Determinants of Microcredit Customer Satisfaction: Evidence from Microfinance Institutions in Cameroon

Abstract

The main objective of this study is to analyse the factors that influence customer satisfaction in the context of microcredit provision by microfinance institutions. Adopting a quantitative approach, data was collected with the use of questionnaires, using a face-to-face survey method. The questionnaires were administered to a sample of 367 microcredit customers in eleven cities in Cameroon. The information obtained was analysed using Principal Component Analysis (PCA) and multiple linear regression. The results show that the perceived quality and perceived value of microcredit offerings are the main factors influencing customer satisfaction with microfinance institutions. Furthermore, these results are of major managerial interest to microfinance institutions, as they are called upon to emphasise the quality and value of their microcredit offerings in order to better position themselves in their target market.