Internet banking, consumer adoption and customer satisfaction

Abstract

Despite the importance of Internet banking in many financial institutions, fewer studies have focused on consumer adoption and customer satisfaction especially in the African setting. With technology implementation, a new phenomenon in Uganda’s banking sector and many customers has not yet embraced it, this study was conducted to determine the factors that influence consumer adoption of Internet banking service as well as examine the relationship between Internet banking service, customer adoption and customer satisfaction. The major instrument for the data collection was a questionnaire that was designed on a 5-point Likert scale to be able to collect good quantitative data. The study established that there was a significantly positive relationship between Internet banking and customer satisfaction which is consistent with the findings of Al-hawari and Ward (2005). The study recommended that more emphasis and efforts be laid on targeting individual clients. In addition, Internet banking service providers ought to look out for indicators of innovative ways of creating awareness about the service through participation in trade organizations, exhibitions as well as adoption of new technologies of Internet banking. Key words: Internet banking, customer satisfaction.

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