Adoption of e-banking technology: Basis of creating network infrastructure and marketing strategies in region 3

Authors

  • Bernandino P. Malang, DBA
  • Ferdinand C. Somido, Dr.
  • Susana C. Bautista, Dr.
  • Pedrito Jose V. Bermudo, Dr.
  • Antonio D. Yango, Dr.
  • Leomar S. Galicia, Dr.

DOI:

https://doi.org/10.25255/jbm.2018.6.1.23.45

Keywords:

marketing strategies, network infrastructure, e-banking technology

Abstract

The main goal of this descriptive-correlational study was to assess different factors involved towards adoption of e-banking technology among consumers in different provinces in region 3 of the Philippines as a basis for creating network infrastructure andmarketing strategies to help the families or individuals to go e-banking technologies. The results of the analysis showed that the regression model (consisting of technological, organizational, and environmental factors) does not significantly predictthe respondents’ perception on e-banking services’ reliability, convenience, speed, safetyand security, user-friendliness, cost-effectiveness, error-freeness. Additionally, therespondents considered two of the nine given scenarios as challenges in their adoption of e-banking technologies: (1) their fear about the possible occurrence of electronic crimes and (2) the customers’ preference for face-to-face banking. The improvement of Internet   connection and the conduct of trainings ororientation regarding e-banking services by banking institutions are recommended by theresearcher in addition to the proposed network infrastructure and marketing strategies to be considered by the bank to be able to educate customers in adopting   e-banking technology.

Downloads

Download data is not yet available.

References

Abu-Shanab E, Pearson J. (2007) Internet banking in Jordan: The unified theory of acceptance and use of technology (UTAUT) perspective. Journal of Systems and information Technology 9: 78-97.

Ackha, D. (2014) Adoption of Electronic Banking in Ghana Banking System: A Case Study of Guaranty Trust Bank (Ghana) Limited. Retrieved dated March 1, 2017 from http://www.grin.com/en/e-book/284721/adoption-of-electronic-banking-in-ghana-banking-system.

Aliyu, A.A., Younus, S., Tasmin, R. (2012). An Exploratory Study on Adoption of Electronic Banking: Underlying Consumer Behaviour and Critical Success Factors. Case of Nigeria. Business and Management Review Vol.2(1) pp. 01–06 March, 2012 ISSN: 2047 -0398

AlSoufi, A. & Hayat, A. (2014). Customers’ perception of m-banking adoption in Kingdom of Bahrain: an empirical assessment of an extended TAM model. International Journal of Managing Information Technology (IJMIT) Vol.6, No.1.

Ahmed, A.K.E. (2009). E-Banking in UAE and Oman: Exploring consumer perception of satisfaction/dissatisfaction factors of e-banking services quality. Retrieved February 10, 2016 from http://bspace.buid.ac.ae/bitstream/1234/287/1/20040016.pdf

Bachelor, B. (2015). The history of e-banking. Retrieved from http://www.ehow.com/about_5109945_history-ebanking.html

Brown, T. A. (2016). Confirmatory factor analysis for applied research. New York: The Guilford Press.

Bruyn, A. D., and Lilien, G. L. (2014). A multi-stage model of word-of-mouth influence through viral marketing. International Journal of Research in Marketing. 25(3), pp. 151-163.

Chandio F, Irani Z, Abbasi MS, Nizamani HA (2013) Acceptance of Online Banking Information Systems: An Empirical Case in a Developing Economy. Behaviour and Information Technology 32: 668-680.

Chaudhuri, A., Flamm, K. S., and Horrigan, J. (2015). An analysis of the determinants of internet access. Telecommunications Policy. 29(9-10), pp. 731-755.

Chen, I. J., Gupta, A., and Rom, W. (2012). A study of price and quality in service operations. International Journal of Service Industry Management. 5(2), pp. 23-4.

Colgate, M., and Hedge, R. (2011). An investigation into the switching process in retail banking services. International Journal of Bank Marketing. 19(4/5), PP. 201-213.

Copeland, M. T. (2012). Relation of consumers‘ buying habits to marketing methods. Harvard Business Review. 1 (April), pp. 282-289.

Corbitt, B. J., Thanasankit, T., and Yi, H. (2013). Trust and e-commerce: a study of consumer perceptions. Electronic Commerce Research and Applications. 2(3), pp. 203-215.

Dabholkar, P. A., and Sheng, X. J. (2014). Perceived download waiting in using web sites: a conceptual framework with mediating and moderating effects. Journal of Marketing Theory and Practice. 16(3), pp. 259-270.

Dhurup, M., Surujlal, J., &Redda,E. (2014). Customer perceptions of online banking service quality. Mediterranean Journal of Social Sciences. Vol 5 No 2. MCSER Publishing, Rome-Italy.

Easingwood, C. J., and Storey, C. (2011). Success factors for new consumer financial services. The International Journal of Bank Marketing. 9(1), pp. 3-10.

Featherman, M. S., and Pavlou, P. A. (2013). Predicting e-services adoption: a perceived risk facets perspective. International Journal of Human-Computer Studies. 59(4), pp. 451-474.

Gao (2011). Characteristics and choices of Internet users. Washington, DC: United States General Accounting Office.

Gerrard, P., and Cunningham, J. B. (2013). The diffusion of internet banking among Singapore consumers. International Journal of Bank Marketing. 21(1), pp. 16-28.

GMA News On-line. (2011). PH online banking usage grows 39 percent. Retrieved February 4, 2016 from http://www.gmanetwork.com/ news/story/214577/scitech/ph-online-banking-usage-grows-39-percent-y-o-y

Hiller, M. (2013). The role of cultural context in multilingual website usability. Electronic Commerce Research and Applications. 2(1), pp. 2-14.

Jacoby, J., and Kaplan, L. B. (2010). The components of perceived risk. Proceedings of the Third Annual Conference for Consumer Research, Association for Consumer Research (pp. 382-393)

Khalfan, A. & Alshawaf, A. (2014). Adoption and Implementation Problems of E-Banking: A Study of the Managerial Perspective of the Banking Industry in Oman. Journal of Global Information Technology Management.

Lassar, W. M., Manolis, C., and Lassar, S. S. (2015). The relationship between consumer innovativeness, personal characteristics, and online banking adoption. The International Journal of Bank Marketing. 23(2/3), pp. 176-199.
Lee, E. J., and Lee, J. (2011). Consumer adoption of Internet banking: need-based and/or skill based? The Marketing Management Journal. 11(1), pp. 101-113.

Lichtenstein, S., and Williamson, K. (2014). Understanding consumer adoption of internet banking: an interpretive study in the Australian banking context. Journal of Electronic Commerce Research. 7(2), pp. 50-66.

Luhmann, N. (2012). Familiarity, confidence, trust: problems and alternatives. In: Gambetta, D. G. (Ed.), Trust (pp. 94-107). New York: Basil Blackwell.

Maitlo GM, Kazi ZH, Khaskheley A, Shaikh FM (2015). Factors that Influence the Adoption of Online Banking Services in Hyderabad. Int J Econ Manag Sci 4: 216.

Mitchell, V. W. (2010). Consumer perceived risk: conceptualization’s and models. European Journal of Marketing. 33(1/2), pp. 163-195.

Miyazaki, A. D., and Fernandez, A. (2011). Consumer perceptions of privacy and security risks for online shopping. Journal of Consumer Affairs. 35(1), pp. 27-44.

Mobarek, A. (2011). E-Banking Practices and Customer Satisfaction - A Case Study in Botswana. Retrieved from https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1011112.

Moga, L.M., Md N.K., Neculita, M., & Khani, N., (2012) . Trust and Security in E-banking Adoption in Romania: pp.1-10 <online> Available at http://rc4ht3qs8p.search.serialssolutions.com/? <Accessed 21st March 2012>

Mohr, L. A., and Bitner, M. J. (2010). The role of employee effort in satisfaction with service transactions. Journal of Business Research. 32(3), pp. 239-252.

Mojares, E.K. (2014). Customer satisfaction and loyalty among internet banking users of Philippine National Bank in Batangas City. Asia Pacific Journal of Multidisciplinary Research, Vol 2, No 2.

Murray, K. B., and Schlacter, J. L. (2010). The impact of services versus goods on consumers‘ assessment of perceived risk and variability. Journal of the Academy of Marketing Science. 18(1), pp. 51-65.

Novak, T. P., Hoffman, D. L., and Yung, Y. F. (2010). Measuring the customer experience in online environments: a structural modeling approach. Marketing Science. 19(1), pp. 22-42.

Palmer, J. W. (2012). Web site usability, design, and performance metrics. Information Systems Research. 13(2), pp. 151-167.
Parisa, A (2016). Adoption of e-Banking Services by Iranian Customers.published Msc thesis. Lulea University of Technology, Division of Industrial Marketing and E-Commerce.
Perkins, E.D., Annan, J. (2013). Factors affecting the Adoption of Online banking in Ghana: Implications for Bank Managers. International Journal of Business and Social Research (IJBSR), Volume -3, No.-6, June, 2013.

Rani, M. (2012). A study on the customer perception towards e-banking in Ferozepur district. International Journal of Multidisciplinary Research. Vol. 2, Issue. 1

Rajaraman, V. (2011). Essentials of e-commerce technology. PHI Learning Private Limited New Delhi.

Ren, F., and Kwan, Mei-Po. (2014). The impact of the Internet on human activity–travel patterns: analysis of gender differences using multi-group structural equation models. Journal of Transport Geography. 17(6), pp.440-450.

Redlinghuis, A. (2010). Customer perceptions on Internet banking information protection. South African Journal of Information Management. AOIS Publishing.

Rossiter, J. R., and Percy, L. (2012). Advertising and Promotion Management. New York: McGraw Hill.

Schiffman, L.G., and Kanuk, L. L. (2012). Consumer behaviour (6th ed.). Upper Saddle River, NJ: Prentice Hall.

Skundirc, N. &Milutinoric, V. (2003). E-banking. Retrieved February 2, 2016 from http://home.etf.rs/~vm/os/epos/e-bank.ppt

Suping, H., &Yizheng, S.,(2010) Factors influencing user acceptance of online banking.1: pp.315-318. [online] Available from: IEEEXplorehttp://ieeexplore.ieee.org.libaccess.hud.ac.uk/stamp/ stamp.jsp?tp=&arnumber=5461412 <Accessed 4 June 2012>

Tarhini A, Mgbemena C, Trab MSA, Masa’deh R (2015) User Adoption of Online Banking in Nigeria: A Qualitative Study. J Internet Bank Commer 20:132.

Voli, P. K. (2010). The convenience orientation of services consumers: an empirical examination. Published doctoral dissertation. Old Dominion University, Virginia, United States of American.

Ward, M. R., and Lee, M. J. (2010). Internet shopping, consumer search and product branding. Journal of Product and Brand Management. 9(1), pp. 6-20.

Xue M, Hitt LM, Chen PY (2011) Determinants and outcomes of internet banking adoption. Management Science 57: 291-307.
Yang, Z., Cai, S. H., and Zhou, N. (2015). Development and validation of an instrument to measure user perceived service quality of information presenting Web portals. Information & Management. 42(4), pp.575-589.

Yousafzai SY (2012)A literature review of theoretical models of Internet banking adoption at the individual level. Journal of Financial Services Marketing 17: 215-226.

Yu, C.S., and Lo, Y. F. (2014). Factors encouraging people to adopt online banking and discouraging adopters to use online banking services. Proceeding of Business and Information. Tokyo, Japan: International Conference on Business and Information.

Zeithaml, V. A., and Bitner, M. J. (1996). Services marketing. New York: McGraw-Hill.

Zeithaml, V. A. (2010). Customer perceptions of price, quality and value: a means-end model and synthesis of evidence. Journal of Marketing. 52(July), pp. 2-22.

Downloads

Published

2018-01-01

Issue

Section

Articles

Most read articles by the same author(s)