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Influence of Demographic Variables on Banking Service Quality: A Study of Private Sector Banks in Chennai

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  • S G Balaji
  • M Sureesh Baabu

Abstract

The service sector in India has been growing rapidly, and its contribution to Gross Domestic Product (GDP) is increasing year after year. In the service sector, financial service is the lifeblood of economic activity, and in the financial service, banking plays an increasingly important role in the economy of a nation. At present, the focus of banks is on the customer. The number of players being large, customers have a good range of choice. Customer usually picks up a bank which provides maximum satisfaction and quality service. This has led banks to adopt more customer-oriented policies and schemes aimed not only to increase the number of customers but also to retain the existing customers. So, an attempt has been made by the researcher to study the demographic variables that influence the service quality in banking. The study was undertaken only in the private sector banks of Chennai. The sample size of the study was 300. Both primary and secondary data were used for the study. The primary data collected for the study were analyzed with the help of SPSS package by using ANOVA. The findings of the study help to know which demographic variable influences the service quality of banks. This information also helps the banks to understand their customers better and improve their service quality in order to enhance customer satisfaction.

Suggested Citation

  • S G Balaji & M Sureesh Baabu, 2012. "Influence of Demographic Variables on Banking Service Quality: A Study of Private Sector Banks in Chennai," The IUP Journal of Bank Management, IUP Publications, vol. 0(1), pages 70-96, February.
    • Handle: RePEc:icf:icfjbm:v:11:y:2012:i:1:p:70-96
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