A STUDY ON AWARENESS AND CUSTOMER SATISFACTION OF ELECTRONIC BANKING FACILITIES

SUBMITTED BY:

NAVLEEN KAUR

INTRODUCTION OF ELECTRONIC BANKING

Transfer of funds electronically. To get paycheck deposited directly into your bank. The bank transfer funds each month from your checking account to your mutual fund account. It enables you to automatically pay certain monthly bills from your account, such as your auto loan etc. Withdraw money from your checking account from an ATM machine.

VARIOUS FORMS OF E-BANKING:

INTERNET BANKING
AUTOMATED TELLER MACHINES (ATM)

TELE BANKING
SMART CARD

DEBIT CARD
E-CHEQUE

BENEFITS OF E-BANKING
FOR BANKS: Price Customer Base Efficiency Customer satisfaction Image FOR CUSTOMERS Bill payment Other facilities like money transfer.

MEASURING CUSTOMER SATISFACTION IN BANKING INDUSTRY

Customer satisfaction is a measure of how products and services supplied by a company meet customer expectations. With the increase in demand for banking services; speed, quality and customer satisfaction are key differentiators for each banks future. According to LORD WILLIAM THOMSON KELVIN: IF YOU CANNOT MEASURE IT, YOU CANNOT IMPROVE IT NEED TO MEASURE CUSTOMER SATISAFACTION: Customer is the king, an organisation should know whether its customers are satisfied or not. Increased profits Larger market share Healthy competition Better organisational image.

FACTORS OF CUSTOMER SATISFACTION

PERSONALISED SERVICE INNOVATION ACCESSIBILITY

TRANSACTION SECURITY

To study the internet banking facilities offered by the banks to its customers.

To explore the future prospects of internet banking.

To study the benefits that are provided to the individual under internet banking. To know whether the customers are SATISFIED with the internet banking facilities.

RESEARCH METHODOLOGY
SOURCES OF DATA
PRIMARY AND SECONDARY DATA

SAMPLE SIZE 80 RESPONDENTS

SAMPLING METHOD
CONVENIENCE SAMPLING

METHOD OF DATA COLLECTION

STRUCTURED QUESTIONNAIRE

TOOLS OF ANALYSIS
TABLES, PIE CHARTS, BAR DIAGRAMS CUSTOMER SATISFACTION INDEX IMPORTANCE V/S PERFORMANCE GAPS

DATA ANALYSIS AND INTERPRETATION

AWARENESS OF INTERNET BANKING SERVICES.

No 10%

Yes 90%

RESPONDENTS ACCOUNTS IN RESPECTIVE BANKS

Axis 10%
SBI 35%

SCB 20%

HSBC 5% HDFC 30%

RESPONDENTS SAFETY IN DISCLOSING DETAILS

No 40%

Yes 60%

SATISFACTION WITH BANKING SERVICES

No 20%

Yes 80%

RESPONDENTS PREFERENCE OF TRANSACTIONS TO DO BY NET

Stop payment 14%

Money transfer 16%

Order cheque book 14%

Current bal 13%

Pay bill 16% DD 14%

FD 13%

AWARENESS OF METHODS OF FRAUD

Yes 30%

No 70%

AWARENESS OF METHODS TO SECURE TRANSACTION

Yes 20%

No 80%

RESPONDENTS PREFERENCE OF USING NET BANKING

No 10%

Yes 90%

BENEFITS SEEN BY CUSTOMERS

Time 10%

Convenience 16% Speed 21%

Transparency 53%

RESPONDENTS SATISFACTION WITH E BANKING SERVICES OFFERED

NOT AT ALL

VERY SATISFIED

NO. OF RESPONDENTS

SATISFIED

10

15

20

25

30

35

40

45

50

ANALYSIS OF CUSTOMER SATISFACTION

The study is based on measuring the EXPECTATION GAPS. The expectation gap is the difference between what the customer is expecting and what he is actually getting from the bank. Gaps for all the aspects covered in the factors are calculated. An overall analysis of gaps is also done to find out the main aspects where the gaps are the highest . The aspects with the lowest gaps are also analyzed to know the areas where the customers are satisfied up to some extent.

GAP ANALYSIS OF HDFC

PERSONALISED SERVICE
VARIABLE T VALUE

INNOVATION
VARIABLE T VALUE

Highest gap

Highest gap

Provide special services for disabled Lowest gap

9.095

Provide online directions for new users Lowest gap

12.252

Be personalized

4.971

To be connected to 7.773 operator and not to IVR

ACCESSIBILITY CONVENIENCE
VARIABLE T VALUE

TRANSACTION SECURITY
VARIABLE T VALUE

Highest value
To be available 24 hours everyday Lowest value Have a user friendly system 6.567 14.621

Highest value

Give written guarantee of transactions Lowest value

11.579

Customer feedback 8.429 services

Banks should make an effort in SECURING TRANSACTIONS. Cost of E transactions should be CURTAILED to lure the customers. System of E banking should be SIMPLIFIED for customers comfort. The most obvious step bank should take is to see to it that the basic problem fueling dissatisfaction have been addressed. The banks should take up responsibility of EDUCATING CUSTOMERS all the BENEFITS OF E BANKING. There is a need felt for the banks to UNDERTAKE PROPER PROMOTIONAL ACTIVITIES.

PERSONALISED SERVICE: Providing personalized services and caring for customers personal needs especially for the elderly and disabled. INNOVATION: Offering technologically advanced services to the customers specially to the new users and additional options for handicapped customers. ACCESSIBILITY CONVENIENCE: Having e- service outlets easily accessible, available 24 hours a day and 7 days a week and ensuring convenience in using them. TRANSACTION SECURITY: Taking all measures to instill confidence to customers in using electronic banking services.

E-BANKING:
Has changed the banking industry It is a cost effective delivery channel. But also it is associated with security risk etc. Rise of E banking has redefined business relationships. Created a plenty of opportunities for players in banking. HDFC is gaining acceptance in field of E banking. HDFC needs to put more efforts in order to educate customers about services and its benefit. It has a vast scope in future but banks will have to make more efforts for its success.

CUSTOMER SATISFACTION
The study shows that in HDFC EXPECTATION GAPS are HIGH due to the: Waiting time. Not available 24 hours a day and 7 days a week Not providing and guaranteeing accurate records of all transactions and transactions security HDFC has LOWEST GAPS in: Greeting the customers by name Qualified staff Providing customer feedback services Processing transactions efficiently with no waiting time. Providing accurate records and guaranteeing transaction security.