A MEDIATING ROLE OF CUSTOMER ENGAGEMENT, EXPERIENCE IN BANKING INNOVATIONS AND CUSTOMER SATISFACTION

Abstract

The Indian banking sector has transitioned from automation to digitalization over the past three decades. The effect of demonetization (2016), Digital India (2018) making it difficult for the average person to adopt advanced CRM systems. In this scenario, due to competitiveness, sustainability and profitability, majority of the banks are introducing and adopting novel technologies like AI, block chain, chat bots, big data, and robotics to improve customer engagement, experience and satisfaction,. These banking technological innovations create an ecosystem that led to better customer engagement (CE), enhance customer experience (CX) and high customer satisfaction (CS). The present study analyse the influence of banking technological innovations on customer experience, engagement and satisfaction towards banking services. The study uses a simple random sampling technique and a structured questionnaire was distributed to customers of select public (SBI, CANARA) and private (HDFC, ICICI) sector banks in Warangal city. The final sample size is 185. The researcher uses SMART PLS and path coefficient model with bootstrapping method, reliability and correlation test. The path analysis shows that a positioning and process innovation influence on customer engagement, experience and satisfaction. Furthermore, CE has a significant path relationship with CS.

KeyWords: Banking Sector, Process Innovation, Technological Innovation, Positioning Innovation, Customer Experience, Engagement, and Satisfaction.