Statistical Analysis of Internet Banking Usage with Logistic Regression

Abstract

Internet banking is an important phenomenon in the contemporary banking industry. The purpose of this paper is to analyze the characteristics of internet banking users in Northern Cyprus. 483 respondents were surveyed. Logistic regression was used to evaluate the impact of age, gender, income, marital status, education, profession, comfort level with computers and previous experience of shopping online on the likelihood of people using internet banking. The results indicate that 56-65 year olds were less likely to adopt internet banking than 18-25 year olds. The odds of adopting internet banking were higher for male respondents compared to females. Married individuals were less likely to adopt internet banking than single respondents were. The likelihood of adopting internet banking rose with increasing levels of income. Respondents with master's or PhD degrees were more likely to adopt internet banking compared to primary and secondary school graduates. Respondents who have previously shopped online and have a high comfort level with computers had a greater tendency towards adopting internet banking. Sole proprietors, public sector workers, private sector workers and students were less likely to adopt internet banking than banking personnel.