Customer satisfaction and financial performance in greek retail banking

Abstract

Banks forms one of the most dynamic and rapidly developing sectors of the Greek economy. This thesis will evaluate the elements of customer satisfaction and its impact on financial performance for one of the largest banks in Greece. Over the last two decades the Greek banks have realized the interrelationship between service quality, customer satisfaction, and profitability. This has guided them to focus on a more customer-oriented profile by enhancing the quality of service provided to increase customer satisfaction. The underlying principle of this study is to transfer general theories/ models of customer satisfaction in the banking sector in Greece. Additionally, the pursuit of this research is to offer insights to banks, especially operating in Greece, in how they can overcome the negative effects of the credit crisis that has shattered confidence and trust in the banking sector and achieve satisfied customers. As such, the formulation of the study’s hypotheses, inform the basis of the research strategy and the way customer satisfaction will be evaluated that focus on the measurement of service quality levels at the Eurobank retail bank in Greece using a quantitative approach. The questionnaire evolved from a large qualitative study that revealed a number service quality themes that influences customer perception of enhanced quality service delivery in the banking sector. These factors were included in a questionnaire and respondents asked to rate them on a scale of 1 to 5. The large sample response provided the researcher the opportunity to subsequently apply a range of advanced non-parametric statistical tests to determine the key significant factors that have the most significant influence on customer satisfaction. Based on the data analysis, of the questionnaire, on customer satisfaction the results confirm high service levels offered by banking institutions. The ordinal regression results reveal that the efficiency of work is the most important factor influencing overall satisfaction. Especially, in relation to the customer's gender, profession and deposit capacity. The affluent customers significantly recognise the preferential service levels offered by specialised management consultants. To ensure that banks and their employees continue to a deliver valued service to their customers’, investment is required in modern CRM and analytics software that will provide timely information to employees. This will empower employees with information so that they can offer targeted advice, about the bank’s services and products, to ensure that customers’ are provided valued and timely information. Furthermore, it would expedite the efficiency of the current activities. The findings discovered, in this research, offer a significant insight, for banks, to ensure that they continue to deliver a product/service that continues to maintain high customer satisfaction.

Η συσγκεκριμένη διδακτορική διατριβή αξιολογεί δεδομένα της ικανοποίησης πελατών και πως αυτά επιδρούν στην χρηματοοικονομική επιδόση των τραπεζικών ιδρυμάτων στην Ελλάδα.