Effects of service quality on customer satisfaction at ethiopian revenues and customs authority, jimma branch

Abstract

The study assesseseffects of service quality on customer satisfactionat ERCAJImma branch. This study endeavors to discover the impact of service quality on customer satisfaction in ERCA of Jimmabranches using Five dimensions in service quality (SERVQUAL) such as tangibility, reliability, responsiveness, empathy, and assurance are considered as the base for this study. To achieve the overall objective of the study collect data from customers of the branches, using questioners. Accordingly, 242 respondents were participated in the study using a simple random sampling technique.Both descriptive and inferential statistics methods were applied in the analysis part. The data were analyzed by using SPSS version 20.1. The result of the study reveals that the overall level of customer’s satisfaction in the study area is low as compared those who were not satisfied. The result of study showed that except assurance the rest service quality indicators (SERVQUAL) positively and significantly affect customers’satisfaction in the organization. Thus, it can be concluded that responsiveness, reliability and tangibility remains the most determinant and/it strongly influence customers’ satisfaction level of the study area. Furthermore, multiple regressions identify the relative contribution of each variable and determine the best predictor variables among a set of variables. Accordingly, responsiveness has the highest contribution to customer loyalty among the independents variables (beta = .873). Based on the findings the study recommend the following management bodies of the branch further investigate the main reason of unsatisfied customers and tried to create continuous improvements on the major factors affecting customers level of satisfaction.