The impact of M-banking quality service on customers satisfaction during Covid-19 lock down: The case of Bank of Abyssinia, Ethiopia

Abstract

COVID-19 pandemic posed a great challenge for the financial industry in Ethiopia leading to an increase of mobile banking services which becomes a new normal and necessity for users of financial services. The study seeks empirically to test the impact of m-Banking quality service on Bank of Abyssinia customer’s satisfaction during COVID-19. A quantitative study approach and a descriptive research design with survey research method were used. East Addis Ababa district office was selected as a sample using a non-probability design in the form of convenience sampling to collect data. Accordingly, 296 structured questionnaires were randomly distributed where 240 fully filled survey questioners were retrieved for analysis. The findings from the study showed that e-service quality dimensions are significant forerunner to customer satisfaction, and, among the dimensions, security, reliability and ease of use have a great influence on e-service quality and these dimensions are perceived critical by the Abyssinia Bank customers. All the six predictor variables reliability, efficiency, security, responsiveness, empathy, and ease of use were found to be positively influencing Abyssinia banks m-banking customer satisfaction, while the predictors ease of use and reliability were found to have a significant impact and the highest predictor in absolute numbers 0.2444595 and 0.2200381, respectively. Thus, the study recommends that Abyssinia bank management as a service provider should pay attention to the identified dimensions specifically, on ease of use and reliability of m-banking services while devising e-banking strategies to provide high service quality and satisfaction to its customers. Key words: Abyssinia Bank, customer satisfaction, e-service quality, mobile banking.