Page 1 of 8
Journal for Studies in Management and Planning
Available at
http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 04 Issue 01
January 2018
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 242
A Study on Customer Attitude towards
Banking Services in Nagercoil Town
*K.Chitra
Assistant professor of Commerce & Management Studies (SF)
ST.Hindu college, Nagercoil.
** Dr.T.M.Padmanabhan
Associate professor of Commerce, ST. Hindu College, Nagercoil.
ABSTRACT
In this modern era every business organization are facing a tough competition
especially in the banking industries. The attitude of bank customers towards public sector banks
are discussed together with the perceived level of services of public sector banks by their
customers and the importance of selected patronage factors in choosing public sector banks.
Bank customers are profit motivated and the evidence generated in the study did not find an
important consideration of the new branches role in increasing the utilization of services
provided by public sector banks. It plays a important role in selecting banks as depository
institutions and there is a high degree of awareness on the part of bank customers on the
advantage of profit- loss sharing modes of investment and of the economic and social
development role of the public sector banking system.
Key Words: Customer attitude, Customer banking services.
INTRODUCTION
The banking system forms the
important role in the financial sector of an
economy. The role of commercial banks is
particularly important in countries through
the mobilization of the resource, better
allocation, the development process of under
developed countries. By giving attractive
saving schemes and ensuring safety of
deposits commercial banks encourage
willingness to save among the people in rural
areas. They help to convert idle saving into
effective one. And also commercial banks
improve the allocation of resources by
lending money to priority sectors of the
economy.
The public sector banks in India
operate in a highly competitive environment
with competition from non banking financial
institution. Foreign banks intensifying walk
business for Indian banks in respect of
deposits can no longer be expected. In order
to survive in these days of fierce competition
public sector banks have to apply
(i) Marketing approach product
differentiation is often
employed as a major
technique to survive in a
competitive market.
(ii) Each bank follow different
procedure so it is very
difficult to follow the
customers.
Even though the customer is well
educated some time high technology banking
services hesitate the customer for the
transaction. For the effective banking
transaction the banks should have
Page 2 of 8
Journal for Studies in Management and Planning
Available at
http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 04 Issue 01
January 2018
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 243
(i) Good communication
(ii) Soft skill must need
(iii) The bank management need
to educate the employees for
the banking activities and
process universal banking
procedure can help the
customer for the better
transaction.
CUSTOMER FOCUS OVER THE
DECADES
Customer are now demanding
multiple channels through which they can
interact with their provides including
(i) Face to face conduct
(ii) Phone
(iii) Websites e-mail mobile
device etc.
Which has forced the banking sector to
explore new distribution channels, so that
ordinary customer which have more
information about multiple banking products
than even before. This is aimed not only to
present the customer from taking their
business elsewhere but also to ensure that
they are offered the product and services that
are most appreciate and most likely to result
in new revenue for the bank. There is
phenomenal change and paradigm shift
towards customer focus over the past five
decades. The banking business found
standing on the pillars of customer’s
satisfaction it is pertinent that policy makers
and branch manager think over the problem
on priority basis.
In the decades of 1950 to
1960 the bank focus on
serving the customer. In 1960
to 1980 the bank focus on
satisfying the customer. In
1980 to 1990 the bank focus
on pleasing the customer. In
1990 to 2000 bank focus on
delighting the customer and
2000 onwards they focus on
retaining the customer.
ROLE OF BANKS
From the economic point of view the
major task of banks and other financial
institution is to act as an intermediate,
channeling savings to investment and
consumption through them, the investment
requirement of savers are reconciled with the
credit needs of investors and consumers.
In this process of transaction is to be
carried out efficiently it is absolutely
essential that the banks be involved. Indian
banking has aided the economic
development in an effective way during the
post independence period. The banking
sector has shown remarkable responsiveness
to the needs of the planned economy. It has
brought about a considerable progress in its
efforts at deposits mobilization and it has
taken a number of measure in the recent past
to accelerate the rate of growth of deposits.
To achieve this wants commercial banks
opened a number of branches that is urban,
semi urban, rural areas and introduced a
number of attractive schemes and also free
services to attract more customers.
STATEMENT OF THE PROBLEM
In Nagercoil town there are more
public sector and private sector banks were
functioning. The investigator have chosen
this topic to study about banking services
provided by public sector banks and there is
a problem of abnormal delays in receiving
and making payment and also customers
have to wait indefinitely without anybody
attending to them properly at the counter.
This leads to frustration among the
customers. The procedures laid down at the
banks are lengthy and also it was not easy to
follow by them. Even the issue of cheque
book takes twenty to thirty minutes because
the banks officers is always busy with
cheque and vouchers and registers, updating
the passbook also takes long time. The
Page 3 of 8
Journal for Studies in Management and Planning
Available at
http://edupediapublications.org/journals/index.php/JSMaP/
ISSN: 2395-0463
Volume 04 Issue 01
January 2018
Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 244
present customer services system lacks
motivation and initiatives, these adversely
affect the customer service.
OBJECTIVES
To identify the working and living
conditions of the customers in public sector
banks in Nagercoil town.
To verify the customer satisfaction
towards the services given by banks.
To analyze the recent banking
technology and its quality of customer
services.
To analyze the problems involved in
banking transactions.
METHODOLOGY
The present study is descriptive in
nature, which is based on empirical
evidences in the form of primary and
secondary data.
DATA COLLECTION METHOD
Primary data regarding the banking
services have been collected through the
respective bank customers. In order to carry
out the statistical enquiries questionnaire has
been framed and data has been collected
from the respective samples.
Secondary data has been collected
from various published and unpublished
sources like books, articles, journals,
magazines and internet.
SAMPLE PLAN AND SIZE
The study includes four leading
public sector banks (IOB, SBI, SBT, IB)
available in Nagercoil town as sample on the
basis of convenience sampling methods. It
was planned to select 25 bank customers
from each bank and a total of 100
respondents were taken as sample.
CONSTRUCTION OF TOOLS
To make the present study more
effective percentage analysis and Friedmen’s
rank test has been adopted.
REVIEW OF LITERATURE
Jham and Vimi (2008) have
expressed their views under the title
“Customer Satisfaction in the Indian
Banking Sector”. It is a study which draws to
attention the growing interest to researchers
and managers. Services provided by five
Indian banks were the target of the study.
With the help of factor analysis relationship
dimensions lead to identify customer
satisfaction of private and public sector
banks with respect to the services provided
by their banks.
Snehalkumar H mmmmmMistry
(2013) in his article “Measuring Customer
Satisfaction in Banking Sector” has observed
that the economic growth of country is on
accelerating mode, role of banking industry
is also important in this growth. With the
expansion of banking services to large
corporate searching fund for their activities,
makes the importance of banking services.
New technologies are being introduced and
there is always a fear of economic
uncertainties. Fierce competition, more
demanding customers and the changing
climate have presented an unparalleled set of
challenges (Lovelock, 2001) for banks in the
country. Therefore, customer satisfaction is
the key for many banks to survive in
competition.
EDUCATIONAL QUALIFICATION
Education in the largest sense is any act or experience that has a formative effect on the
mind, character or physical ability of an individual. In its technical sense, education is the
process by which society deliberately transmits its accumulated knowledge, skill and values from
one generation to another.
