Impact of Factors Affecting Customer Retention in Banking Sector
Keywords:
Commercial banks, customer retention, Responsiveness, LoyaltyAbstract
Customer retention is an imperative component for any bank in the present progressively aggressive condition. Because of its significance, this study analyzed the impact of few factors that influencing Customers and their maintenance in banking industry. The study was concentrated on the customers of both Private and Public sector Banks of Central India. In the study data was collected from 400 customers using self designed and tested questionnaires. Mean, standard deviation, correlation, regression and ANOVA techniques of SPSS were used to analyze the impact of Responsiveness, Loyalty Program, Consistency in Services and Credibility factors on customer retention in banking sector. The results show a positive Impact of responsiveness, loyalty program, and consistency in Services and Credibility on customer retention. It shows that the majority the respondents were ready to continue and retain, if all the factors related to such services are combined. The comparative impact also analyzed to find out most influence factor for customer retention among these. The study concludes that responsiveness, loyalty program, and consistency in Services and credibility are positively related to customer retention.
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