Perceived Quality and Customer Satisfaction of E-banking Account Holders in Commercial Banks in Nairobi City County, Kenya

Abstract: Customer satisfaction in e-banking in Kenya has been on the decline despite scholarly research contributions. In 2015 customer satisfaction in e-banking was approximately at 64%, in 2016 trust was at 78% with only 13% reporting an experience with some form of online fraud attempts while using e-banking platforms. Unfortunately, in 2017 satisfaction in e-banking dropped to 50% and trust to 66.7% while in 2020 satisfaction in e-banking was a meagre 33%. The study aimed at establishing the effect of perceived quality on customer satisfaction of e-banking account holders of commercial banks in Nairobi City, Kenya. The five areas where this was tested were: expectation of superior quality; consistency of quality of e-banking services; the excellence of e-banking features on bank platforms; performance of one’s bank’s e-banking features in the industry and finally comparison with other banks e-banking platforms on performance, customer service and safety. The research design used in this study was descriptive and explanatory. Explanatory research design allowed for examination of causal relationships, while descriptive allowed comparisons of study variable’s response by the study population. The study context was Nairobi County which has 564 bank brand branches, allowing access to variety of customer demographics and all bank tiers. The target population was 66,315,699 with Nairobi accounting for 40% hence 26,040,000 account holders from commercial banks in Nairobi. Sampling took the form of stratified, disproportionate stratified and random sampling techniques. A sample of 400 respondents was selected. Primary data was used and collected using questionnaires disseminated using google forms with questions on a 5 point Likert scale. The relationship between perceived quality and customer satisfaction of e-banking account holders in commercial banks in Nairobi City County, was found to be statistically significant at 5% significance level. The expectation of superior quality from the bank; having excellent features on the e-banking platform and the evaluation of e-banking platforms in terms of performance, customer service safety when compared to other banks were all found to be statistically significant to customer satisfaction. Keywords: perceived quality, customer satisfaction, e-banking. Title: Perceived Quality and Customer Satisfaction of E-banking Account Holders in Commercial Banks in Nairobi City County, Kenya Author: Kellen Gaitung’u, Dr. Reuben Kinyuru Njuguna, Dr. John Nguma Mutinda International Journal of Management and Commerce Innovations ISSN 2348-7585 (Online) Vol. 13, Issue 1, April 2025 - September 2025 Page No: 6-19 Research Publish Journals Website: www.researchpublish.com Published Date: 08-April-2025 DOI: https://doi.org/10.5281/zenodo.15174987 Paper Download Link (Source) https://www.researchpublish.com/papers/perceived-quality-and-customer-satisfaction-of-e-banking-account-holders-in-commercial-banks-in-nairobi-city-county-kenya