ASSESSING THE EFFECT OF E - PAYMENT SERVICES ON CUSTOMERS’ SATISFACTION: THE CASE OF COMMERCIAL BANK OF ETHIOPIA, HOSSANA DISTRICT

Abstract

The main objective of this study was to assess the effect of E - Payment services on customers’ satisfaction: the case of Commercial Bank of Ethiopia, Hossana District. The study employed descriptive and explanatory research design along with mixed approach. Depending on the organizational structure and branch distributions, the combination of sampling techniques such as purposive, stratified, systematic and simple random were used. Primary data was collected using semi - structured questionnaire. 354 E – payment service customers, moreover, relevant document was reviewed. Descriptive statistics such as frequency mean and standard deviation and inferential statistics such as multiple linear regression analysis were utilized to analyze the quantitative data with the help of Statistical Package for Social Science version 20. The finding of the study revealed both the E – payment service delivery and customer satisfaction were at moderate stage. On the other hand, from the regression analysis result, 60.0% of the variation in the customer satisfaction was directly attributable to the independent variables security, speed, ease of use, accountability and credibility. Moreover, statistically there was moderate relationship between E – payment service quality dimensions and customer satisfaction, however, there was strong relationship between ease of use of E – payment system service with customers’ satisfaction. Therefore, it is imperative to pay more attention on the quality of the E –payment service delivery in order to make the E – payment service delivery implementation more efficient. Thus, this study suggests that the CBE has to work hard in order to enhance the E – payment service delivery in collaboration with the government and ethio – telecom.