Service Recovery Paradox in Indian Banking Industry

Journal of Information Technology Management, 2021

The purpose of this paper is to measure the relationship between the functional service recovery and technical service recovery towards customer satisfaction in banking industry. Both functional and technical is equally important in service quality especially in service recovery. The competition among the banking industry especially in major cities in Malaysia is very crucial. The study was conducted in Kuala Lumpur based on the top 10 banks based on the market share. 250 questionnaire distributed but only 212 were usable for the data analysis. The results indicated that both functional and technical service recovery plays important role towards customer satisfaction. Banking services or any financial institution should have focused on both Effect of Service Recovery towards Customer Satisfaction in Banking Industry 56 elements in order to provide excellent services that may contribute to customer satisfaction and in the long term lead to customer loyalty.

International Journal of Technology Marketing, 2020

With the advent of health risks related to gathering of people, banks among other institutions are relying on e-services to reach out to their customers. These services are directly affected by service failure and recovery. This study examines the relationship between effective service recovery, well-established communication structure, customer satisfaction and customer loyalty, in order to provide a better quality service for the millennial customers. Collected data was analysed using the SPSS software. The results show that there is a significant positive relationship between the following attributes: service recovery and customer loyalty, customer satisfaction and positive word-of-mouth, communication and conflict handling on loyalty.

JOURNAL OF MECHANICS OF CONTINUA AND MATHEMATICAL SCIENCES

Banking is a dynamic sector and, as such, high-quality client service is invaluable for clients to grow and retain.The purpose of the study is to examine the differences in complaint behaviour in context of service recovery failure (Double Deviation) and its effect on complaint behaviour. 114 respondents of sample were selected by random sampling technique to obtain responses in form of well designed questionnaire.Results revealed that new customers are involving more in private actions and defection than the loyal customers in context of double deviation and all the three dimensions magnitude of service failure, recovery strategies, and satisfaction with service recovery have an effect on complaint behaviour. Further this paper consists of implications and future scope for researchers.

International Journal of Financial Services Management, 2015

Customer satisfaction is one of the important aspects in any business. Customer satisfaction might be studied from a general perspective or under situational contexts like service failure and subsequent recovery in service delivery. Few researchers have studied post-service recovery customer satisfaction by analysing the dimensions contributing to it. Researchers have also not analysed those dimensions from an exploratory perspective. To address this issue, the dimensions contributing to post-service recovery customer satisfaction in Indian retail banking are studied from a qualitative perspective. Depth interviews and focus group discussions were conducted and analysed based on grounded theory. The analysis included open coding, writing memos, concept generation from the phenomena, index card sorting, axial coding and selective coding. The concepts generated would determine the dimensions which might affect post-service recovery customer satisfaction in Indian retail banking.

2014

This paper provides a critical analysis of the literature on customer satisfaction, service failure, and service recovery paradox effects in the field of hospitality and identifies a conceptual model of satisfaction, service failure, and service recovery.

2002

ABSTRACT Service recovery paradox refers to situations where satisfaction of recovered customers actually exceeds that of customers who have not encountered any problems with the initial service. The growing debate on the existence of a service recovery paradox has not yet reached a conclusion. Based on interviews with more than 11,000 customers of a bank, our results lead to the conclusion that a very satisfying initial service is what is most preferred.

International Journal of Service Industry Management, 2008

To test the existence, frequency and magnitude of the service recovery paradox.

Financial services sector has become very competitive a er Malaysia government's liberalization policy. In order to address the increased competition, banks have shi ed their strategy from product-centered to a customer-centered strategy. is study tests a model related to the relationship between the service recovery, customer satisfaction and customer a er purchase behavior. To test the proposed model, 370 self-administered questionnaires were distributed. e analyses based on Structural Equation Modelling (SEM) reveal direct relationships between perceived distributive justice, perceived procedural justice, perceived interactional justice and customer satisfaction in regard to service recovery. e results also show that customer satisfaction increases the level of trust among customers. ere is also a high possibility that satis ed customers will spread positive word of mouth that can reinforce the good reputation of the service provider. Bootstrap is used to examine the mediation e ects of satisfaction and the results show that customer satisfaction fully mediates the relationship between perceived interactional justice and word of mouth. e results also indicate that customer satisfaction partially mediate the following relationships; perceived distributive justice with word of mouth, perceived procedural justice with word of mouth and perceived interactional justice with perceive trust. However, the fact that this study is conducted by using cross sectional method, focuses on banking industry and covers a small area of the country should be taken into consideration for any generalization of results. 6 | Shaheen MANSORI, Goh Guann TYNG, Zarina Mizam Mohd ISMAIL (2014) Service Recovery, Satisfaction and Customers' Post Service Behavior in the Malaysian Banking Sector

Background: Customer satisfaction is one of the key success factors to the survival of any business organization. The aim of this study is to determine the effects of service recovery on customer satisfaction.