The effect of information communication technology on customer satisfaction :

Abstract

The purpose of the study was to determine the effect of information communication technology on customer service satisfaction, a case study of Centenary Bank, Pallisa Branch. The study was guided by the following objectives, to determine the effect of market orientation technology on customer satisfaction, to determine the effect of service automation on customer satisfaction and to determine the effect of information technology investment on service automation. The study made use of the Diffusion of Innovation theory which states that technology becomes popular when it gains awareness, and early adopters spread the benefit of the technology. In the same sense information technology becomes more common when the few customers who adopt it, share the benefits with other customers, then the other customers come on board. The study took a duration of three months to be conducted. The study took made use of simple random sampling, in which a population of 160 respondents were selected, thereby allowing a sample of 120 be to derived. The instruments used in the study were questionnaire and observation. The study found out that the effect of market orientation technology is negative, this is evidenced by 31.7 % who complained that it reduces the rate of innovation. In addition, the study showed that service automation has a negative effect on customer service automation (evidenced by 44%) of the respondents complaining that it leads to use of automatic response bots that lack the personalized touch of the human element. The study showed that the technology investment doesn’t not result into an instant positive effect on customer satisfaction. The study recommended that firms must apply information technology in a phased manner, so as to bring about a positive effect on customer satisfaction. There areas for further study should focus on the relationship between information communication technology and customer satisfaction in order to determine the nature of the relationship.