Measurement of Service Quality of Commercial Banks: An application of Gap Model

Abstract

Quality is a non price element which enhances competition among producers. With improvement in quality of products or services producers can maximize sales revenue. Thus producers always focus on quality of products. SERVQL gap model is a very popular method to evaluate quality of a product. The model helps in knowing the consumers sentiment about the product before and after use. In the paper quality of commercial bank has been measured using the mentioned model. Banks are providing various services like saving and borrowing. Banks are running based on public money, i.e, people save their money in the bank and that money is again provided in terms of loan to needy hand. This process does not only help in regular circulation of money in an economy but also enhanced production of goods and services. Hence it is very important to monitor the performance of banks in terms of quality. The study has considered 209 samples from the branches of six nationalized commercial banks in the of Nalbari district for the period of Septembar to Octobar, 2021. Applying the SERVQL gap model, it is found that consumers are more satisfied with physical facilities as the perception and expectation gap in tangible dimension is lower than other dimensions.