Electronic Banking: A Panacea to Corporate Customers’ Satisfaction in Small and Medium Scale Enterprises in Nigeria

Abstract

The study investigated the effect of electronic banking as a panacea to corporate customers’ satisfaction in Nigeria sighting Ekiti State as a case study with a view to establish whether electronic banking tools of ATM, mobile banking, POS, e-banking implementation, awareness of e-banking and service availability of e-banking significantly enhance corporate customers’ satisfaction in Nigeria. This study made use of survey research design that allow for the use of questionnaires to elicit data using Multistage sampling technique to select two hundred and forty (240) respondents from the population covering all the Small and Medium scale Enterprises (SMEs) firms in Ekiti State by first selecting all SMEs firms in Ado-Ekiti and later reduced them to five (5) purposively selected SMEs namely; Laundry, Printing, Bakery, Eatery and Electronics houses all in Ado-Ekiti. The data obtained from the field was processed using statistical package for social sciences (SPSS) computer software and analyzed using descriptive and inferential analysis which involved regression analysis. The result revealed that 0.792 which depicted that 79% of the changes in the corporate customers’ satisfaction is accounted for by the explanatory variables (E-banking tool of ATM, MB, POS, E-banking implementation, Awareness of e-banking and Service availability). It was further discovered that the E-banking tools (ATM, Mobile banking and POS) have positive significant effect which bring about 8.1%, 34.5% and 9.4% increase respectively on the customers’ satisfaction in Nigeria. While the E-banking implementation and awareness of e-banking also have positive and significant effect and can positively increase customers’ satisfaction by 12.3% and 37.5% respectively. The coefficient of service availability on the other hand showed a significant negative effect on customers’ satisfaction (-0.087) implying that a percentage change in service availability will bring about a decrease in corporate customers’ satisfaction by 8.7%. The study therefore concluded premised on the results that electronic banking has significant effect on corporate customers’ satisfaction among Small and Medium Scale Enterprises in Nigeria