Evaluation of the Effects of Customer Experience Management on Organizational Performance: A Study of the Nigerian Banking Sector

Purpose
The research examines how Experience Management (CEM) influences the performance the organizations within Nigeria’s banking industry. Considering insights from both customers and regulatory bodies. With growing competition and instances of sectoral instability, the research explores how specific dimensions of customer experience—Marketing Service Experience, Operations Service Experience, Customer Service Experience, Self-Service Experience, and Financial Service Experience—shape organizational outcomes such as customer satisfaction, loyalty, retention, patronage, and financial soundness.
Methodology
The study adopts a quantitative research design, utilizing structured questionnaires distributed among 400 banking customers and 200 officials from key regulatory institutions. Data were analyzed using SPSS, applying descriptive statistics and multiple linear regression analysis to test the formulated hypotheses. Regression outputs, including coefficients (B), standardized betas (β), t-values, and significance levels, were used to interpret the influence of each CEM dimension on organizational performance from both customer and regulatory perspectives.
Findings
Key regression results revealed that, from the customer perspective, Financial Service Experience (B = .307, β = .303, t = 6.055, p < .001), Customer Service Experience (B = .227, β = .236, t = 4.852, p < .001), and Self-Service Experience (B = .214, β = .202, t = 4.052, p < .001) significantly influenced organizational performance, while Marketing Service Experience was not significant. From the regulatory perspective, Financial Service Experience (B = .490, β = .816, t = 13.460, p < .001), Operations Service Experience (B = .312, β = .405, t = 8.440, p < .001), and Self-Service Experience (B = .266, β = .311, t = 6.033, p < .001) emerged as key positive contributors, whereas Customer Service Experience showed a significant negative effect (B = -.413, β = -.459, t = -6.500, p < .001) and Marketing Service Experience remain not significant.
Implications
The study demonstrates that Financial Service Experience strongly drives both organizational performance and regulatory confidence, while Customer Service and Self-Service experiences also significantly contribute. The weak influence of Marketing Service Experience highlights the need for banks to realign marketing strategies. The research advocates strengthening service delivery and embedding customer experience metrics into regulatory frameworks, offering strong empirical evidence for customer experience as a driver of sustainable growth in Nigerian banking.