You are on page 1of 21

Title

Page

Introduction

02

List of Current M banking services operating in Bangladesh

03

Statement of the problem and Purpose of the study

04

Limitation of the Study

05

Development of Conceptual Framework

05

Research question

06

Assessment of the research hypothesis

07

Methodology

08

Data collection

08

Data analysis method

09

Results and analysis

09

Correlation analysis

11

Assessment of the research hypothesis and findings

13

Discussion and recommendation

16

Appendix

17

Table of content

INTRODUCTION
(Relationship between service quality and Customer satisfaction of m banking users in
Bangladesh)
Mobile banking is a system that allows customers of a financial institution to conduct a number
of financial transactions with their mobile devices. According to (adb.org/Bangladesh), 2012
there are around 151.82 million people in Bangladesh, of which only 13 %have bank accounts.
The aim of the service is not to destroy branch banking but to bring those people under the
umbrella of banking service that are away from banking facilities.Banks can now offer the
banking services to both the rural community and the population (without banking transaction)
through mobile phones. Mobile banking refers to a system that enables bank customers to access
accounts and general information on bank products and services through Mobile devices. mbanking is providing services like cash out, balance transfer, payment of goods and services at
point of sales or remotely. (Source: http://sasec.systechprojects.com).
population size in Bangladesh is 160 million with 1.5% growth rate among these huge amount of
population 87% people are unbanked but 49 % people in Bangladesh has mobile phone and
among these 49% mobile phone user only 13% people are banked .so still 36% people can be
brought under banking service using mobile phone .52% people of our country are literate and
these people can easily take m-banking service. 17 banks got mobile financial service license
from central bank, 4 are found operational in market.
So it is evident that mobile banking at the same time promising and highly competitive sector
.and to sustain in the market and to move forward continuous improvement measures should be
taken .keep all these issues In my mind in this research I tried to find out the customer
satisfaction of m banking users in Bangladesh. I have considered five independent variables and
which would affect dependent variable which is customer satisfaction.

Current M banking services operating in Bangladesh

Bank Name

Product name
DBBL M-banking

Duch-Bangla Bank Limited.


bKash
BRAC Bank Limited
EasyCash
Prime Bank Limited.
mCash
Islami Bank Bangladesh Limited.
Mobile Money
Trust Bank
National Credit and Commerce Bank Limited
SureCash
M-Banking
Bank Asia Limited.
SMS Banking
Dhaka Bank
Mercantile Bank

Mobile Banking
SMS Banking

AB Bank
SMS Banking
South East Bank
SureCash
First Security Islami Bank
SureCash
Bangladesh Commerce Bank
United Commerce Bank

SMS Banking

(Source :http://sasec.systechprojects.com)

Statement of the problem:


The main problem of the study is to identify whether m banking service designed by different
banks are satisfying customer needs properly. In a competitive market place understanding
3

customers needs has b e c o m e an important factor. As a result companies have moved from
a product-centric to a customer centric position. Satisfaction is also of great interest to
practitioners because of its important effect on customer retention (Patterson et al., 1997; Sedon,
1997).
Purpose of the study:
The purpose of the study is to present and test a model that identifies the relationship of factors
namely ease of use, service quality, complaint management, policy, ease of service availability
with customer satisfaction.
The main objective of doing this research is to evaluate all different aspects of mobile banking
service available in Bangladesh .in my research I have tried to focus on above mentioned five
different parameters which basically signifies independent variables and customer satisfaction
which is the main topic of the report is the dependent variable. To see the relationship among
variables correlation, regression and reliability test study conducted by using SPSS software.

Limitation of the Study:


This present study is limited by number of factors:

The sample size does not represent the total population.

SPSS software version 14 had been used for Data Analysis because of user friendly
which is not latest one.

Only selected cash points and ATM booths have been considered for the survey.

For the convenience of study non probability samples have been used.

The study is self financed.

Not all the independent variables were considered.

Respondents were reluctant to an answer my questioner.

Development of Conceptual Framework:

Conceptual frame work has been developed below to show how independent variables affect
dependent variables.

(1)Ease of use
(2) Complaint management.
(3) Service quality.
(4)ease

of

service

availability
(5) Policy.

Customer
satisfaction
( m-banking service
users)

Independent variables

Dependent variable

Research question:
1. Is there any relation between ease of use of m-banking services and customer satisfaction?
2. Is there any relation between ease of availability of m-banking services

and customer

satisfaction?
3. Is service quality of m-banking services in Bangladesh related to customer satisfaction?
4. Do m-banking service policies somehow effect customer satisfaction?
5. Is the customer satisfaction dependent of complaint management of m-banking services ?
5

Assessment of the research hypothesis:


Factors

Hypothesi

Description

Ease of use

s
H0

. Ease of use has significant or positive relation with

H1

customer satisfaction of m banking user.


Ease of use has no impact on customer satisfaction

H0

of m bank users
. Complaint management of m banking service
providers has significant or positive relation with

complaint management

service quality

H2

customer satisfaction of m bank user.


Complaint management has nothing to do with

H0

customer satisfaction of m banking user


Service quality has significant or positive relation

H3

with customer satisfaction of m bank user


Service quality of m-banking has no significant or
positive relation with customer satisfaction of user.

H0

Ease of service availability has significant or


positive relation with customer satisfaction of m

Ease of service availability


H4

bank users
Ease of service availability has no significant or
positive relation with customer satisfaction of m

H0

bank user
banks policies have positive relation with customer
satisfaction of m bank users

Policy

H5

.banks policies have no significant or positive


relation with customer satisfaction of m bank user.

Methodology:
Sampling Method

To conduct the survey questioner will be used, since it is a descriptive research so quantitative
research will be conducted. The survey has been conducted among 30 respondents (m banking
users who collect money from cash points).and m banking user of 4 cash points of khilkhet area
of Dhaka have been considered for the survey. In the research one set of questioner has been
provided and there will be five sections which are ease of use, ease of service availability, policy,
compliant management, and service quality and 5 points Likert scale starting from 1 for strongly
disagree to 5 for strongly agree will be used.
Data collection
To carry out the study both primary and secondary sources of data has been utilized.
Primary data collection:
Research on Customer satisfaction of m banking users of Bangladesh was never been done
before in Bangladesh so this kind of research is totally new in Bangladesh so no secondary
source of data is not available hence primary data will be collected by giving close ended
questioner .m banking users while using cash points for money withdrawal or sending have
been asked to fill up the questioner.
This method has been chosen for various reasons. it is relatively cheaper method of collecting
data more over interviewer biasness can be avoided finally respondents will fell more
comfortable answering close ended questioner.
Secondary data collection:
For organizational part secondary data has been used. The source of the data are as follows

Web site of different bank ltd.


Different web sites
News paper.

Data analysis method:

First of all reliability test will be done to find out the acceptance of the independent variables,
then Pearsons Co relational analysis will be used to find out whether any relationship exists
between the independent and dependent variables. A Co relational analysis is the statistical tool
that can be used to describe the degree to which one variable is linearly related to another (Levin
& Rubin, 1998).
The coefficients will be found out for hypothesis test and descriptive statistic will be used for
finding mean and standard deviation.

Results and analysis:

The reliability coefficients, means and standard deviations are all being constructed in the
following table. The coefficient of alphas was found by applying the reliability procedure in
SPSS (version-14). The most highly recommended measure of internal consistency is provided
by coefficient alpha or Cronbachs alpha (1951) as it provides good reliability in the most
situations. The value of alpha ranges is from 0-1. The nearer the value of alpha to 1 it means
the better the reliability.
Reliability coefficient and descriptive statistics of ease of use, policies, compliant management ,
service availability, and service quality of m banking services in Bangladesh.

Descriptive Statistics and Reliability test.


No of items
Ease of use

Policies

Compliant
management
of
Service
availability
Service quality
of

Alpha
.962

.98367

3.2667

.79582

.935

2.8833

.97983

3.6333

.70629

.963

3.65
00

1.43929

942

933
.
2

Std. Deviation

3.0083

Mean

N=30

Here all the Reliability values seem to be acceptable, as can be seen in the table reliability value
for ease of use of use is .962 ,for policy reliability value is .942 for compliant management ,it is
.935 service availability and it is .933 finally for service quality it is .963 so all the variables are
acceptable.
Mean scores have been computed by equally weighting the mean scores of all the items. All the
studied variables have measured on five-point-scales. The mean score of ease of use of is
(3.0083; sd =.98367) which means customer satisfaction of is moderate and deviation is slightly

10

high .The mean score of policy of (3.2667; sd = .79582) indicates that it is moderate and
deviation of mean is low . The mean score of complaint management (2.8833 sd = .97983)
indicate satisfaction of complaint management is poor and deviation of mean is slightly high.
The mean score of service availability of is (3.6333; sd = .70629) indicates satisfaction of service
availability is moderate deviation of mean is the lowest. The mean score of service quality of
(3.6500; sd= .1.43929) indicates that service quality of m banking services in Bangladesh is very
satisfactory but deviation is very high.

Value of standard deviation represents that how much mean value can fluctuate or deviate , for
example the mean and standard deviation scores of ease of use of m banking services is 3.0083
and. .98367 It means that the standard deviation.98367 proves that the mean value 3.0083can
deviate up to .98367
Correlation analysis:
A Pearsons co relational analysis was applied on all variables to explore the relationship
between the two variables. In interpreting the strength of relationship variables there are some
certain guidelines suggested by Rowntree (1981) are as follows. His classification of the
correlation coefficient ( r ) is as follows:
Table
0.0 to 0.2
0.2 to 0.4
0.4 to 0.7
0.7 to 0.9
0.9 to 1

Very weak, negligible


Weak, low
Moderate
Strong, high, mark
Very strong, very high

11

Correlations
EU

PMBU

CMMB

SAMB

SQMB

CS

EU

Pearson
1 .944(**) .967(**) .948(**) .986(**) .859(**)
Correlation
Sig. (2-tailed)
.000
.000
.000
.000
.000
N
30
30
30
30
30
30
PMB Pearson
.944(**)
1 .948(**) .931(**) .920(**) .916(**)
U
Correlation
Sig. (2-tailed)
.000
.000
.000
.000
.000
N
30
30
30
30
30
30
CMM Pearson
.967(**) .948(**)
1 .933(**) .960(**) .821(**)
B
Correlation
Sig. (2-tailed)
.000
.000
.000
.000
.000
N
30
30
30
30
30
30
SAM Pearson
.948(**) .931(**) .933(**)
1 .912(**) .830(**)
B
Correlation
Sig. (2-tailed)
.000
.000
.000
.000
.000
N
30
30
30
30
30
30
SQM Pearson
.986(**) .920(**) .960(**) .912(**)
1 .838(**)
B
Correlation
Sig. (2-tailed)
.000
.000
.000
.000
.000
N
30
30
30
30
30
30
CS
Pearson
.859(**) .916(**) .821(**) .830(**) .838(**)
1
Correlation
Sig. (2-tailed)
.000
.000
.000
.000
.000
N
30
30
30
30
30
30
(EU= ease of use, PMBU=policy of mobile banking use, CMMB=complain management of
mobile banking, SAMB=service availability, SQMB= service quality of mobile banking, CS=
customer satisfaction)
** Correlation is significant at the 0.01 level (2-tailed).

12

The result and the summarization of correlation analysis for all variables are shown in the above
table. It represents the correlations among all variables in perspective m banking user in
Bangladesh.
In perspective of m banking user, ease of use and customer satisfaction (r = .859**) are strongly
related and their relationship is positive and statistically significant. Policy and customer
satisfaction (r = .916**) are strongly related and their relationship is positive and statistically
significant. Complaint management and customer satisfaction (r =.821**) are strongly related
and their relationship is positive and statistically significant. Service availability and customer
satisfaction (r =.830**) are strongly related and their relationship is positive and statistically
significant .service quality and customer satisfaction (r =.838**) are strongly related and their
relationship is positive and statistically significan

Assessment of the research hypothesis and findings


Hypothesis-1
Ease of use has significant or positive relation with customer satisfaction of m banking user.
1. The result of the correlation analysis signifies that the ease of use (r = .859**) is having a
positive and strong relationship with the satisfaction of m banking users and their relation is
statistically significant. Thus, the results of correlation analysis support the hypothesis therefore
null hypotheses is accepted.
Hypothesis-2
Complaint management of has significant or positive relation with customer satisfaction of m
banking user.
2. The result of the correlation analysis signifies that complaint management system of (r = .
821**) is having a positive and strong relationship with the satisfaction of mobile banking users
and their relation is statistically significant. Thus, the results of correlation analysis support the
hypothesis. Therefore null hypothesis is accepted.

13

Hypothesis-3
Service quality has significant or positive relation with customer satisfaction of m banking user.
3. The result of the correlation analysis signifies that service quality (r =.838**) is having a
positive and strong relationship with the satisfaction of m banking users user and their relation is
statistically significant. Thus, the results of correlation analysis support the hypothesis and null
hypothesis is accepted.
Hypothesis-4
Mobile banking policies have positive relation with customer satisfaction of its user.

The result of the correlation analysis signifies that the policy of m banking users (r =.916**) is
having a positive and strong relationship with the satisfaction of m banking services in
Bangladesh users and their relation is statistically significant. Therefore null hypothesis is
accepted.
Hypothesis-5
Ease of service availability has significant or positive relation with customer satisfaction of m
banking users.
5.The result of the correlation analysis signifies that the ease of service availability (r =.830**) is
having a positive and strong relationship with the satisfaction of m banking user and their
relation is statistically significant. Thus, the results of correlation analysis support the hypothesis
and null hypothesis is accepted.
Multiple regression analysis:

Regression Statistics
Multiple R
0.93782
0.87950
R Square
6
Adjusted R
0.85440
14

Square
Standard
Error
Observations

3
0.45203
8
30

Data analysis: R square is .879506 that means 87% percent of the total variations can be
explained by the regression test .Adjusted R square is .854403 which means 85% of the customer
satisfactions can be explained by the five variables used in the research.

Coefficie
nts

Standa
rd
Error

t Stat

Pvalue

Intercept

-0.65439

0.6853
91

0.9547
7

0.3492
14

Ease of
Use

0.242355
1.957335

0.7311
33
0.3752
37

0.3314
79
5.2162
58

0.7431
6
2.41E05

-1.04156

0.3915
64

-0.1703

0.4320
18

-2.66
0.3941
9

0.288561

0.3961
09

0.7284
88

Policy
complain
managem
ent
service
Availabilit
y
service
quality

0.0137
05
0.6969
22
0.4733
64

Lower
95%
2.0689
7
1.2666
3
1.1828
83
1.8497
1
1.0619
4
0.5289
7

Upper
95%
0.7601
88
1.7513
4
2.7317
87
0.2334
1
0.7213
44
1.1060
91

Lower
95.0%
2.0689
7
1.2666
3
1.1828
83
1.8497
1
1.0619
4
0.5289
7

Upper
95.0%
0.7601
88
1.7513
4
2.7317
87
0.2334
1
0.7213
44
1.1060
91

Customer satisfaction(y) = -.65439+.242355 Ease of use+1.957335 service policy-1.04156


complain management-.1703 service availability+.288561 service quality

Analysis:
customer satisfaction increases by .2423 if ease of use is increased by 1 units holding other
variables other four independent variables constant ,then customer satisfaction increases by
1.95 by increasing policy of mobile banking use 1 unit holding other variables other four
15

independent variables constant ,but there is a negative relations between customer satisfaction
and complain management and service availability and finally by customer satisfactions
increases by .28856 by 1 unit increase of service quality.

Discussion and recommendation:


From the correlation analysis we can see that policy of m banking use, service quality, ease of
use has very strong relation with customer satisfaction but complaint management and service
availability has relatively poor relationship to customer satisfaction in comparison to other
variable so m banking service providers should pay pay more attention on these two issues.
complains of m banking users should be handled more sincerely and with more care it is very
important element for customer retention and customer satisfaction another issue is service
availability cash point numbers should be increased and customers should be able to get mobile
banking services more easily so it service should be made easy to get.

16

Appendix
Descriptive Statistics and Reliability test
No of items
Ease of use
Policies
Compliant
management
of

Alpha
3
3
3

Mean

.962
.
942
.935

Std. Deviation

3.0083

.98367

3.2667

.79582

2.8833

.97983

17

Service
availability
Service quality
of

3.6333

.70629

.963

3.65
00

1.43929

933
.
2

N=30
Correlations
EU
EU

PMBU

CMMB

Pearson
1 .944(**) .967(**)
Correlation
Sig. (2-tailed)
.000
.000
N
30
30
30
PMB Pearson
.944(**)
1 .948(**)
U
Correlation
Sig. (2-tailed)
.000
.000
N
30
30
30
CMM Pearson
.967(**) .948(**)
1
B
Correlation
Sig. (2-tailed)
.000
.000
N
30
30
30
SAM Pearson
.948(**) .931(**) .933(**)
B
Correlation
Sig. (2-tailed)
.000
.000
.000
N
30
30
30
SQM Pearson
.986(**) .920(**) .960(**)
B
Correlation
Sig. (2-tailed)
.000
.000
.000
N
30
30
30
CS
Pearson
.859(**) .916(**) .821(**)
Correlation
Sig. (2-tailed)
.000
.000
.000
N
30
30
30
** Correlation is significant at the 0.01 level (2-tailed).

SAMB

SQMB

CS

.948(**)

.986(**)

.859(**)

.000
30

.000
30

.000
30

.931(**)

.920(**)

.916(**)

.000
30

.000
30

.000
30

.933(**)

.960(**)

.821(**)

.000
30

.000
30

.000
30

.912(**)

.830(**)

30

.000
30

.000
30

.912(**)

.838(**)

.000
30

30

.000
30

.830(**)

.838(**)

.000
30

.000
30

30

18

Regression Statistics
Multiple R
0.93782
0.87950
R Square
6
Adjusted R
0.85440
Square
3
Standard
0.45203
Error
8
Observations
30

Intercept
Ease of
Use
Policy
complain
managem
ent
service
Availabilit
y
service
quality

Coefficie
nts

Standa
rd
Error

t Stat

Pvalue

-0.65439

0.6853
91

0.9547
7

0.3492
14

1.957335

0.7311
33
0.3752
37

0.3314
79
5.2162
58

0.7431
6
2.41E05

-1.04156

0.3915
64

-0.1703

0.4320
18

0.288561

0.3961
09

0.242355

-2.66
0.3941
9

0.0137
05
0.6969
22

0.7284 0.4733
88
64
Appendix

Lower
95%
2.0689
7
1.2666
3
1.1828
83
1.8497
1
1.0619
4
0.5289
7

Upper
95%
0.7601
88
1.7513
4
2.7317
87
0.2334
1
0.7213
44
1.1060
91

Lower
95.0%
2.0689
7
1.2666
3
1.1828
83
1.8497
1
1.0619
4
0.5289
7

Upper
95.0%
0.7601
88
1.7513
4
2.7317
87
0.2334
1
0.7213
44
1.1060
91

Research Questionnaire

19

The following questioners are provided to you to conduct a survey on the customer satisfaction of
mobile banking users. Please read the questions carefully and tic mark your answer on the basis of
scale.
Name:

Gender: Male

Female

Age:
Strongly Disagree

Disagree

Uncertain/not

Agree

Strongly

sure
1

Using mobile banking service is i easy for its

Agree
3

M banking service charge is reasonable.

The amount of money can be sent or cashed

customers.
Using m banking services in English is not a
problem.
Do you think anyone can use m banking
services
account opening is policies of m banking is
hassle free .

out in one day is reasonable


M bank operators is sincere about solving
customer problem
Accessing customer care of is easy m banking

20

users..
You are satisfied with the customer care of m

banking services.
Number of cash points available are sufficient
to meet customers need.
Can you get 24/7 service from m banking
users as promised
Customer care agents are always there for you
when you need them
You are satisfied with over m banking
offerings
M banking service quality is better than other
money transfer services or mobile banking
services

21

You might also like