Esprit Rock

There is need for further study to understand the attributes on online banking that lead to customer satisfaction as customer satisfaction is cornerstone in determining the successful implementation of new

There is need for further study to understand the attributes on online banking that lead to customer satisfaction as customer satisfaction is cornerstone in determining the successful implementation of new, technology based, online banking services and its usability. This study aims to look at the online banking system in a Mutual Trust Bank Bangladesh Ltd and how this correlates with their satisfaction. This will help to give feedback to practioners and have empirical evidence on the phenomenon for better understanding. This could also drive future research in this area. The focus of this study was to evaluate how customers perceive the quality of online banking services and how this relates with their satisfaction levels.

1.2 Rationale and Justification of the study

Customer satisfaction is one of the most crucial aspects in service delivery on any facet. In the same breath, online banking service has become one of the many service platforms used by organizations to push products, increase profitability and reduce costs in a competitive environment, Paraguayan (2005). The study looked at the online banking services at Mutual Trust Bank Bangladesh Ltd as this was the largest bank in terms of branches in Dhaka City at 50 branches (Anon., n.d. 2012). When banks introduced online banking services, their aim was to decongest the banking halls, but with the continued long queues visible in the branches and as such, it is important to find out why the online banking services are not eliciting the desired effect (Anon, 2011)
The study was also done as this is a new area of innovation in the banking sector. Studies have been done on the more conventional and traditional service quality (Parasuraman et al, 1991, 2002) but studies have been sparse on the study of online banking service quality. As such the study will add to the existing knowledge and form a basis for further research for other scholars.
1.4 Objectives of the study
1.4.1 Main objective
The main objective of the study is to look at how customers perceive online banking services and how this relates to their levels of satisfaction. This will be done by identifying the quality dimensions of OBSQ and finding out the levels of customers? satisfaction them within Mutual Trust Bank Bangladesh Ltd.
1.4.2 Specific objectives
The specific objectives of this study are;
i. To establish the service quality dimensions banks should use to evaluate OBS
ii. To establish how these service quality dimensions are used to measure the quality of Online Banking Service (OBS).
iii. To find out how customers perceive the quality of different aspects of OBS they use.
1.4.3 Research Questions
i. Which service quality dimensions should banks consider when evaluating the quality of their online banking services?
ii. How are these service quality dimensions of online banking services used to measure the quality of online banking services?
iii. How do customers perceive the quality of different aspects of the online banking services they use?

1.5 Significance of the Study
Top service researchers state that customer satisfaction is the key to development and strategy for organizations that want to grow and be contenders in the economic arena. Poll statisticians use a lot of satisfaction surveys based on the thinking that a satisfied customer will always return in the future. Customer is a corner stone in the banking industry and for any bank to be able to be efficient and competitive in an economy such as the Bangladeshi market that has institutions offering financial services constantly growing. This study can be used by management to improve on customer policy toward satisfaction as it looks at aspects that aid in the reduction of customer complaints, ensure the ease of access to services rendered so that the customer expectations are always met or exceeded. This will lead to better relations with the customers and boost company performance as well. As this is a case study on one organization the study can be used by researchers to find out the effect online facilities may have on the customer satisfaction in other organizations.

1.6 Scope of the Study
The study looks at OBS, OBSQ and customer satisfaction. The study was conducted at the branches in Dhaka City, Bangladesh. Data from other branches was not studied even though the data concerned the area of the study. A preliminary study was conducted to establish the staff who had used OBS within the area and organization under the study.
1.7 Limitations of the study
The study looked at the dimensions of SQ in OBS and how this effects customer satisfaction as it is fundamentally leveraging for banks to ensure success and relevance in a highly volatile economic environment. The SQ dimensions that were looked into centered largely on timeliness, efficiency, assurance, responsiveness and reliability. SQ was also used to understand customer thinking in the online market framework as a prerequisite for customer satisfaction. Even when there are prevailing confidentiality laws in the sector, the study was still able to gain access to information from the respondents using items in the questionna ire that did not lead to revealing such information. This study did not look into the performance aspects such as growth of customer base in banks, organizational performance or adoption of the OBS all of which SQ has an effect. However this study can be used to guide the research or study on these aspects.