Factors influencing customer perceptions on adoption of internet banking in Namibia

Internet banking is receiving greater attention as one of the most important and popular delivery channel for banking services in the cyber age, and it has remarkably developed in the light of the advances made in the information and communication technologies over the last three decades. This study analyses the factors influencing customer perceptions on adoption of Internet banking in Namibia by focusing on the selected demographic attributes such as gender, age, qualification and employment status, and the constructs of perceived usefulness, perceived ease of use, trust, attitude, subjective norms, perceived behavioural control and intention. As part of this empirical study using a quantitative approach and informed by a hybrid construct of an extended trust and technology acceptance model (TAM) with the decomposed theory of planned behaviour (DTPB), data was collected through a survey questionnaire on factors influencing customer perceptions on adoption of Internet banking and analysed using Statistical Package for Social Science (SPSS) software. The study found that each of the constructs surveyed have varying degrees of perceptions and influences on customer adoption of Internet banking in Namibia ranging from as high as 78.75% to as low as 55.59%. Furthermore, the study highlights the importance of considering the demographic and contextual attributes in analysing and understanding factors influencing customer perceptions on adoption of Internet banking. The results should assist banks in achieving higher penetration rates of Internet banking services that would not only benefit from much lower operating costs and improved profitability but also ensure that customers benefit from the convenience, speed and round the-clock availability of such services. Namibia, as a country, also stands to benefit from increased Internet banking usage by virtue of the improved financial inclusion in the economy as regards ease of access, availability and usage of the formal financial system. The banks should, however, consider Internet banking as a strategic business necessity and develop aggressive marketing and outreach strategies to ensure that customers are motivated to adopt cost effective and convenient Internet banking services. The absolute need for the banks to take into consideration the findings of this study cannot be overemphasised.

Grantor dc:publisher

University of Namibia

Year dc:date.issued

2017

Author dc:creator

• Sichone, Namakau Muyunda

• Internet banking

Language dc:language.iso

en

Handle dc:identifier.uri

http://hdl.handle.net/11070/2471

OAI identifier oai:identifier

oai:repository.unam.edu.na:11070/2471