CUSTOMER SATISFACTION TOWARDS CREDIT CARD: AN EMPIRICAL EVIDENCE

Abstract

India’s banking system has shifted the banks’ from a brick strategy to a click strategy. Any transaction can be done just with a click because of technology advancement. Credit card is the payment instrument of the modern world and called as the plastic money. It is a modern payment instrument for consumers to benefit from prestige, short-term cash credit, not needing to carry money, opportunity for instalment shopping and late payment advantage. The objective of the proposed paper is to study the customer’s satisfaction after using credit card services provided by various banks operating in four administrative division of Haryana (Gurgaon, Rohtak, Hisar & Ambala) and Delhi. To achieve the objective of the study primary data was collected through a structured questionnaire from the respondents using credit cards (public, private and foreign banks). In total 750 respondents were studied with the help of a convenience sampling method. To analyze the collected data SPSS version 19 was used. The various statistical techniques used for analysis and achieve the objectives of the study are frequency distribution along with percentages, mean, and standard deviation. To test the null hypothesis parametric test such as t-test and ANOVA were used. The major findings of the study reflected that customers are most frequently used their credit card for “Shopping online”, “Pay your utility bills”, “Fuelling up your vehicle” and “Railway/air ticket/other ticket bookings”. Further study concluded that customers are highly satisfied by credit card because of “Promptness of delivery”, “Usefulness of credit card”, “Information provided to you while purchasing credit card” and “Online shopping facility by credit card”. Demographic variables “occupation”, “annual income”, “sector of the bank” and “place of residence” have significant and differentiated impact on satisfaction level of customers. The study provides various factors and meaningful direction to bank management and decision maker to overcome their weaknesses and formulate some strategies for higher customer satisfaction.

Key Words: Credit Card, Technology, Instrument, Plastic etc.