The paper "Service Quality in Jordanian Banking" is a perfect example of a marketing research proposal. Purpose: The study looks to determine whether the six demographic factors experiences mean differences between the perceptions of service quality in the banking sector. Methodology: Data was collected from the distribution of questionnaires based on which ANOVA and post-hoc Tukey tests were performed on six demographic variables (gender, age, occupation, income, education and religion) so that perception of service quality on the banking sector can be identified. Findings: There exist no differences based on gender, income or education but the difference in perception exist based on religion, age and occupation. Limitations: Several demographic groups were under-represented in the research Practical Implications: The research will help to attract and target people from specific demographics Originality and Value: This is the first studies which will look to examine the manner in which demographic factors have an impact on the perception of quality service within the Jordanian banking system. Keywords: Service quality, Jordan, banks Introduction The quality of service within the banking sector has proliferated over the last decade (Titko et al. , 2012; Chaker and Jabnoun, 2010).
While there is no predetermined definition of service as it varied from one person to another but aims towards an overall assessment of a particular service by a customer and determines the extent to which the customer expectation and satisfaction is met (Saghier and Nathan, 2013). This thereby looks to encompass both the perception and expectation of people. The banking sector which works in the service industry has been confronted with the task of understanding the different perception and expectations of the customer so that service standard can be developed accordingly (Titko et al. , 2012; Saghier and Nathan, 2013).
Different multi-dimensional measures have been used previously to understand the service quality needs, attitudes and perceptions, including SERVQUAL, Carter and BSQ (Saghier and Nathan, 2013). The different measures have its applicability in the Islamic banking industry and can be applied in the Jordanian banking system so that the different demographic factors and the impact it has on the service perception can be understood (Askari, Iqbal, & Mirakhor, 2009; Miani & Daradkah, 2008) Jordan has witnessed a growth in the banking sector which has intensified competition and understanding the different service quality perceptions which have an impact on the banking sector needs to be understood.
This requires that banks need to identify the different parameters and develop their strategies so that customers can be attracted and retained in the competitive environment (Mualla, 2011). Studies in the same direction bring forward the fact that demographic factors such as gender, marital status, income, age, occupation, and education have an impact on service quality measures with respect to banking (Balaji and Baabu, 2012; Gupta and Bansal, 2011).
The research thereby concentrates and looks at evaluating the manner in which the different demographic factors have an impact on customers using the banking services in Jordan. To evaluate the manner in which demographics have an impact on service perception the research will specifically look at factors like age, gender, religion, income, education, and employment status so that the impact it has on the banking sector can be identified.
Abdullah, F., Andrew, J. V., & Ho, V. B. (2010). Identifying And Validating Dimensions Of Service Quality For The Banking Industry In Malaysia. Journal of Global Business and Economics, 1(1), 79-98.
Abedifar, P., Molyneux, P., &Tarazi, A. (2011). Risk and Stability in Islamic Banking. Bangor: Bangor Business School, University of Wales.
Abedniya, A., Zaeim, M., &Hakimi, B. (2011). Investigating the relationship between customers’ perceived service quality and satisfaction: Islamic Bank in Malaysia. European J SocSci, 21(4), 603-624.
Aldlaigan, A. H., &Buttle, F. A. (2002). SYSTRA-SQ: a new measure of bank service quality. International Journal of Service Industry Management, 13(4), 362-381.
Al-Smadi, A. A.-M., Hamdan, F., &Almsafir, M. K. (2013). Islamic banking vs conventional banking, during the global financial crisis: malaysia as a case. Journal of Islamic and Human Advanced Research 3(1), 27-40.
Askari, H., Iqbal, Z., &Mirakhor, A. (2009). Globalization and islamic finance: convergence, prospects and challenges (Vol. 778): John Wiley & Sons.
Avkiran, N. K. (1994). Developing an instrument to measure customer service quality in branch banking. International Journal of Bank Marketing, 12(6), 10-18.
Avkiran, N. K. (1999). Quality customer service demands human contact. International Journal of Bank Marketing, 17(2), 61-74.
Babakus, E., &Boller, G. W. (1992). An empirical assessment of the SERVQUAL scale. Journal of Business research, 24(3), 253-268.
Bahia, K., &Nantel, J. (2000). A reliable and valid measurement scale for the perceived service quality of banks. International Journal of Bank Marketing, 18(2), 84-91.
Baker, M. J. (2003). Data Collection - Questionnaire Design. Marketing Review, 3(3), 343-370.
Benamraoui, A. (2008). Islamic banking: the case of Algeria. International Journal of Islamic and Middle Eastern Finance and Management, 1(2), 113-131.
Bentler, P., & Chou, C. (1987). Practical Issues in Structural Modeling. Sociological Methods & Research, 16(1), 78-117.
Brady, M. K., Cronin Jr, J. J., & Brand, R. R. (2002). Performance-only measurement of service quality: a replication and extension. Journal of Business Research, 55(1), 17-31.
Buttle, F. (1996). SERVQUAL: review, critique, research agenda. European Journal of Marketing, 30(1), 8-32.
Carrillat, F. A., Jaramillo, F., &Mulki, J. P. (2007). The validity of the SERVQUAL and SERVPERF scales: a meta-analytic view of 17 years of research across five continents. International Journal of Service Industry Management, 18(5), 472-490.
Caruana, A>, (2002). Service loyalty: The effects of service quality and the mediating role of customer satisfaction. European Journal of Marketing, (36) 7/8, 811 - 828
CBJ. (2013). Directory of Banks, Central Bank of Jordan Retrieved 1/6/2013, from http://www.cbj.gov.jo/pages.php?menu_id=34&local_type=0&local_id=0&local_details=0&local_details1=0&localsite_branchname=CBJ
Chong, B. S., & Liu, M.-H. (2009). Islamic banking: interest-free or interest-based? Pacific-Basin Finance Journal, 17(1), 125-144.
Churchill, G. A. (1979). A paradigm for developing better measures of marketing constructs. Journal of Marketing, 16(2), 64-73.
Churchill, G. A., &Surprenant, C. (1982). An investigation into the determinants of consumer satisfaction. Journal of Marketing Research, 19(4), 491-504.
Cronin, J., & Taylor, S. (1992). Measuring service quality: a reexamination and extension. The journal of marketing, 55-68.
Cronin, J., & Taylor, S. (1994). SERVPERF versus SERVQUAL: reconciling performance-based and perceptions-minus-expectations measurement of service quality. The Journal of Marketing, 125-131.
Cronin, J., Brady, K., &Hult, M. (2000). Assessing the effects of quality, value, and customer satisfaction on consumer behavioral intentions in service environments. Journal of retailing, 76(2), 193-218.
Day, R. W., and G. P. Quinn (1989) “Comparisons of treatments after an analysis of variance in ecology,” Ecological Monographs, 59: 433-463.
DeVellis, R. F. (2003). Scale Development: Theory and Applications. Thousand Oaks: Sage.
Dillman, D. A., Phelps, G., Tortora, R., Swift, K., Kohrell, J., Berck, J., & Messer, B. L. (2009). Response rate and measurement differences in mixed-mode surveys using mail, telephone, interactive voice response (IVR) and the Internet. Social Science Research, 38(1), 1-18. doi: http://dx.doi.org/10.1016/j.ssresearch.2008.03.007
Dillman, D. A., Smyth, J. D., & Christian, L. M. (2009). Internet, Mail and Mixed-mode Surveys: The Tailored Design Method. New Jersey: John Wiley & Sons Inc.
Erol, C., & El-Bdour, R. (1989). Attitudes, behaviour, and patronage factors of bank customers towards Islamic banks. International Journal of Bank Marketing, 7(6), 31-37.
Gagliano, K. B., &Hathcote, J. (1994). Customer expectations and perceptions of service quality in retail apparel specialty stores. Journal of Services Marketing, 8(1), 60-69.
Galloway, L., & Ho, S. (1996). A model of service quality for training. Training for Quality, 4(1), 20-26.
GatehouseBank. (2008). Development of Islamic banking Retrieved 28/5/2013, from www.gatehousebank.com
Gefen, D. (2002). Reflections on the dimensions of trust and trustworthiness among online consumers. ACM Sigmis Database, 33(3), 38-53.
Gorsuch, R. L. (1983). Factor Analysis. California: Lawrence Erlbaum Associates.
Grönroos, C. (1984). A service quality model and its marketing implications. European Journal of marketing, 18(4), 36-44.
Guo, X., Duff, A., & Hair, M. (2008). Service quality measurement in the Chinese corporate banking market. International Journal of Bank Marketing, 26(5), 305-327.
Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2010). Multivariate Data Analysis: A Global Perspective. New York: Pearson Prentice Hall.
Hanif, M. (2010). Differences and Similarities in Islamic and Conventional Banking. International Journal of Business and Social Sciences, 2(2).
Haron, S., &Azmi, W. N. W. (2008). Determinants of Islamic and conventional deposits in the Malaysian banking system. Managerial Finance, 34(9), 618-643.
Ho, R. (2006). Handbook of Univariate and Multivariate Data Analysis and Interpretation with SPSS. New York: Taylor & Francis.
Hoelter, J. W. (1983). The analysis of covariance structures: Goodness-of-fit indices. Sociological Methods and Research, 11, 325-344.
Hoffman, K. D., & Bateson, J. E. (2002). Fundamentos de marketing de servicios: conceptos, estrategias y casos: Thomson.
Hung, Y., Huang, M., & Chen, K. (2003). Service quality evaluation by service quality performance matrix. Total Quality Management and Business Excellence, 14(1), 79-89.
IBFJ. (2013a). Islamic Mortgage Loans - How Do They Work? Islamic Banking and Finance Journal, Retrieved 28/5/2013, from http://islamicbanking.info/islamic-mortgage-loans/
Iqbal, M. (2001). Islamic and conventional banking in the nineties: a comparative study. Islamic Economic Studies, 8(2), 1-27.
IslamicMortgages. (2011). Islamic Credit Cards Retrieved 28/5/2013, from http://www.islamicmortgages.co.uk/index.php?id=76
Jain, S. K., & Gupta, G. (2004). Measuring service quality: SERVQUAL vs. SERVPERF scales. Vikalpa, 29(2), 25-37.
JDIB. (2013). Jordan Dubai Islamic Bank Recognised as Fastest Growing Bank in Jordan in 2011, 31/5/2013, from http://www.jdib.jo/ViewPR.aspx?PRID=52
JIB. (2005). Finance and Banking, Jordan Investment Bank 9/24/2005. from http://www.jordaninvestment.com/2c.htm,
JIR. (2005). Banking and Finance, Jordanian Information Resource Retrieved 28/5/2013, from http://reference.allrefer.com/country-guide-study/jordan/
Kang, G.-D., & James, J. (2004). Service quality dimensions: an examination of Grönroos’s service quality model. Managing Service Quality, 14(4), 266-277.
Karatepe, O. M., Yavas, U., &Babakus, E. (2005). Measuring service quality of banks: scale development and validation. Journal of Retailing and Consumer Services, 12(5), 373-383.
Khammash, T. (2012). Jordan Banking Sector Report. Amman, Jordan Jordinvest Company.
Khan, M. M., & Bhatti, M. I. (2008). Islamic banking and finance: on its way to globalization. Managerial Finance, 34(10), 708-725.
Kumar, M., Kee, F. T., & Charles, V. (2010). Comparative evaluation of critical factors in delivering service quality of banks: an application of dominance analysis in modified SERVQUAL model. International Journal of Quality & Reliability Management, 27(3), 351-377.
Lehtinen, U., &Lehtinen, J. R. (1982). Service quality: a study of quality dimensions: Service Management Institute.
Linda, D. G., &Wikke, W. (1987). Questionnaire development: 1. Formulation. . Canadian Medical Association Journal, 136(6), 583-585.
Loehlin, J. C. (1992). Latent variable models: An introduction of factor, path and structural analysis (2nd ed.). Hillsdale, N.J.: Lawrence Drlbaum.
Marsh, H. W., Balla, J. R., & McDonald, R. P. (1988). Goodness-of-fit indexes in confirmatory factor analysis: the effect of sample size. Psychological Bulletin, 103(3), 391-410.
Miani, S., &Daradkah, D. (2008). The banking industry in Jordan. Transition Studies Review, 15(1), 171-191.
Nunnally, J. C. (1978). Psychometric Theory. New York: McGraw-Hill.
Othman, A., & Owen, L. (2001). Adopting and measuring customer service quality (SQ) in Islamic banks: a case study in Kuwait finance house. International Journal of Islamic Financial Services, 3(1), 1-26.
Pallant, J. (2007). SPSS: Survival Manual. Sydney: Allen & Unwin.
Parasuraman, A., Berry, L. L., &Zeithaml, V. A. (1991). Perceived service quality as a customer‐based performance measure: An empirical examination of organizational barriers using an extended service quality model. Human Resource Management, 30(3), 335-364.
Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1985). A conceptual model of service quality and its implications for future research. The Journal of Marketing, 41-50.
Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1988). SERVQUAL: A multiple-item sales for measuring customer perception of service quality. Journal of Retailing, 64(1), 12-40.
Saleh, A. S., &Zeitun, R. (2006). Islamic Banking Performance in the Middle East: A Case Study of Jordan. Faculty of Commerce-Economics Working Papers, 157.
Samad, A. (2004). Performance of interest-free Islamic banks vis-à-vis interest-based conventional banks of Bahrain. International Journal of Economics, Management and Accounting, 12(2).
Seiler, V., Rudolf, M., &Krume, T. (2013). The influence of socio-demographic variables on customer satisfaction and loyalty in the private banking industry.International Journal of Bank Marketing, 31(4), 235-258.
Stafford, M. R. (1996). Demographic discriminators of service quality in the banking industry. journal of services marketing, 10(4), 6-22.
StandardChartered-Pakistan. (2012). Saadiq VISA credit cards Retrieved 28/5/2013, from http://www.standardchartered.com.pk/islamic/credit-debit-cards/en/saadiq-visa-credit-cards.html
Sultan, P. (2011). Antecedents and consequences of service quality in a higher education context. (Doctor of Philosophy ), Central Queensland University, Australia, Rockhampton. Retrieved from http://acquire.cqu.edu.au:8080/vital/access/manager/Repository/cqu:8119
Sultan, P., & Wong, H. Y. (2010a). Performance-based service quality model: an empirical study on Japanese universities. Quality Assurance in Education, 18(2), 126-143.
Sultan, P., & Wong, H. Y. (2010b). Service quality in higher education–a review and research agenda. International Journal of Quality and Service Sciences, 2(2), 259-272.
Sultan, P., & Wong, H. Y. (2010c). Perspectives of Service Quality in a Higher Education Context: A Qualitative Research Approach. Paper presented at the 24th Annual Australian and New Zealand Academy of Management Conference, Adelaide.
Sultan, P., & Wong, H. Y. (2011). Service quality in a higher education context: antecedents and dimensions. International Review of Business Research Papers, 7(2), 11-20.
Sultan, P., & Wong, H. Y. (2012a). Cultures’ Consequences in the assessment of Higher Education Service Quality: The Case of CQU, Australia. Paper presented at the Australia and New Zealand Marketing Academy Conference (ANZMAC), University of South Australia, Hilton Adelaide, Australia.
Sultan, P., & Wong, H. Y. (2012b). Service quality in a higher education context: an integrated model. Asia Pacific Journal of Marketing and Logistics, 24(5), 755-784.
Sultan, P., & Wong, H. Y. (2013). Antecedents and consequences of service quality in a higher education context: A qualitative research approach. Quality Assurance in Education, 21(1), 70-95.
Taap, M. A., Chong, S. C., Kumar, M., & Fong, T. K. (2011). Measuring service quality of conventional and Islamic banks: a comparative analysis. International Journal of Quality & Reliability Management, 28(8), 822-840.
Tabachnick, B. G., &Fidell, L. S. (2000). Using Multivariate Statistics. New York: HarperCollins
Titko, J., Lace, N., and Kozlovskis K., (2013) Service quality in banking developing and testing measurement instrument with Latvian sample data. ACTA UNIVERSITATIS AGRICULTURAE ET SILVICULTURAE MENDELIANAE BRUNENSIS. LXI(2): 58-68.
Tsoukatos, E., &Mastrojianni, E. (2010). Key determinants of service quality in retail banking. EuroMed Journal of Business, 5(1), 85-100.
Tsoukatos, E., &Mastrojianni, E. (2010). Key determinants of service quality in retail banking. EuroMed Journal of Business, 5(1), 85-100.
Walfried M. Lassar, Chris Manolis, Robert D. Winsor, (2000) "Service quality perspectives and satisfaction in private banking", Journal of Services Marketing, Vol. 14 Iss: 3, pp.244 – 271
WorldBank. (2013). Jordan Overview Retrieved 28/5/2013, from http://www.worldbank.org/en/country/jordan/overview
WorldBank. (2013). Data by Country: Jordan Retrieved 28/5/2013, from http://data.worldbank.org/country/jordan
Whittaker, G., Ledden, L., &Kalafatis, S. P. (2007). A re-examination of the relationship between value, satisfaction and intention in business services. Journal of Services Marketing, 21(5), 345-357.
Young, E. ( (2012)). the World Islamic Banking Competitiveness Report 2011-2012.
Zeithaml, V. A. (2000). Service quality, profitability, and the economic worth of customers: what we know and what we need to learn. Journal of the Academy of Marketing Science, 28(1), 67-85.
Zhou, L. (2004). A dimension-specific analysis of performance-only measurement of service quality and satisfaction in China's retail banking. Journal of Services Marketing, 18(7), 534-546.