Unfolding factors behind internet-banking adoption in Bangladesh: An extension of UTAUT2 with perceived security and trust

Abstract

Over the last decade, Internet banking is making its own acceptance worldwide including both economically stable as well as in developing countries. Though an ample amount of research on Internet banking (IB) adoption is accessible in developed countries and in some developing countries, it is scant in Bangladesh. Therefore, the aim this study is to analyze the predictors that influences customers in IB adoption in Bangladesh. Incorporating two external variables, namely perceived technology security (PTS) and trust with the UTAUT2, a survey questionnaire was developed and distributed among Bangladeshi customers using online platforms. Using convenience sampling method as a nonprobability sampling technique, a total 280 responses were gathered in an online survey and analyzed following PLS-SEM strategy. This study revealed that PTS, performance expectancy, trust, effort expectancy (EE), social influence (SI), facilitating conditions (FC), price value (PV), and hedonic motivation (HM) have significant influences on IB adoption in the Bangladesh context while habit (HT) has found insignificant. Further, while we investigated the gender differences between the relationships of exogenous and endogenous constructs using PLS-MGA (multi-group-analysis), we found that trust, HT, PV, EE, and FC are significant for female whereas PTS, SI, and PE are significant for male respondents. Gender also moderates the relationships between HT and IB adoption, and, trust and IB adoption. This study contributes in the literature of IB adoption as well as offers some valuable implications for Banks in developing country to increase the IB adoption.