Service quality, customer satisfaction and customer loyalty among customers of centenary rural development bank, Kabalagala branch

Abstract

The study aimed at establishing the relationship between customer satisfaction, service quality and customer loyalty among customers of Centenary Rural Development Bank, Kabalagala branch. The study specifically intended to; (I) establish the level of customer satisfaction and service quality. (II) Examine the level of customer loyalty and finding out the relationship of customer satisfaction and service quality with customer loyalty. Quantitative methodological approach was used specifically the descriptive correlation research design. Self-administered questionnaires were distributed to a sample of 250 respondents who have accounts with the bank by simple random sampling procedure. The findings of the study signposted the level of customer satisfaction, service quality and customer loyalty is high. Customer loyalty was principally determined by service quality. The findings further indicated that there is a significant positive correlation between customer satisfactions, service quality and customer loyalty. The research established that customer satisfaction and service quality are significant factors that increase customer loyalty. Consequently the bank should focus on how service quality can be improved and how customer satisfaction can be attained at a higher level by creating a much more reliable environment accentuate empathy by employees and guaranteeing responsiveness to the customers.