new.15.BalembaKanyurhi.format - 1 Evaluation of customer...

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Unformatted text preview: 1 Evaluation of customer satisfaction with services of a Micro-finance Institution : Empirical Evidence from WAGES customers in Togo Eddy BALEMBA Kanyurhi 1 1 PhD Fellow and Senior Lecturer, Department of Finance and Management , Catholic University of Bukavu (DR Congo), P.0.Box 02 Cyangu, Rwanda , Tel : + 243 997 79 6868, + 243 85 3131 577, Email : eddinesca@yahoo.fr . He detains a Complementary master degree from European Microfinance Programme since 2009. The author is grateful towards professors Aad Van Tilburg and Dogratias Buganda for helpful comments they provided him to improve this papers quality. 2 Abstract. Nowadays, Micro-finance industry is affected by competition leading to customers switching across MFIS. Thus, MFIs are concerned about customer satisfaction and have to pay attention to understand their customers preferences to survive in a competitive environment. Using data from 353 Women and Association for Gain both Economic and Social (WAGES)s customers in Togo, this study aimed to : (1) determine the main dimensions of financial services of Microfinance institution (2) determine the customer satisfaction level and (3) assess to what extent customer satisfaction is influenced by customers characteristics. Resorting to Factorial analysis, Customer Satisfaction Index and ANOVA, we found that responsiveness remains the most important dimension in micro-finance sector. Results reveal that customers branch, customers revenue and number of services accessed by customers strongly influence customers satisfaction. Results also indicate that the current customer satisfaction is equals to 71.2%. Key words : Micro-finance customers satisfaction dimensions, customers satisfaction Index, customer characteristics influence. 3 1. Introduction Microfinance industry is now affected by strong competition : commercial banks have begun to target MFIs traditional customers , new MFIs have continued to be created in microfinance industry, the microfinance clientele is becoming more sophisticated concerning the quality of service they require or expect( Daubert 2002) . These factors may negatively affect the MFIs. In fact, the microfinance industry is losing customers because of both the aggressive competition and MFIs weakness to satisfy their clients (Urguizo 2006). This simple description shows why MFIs are concerned about customer satisfaction and retention. It justifies also why they must pay attention to understand their customers preferences and priorities (IFAD 2007) to survive in a competitive environment. The microfinance industry is quite slowly in becoming more market oriented and it seems that customer satisfaction is one of the important tools to run a business and to achieve the mission statement (on sustainability and outreach) in this sector....
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new.15.BalembaKanyurhi.format - 1 Evaluation of customer...

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