The Contributions of Service Quality on the Growth of Banks in Tanzania: A Case of CRDB Bank Plc Branches in Mbeya City

Batista Mwapinga; Blandina Kisawike

doi:10.37284/eajbe.8.3.3946

Batista Mwapinga University of Iringa
Blandina Kisawike, PhD University of Iringa

DOI: https://doi.org/10.37284/eajbe.8.3.3946

Keywords: Service Reliability, Banking Growth, CRDB Bank PLC

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Abstract

The aim of this study was to assess the contribution of service quality to the growth of banking services, a case of CRDB Bank Plc Branches in Mbeya city. The study was guided by one specific objective: to evaluate the contribution of service reliability on the growth of banking services. A mixed-methods research design was adopted. The study sample consisted of 114 respondents, including bank officials purposively selected from key departments and customers randomly sampled at the CRDB Bank Zonal office. Primary data were collected through structured questionnaires and semi-structured interviews. Quantitative data were analysed using SPSS version 24.0 through descriptive and regression analysis, while qualitative data were analysed thematically. The findings revealed that reliability was a significant determinant of banking growth, with 73.2% of customers affirming accurate transaction completion and 67.6% perceiving uninterrupted services. Dependable information provision further strengthened customer confidence, though 39.5% of respondents reported occasional service downtimes, undermining reliability perceptions. Dependability during urgent needs was positively rated, with most customers confirming trust in CRDB’s ability to deliver during emergencies. Regression results confirmed that reliability strongly predicted banking growth (p < .001), emphasising its role in driving trust, loyalty, and service uptake. Conclusively, the study demonstrates that service reliability is central to CRDB’s growth strategy. Enhancing transaction accuracy, minimising downtimes, and improving dependability in urgent situations remain essential for sustaining customer satisfaction and competitive advantage in Tanzania’s banking sector.

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