Adoption of E-Banking and Customers’ Satisfaction in Money Deposit Banks in Ibadan Oyo State, Nigeria.

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Date

2024-12

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Publisher

Lead City University, Ibadan

Abstract

Today, banks across the world offer electronic banking (e-banking) services to their customers and these new innovations have brought tremendous benefits in terms of convenience, cost reductions, accessibility, improved brand visibility and subsequent profits for the banks and their customers. Despite the many benefits of e-banking to customers, the level of customer satisfaction has raised a lot of concern amongst scholars and practitioners. The study examined the interaction effect between e-banking adoption and customers’ satisfaction in selected deposit money banks in Ibadan, Oyo State. The study is hinged on four notable theories-Technology Acceptance Model, Diffusion of Innovation Theory, Theory of Reasoned Action, and Theory of Planned Behavior. A cross sectional survey research design was employed. 500 copies of structured questionnaire were distributed to customers of selected deposit money banks in Ibadan, Oyo State. 369 copies of the questionnaire were recovered and analyzed, representing a 73.8% response rate. Findings revealed statistically significant path coefficients between E-banking adoption and customers' responsiveness (β=0.388, Tstat = 4.206, p=.000); E-banking adoption and customers' accessibility (β=.635, Tstat = 6.345, p=.000);Ho3: E-banking adoption and customers' convenience (β=.607, Tstat = 6.383, p=.000); E-banking adoption and customers' reliability (β=.854, Tstat = 22.653, p=.000); E-banking adoption and customers' costs (β=.813, Tstat = 15.845, p=.000); moderating role of demographic variables on the relationship between e- banking adoption and customer service satisfaction (β= 0.710, R2= 0.504; P-value =0.000 <0.05). It was recommended that financial institutions should prioritize optimizing digital accessibility features across online banking, mobile banking, and ATM services. For all consumer segments, including those with disabilities, this means empowering them with clear instructions through educational campaigns and upholding accessibility standards. Also, Financial institutions should emphasize streamlining the user experience across online banking, mobile banking, and ATM services, ensuring seamless access and consistent functionality. It is essential to prioritize personalization and customization of services according to user preferences, using data analytics to predict user demands and provide customized solutions. To enhance consumer convenience and satisfaction, e-banking services must be available around the clock, integrated with third-party conveniences, and offer extensive educational materials. Keywords: Adoption, Customers, E-Banking, Money Deposit Banks, Satisfaction. Word count: 350

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Keywords

Adoption, Customers, E-Banking, Money Deposit Banks, Satisfaction.

Citation

Kate Turabia

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