Customer Satisfaction and Customer Loyalty in the Post-Crisis Banking Sector of Ghana

Abstract

The banking industry is immensely important to the socioeconomic development of emerging economies by facilitating the exchange of money between depositors and borrowers. The banking industry in Ghana is facing corporate governance challenges, which has led to non-performance and subsequent withdrawal of operating licenses. The withdrawal of the licenses by the Bank of Ghana has impact on customer loyalty and satisfaction, which has not been significantly investigated in a post crisis banking sector of Ghana. This has resulted in many companies undertaking numerous product design and innovation to satisfy customers. This study therefore is aimed at investigating the relationship between customer satisfaction and customer loyalty in the post crisis banking sector of Ghana. The study adopts the positivist traditional stance with a quantitative approach. Participants were drawn from among the customers of universal banks in Ghana. The purposive sampling technique was used to administer 250 questionnaires to customers of universal banks in Ghana in which 170 usable questionnaires were retrieved for analysis with a response rate of 68 per cent. The investigation revealed that customer satisfaction variables have significantly influenced the loyalty of customers of banks involved in this study. The results indicated that tangibles, reliability, responsiveness, assurance and empathy, and dimensions of service quality have positive influence on customer satisfaction.The investigation largely focused on quantitative analysis of results, hence; a further study adopting the qualitative approach would contribute to the body of knowledge on customer loyalty and satisfaction in the banking sector. This study provides a strong evidence for banks that have been negatively impacted by the banking crisis in Ghana and want to recover from the associated impacts on their customers to enhance their customer satisfaction by improving the tangibility and reliability of services to clients. It is recommended that Banks in Ghana focus on achieving high customer satisfaction by focusing on high quality services delivery based on the service quality dimensions.

E-banking Customer Satisfaction and Loyalty: Evidence from Serial Mediation through Modified E-S-QUAL Model and Second-Order PLS-SEM

“…E-customer satisfaction is the customer's assessment regarding the etransaction in comparison to conventional transactions. According to Boateng et al (2021), Evanschitzky et al (2004), andSamsudeen et al (2020), the significant difference between e-retailing and traditional retailing services is transforming man to machine or transactions through artificial intelligence through the Internet. Therefore, for e-customer satisfaction, modified & innovative improvements are required, and this research bridges the gap between e-customers satisfaction and ecustomer loyalty.…”

“…Previous literature emphasized the importance of Islamic e-banking as it permits customers can do transactions 24/7 without any hindrances by observing Islamic Laws. According to Boateng et al (2021), Butt (2018), Iqbal (2020), Dewi and Surabaya (2020), and Nguyen and Leblanc (2002), ecustomer loyalty increases when customer frequently uses e-banking services with satisfaction. Hence, it demonstrated that e-customer satisfaction is directly associated with ecustomer loyalty.…”

Delightful Customer Experience: An Antecedent for Profitability and Sustainable Growth of Airline Businesses

“…[2] found that 40% of participants in his study want products that make their lives easier, 36% want simple to use products, 25% want products related to families and small households, and 25% desire custom-made products. [5] argue that customers also seek value-based items at the highest price, as well as products or services that provide physical or mental stimulation or reward throughout the purchasing experience. Satisfaction with a purchase can also be defined as an experience based on encounter or usage of a particular service [6], that results in customer loyalty [7], repeat purchases, positive word-of-mouth [8] and ultimately, greater accomplishments and profitability [9].…”