Page 1 of 13
European Journal of Business &
Social Sciences
Available at https://ejbss.org/
ISSN: 2235-767X
Volume 07 Issue 01
January 2019
Available online: https://ejbss.org/ P a g e | 743
A Study of Service Quality Factors Influencing E-Banking
Adoption With Respect To Banking Customers of Rohtak
SUNITA
RESEARCH SCHOLAR
DEPTT. OF COMMERCE, MDU ROHTAK
E.MAIL- yadav27feb1991@gmail.com, mobile no. - 8950821656
ABSTRACT:
The investigation is made to measure the awareness level of e-banking customers and the
factors influencing the e-banking adoption with special reference to Rohtak district with the
help of frequency and summarised frequency. Service quality factors such as reliability,
responsiveness, accessibility, security, efficiency, accuracy, assurance, customer services,
communication, web designed and cost saved are taken as the factors effecting the adoption
decisions. The study concluded that respondents are well known to e-banking, its services
and its usage. Reliability is most preferred service quality of e-banking because Respondents
gives more importance to the trustworthiness of services as compared to other service quality
whereas least preferred services quality is web designing because most of the customers are
well educated and efficient in using computer and internet.
KAYWORDS- e-banking, customer awareness and expectations etc.
INTRODUCTION
Internet banking is also known as e-banking, online banking and virtual banking. It is a
system of electronic payment that allows the customer of a bank to perform a range of
financial transaction through the bank’s or financial institution’s website. To access
online banking facility of a financial institution, banks would need to register with
internet for services and set up a password and other credentials for customer
verification. Fund transfer, e-bill payment, obtaining account balances, a list of the recent
transactions is some financial transactions which a customer can transact through online
banking. Depositors can monitor each transaction in an accessible user interface to
understand how credits, deposits, deductions and payments affect their accounts balance.
E-banking allows you to manage your money without having to go in a branch of your
Page 2 of 13
European Journal of Business &
Social Sciences
Available at https://ejbss.org/
ISSN: 2235-767X
Volume 07 Issue 01
January 2019
Available online: https://ejbss.org/ P a g e | 744
bank. E-banking is an automated delivery of new and traditional banking products and
services to customers through electronic, interactive communication channels. Through
e-banking, customers can handle many banking transactions by personal computer. In e- banking system, a network service provider connects a PC directly to a host computer
system of a bank so that customer’s service request can be processed automatically.
Remote banking customers can access other automated services of the bank. It holds
various technological innovations that have taken place in banking from transferring
funds online, making online payments for almost any services, managing account
balances to make railway, airway and hotel booking online. The drawbacks of ‘Bricks
and mortar model’ of banking has been removed by e-banking system. The term brick- and-mortar business is often used to refer to a company that possesses or leases retail
stores, factory production facilities, or warehouses for its operations. Bankers also felt
the importance of customer satisfaction to grow up the business. There are many factors
which effects the customer satisfaction. The banking industry need to focus for best
practices to solve the problems and issues arising from customer satisfaction. Banks have
to establish a closer relationship with customers to earn more profits. Some online
dimensions like accessibility, reliability, ease of use, personalization, security, credibility
and responsiveness influences the online customer satisfaction
LITERATURE REVIEW
Hajri (2008) concluded that all the issues perceived relative advantage, perceived
customer/organisation relationship, perceived organisational performance and perceived ease
of use compositely provided a fine judgement on enablers and inhibitors of e-banking
adoption in Omani Banking industry. Adams and Lamptey (2009) concluded that customer
should be offered a healthy internet infrastructure to promote internet banking. It was
suggested that customer should be served by using customer-value-perception based
strategies, robust software & networking system benchmarking and adequate training to staff
and these should be matched with internet technology. Auto (2010) concluded that e-banking
provides convenience, flexibility, easy transfer, speedy transaction, less cost and time saving
to Nigerian banking system and also to customer. Naushed,K.,M. AND Emmambokus,N.
(2011) suggested by his study that a person’s decision to opt for online banking based on age,
income, service usefulness, risk factor, checking account frequency and internet location.
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Page 3 of 13
European Journal of Business &
Social Sciences
Available at https://ejbss.org/
ISSN: 2235-767X
Volume 07 Issue 01
January 2019
Available online: https://ejbss.org/ P a g e | 745
Alam, D., Karimzadeh, M. (2012) found that E-banking development’s challenges were
socio-cultural, management & banking issues and legal & security issues. Less awareness
about new technological developments is the highest hurdle in India for e-banking whereas
unsuitable software was ranked lowest for e-banking development. Nochai and Nochai
(2013) revealed that customer satisfaction was affected by some factors i.e. completing a
task accurately, providing accurate information, providing 27 hours- 7 days service,
providing on line registration, fast transaction process, providing up-to-date information and
contacting staff to check immediately. Shaikh.A.M.(2014) observed that banker perceived ‘a
mean to save time’ and ‘minimize inconvenience’ as the benefits of e-banking. And they felt
a need for expertise and training and customer should be charged a high cost for services.
RESEARCH METHODOLOGY
Objectives of the study:-
1. To analyze the awareness of customers towards e-banking facilities.
2. To examine the customer’s expectation from e-banking.
Research Instrument:-To collect the data from respondents, a self made and structured
questionnaire is made. Each respondent fill the questionnaire after a brief introduction. The
questionnaire used in the study was divided into four categories of demographic section,
customer awareness, expectation of customers and services quality provided by e-banking.
Age, gender, income level, marital status, occupation and educational level were asked
under demographic level. Consumer expectation is measured by the ranking given by
customers to the service quality factors. These service quality factors are reliability,
responsiveness, accessibility, security, efficiency, accuracy, assurance, customer
services, communication, web designed and cost saved.
Sampling techniques and sample size:-
Convenient sampling method is used to collect the data. It is a non-probability sampling
method in which subjects can be selected according to the convenience, proximity and
accessibility of the researcher. This method of sampling saves the time and cost of the
researcher. Rohtak district is taken as the population and out of which a sample of 100
respondents is taken for the study.
