

4Above 30000 21212121 33333333 22222222 76767676

TotalTotalTotalTotal 45454545 65656565 40404040 150150150150Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

110

Table 4.3.6 clearly reveals that out of 10 respondents with monthly

income Up to Rs 10000, 3 how high level satisfaction and 4 and 3 show

medium and low level satisfaction respectively. Out of 13 respondents who

earn Rs. 10000 to 20000 monthly, 4 have high level satisfaction and 5 and

4 show medium level and low level satisfaction respectively. Out of 51

respondents who earn Rs. Rs 20000-Rs 30000, 17 show high level

satisfaction, 23 show medium level satisfaction and 11 show low level

satisfaction respectively.

MonthlyMonthlyMonthlyMonthly IncomeIncomeIncomeIncome andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction Chi-Chi-Chi-Chi- SquareSquareSquareSquare TestTestTestTest

Sl.Sl.Sl.Sl. NoNoNoNo ParticularParticularParticularParticular ValuesValuesValuesValues

1 Calculated value (χ2) 7.43

2 Degrees of freedom 6

3 Table Value 12.592

Inference Accepted

Degrees of Freedom = (r-1) (c-1)

= (4-1) (3-1)

= 3 x 2

= 6

From the above analysis it is seen that the calculated value is less

than the table value and hence the null hypothesis is accepted. It can

therefore be inferred that the level of satisfaction is independent of the

income of the respondents.

4.3.7.4.3.7.4.3.7.4.3.7. OccupationOccupationOccupationOccupation andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof thethethethe

RespondentsRespondentsRespondentsRespondentsTable 4.3.7 clearly reveals the occupation and the level of

satisfaction of the respondents.

111

Table:Table:Table:Table: 4.3.74.3.74.3.74.3.7

OccupationOccupationOccupationOccupation andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction ofofofof thethethethe RespondentsRespondentsRespondentsRespondents

Sl.Sl.Sl.Sl.

NoNoNoNoOccupationOccupationOccupationOccupation

LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction

HighHighHighHigh MediumMediumMediumMedium LowLowLowLow TotalTotalTotalTotal

1 Govt. Employee 23 35 19 77

2 Private Employee 7 11 6 24

3 Self Employee 10 13 9 32

4 Professional Workers 5 6 6 17

45 65 40 150

Source:Source:Source:Source: PrimaryPrimaryPrimaryPrimary datadatadatadata

Table 4.3.7 clearly reveals that out of 17 respondents with

Professional Workers, 5 how high level satisfaction and 6 and 6 show

medium and low level satisfaction respectively. Out of 24 respondents who

Private Employee, 7 have high level satisfaction and 11 and 6 show

medium level and low level satisfaction respectively. Out of 32

respondents who Self Employee, 10 show high level satisfaction, 13 show

medium level satisfaction and 9 show low level satisfaction respectively.

Out of 77 respondents who are government employee, 23 show high level

satisfaction, 35 show medium level satisfaction and 19 show low level

satisfaction respectively.

OccupationOccupationOccupationOccupation andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction Chi-Chi-Chi-Chi- SquareSquareSquareSquare TestTestTestTest

Sl.Sl.Sl.Sl. NoNoNoNo ParticularParticularParticularParticular ValuesValuesValuesValues

1 Calculated value (χ2) 8.36

2 Degrees of freedom 6

3 Table Value 12.592

Inference Accepted

112

Degrees of Freedom = (r-1) (c-1)

= (4-1) (3-1)

= 3 x 2

= 6

From the above analysis it is seen that the calculated value is less

than the table value and hence the hypothesis is accepted. Thus the

occupation of the respondents is said to be independent of the level of

satisfaction towards the banking services of SBI in Kanyakumari District.

4.4.4.4.4.4.4.4. ConclusionConclusionConclusionConclusion

This chapter shows the satisfaction level of customers towards the

banking services of SBI in Kanyakumari District. The demographic factors

such age, sex, marital status, educational qualification and monthly

income affect the satisfaction level of the customer. The majority

respondents have medium level of satisfaction about the services rendered

by the SBI of Kanyakumari District.

113

SummarySummarySummarySummary ofofofof Findings,Findings,Findings,Findings, SuggestionsSuggestionsSuggestionsSuggestions andandandand

ConclusionConclusionConclusionConclusion

5.1.5.1.5.1.5.1. IntroductionIntroductionIntroductionIntroductionIn the present study the researcher analysis the customers’

Satisfaction towards banking services of SBI in Kanyakumari District. In

this chapter the researcher has presented the findings, suggestions and

conclusion of the study. The researcher has used convenient sampling

method to select sample from the customers of the SBI of Kanyakumari

District for this study. The important findings and suggestions given by

the researcher are explained in this chapter as follows.

5.2.5.2.5.2.5.2. FindingsFindingsFindingsFindingsThe following are the important findings of the study:-

• The researcher has found that, 38 percentage of the respondents

belonged to above 45 years age group.

• Most of the respondents (59 percentage) were females.

• Majority of the respondents (59 percentage) were Unmarried.

• It has found that, majority (36 percentage) of the respondents were

Graduates.

• The researcher has found that, 51.33 percentage respondents were

government employees.

• It has found that, majority (50.66 percentage) of the respondents’

monthly Income is above Rs. 30,000.

114

• Majority (52.67 percentage) of respondents were open account in the

SBI through their friends.

• 26.67 percentage of respondents were preferred SBI because of quick

services.

• 36.67 percentage of the respondents have saving account in the SBI

bank.

• It has found that, 42.67 percentage of the respondents were banking

with SBI for a period of 3 to 6 years.

• Most of the respondents (37.33 percentage) were using banking

services once to thrice a week.

• The Researcher has found that, 48 percentage of the respondents

were using e-banking services for their banking operations.

• Majority (61.33 percentage) of respondents were satisfied with their

saving bank account in the bank.

• It has found that, 55.33 percentage of respondents were satisfied

with the formalities involved in opening an account in the bank.

• Most of the Respondents (73.33 percentage) were satisfied with the

bank’s local cheque clearance policy.

• Majority (73.33 percentage) of the respondents were satisfied with the

bank’s policy of clearing outstation cheque.

• It has found that, 59.33 percentage of the respondents were satisfied

with the loan sanctioning procedures of the bank.

115

• IThe researcher has found that, 68.67 percentage of the respondents

were residing far from the bank premises.

• Most of the respondents (54.67 percentage) were of the view that

availability of services materials within the bank were very scarce.

• Majority (89.33 percentage) of the respondents were of the opinion

that some time only the bank performed its services at appropriate

time.

• Most of the respondents (52.67 percentage) were not getting any

priority services from the SBI bank.

• 42 percentage of the respondents were not always getting individual

attention from the bank officials.

• It has found that, 48.67 percentage of respondents felt that there

were no special modern amenities it the bank.

• 44.67 percentage of the respondents were getting prompt services

from the bank usually.

• It has found that, the banking hours were not at all convenient to 56

percentage of respondents.

• Out of the 150 respondents, 96 (62.67 percentage) were of the

opinion that bank shows keen interest in solving their issues

occasionally.

• Most of the respondents (66 percentage) were of the opinion that

bank staff behaviour some times only boost confidence in them.

116

• 52.67 percentage of the respondents’ bank has not updated its

physical facilities.

• Majority (63.33 percentage) of respondents were feeling safe in their

transactions with the bank.

• 38 percentage of respondents were of the opinion that bank staff were

never courteous to customers.

• It has found that, 44.67 percentage of the respondents’ felt that the

bank was informing time schedule for a service, only on sometimes.

• 35.33 percentage of the respondents’ bank employees were have

pleasing appearance.

• Out of 150 respondents, 87 (58 percentage) of the respondents’ bank

staff were willing to assist them.

• The researcher has also found that, the (54.67 percentage) of the

respondents were of the opinion that the bank maintains error free

records.

• Majority (52 percentage) of the respondents were of the opinion that

their bank attend their specific needs.

• Only 38.67 percentage of the respondents were of the view that the

bank staffs respond to their needs.

• 48 percentage of the respondents’ banks were not having many

customer friendly schemes.

• 48.67 percentage of the respondents’ banks were giving access to the

top level management, only for specified customers.

117

• It has found that, 50.67 percentage of the respondents were of the

opinion that some bank staff only have consideration towards the

illiterate and ignorant old customers.

• Most of the respondents banks (61.33 percentage) have grievance

facilities to promote better and improved human relations.

• Majority (56.67 percentage) of the respondents were of the opinion

that only selected customers of the bank get information about the

latest strategies like rate of interest and loan etc.

•••• 62.67 percentage of the respondents were not at all prefer the

unauthorized entry of middlemen or agents into the bank premises.

•••• Out of the 150 total respondents, 45 (30 percentage) have high level

of satisfaction, 65 (43.33 percentage) have medium level of

satisfaction and 40 (26.67 percentage) have low level of satisfaction

about the services rendered by the SBI of Kanyakumari District.

•••• The analysis also shows that, there is no significant relationship

between the demographic factors of the sample respondents and

their level of satisfaction towards the banking services of

Kanayakumari District.

5.3.5.3.5.3.5.3. SuggestionsSuggestionsSuggestionsSuggestions

The following the suggestions have been made by the researcher based on

the above study:

• The bank should arrange for the easy availability of service materials

to customers.

118

• The dissatisfied customers could be offered with priority services.

• The bank officials may strive to extend individual attention to keep

customers satisfied.

• It is better that the bank be well-equipped with modern amenities.

• Customers’ level of satisfaction may rise if the bank takes care to

offer prompt services in busy days.

• Change in the banking hours would satisfy customers who are of the

opinion that the functioning hours are not at all convenient.

• The bank may frequently update its physical facilities to keep

customers comfortable.

• It is expected by the customers that the bank staff should adhere a

courteous approach.

• It would be better if the bank introduce and implements many more

customer friendly schemes.

• Bank must provide top level access to all customers.

• The bank staffs should consider the needs of the illiterate and

ignorant old customers.

• Create a trust in the minds of customers about the security of

their accounts.

• Bank should give information to customers about the latest strategies

like interest rate and loan issue etc.

• Bank should control the entry of unauthorized middlemen or agents

into the bank premises.

119

• Banks should arrange meetings with the customer at least once

in a month, for customer’s clarification and feedback from the

customers about banking services.

• Customer service committee should be strengthened to deal the

complaints and grievances.

• The customer should be motivated to utilize the various subsidiary

services.

• The bank shall inform its percent customers about the various

schemes available in the bank.

• The management of the bank should provide special training to staffs

who were dealing with the customers.

• The bank should advertise their new schemes in different Medias.

• The bank should organize special meetings on village areas for

promoting rural savings also.

• The bank staffs should give response to all customers equally.

5.4.5.4.5.4.5.4. ConclusionConclusionConclusionConclusion

In the present study, the researcher had thoroughly scrutinized how

SBI render its service to the banking needs of the Kanyakumari district

people. With an incredible expense of the maximum number of branches

functioning nationally and internationally, the SBI has been rendering a

competitive service in the past six decades.

Banking businesses have been growing rapidly in recent decades,

while customers demand for high quality service is increasing. This is

certainly the case at the State Bank of India, especially in Kanyakumari

120

district. To remain competitive, the SBI should analyze customers’

expectation and perception towards the banking services.

In order to achieve high customer satisfaction in the SBI bank

services, the first step is to understand the problem of the bank customers.

If the banks rectify the customer problems, customer satisfaction will

increase. It automatically increases the number of customers with bank

also. The consumer satisfaction is the very important concept for the

development of an economy. The consumer is satisfied with mentally and

physically. The satisfaction also depends on many factors like employees

behaviour, banking services and banking performance. If the SBI bank

follows the suggestions given by the researcher definitely it will increase

the customer satisfaction level. The researcher also suggests the following

topics for the future researchers in the related area:

• A comparative Study of Customer Satisfaction in SBI and ICICI

Banks with Special Reference to the Kanyakumari District.

•••• State Bank Employees Job Satisfaction in Kanyakumari District.

121

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and Strategies to Mitigation”, Journal of Economics and

International Finance, Vol. 2(10), pp. 212-220.

51. Vijay M. Kumbhar (2011), “Factors Affecting the Customer

Satisfaction in E- Banking: Some Evidence From Indian Banks”,

Management Research and Practice, Vol. 3(4), pp. 1-14.

52. Vinyaka Moorthy. A. (2008), “Globalization and Recent Trends in

Banking Finance”, Volume XXI, No 2.

28. Zeithaml V.A., Parasuram. A. (1998), and Berry L.L., “Service

Quality Puzzle”, Business Horizen, Sep- Oct.

RESEARCHRESEARCHRESEARCHRESEARCH REPORTSREPORTSREPORTSREPORTS

1. Avadhani V.H. Motwani and Angadi V.B. (1987), “Mobilization of

Rural Savings- Banking Experience”, R.B.I. Occasional Papers, Vol.8.

131

2. David Cohen and Christopher Gan (2006), “Customer Satisfaction: A

Study of Bank Customer Retention in New Zealand”, www.

Scribe.com, Discussion paper No. 109.

3. Kannan. K. (2008), “Internet Banking in India Emerging Challenges”,

Manommaniam Sundaranar University, Tirnelveli.

4. Keffla Muhamed Rochdi (2010), “Barriers to the Adoption and Usage of

E-banking by Tunisian Customers”, SSRN.

5. Krishna Kumar A. (2010), “Customer Satisfaction Vs. Quality”,

Paper Presented at 6thBanking Technology 2010 Conference and

Banking Technology Award of 2009, January 2010.

6. Priya. R. (2008), “Core Banking Department of Commerce”,

Manommaniam Sundaranar University, Tirnelveli.

7. Rajagopala Nair (1994), “Rural Bank marketing In Kerala”, Un

Published Doctoral Dissertation, University of Kerala.

8. Suresh Kumar. A. (2005), “A research Study on E-banking in

Trivandrum District.

9. Vidhya M.J. (2009), “A Comparative Study of Customer Services in

ICIC and SBI”, Un-Published Dissertation, ICFAI National College,

Keelkattalai.

1. Vinil Kumar (2012), “A Study on Customer Satisfaction Towards E-

Banking in Kanyakumari District”, Unpublished Master’s

Dissertation, Manom Mnaiyam Sundarlal University.

COMMITTEECOMMITTEECOMMITTEECOMMITTEE REPORTSREPORTSREPORTSREPORTS

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1. Chandra Tripai (1988), “Customer Services and Security System in

Nationalized Banks”, 64th Report of the Estimates Committee.

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and Operations”, Proceedings of the European Academy of Advanced

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NEWSNEWSNEWSNEWS PAPERSPAPERSPAPERSPAPERS

1. Economic Times New Divisor Chennai (2006), “Announced New

Scheme ATM’ benefit to the Rural people”, Vanigapaguthi, Daily

Thanthyi, Nagercoil.

WEBSITESWEBSITESWEBSITESWEBSITES

1. SBI : www.sbi.co.in

2. Wikipedia : www. wikipedia.com

3. RBI : www. rbi.org.in

4. SSRN : www.ssrn.com

5. Scribe : www.scribe.com

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APPENDIX -1

AAAA STUDYSTUDYSTUDYSTUDY ONONONON CUSTOMERSCUSTOMERSCUSTOMERSCUSTOMERS’’’’ SATISFACTIONSATISFACTIONSATISFACTIONSATISFACTION TOWARDSTOWARDSTOWARDSTOWARDS BANKINGBANKINGBANKINGBANKINGSERVICESSERVICESSERVICESSERVICES OFOFOFOF SBISBISBISBI ININININ KANYAKUMARIKANYAKUMARIKANYAKUMARIKANYAKUMARI DISTRICTDISTRICTDISTRICTDISTRICT

INTERVIEWINTERVIEWINTERVIEWINTERVIEW SCHEDULESCHEDULESCHEDULESCHEDULE

1. Name :

2. Sex :

a) Male ( )b) Female ( )

3. Age :

a) Below 25 years ( )b) 25-35 years ( )c) 35-45 years ( )d) Above 45 years ( )

4. Educational Qualification :a) Below HSC ( )b) Graduate ( )c) Post graduate ( )d) Professional ( )

5. Occupation :a) Government Employee ( )b) Private Employee ( )c) Self-Employee ( )d) Professional Worker ( )

6. Marital Status :a) Married ( )b) Unmarried ( )

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7. Income (per annum) :a) Upto 10000 ( )b) 10000 to 20000 ( )c) 20000 to 30000 ( )d) Above 30000 ( )

8. Sources of information about SBIa) Advertisement ( )b) Friends ( )c) Relatives ( )

9. Type of account maintained in the Bank?a)Saving account ( )b)Current account ( )c) Fixed Deposit account ( )d) Loan account ( )e) Recurring Deposit account ( )

10. What is the reason to choose the services of the bank?a) Efficient customer services ( )b) Efficient complaints handling ( )c) Time saving ( )d) Technology ( )e) Favorable interest ( )

11. How long do you have an account in this bank?

a) Below 1 year ( )b) 1 to 3 years ( )c) 3 to 6 years ( )d) above 6 years ( )

12. How often do you need bank services?a) daily ( )b) once to thrice a week ( )c) once in 2 weeks ( )d) once a month ( )

13. Mode of dealing with bank?

a) E - Banking ( )b) Traditional Banking ( )

14. Opinion about savings accounta) Highly satisfied ( )b) Satisfied ( )

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c) Dissatisfied ( )d) Highly dissatisfied ( )

15. Opinion about formalities to open an accounta) Highly satisfied ( )b) satisfied ( )c) dissatisfied ( )

16. Opinion about clearing of local Chequesa) Highly satisfied ( )b) Satisfied ( )c) Dissatisfied ( )d) Highly dissatisfied ( )

17. Opinion about collecting outstation Chequesa) Highly satisfied ( )b) Satisfied ( )c) Dissatisfied ( )d) Highly Dissatisfied ( )

18. Opinion about loan sanctioning processa) Highly satisfied ( )b) Satisfied ( )c) Dissatisfied ( )d) Highly dissatisfied ( )

19. Distance to the office (premises) of the banka) Very far ( )b) Far ( )c) No frequent transport

available ( )

20. Materials associated with the services (pamphlets, statements) arevirtually available at the bank

a) Rarely ( )b) Very scarce ( )c) Available but not

given to customers ( )

21. Bank’s perform the services exactly at the first timea) Sometimes ( )b) Always ( )

22. Bank treats you with prioritya) Some staff ( )b) Very rarely ( )c) Never ( )

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23. Bank gives you individual attentiona) Not always ( )b) Always ( )c) Sometimes ( )

24. Bank has modern equipment & toolsa) Not many ( )b) Many ( )c) Nothing ( )

25. Bank’s staff give you prompt servicesa) If not crowded ( )b) Usually ( )c) Never ( )

26. Bank operating hours convenient to youa) Not at all ( )b) Sometimes ( )c) In some seasons ( )

27. Bank show a keen interest in solving your problemsa) Not at all ( )b) Occasionally ( )c) frequently ( )

28. Bank’s staff behavior instills confidence in youa) No ( )b) Sometimes ( )c) never ( )

29. Bank’s physical facilities virtually updateda) not very recently ( )b) is very outdated ( )c) updated recently ( )

30. Do you feel safe in your transactions with the bank?a) very much ( )b) not so much ( )c) sometimes yes ( )

31. Bank’s staffs are courteous to youa) never ( )b) some staff ( )c) all staff ( )

32. Bank’s staff tell you exactly the time the service will be performeda) sometimes ( )

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b) never ( )c) always ( )

33. Bank’s employees are neatly appearinga) yes all of them ( )b) never ( )c) some of them ( )

34. Bank’s staff always willing to assist youa) yes, always ( )b) not at all ( )c) some of them ( )

35. Bank insists on error free recordsa) yes ( )b) no ( )c) sometimes ( )

36. Bank’s staff understanding about your specific needsa) yes ( )b) only some of them ( )c) none of them ( )

37. Bank staffs are too busy to respond to your requisitiona) yes ( )b) no ( )c) sometimes ( )

38. Customer friendly schemea) not many ( )b) very few ( )c) not any ( )

39. Access to top level officials in case doubts / grievancesa) no access at any time ( )b) access for specified customer ( )c) access available very rarely ( )

40. Bank employees’ consideration / feasibility to illiterate / ignorantold customers

a) very considerate ( )b) no consideration at all ( )c) some staff are considerate ( )

41. Availability of grievance / suggestion box or a liaison officer toalleviate better and improved human relations.

a) none ( )

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b) sometimes ( )c) yes ( )

42. Keeping customers well informed of the latest strategies like rate ofinterest/ loan issues etc.

a) only to selected customers ( )b) not at all to any one ( )c) yes, to all ( )

43. Discouraging agents or unauthorized middlemen inside banka) always discouraged ( )b) sometimes can be found ( )c) they are seen inside always ( )

44. Overall satisfaction with your banka) High Satisfaction ( )b) Medium Satisfaction ( )c) Low Satisfaction ( )

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APPENDIX -2

CalculationCalculationCalculationCalculation ofofofof Chi-squareChi-squareChi-squareChi-square TestTestTestTest betweenbetweenbetweenbetween AgeAgeAgeAge andandandand LevelLevelLevelLevel ofofofof

SatisfactionSatisfactionSatisfactionSatisfaction ofofofof RespondentsRespondentsRespondentsRespondents

Sl.Sl.Sl.Sl. NoNoNoNoLevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction

TotalTotalTotalTotalAgeAgeAgeAge HighHighHighHigh MediumMediumMediumMedium LowLowLowLow

1Below 25 Years 6666 11111111 6666 23232323

225-35 Years 10101010 20202020 6666 36363636

335-45 Years 6666 16161616 12121212 34343434

4Above 45 Years 23232323 18181818 16161616 57575757

TotalTotalTotalTotal 45454545 65656565 40404040 150150150150

AgeAgeAgeAge andandandand LevelLevelLevelLevel ofofofof SatisfactionSatisfactionSatisfactionSatisfaction Chi-Chi-Chi-Chi- SquareSquareSquareSquare TestTestTestTest

Sl.Sl.Sl.Sl. NoNoNoNo ParticularParticularParticularParticular ValuesValuesValuesValues

1 Calculated value (χ2) 8.36

2 Degrees of freedom 6

3 Table Value 12.592

Inference Accepted

Degree of Freedom = (r-1) (c-1)

= (4-1) (3-1)

= 3 x 2

= 6

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143

144

145

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