Generations X and Y’s Adoption of Internet and Internet Banking in Nigeria

Abstract

Recent surveys show that more than 65% of internet users in Nigeria are between 18 – 46 years old. However, evidence from previous research stressed that as opposed to generation X, generation Y are more likely to adopt new technologies. This paper examined the use of internet and internet banking by two different generations in the Nigeria context. Students and young graduates who occupy these ladders were used as subjects of the research. Two hundred and thirty students (generations X and Y) were sampled. Findings revealed that both generations within the Nigerian context are technologically inclined; however, certain factors serve as barriers to their adoption of internet banking services as opposed to their frequent use of the internet for other purposes. Risks, security and privacy, dearth of telecommunication infrastructures, and poor state of the Nigerian economy were found to be barriers within the data analyzed. This research contends that the Nigerian government and the financial institutions must address the barriers to make for a full adoption of internet banking services and proposes the relationship marketing of these generations, especially generation Y as potential users of the bank and its services.