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Gap Analysis of Automatic Teller machine (ATM) Service Quality and
Customer Satisfaction
Anyiam Kizito Ebere1, Eze Felicita Udoka2, Ezeh Ngozi Gloria3
1,2,3
(Department of Information Management Technology, Federal University of Technology, Owerri, Nigeria)

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Abstract: This works is aimed at analyzing the satisfaction levels of the customers of banks holding Automatic
Teller Machine (ATM) cards with respect to some aspects of Automated Teller machines variables such as
Tangibles, Reliability, Responsiveness, Assurance and Empathy and their impact on overall performances of the
technology and their opinion on other related issues. The Respondents of the study were customers of banks
using ATM services in Owerri, South- East, Nigeria. The sample in this study consists of 162 respondents. The
data were collected on interval scale and analyzed using two strategies: GAP analysis and subjected to the
multiple regression analysis. The finding revealed that there were remarkable gap between experience and the
perception of the bank customers. The results of our second strategy showed that the prescribed multiple
regression model were properly specified and the four out of the five SEQUAL dimensions was significant.
Keywords: SEQUAL, gap analysis, Multiple regression, Anova, Customer satisfaction, service quality
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1. Introduction
In Nigeria, Automatic Teller Machine (ATM) technology is becoming more common than other modern banking services
such as electronic banking, internet banking, Point of Sales (PoS) transactions and Money transfer. Though ATMs appear
to be mainly provided by banks in Nigeria, yet their widespread adoption by customers of banks is not clear, as it appears
that peoples’ perception of the technology is diverse, which in turn affects their decision to actually use it or not. ATMs are
set up to provide 24 hours services to bank customers, nevertheless, it is observed that banks still have many customers
transacting with tellers within their doors, and queues are still not a thing of the past inside the banks. Patronage of ATMs
is also not defined, and even epileptic at best, as sometimes long queues were observed outside ATMs, while other times,
there are few or no customers. It is consequently, important to discover the gap between the ATM’s service quality and
customer satisfaction with a view to knowing what could be done to prevent the inhibition surrounding its use. The
objective of the study is to carry out a gap analysis on ATMs service quality and customer satisfaction of in Nigeria.

1) Statement of Hypothesis
The research hypothesis based on the statement of problem, objective of study and research questions are stated in the
null form as follows:
(i) H1: Tangibles is positively related to customer satisfaction on ATM services
(ii) H2: Reliability is positively related to customer satisfaction on ATM services.
(iii) H3: Responsiveness is positively related to customer satisfaction on ATM services.
(iv) H4: Assurance is positively related to customer satisfaction on ATM services.
(v) H5: Empathy is positively related to customer satisfaction on ATM services

II Literature Review

A number of researchers have investigated the demographic characteristics of ATM adoption. El-Haddan and Almahmeed
(1992) studied a Kuwaiti population, Marshall and Heslop (1988) studied a Canadian population, and Swinyard and Ghee
(1987) studied a Southeast Asian population and all got consistent results of adopter characteristics of ATM, in which
ATM users tend to be young and have above average incomes and at least some high school education. Taube (1988)
and Amel (1986) in their studies also obtained similar results. Kennickell and Kwast (1997) specifically found that
household heads under the age of 35 were considerably more likely to use computerized banking, ATMs, and debit cards
than older consumers, while consumers’ use of direct deposit increased with age. Di Angeli et al. (2002) looked at
technology adoption in different cultural contexts, analyzing the relationship between Hoffstede’s cultural value
dimensions and ATM’s adoption in urban India. They proposed that the underlying inhibitors to ATM adoption in India
were not intrinsically different from those determined earlier in Europe and North and South America. These inhibitors
could be traced back to a few main factors, such as feelings of inadequacy, preference for human, lack of need and safety
concerns. They believed that those who used ATM did so because they had a need for it, perceived it was easy to use,
felt safe using it, and had positive attitude towards technology in general. These reasons appeared to be caused by
different factors in different contexts due to different cultural values. Lee and Lee (2000) investigated the diffusion of
various electronic banking technologies, such as ATMs, debit cards, smart cards, direct deposit, and direct payment,
along with the characteristics of adopters and non-adopters based on the DOI theory. They used the 1995 Survey of
Consumer Finances and discovered that more educated, affluent and younger consumers who were likely to
communicate with professional information providers tended to adopt electronic banking technologies more readily than
their counterparts. Despite this, the specific factors that described adopters and non-adopters varied across different
types of banking technologies.

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Through archival research, Batiz-Lazo and Barrie (2005) investigated the impact of the introduction of Automated Teller
Machines (ATM) in British retail banking. ATMs were originally a British innovation but U.S. (e.g., IBM and NCR) and
German manufacturers (e.g., Siemens ) took the lead as ATMs became a global technology.

1.1 Customer Satisfaction and Service Quality

Customer satisfaction is a crucial topic to success in any business either traditional or online (Ho and Wu (1995)).
Customer satisfaction is more critical in internet companies because customers demand a high quality products or
services and if they are unsatisfied, it is easy for them to move away to another site and leave those companies forever.
Thus, the internet companies need to know the customer’s requirements for satisfactory level. Some parameters of
customer’s satisfaction include numbers of clicks needed to find what they want, amount of information they need,
response time and speed of webpage. Service quality has found as one of the significant factors in distinguishing services
and products. Service quality is an important tool to measure customer satisfaction see Pitt et. al (1995). There is a close
relationship between service quality and customer satisfaction. Customer satisfaction can be protected by providing
products or services with high quality (Getty and Getty, (2003)). One of the famous tools to assess customer satisfaction
is SERVQUAL model by Zeithaml, et al (2000) but this model cannot be used in internet banking because it has different
service delivery process. E-SERVQUAL model is developed by Zeithamlet al (2000) to cover all customers’
communication on websites. The five primary components of the model each represent a distinct aspect of the customer
relationship. For example, the tangibles dimension includes the appearance of facilities, equipment, personnel, and
communication materials. Similarly, the reliability dimension addresses the service provider’s ability to perform
dependably and accurately. The responsiveness component of the SERVQUAL architecture involves the service
provider’s willingness to help customers and provide prompt service. Assurance is identified as the knowledge base and
courtesy of employees and their ability to instil trust and confidence. Finally, empathy relates to the service organization’s
caring and individualized service. The gap between these two measures was considered instrumental in resource
allocation. Large gaps demanded the most attention. Worthy of note, however, is that Parasuraman, Berry, and Zeithaml
(1988) employed regression analysis to assess the effect of each dimension relative to a dependent measure in their
introduction of the SERVQUAL model.
I Gap - refers to the difference between customers’ expected service and management’s perceptions of customers’
expectations. This gap means that management may not correctly perceive customer expectations.
II Gap - refers to the difference between management perceptions of customers’ expectations and service quality
specifications. This gap means that although the management may perceive the correct expectations of the customers but
they fail to develop suitable and sufficient service quality specifications.
III Gap - refers to the difference between service quality specifications and the real service delivery. This gap means that
although the service providers have developed the suitable and sufficient service quality specifications but they may not
have the satisfactory service delivery mechanism in the real situation. For example, one of the reasons may be ill-trained
employees employed to deliver satisfactory service.
IV Gap - refers to the difference between the service delivered and the external communication about the service with
customers. In other words, the service providers may not have suitable and sufficient capability to communicate with the
customers or the service providers may have exhausted all its commitments beyond which they can do anything more
towards communication to customers or they may have failed to inform the customers of what they have done in its
entirety.
V Gap - is the difference between consumer expectation and their perception of service quality -measured by the
difference between what customers expect and what customers perceive about the service.

III METHOD, Material and Data Analysis

After the questionnaires were collected, the researcher explored the level of customer’s expectation and perception
towards service quality of the ATMs in five areas: tangibility, reliability, responsiveness, assurance, and empathy. The
frequencies, percentages and cumulative is used for calculating and analyzing the data on respondent’s demographic
profiles in part A of the questionnaire. While Principal Factor Analysis will be used to evaluate the independent constructs.
In this research, the first strategy in determining service quality perception and experience is perceived service quality
model, which is the difference between customer’s expectation and satisfaction, is used as a research strategy.
Respondents should complete two different types of questions. One category asks questions based on their perception or
expectation of a service delivered to them and another category asks them some questions bases on their satisfaction or
experience. So SQ introduces service quality
Whereas P and E introduce perception and expectation respectively.

Service quality = perceived – experience

SQ: Service Quality,

P: Customers’ Perception,
E: Customers’ Expectation. So,
(P – E = SQ),
is a scale to examine the expectation or perception of a customer about the quality of specific product or service (SQ).
1. Negative Q indicates that there is a gap in service quality.
2. Positive Q indicates that the satisfaction level of consumers is higher than their expectation.
The second strategy, Multiple Regression will be adopted as an analytical tool to examine how well the SERVQUAL
dimensions predict customers’ total satisfaction to ATM services. Regression is considered more statistically reliable for
evaluating service quality and satisfaction. It derives the importance of service dimensions by linking service ratings
(independent variables) to a measure of satisfaction (the dependent variable). This regression models determine the
drivers of satisfaction.
The general linear regression model with normal error terms, simply in terms of X variables,

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Customer Satisfaction CS= f(tangibles, reliability, responsiveness, assurance and empathy).
Basically,
𝐶𝑆 = 𝛽0 + 𝛽1 𝑋1 + 𝛽2 𝑋2 + 𝛽3 𝑋3 + 𝛽4 𝑋4 + 𝛽5 𝑋5 + 𝜀𝑖

Where, CS= customer satisfaction in ATM services called the dependent variable Y, while the independent variables
are X1= Tangibles, X2=Reliability, X3=Responsiveness, X4=Assurance, X5=Empathy: 𝛽0 , 𝛽1 , 𝛽2 , 𝛽3 , 𝛽4 𝑎𝑛𝑑 𝛽5 are
parameters to be estimated and 𝜀 are independent and identically distributed normal error term. The methods such as
Multinomial method can be appropriately applied depending on the nature of data. Besides using descriptive statistics of
means and standard deviations, gap analysis was used in comparing means between expectation score and perception
score of the respondents and the data were analyzed using STATA 11.0 program (Statistical software package).

1.2) Service Quality – Descriptive Analysis

SERVQUAL model defines five dimensions focusing on understanding customer expectations, and to determine the
service quality level provided by ISPs (Gupta et. al., 2005). The five dimensions include Tangibles, Reliability,
Responsiveness, Assurance and Empathy. Table 2 below presents the mean and standard deviation for the responses on
Tangibles dimension. In general, most of the respondents agreed that the service providers are within the agreement
range on all the tangible items. The results further indicate that most respondents rated their ATM as having modern-
looking equipments, suggesting ATM has high quality appearance for the customers, while comparable responses are
rated for physical facilities, employee appearance and material appearance. Item 5 had the least estimated marginal
mean of 2.4012 and standard deviation of 1.0775 indicating least satisfaction and item 4 with estimated marginal mean of
3.5617 and standard deviation of 1.2947 showing highest satisfactory level for Tangibles.

Table 2. Mean Analysis for Tangibles

Variables Mean Standard Deviation
n=162
1 The attention I receive from Bank employees are satisfactory 3.0987 1.1268

2 The ATM facilities are well located 3.1481 1.2016

3 There are variety of services provided by ATM 3.4691 1.2065
4 The appearance of banks’ ATMs are modern 3.5617 1.2947
5 The notes dispensed by ATMs are bad 2.4012 1.0775
6 The procedures for ATM operation are easy 3.4753 1.2766
7 ATM statement slip is always available 2.3580 1.2554

The estimated marginal mean from Table 3 above shows that item 2 (There are no technical problem during
withdrawal from Automated Teller Machine) had the least marginal mean of 2.5802 with standard deviation of 1.2984
indicating that the customers are less satisfied with the item and item 7 (ATM statement of account are correct) largest
marginal mean of 3.5802 with standard deviation of 1.2646 showing highest satisfaction level for reliability.

Table 3: Mean Analysis for Reliability

Mean Standard Deviation

Variables n=162

1 When I have problem, the bank shows interest in it 3.0432 1.1385

2 Check is carried out quickly and efficiently when there is problem 2.6790 1.1618

3 There are no technical problem during withdrawal 2.5802 1.2984

4 ATMs services are reliable 2.7654 1.2186

5 Time completion for ATM transaction is satisfactory 3.4754 1.1101

6 Security policies of ATM provider are reliable 2.9012 1.1267

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7 ATM statement of account are correct. 3.5802 1.2646

Estimated marginal means table 4 below for Responsiveness shows that variable 4 have lower mean which is equal to
2.3723 with a standard deviation of 1.1024 and variable 5 has highest mean which is equal to 3.4568 and a standard
deviation of 1.2615. These finding imply that subscribers are more satisfied with responsiveness in the prompt notification
of ATM transactions, while they are less satisfied with responsiveness of banks to duration of feedback to customers’
service request.

Table 4: Mean Analysis of Responsiveness

Variables Mean, Standard

n=162 Deviation

1 The bank is capable of responding to emergency situations 2.8025 1.2098

2 There is a prompt response from bank employees to my request or 2.7901 1.1001

complain

3 The bank is quick to adapt to ATM breakdown 2.7712 1.1914

4 Duration of feedback to customer’s service request is fast 2.3723 1.1024

5 I receive prompt notification of ATM transaction 3.4568 1.2615

From the table 5 below, Assurance category variables 1 has the least estimated marginal mean of 2.8503 and the highest
estimated marginal mean of 3.1975 is variable 5, indicating that ATM subscribers are more satisfied with the service
performance of banks than the courteous treatment by banks’ employees which should makes them to be assured in
service performance.
Table 5: Mean Analysis of Assurance
Variables Mean Standard
n=162 Deviation
1 The banks’ employees are consistently courteous to me 2.8503 1.1629
2 The bank’s employees are knowledgeable when answering to my inquiries 3.1667 1.1380
on ATM facilities
3 The banks employees instil confidence in me 3.1790 1.3136
4 I feel safe withdrawing money with ATM card 3.0617 1.1832
5 The service performance of banks is satisfactory 3.1975 1.1520

Estimated marginal means Table 6 below for empathy shows the lowest mean of 2.9382 (individualized attention the
service provider gives to its customers) and the highest mean of 3.6715(cost reduction in serving depositors the
transactions per unit time of tellers). Therefore, for ATMs empathy category, subscribers are more satisfied with the cost
reduction in serving depositors than transactions per unit time of tellers than individualized attention the bank employees
gives to them which is tied to customers loyalty. There may be many services provided by ATMs. Furthermore, it shows
that customers who subscribe to an ATMs come from different social background and hence could emphasize
personalised attention on customers and understand specific needs of customer based on their requirements.

Table 6: Mean Analysis of Empathy

Variables Mean Standard
n=162 Deviation
1 The bank’s employees provide me with individual attention 2.9382 1.1988
2 The banks are committed to provide the best it can to me 3.2963 1.0857
3 The bank’s employees use understandable terminology whenever attending to me 3.3704 1.0914
4 ATM locations are convenient 3.1235 1.1516
5 I am comfortable with ATM transaction 3.4568 1.1588
6 ATMs reduce the cost of serving depositors than the transactions per unit time of teller 3.6715 1.2621

1.3) Construct Reliability and Validity

We assessed construct reliability using Cronbach’s alpha. Nunnally (1978) suggests that the minimum acceptable alpha
for scale reliability is 0.60 (Kenova and Jonasson, 2006) and the results are within range. Scale reliability of tangibles is
0.6273 with inter-item covariance of 0.2011, reliability is 0.6498 with inter-item covariance of 0.30687, responsiveness is
0.6431 with inter-item covariance of 0.037272, assurance is 0.66450 with inter-item covariance of .04028, and empathy is
0.6243 with inter-item covariance of 0.3127. All the alphas exceed the minimum accepted limit of 0.60. Next, we

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conducted FA using Principal Component Analysis (PCA) with Maximum Variance extraction (VARIMAX) rotation 296
method from the variables The results indicate that there are five factors extracted with eigen-values greater than 1. Total
variation explained by these five factors is 88.29%. The analysis shows no-cross construct loadings above 0.50. This
indicates good discriminant validity (Klopping & McKinney, 2004). Each item loads to its designated factor (variable). FA
shows items’ consistency with the instrument’s underlying structure and reflects the factors identified.

1.4) Analysis of overall Service Quality Gap

Service quality gap analysis was carried out to measure the gap between the Customers’ expectations and their
perception of ATMs services based on 5 SEQUAL dimensions pertaining to service quality.

Table 7: Overall Service Quality gap Analysis of the 5-SERQUAL Dimensions

Attributes Customers’ Perceived Customer’ Expected Gap(Perception-
expectation)

Mean S.D Mean S.D

Tangibles 22.3456 4.8317 21.0741 4.6845 1.2716
Reliability 22.1420 5.8869 20.7716 5.5719 1.3704
Responsiveness 15.8951 4.0656 14.5247 3.9219 1.3703
Assurance 16.7654 4.8553 15.5000 5.0328 1.2654
Empathy 20.4074 4.3016 19.2840 4.1605 1.123

Overall mean 97.5556 91.1544 6.4007

From Table 7, demonstrates the gap between customer expectation and perception, the study shows that all the service
quality gaps are positive indicating that the satisfaction level of consumers are higher than their expectations. Tangibles
was rated highest Mean=22.3456. The study therefore revealed that physical evidence such as appearance and
behaviour of bank employee, quality of notes dispensed by Automated Teller Machine (ATM), location of ATM facilities,
availability of statement slip yield customer satisfaction. Similarly, Ramchurrun (2008), suggested that customers attached
importance to the dimension of tangibility because services are intangible. Hence, customers place great importance on
the appearance neatness of the staff.

1.5) Multiple Regression Analysis.

We conducted multiple regression analysis to examine how well the SERVQUAL dimensions predict customers’ total
satisfaction towards their ATMs services. Total satisfaction is an aggregation of security, convenience satisfaction, value
satisfaction and function satisfaction. Table 8 presents the multiple regression analysis between the SERVQUAL
dimensions and total satisfaction.

Table 8: Model SUMMARY OF THE CONSTRUCTS

Model R R2 Adjusted R Standard error of
square estimate

0.6264 0.3924 0.3729 0.252

Predictors: Tangibles, Reliability, Responsiveness, Assurance and Empathy;
Dependent variable: Customer satisfaction

The overall predictability of the model is shown in Table 8 above, it can be seen that the R-Square value for the model
showed that 39.24 percent (R2=0.3924) of the variance in the total satisfaction can be predicted from the independent
variables (SEQUAL dimensions).

Table 9: ANOVA for the constructs

SS df Mean square F Significance
Regression 2587.96 5 517.59 20.15 0.0000
Residual 4007.69 156 25.69
Total 6595.66 161 40.96

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Table 9 above, presents the ANOVA report on the general significance of the model. As p is less than
0.05, the model is significant. Thus, the combination of the variables significantly predicts the
dependent variable (F=20.15; p < 0.05). It indicates that the model and data are well fit in explaining
customer satisfaction. Therefore, to increase overall satisfaction, it is reasonable to focus on the
improvement of the 5-SERVQUAL dimensions.

Table 10: SERVQUAL and Total Satisfaction Regression Analysis

Model Unstandardized coefficients Standardized
coefficients
ß Standard error Beta t sig
constant 7.8477 2.6020 3.02 0.003
Tangibles 0.1978 0.0894 0.1494 2.21 0.028
Reliability 0.1782 0.0841 0.1639 2.12 0.036
Responsiveness 0.2336 0.1205 0.1483 1.94 0.050
Assurance 0.2618 0.1200 0.1577 2.18 0.031
Empathy 0.4094 0.1067 0.2751 3.83 0.000

Table 10, showed the unstandardized Beta Coefficients that present the contributions of each
variable to the model. The t and p-values showed the impact of the independent variables on the
dependent variable. From Table 10, it was clear that the construct Empathy had the highest impact
on overall satisfaction (the independent variable), achieving a ß of 0.4094 ( the large t-value and
corresponding low p-value buttressed the result for Empathy which had the highest Beta coefficient
( both for standardized and unstandardized )), followed by Assurance (ß=0.2618), Responsiveness
(ß=0.2336) and Tangibles (ß=0.1978). The last factor influencing customers’ total satisfaction
towards their ATMs is reliability (ß=0.1782). Results imply that increasing the quality of empathy,
responsiveness, assurance, tangibles and reliability will inherently increase customers’ total
satisfaction towards ATM service quality
.
.
𝑂𝑣𝑒𝑟𝑎𝑙𝑙 𝑆𝑎𝑡𝑖𝑠𝑓𝑎𝑐𝑡𝑖𝑜𝑛

= 7.8477 + 0.1978𝑇𝑎𝑛𝑔𝑖𝑏𝑙𝑒𝑠 + 0.1782𝑅𝑒𝑙𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑦 + 0.2336𝑅𝑒𝑠𝑝𝑜𝑛𝑠𝑖𝑣𝑒𝑛𝑒𝑠𝑠

+ 0.2618𝐴𝑠𝑠𝑢𝑟𝑎𝑛𝑐𝑒 + 0.4094𝐸𝑚𝑝𝑎𝑡𝐻𝑦

The standardized beta coefficients in table 10 can be interpreted that the independent random
variables have strong impact on customer’s satisfaction. Here, 100% change in tangibles leads to
14.94% change in the level of customer’s satisfaction, 100% change in Reliability leads to 16.39%
change in customer’s satisfaction level and 100% change in responsiveness, assurance and
empathy leads to 14.83%, 15.77% and 27.15% change in customer satisfaction level respectively.

1.6)Test of Hypotheses
Table 11. shows the results of the hypothesis tested against the p-values that were obtained from
the results above. These values were summarily shown.

Table 11: Summary of Values for the Constructs

Variables Beta P
Tangibles 0.1494 P=0.003<0.05*
Reliability 0.1639 P=0.028<0.05*
Responsiveness 0.1483 P=0.052 >0.05
Assurance 0.1577 P=0.031<0.05*

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Empathy 0.2751 P=0.000<0.05*

Table 12. Summary of Hypotheses Analysis

Hypothesis
Results
H0 Tangibles is positively related to Significant
customer satisfaction on ATM service
H0 Reliability is positively related to Significant
customer satisfaction on ATM services

H0 Responsiveness is positively related to Not Significant

customer satisfaction on ATM services.
H0 Assurance is positively related to Significant
customer satisfaction on ATM services.
H0 Empathy is positively related to Significant
customer satisfaction on ATM services

IV DICUSSION, SUMMARY, CONCLUSIONS AND RECOMENDATIONS

1.1) Discussion and Summary

The main purpose of this study was to identify the significant dimensions that shape customers’
perception of ATM service quality and the effect of ATM service quality on customers’ satisfaction in
Nigerian banking sector. The present study presented and examined a model to explain how
convenience, efficient operation, security and privacy, reliability, and responsiveness positively and
significantly affect customers’ perception of ATM service quality, and how the ATM service quality
influences the customers’ satisfaction. The foremost issue focused in the study was what ATM
customers perceive as the essential dimensions of ATM service quality provided by their banks. The
analysis of the literature discovered five key ATM service quality factors: convenience; efficient
operation, security and privacy, reliability, and responsiveness. The convenience dimension refers to
ease of use and accessibility of the service at all times. The customers prefer flexibility to meet their
financial needs at all times, which affect their perception of the ATM service quality. The second
dimension of ATM service quality, efficient operation, relates to efficient and speedy operation of
ATM. Efficiency in operations optimizes the resources for the customers. Customer accord priority to
user-friendliness of ATM. The focus should not be on ATM service quality dimensions only. This
aspect should be augmented and integrated with other aspects of the service quality of banks for
satisfaction of customers. It is evident that convenience, efficient operation, security and privacy,
reliability and responsiveness are not the only characteristics that influence customers’ satisfaction.
The other factors that contribute to customer satisfaction include trust, value, and image of the bank.
Bank management should monitor the environment and identify the trends through marketing
intelligence. They need to constantly up-date and differentiate their ATM service quality dimensions to
ensure continuous satisfaction and retention of customers, and optimize their limited resources.
Quick response to customers’ needs and queries about the ATM related services are important to
improve the service standards of ATM. This would facilitate customers to participate in improvement
of service quality, learn and perform, and have a pleasant experience through two-way
communication.

1.2) Conclusions and Areas of Further Research

Based on the results obtained by researcher, the following conclusions are made: The rapid diffusion
of ICT in Nigerian banking sector provides a platform to use innovative technologies to enhance
operational efficiency and quality of service to attain and retain customers. The rapid growth in use of
ATMs in Nigeria offers opportunities to banks to use customers’ passion for this innovative service for

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strategic advantage. The banks should proactively monitor customers’ preferences with regard to use
of this delivery channel for effective response. Bank should focus on important aspects of security and
privacy as well as efficient operation of ATMs. Banks should also augment and diversify their offerings
through ATM and use this medium to build a strong and sustained relationship with customers. This
research focused on determinants of ATM service quality and its effect on customer satisfaction.
However, the research did not study the association between customer satisfaction and retention of
customers. Additional research may well explore the relationship between these two constructs. The
formation of satisfaction process takes place overtime. The conclusions of the study relates to a
specific time in present. Additional study should be done on longitudinal basis to address the
interactive and technological dimensions of ATM service quality that affect the dissatisfaction level of
customers. Age has a significant effect on the pattern of use of technology-based services. Generally
the youth prefer to use innovative and technology-based delivery channel like ATM that offer multiple
benefits and autonomy of executing the transaction. The old age people are generally shy of use of
ATM because of perceived risk of failure, complexity, security, and lack of personalized service.
Future research should explore the association between age and attitude and determine its effects on
the ATM service quality and customers’ satisfaction.

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