Customer Grievance Redressal Mechanism in the Banking Sector: A Customer Perception Analysis

Abstract

This study focuses on customer perception in terms of customer awareness of grievance redressal mechanisms in the banking sector. Banks being organisations of economic importance should make conscious efforts to establish secure service recovery culture. Developing a good complaint management system alone cannot serve the purpose of catering to the customers but making the customer aware of the various redressal avenues at their disposal is also necessary therefore this study was undertaken. The objective of the study is to evaluate the general awareness of customers on the different avenues for redressal. Statistical tools like the ANOVA test, multiple regression has been applied to determine the results. Data were collected from 384 bank customers through an interview schedule. The results of the study highlighted that the customer awareness of redressal processes and mechanisms is low for external processes rather than internal processes of banks.