A Dissertation Submitted in Partial/Fulfillment of the Requirements for Award of the Degree of Master of Business Administration (MBA) of Mzumbe University
Banking industry especially in most developing countries and in Tanzania is one of the fastest growing businesses with a lot of opportunities to the society. It has opened opportunity for customers (guests) to enjoy choice among banking service providers. The purpose of this research study was to investigate factors affecting customer satisfaction in banking industry in Tanzani. A study conducted at National Microfinance Bank (NMB) Bagamoyo branch. The objectives which guide this study was to determine the level of customer satisfaction in banking industry, to determine factors affecting customer satisfaction in banking industry, to examine the challenges that management face in satisfying customers in banking industry. The study used both qualitative and quantitative approaches to investigate factors affecting customer satisfaction in banking service provider. The study carried out and covered 384 individual customers of NMB Bagamoyo branch and all 12 bank officers as according to the sample size. Data collected using the in-depth interview method, questionnaires, Focused Group Discussion method (FGD) and observation method. Tools used in data collection were structured questionnaires, checklist and FGD guiding questions. Statistical Package for Social Sciences (SPSS) and Ms. Excel was used to analayze data. It was reveald that customers are satisfied with the service provided by the NMB bank Bagamoyo branch. However, from the study it was further revealed that small numbers of customers are not satisfied. It was recommended that bank should also focus on this small number of customers as their satisfaction is also important for success of the bank.