ජාතික සමුපකාර සංවර්ධන ආයතනයේ නිල වෙබ් අඩවියට ඔබව සාදරයෙන් පිළිගනිමු..
The role of the banking sector has increased due to the higher demand for financial services. For a variety of reasons, the rural masses are somewhat reluctant to access financial institutions. Therefore, rural banks take the lead in attracting the rural masses to the financial system and meeting their financial needs. Although service quality and customer satisfaction have been measured in relation to various banks, the number of studies measuring service quality, customer satisfaction, and transaction cost in Co-operative Rural Banks (CRBs) in Sri Lanka is low. Therefore, this study aimed to examine the effect of service quality of CRBs on customer’s transaction costs and their satisfaction. Both convenient and snowballing sampling methods were employed to gathered data from 121 customers of CRBs in Kandy district. Partial Least Squares Structural Equation Model (PLS-SEM) was the analytical tool of this study. As shown by the outcomes of this study, service quality has a positive influence on customer satisfaction. It also stated a significant negative association between service quality and transaction costs. Further, transaction cost has an inverse significant impact on customer satisfaction. The transaction cost which is considered as an intermediate variable performs a complimentary mediation role between service quality and customer satisfaction. Adaptation to modern technologies, development of staff capabilities, competencies, attitudes, and simple service procedures will assist to improve service quality, customer satisfaction and the minimize the transaction cost of customers.
Co-operative Rural Bank, Customer Satisfaction, Service Quality, Transaction Cost.
Kumari, R., & Priyanath, H. (2022). Service Quality, Transaction Cost and Customer satisfaction of theCustomers of Co-operative Rural Banks in Kandy, Sri Lanka. Sri Lanka Journal of Co-operative studies, 2(1), 1-14.