INTRODUCTION
Background of the Study
In everyday lives, people are influencing by new invented technologies, which they used as one of their communicating tools. Banks are already been adopted and utilized in such as internet and mobile technologies. They used them as one of their financial services in order to cater the needs of their customer in an easy and accessible ways. A fact, that part of the growing economic condition of the country, technologies gives the big role in making banks more productive. Without technology system, they cannot operate some of their transactions as fast as possible.
Mobile Financial Services is developing by using mobile phone. It consist two commonly categories such as mobile banking services and mobile payment services. Through these two categories, bank’s customers easily connected with their designated accounts to check by using their mobile devices and of course to respond immediately the needs and wants of both parties. Mobile Financial services created and well invented in a sense of the fastest growth of the population. Mobile phone or a cellular phone considered one of the basic needs in people lives.
“According to Ang (2011) approximately 72 percent of the population or 2.5 billion of the adults is non-banked which means they have no access to financial services. In addition, closely 2.5 billion people in most countries have their mobile phones. Possibly, up to 2 billion mobile phone users are not fiscally involved and it can served through mobile financial services (MFS).
Gross et al.(2012) the ubiquity of mobile phones is changing the way consumer’s access financial services. In 21 percent of mobile phone owners have used mobile banking in the past 12 months, 11 percent of tho...
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... can be more productive and accurate to their customers.
Future Researchers – The mobile financial services study will also serve as source of information for supplementary research on other related studies.
Definition of Terms
For clarification of terms being use in the study, the conceptual and operational definitions hereunder provided.
Utilization – it is the application of the services or the product to support the needs of every mankind.
MFS- Mobile Financial Services - is one of the financial services in which most of the customers accessing the use of mobile devices were they can transact in different businesses in terms of GCASH, Smart Money and PayPal.
Accuracy- it determines the exact information of the services/product to the customer.
Timeliness-it is the accessibility in using the services/product that can easily transact anytime/anywhere.
Compared with the rate of many decades before, the rate of mobile usage is zooming these days. The developments of general economy and technology revolute peoples’ life styles and bring mobile business into a new page. Nowadays, business trends could still make a huge difference in those mobile companies.
The phrase “digital divide” illustrates the fact that the world can be divide into people who do and people who do not have access to and/or the capability to use modern-day information technology, such as the telephone and the Internet. For instance, “78.6 percent of North America’s residents were Internet users, but only 13.5 percent of Africa’s population had this capability.” (Volti 2014). There have been attempts to close this opening of the digital divide by bringing reasonably priced mobile phones to these people and countries with limited access. For example, “in Africa are even able to use their phones as mobile banks that allows them to store money, transfer funds, and pay bills.” (Volti 2014).
Geser, H. (2004). Towards a sociological theory of the mobile phone. Retrieved July 12, 2005, from http://socio.ch/mobile/t_geser1.pdf
Telecommunications gained mainstream attention in the early 90’s; however the initial key market was business men and women, who used their phones whilst being on the move and so allowing them to communicate with their companies with ease. Though in the modern era, telecommunication went through segmentation in the market trends, and now in this day and age it would be difficult to find someone who does not own some form of mobile technology. Many phone providers battle to provide the best service for their customers (Figure 1).
Mobile devices have become attractive platforms for communication in today’s society to an extent that they are increasingly used for storing and accessing personal information as well as company data. The increased use of the devices has been enhanced by the adoption of near field communication for mobile payment services, particularly in business. As a result, people and businesses not only rely on these devices for communication purposes but also use them for monetary services. Actually, it is estimated that the use of mobile devices will continue to grow in the future for various purposes.
“Mobile Technology Fact Sheet” Pew Research Internet Project, Pew Research Center, n.d. Web 1 May 2014
The foremost challenge was the seamless promotion of the existing banking system and channels for the installation of new state-of-art IT infrastructure. In this regard, the changes made to the structure and functioning of the financial institution challenged the regulatory structure of the bank.
Due to the absolute transparency of the market, customers can compare the services of various banks easily. If customers are not dissatisfied with the products or services offered by a bank, they can change their bank easily than in the real bank-client
countries and has about forty million customers for today. In most of these countries it supports bank withdrawal service
When phones became available to the public they were not considered to be mobile in today’s sense of the word. They were available to have installed in an automobile, they were big and bulky, and they needed and consumed a lot of power to use. The phone networks would only support a few simultaneous conversations. Cell phones since then have made vast improvements in their efficiency, abilities, and size. The first handheld mobile phone wasn’t produce until 1973. The origin...
This section was discussed about mobile banking and payments, innovative delivery channels, technologies for improved borrower identification and credit reporting, and adopting new technologies: the role of the market environment and competition. This section reviews the growth of mobile banking and payment systems and discusses technology-based business models and the role of improved borrower identification and credit reporting technologies in financial inclusion. This section also highlights that technology-based strategies for financial inclusion have varied substantially across countries and examines the features of national market environments that determine which technologies are best suited to enhance financial inclusion, as well as related to market structure and regulation that might make the success of some technology-based solutions difficult to replicate elsewhere. Major innovations in retail payment systems date back to the rise of card-based payment services. Credit cards became a wi...
The invention of money is perhaps one of the greatest achievements of human civilization. From the very beginning of society, people have used money to circumvent the difficulties of bartering and to foster trade and commerce. Since then, money has come a long way. No longer do we need to rely on silver coins, cocoa beans, or even anything of intrinsic value to conduct our business; today, we use paper currency, which is convenient and easy to carry around. But slowly, we are moving into the digital age of money, an age in which less of our money is actually tangible and more of it is just data on a computer server. To some, this prospect may seem daunting. However, given the major advantages of electronic money over outmoded paper counterpart, society as a whole should embrace the upcoming era of digital money.
... new possibilities. Due to the absolute transparency of the market, clients (both business as well as retail) can compare the services of various banks more easily. The Internet has continued since the late 1960s but for most of that time it was only available to governments and for scientific groundwork purposes. By the mid 1990s, as web interfaces enhancesd improved, it became available to the public and E-commerce developed, allowing businesses to offer their products and services on the web. For example, on the internet, if clients are not happy with the products, services or prices offered by a particular bank, they are able to switch their banking partner much more easily than in the physical or real bank-client relationship. From the banks’ point of view, use of the internet has significantly reduced the physical costs of banking operations and transactions.
Bank carries an important role of increasing the economic status of a country by providing the financial facilities and services for all the working sectors (Agha Tahir Ijaz et al 2013). Good customer service is one of the major factor in helping the growth of bank business as well as customer satisfaction. Customer is always expecting to save their property or make investment in a very secure and reliable bank. Through the advancement customer service, it is expected that the bank will accept the increment in number of customer as well as customer satisfaction. It is due to the bank customer may introduce and recommend more people to perform financial service in the bank. Customer loyalty towards the specific bank will also be restored. Besides
Mobile banking is a way for clients to perform balance checks, account transactions, payments, etc. using a mobile phone. Mobile phones provide a new and rapidly developing technological alternative delivery channels to extend financial services to those excluded from formal financial systems. Mobile phones allow clients to call into an automated system to conduct business transactions, and to access and request information.