Client Satisfaction in the Banking Sector: Evidence from Local and Multinational Banks in Bangladesh

Abstract

This study compares client satisfaction across multinational, private, and public banks in Bangladesh, addressing a gap in cross-category evaluations of service quality and digital capability. Using a descriptive–comparative, mixed-methods design, we surveyed purposively selected active customers of HSBC (multinational), City Bank (private), and Janata Bank (public) with a 20-item Likert questionnaire grounded in the SERVQUAL dimensions (reliability, assurance, tangibles, empathy, responsiveness). Primary data (n=50) were complemented by branch-level observation and brief interviews. Descriptive statistics and one-sample t-tests (μ=3) assessed the salience of account-opening drivers and satisfaction factors. Results show multinational and private banks outperform the public bank across all five SERVQUAL dimensions, largely due to superior digital platforms, faster transactions, and more responsive support. For the public bank (Janata Bank), overall satisfaction was moderate; factors such as bank reputation, branch location, and personal relationships with staff scored significantly above neutral, indicating the continuing importance of trust, accessibility, and interpersonal service. By contrast, transaction speed and perceived technological advancement scored at or below neutral, evidencing dissatisfaction with manual processes and limited self-service options. Charges and interest-rate comfort tended to cluster around neutrality. The comparative framework highlights HSBC’s globally integrated digital services and City Bank’s localized innovation versus Janata Bank’s lagging digitization and responsiveness. The study recommends priority investments in digital infrastructure (mobile/Internet banking, ATM coverage), process automation, and frontline service training in public banks, alongside fee transparency and issue-resolution SLAs. Private banks should continue targeted innovation and personalization, while multinationals can consolidate their advantage in security and cross-border connectivity. Aligning service quality with rising digital expectations is pivotal to strengthening client loyalty and competitiveness in Bangladesh’s banking sector.