Today Information Technology revolutionized our life almost in every filed. One of among several blessing of information technology is Internet Banking services that brings ease and comfort for our banking activities. Over few years Internet Banking has evolved as convenient, self-serviced technology, cost-reducing and time saving channel. Internet banking is available 24x7 across geographies. Users of internet banking are increasing day by day since few years all over the world. In present hyper competitive environment internet banking works as a competitive differentiator among banks. Internet banking has become an important revenue builder for banks.
Due to competitive scenario in banking sector and users demand banks are moving towards providing services online. (Southard, P. & Siau, K, 2004). By moving towards new technologies and adopting them, banks try to grab the market and trying to gain more and more advantages. (Ozcan, 2007; Chang 2002). Transactions and communication are geared up for clients because of development of information technology in banking sector. Expansion and advancement of such banking features are advantageous for service providers and customers. (Safeena, Abdullah and Hema, 2010, 2011; Qureshi et al, 2008).
To reduce network of the branch and staff, to generate more revenue and to decrease costs banks has been moved and adopt internet banking previously. Now a days banks adopt internet banking to achieve competitive position and to generate more and more customers by facilitating customer services and different expansions online. Internet banking has gained acceptance throughout the world as a new delivery channel for performing various banking and financial activities.
Users can do different types o...
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• Need of required infrastructure.
• Internet connection problem like slow and broken connection.
• Awareness problem.
• Fear to lose money by doing any mistake or error.
• Cost to maintain resources and connection. (Al-sukkar, A. Hasan H., 2004; Sharma B.R., 2001; Gupta P.K., 2008).
It was reported by IAMAI (Internet and Mobile Association of India) that in India 43% people are not doing IB because of security concern, 39 % people prefer face-to-face banking, 22% people have not knowledge about internet banking, 10% are not doing IB because of lack of user friendliness and 2 % are not using IB because of lack of facility in their bank. (Phan D., 2003; Rahmath Safeena et al., 2011).
Perceived Factors behind the Growth in Internet Banking:
• Cost Efficiencies
• Geographical Reach
• Relationship building
• Customers Demographics