Abstract
Agility is important for the survival of any business that operates in an environment characterised by constant change and unpredictability. By embracing agility, service providers can offer the highest value to their consumers faster and better than their competitors. Agility allows them to meet the evolving needs of consumers and to stay relevant in a volatile business environment. The purpose of this study is to determine how strategic agility in the South African banking industry enables retail banks to achieve customer service success. As this was an empirical study, a quantitative approach was followed. Using convenience sampling, 150 individuals were chosen, and data was gathered from South Africa's top 5 retail bank customers through a self-administered online survey. The questionnaire assessed customer satisfaction, digitisation of banking services, customer retention, competitive advantage, and agility as they are crucial to achieving customer service success. Five hypothesised relationships were empirically tested. Regression analysis was employed to investigate whether there is a significant statistical relationship between the variables under examination. Empirical findings showed a statistically significant positive relationship between agility and competitive advantage, digitisation of banking services and customer satisfaction regarding customer experience, customer satisfaction regarding customer experience and customer retention as well as digitisation of banking services and customer satisfaction regarding digital banking convenience. There is, however, no relationship between customer satisfaction regarding digital banking convenience and customer retention. Finally, this study provides sound recommendations which may assist managers and banking practitioners in improving aspects of their customer service based on the relationships identified to ensure the relevance of retail banks in an unpredictable environment.
Keywords: Agility, banking, customer service, South Africa, strategy