E-banking Context Research Articles

Linking Relationship Marketing to Customer Loyalty in The E-Banking Context: The Central Role of Customer Satisfaction

This research examines the interrelationships between relationship marketing, customer satisfaction and customer loyalty in e-banking’s context. The study was conducted in two phases: In-depth interviews and a quantitative survey with a sample of 690 Vietnamese individual and corporate e-banking customers. The research results show that customer satisfaction mediates the impact of relationship marketing on customer loyalty among individual customers. Meanwhile, instead of customer satisfaction, relationship marketing significantly and directly contributes to the loyalty of the corporate customer group. The significance and magnitude of the effects that the five dimensions of relationship marketing’s effectiveness have on customer satisfaction and loyalty, which include the banks’ commitment, customer experience, process-driven approach, service reliability and application of technology, are also different between the two customer segments. This study theoretically contributes to the research stream regarding the mechanism underlying the relationship between relationship marketing’s effectiveness and customer loyalty in the e-banking context, and proposes practical implications for commercial banks to effectively apply relationship marketing in the virtual business environment.

The role of switching cost in the e-service recovery framework among banking customers

PurposeThe emergence of tech-driven initiatives in retail banking has created a vast spectrum of system-related service failures; hence, e-service recovery quality is of prime importance to banks to ensure e-service recovery satisfaction. However, e-service satisfaction is dependent on the ease of moving from one service provider to the other; thus, switching costs assume great significance. This study aims to probe the moderating role of switching cost on e-service recovery satisfaction by exploring e-service recovery quality antecedents.Design/methodology/approachA measurement model is suggested in the contextual settings of the Indian banking scenario and is estimated using structural equation modeling. Responses from 399 e-banking customers, who had experienced a service failure, were sought using a five-point Likert scale.FindingsThe result affirms that “recovery expectation” is the most significant predictor of e-service recovery satisfaction, and that switching cost moderates the relation between e-service recovery quality and e-service recovery satisfaction.Practical implicationsThe study highlights the high relevance of switching costs in the e-banking context and emphasizes investment in marketing strategies and campaigns to do away with switching intentions. It also highlights the relevance of recovery expectations as an antecedent of e-service recovery quality and thus stresses the need to satisfactorily address the same in the e-service recovery process.Originality/valueThis study contributes to the e-service recovery satisfaction literature in the banking context by empirically validating the moderating role of switching cost. It also identifies the critical antecedents of banking e-service recovery quality.

The influence of e-banking service quality on customer loyalty

PurposeProviding high-quality e-banking services is considered a basic strategy for attracting and retaining customers with electronic-banking platforms. The purpose of this paper is to empirically investigate a comprehensive moderated mediated mechanism for enhancing customer loyalty toward e-banking platforms via e-banking service quality (EBSQ) practices. Reliability, website design, privacy and security and customer service and support are the dimensions of EBSQ.Design/methodology/approachData were collected through structured questionnaires from a sample of 1,028 e-banking users in India. To test the hypotheses, a structural equation modeling approach was used.FindingsThe findings showed that of the EBSQ dimensions, reliability along with privacy and security enhanced customer loyalty to e-banking. The initial trust in e-banking mediates the effects of EBSQ dimensions on customer loyalty except for website design. The mediation effects of initial trust varied between high and low-involved consumers.Research limitations/implicationsThis study was conducted with e-banking users in one country using cross-sectional data. Hence, the model should be replicated among e-banking users in other countries and with the longitudinal data.Practical implicationsEstablishing a loyal customer base is an important goal for banks. This study demonstrates which specific EBSQ dimensions banks should emphasize to enhance consumers’ initial trust and loyalty toward e-banking services.Originality/valueThis study suggests a moderated mediated mechanism for enhancing customer loyalty to e-banking, which incorporates initial trust as a mediator and consumer involvement as a moderator. It applies cognitive-motivation-relational theory to link EBSQ dimensions with customer loyalty. Thus, this study enables a better understanding of this theory in the e-banking context.

Examining Factors Influencing E-Banking Adoption: Evidence from Bank Customers in Zambia

This paper contributes to the electronic banking (e-banking) literature by applying the modified Technology Acceptance Model (TAM) in an under-researched Zambian context. Specifically, it examines the influence of e-banking technology’s perceived usefulness, perceived ease of use and trust (safety and credibility) on e-banking adoption. Based on a quantitative correlational design, primary sample data were collected from 222 bank customers from two of Zambia’s largest cities. The findings indicate that the modified TAM model is applicable in the Zambian context and that perceived usefulness, ease of use and trust each significantly positively influences attitude to e-banking. In turn attitudes to e-banking influence intention and actual adoption of e-banking services. For scholars, practitioners and policy makers, the study shows that improving perceptions of trust (safety, security and credibility), usefulness and ease of use of e-banking systems would result in increased adoption. This paper is the first to extend the modified TAM model into the under-researched developing country context of e-banking in Zambia.

Examining Factors Influencing E-Banking Adoption: Evidence from Bank Customers in Zambia

This paper contributes to the electronic banking (e-banking) literature by applying the modified Technology Acceptance Model (TAM) in an under-researched Zambian context. Specifically, it examines the influence of e-banking technology’s perceived usefulness, perceived ease of use and trust (safety and credibility) on e-banking adoption. Based on a quantitative correlational design, primary sample data were collected from 222 bank customers from two of Zambia’s largest cities. The findings indicate that the modified TAM model is applicable in the Zambian context and that perceived usefulness, ease of use and trust each significantly positively influences attitude to e-banking. In turn attitudes to e-banking influence intention and actual adoption of e-banking services. For scholars, practitioners and policy makers, the study shows that improving perceptions of trust (safety, security and credibility), usefulness and ease of use of e-banking systems would result in increased adoption. This paper is the first to extend the modified TAM model into the under-researched developing country context of e-banking in Zambia.

Users' Perception of Security for Mobile Communication Technology

Security perception has been investigated by much research within the e-commerce and e-banking context. However, very little research has investigated this issue within the general mobile context without limiting this to particular applications such as payment, marketing, banking and commerce. Therefore, this paper aims to explore the users' perception of security towards mobile phones from a wide perspective. An interpretive-qualitative research was adopted to investigate the users' perceptions. The research results provided evidence for extending the meaning of the security perception concept to include human security as a relevant issue to mobile phone usage. It also showed that mobile phones can be used as an instrument to commit fraud and crimes. Furthermore, the results showed that the development of mobile technology raises new security and privacy concerns. For practical implications, this research provides recommendations for mobile technology designers to improve mobile usability- related issues in order to improve users' feeling of security

The Mediating Role of Trust in E-Banking: The Interplay between the Web Site’s Perceived Quality and Commitment towards the Bank

Trust is one of the key elements needed to create and maintain relationships with customers in any kind of exchange. Although studying trust is generally well established, and despite disagreements on its conceptualisation, few researchers have studied trust in an online environment, in particular banking web sites. This study addresses the following issue: can the quality of a web site in itself guarantee customers’ commitment to a longterm relationship with their banks? What is the role of online trust? The aim of this study is to propose and then to test an explanatory model targeted to apprehend the existing relationships between these three variables in an e-banking context. What relationships will prevail? Direct and/or indirect ones? Our study examines the banking sector in Tunisia. Data collection has been collected through a face-to-face survey of customers of Tunisian banks. A questionnaire has been designed by selecting items from scales validated by previous research. Our objective is to know about customers’ perception of electronic service quality, online trust and commitment towards their banks. The obtained results highlight the important role of the quality of the bank’s online service in the longterm relationship with its customers by establishing trust which, in turn, induces their commitment to the bank. The findings of this study revealed that there is no direct relationship between the website’s perceived quality and commitment. Moreover, the study revealed that customers’ reluctance to commit to their banks relates to lack of their on-line trust despite a good perception of the web site’s quality.

Service Quality, Customer Satisfaction, Customer Trust, and Loyalty in an E-Banking Context

In this study a research model was proposed to examine the relationships between service quality, customer satisfaction in, customer trust of, and loyalty to Taiwanese e-banks. Questionnaires were completed by 442 respondents who had experience with e-banking and data were analyzed using partial least squares structural equation modeling. It was found that e-banks must focus on service quality to increase customer satisfaction and trust and to obtain customer loyalty. Implications are discussed in relation to e-bank management.