“Factors Affecting Customer Satisfaction of Mobile Banking due to Covid-19 Lockdown”

Dependent Variable:
Customer Satisfaction

Independent Variables:
1. Efficiency (Base Paper 1)
2. Customer Service and Support (Base Paper 2)
3. Security and Trust (Base Paper 1)
4. Website Design (Base Paper 2)

Area of Research: finance

Sub-Area: Digital Marketing

Empirical Research
Descriptive Research Design (Primary Data will be collected through Online Survey)
Questionnaire will be conducted through Google Form. Items of every
Constructs are adopted.

Conceptual Framework:

Independent Variables Dependent Variable

Efficiency

Customer Service
and Support
Customer Satisfaction
Security and Trust

Website Design
RESEARCH GAP:

Regarding with Factors Affecting Customer Satisfaction, many researches had been done
worldwide. Those Researches indicated that how much Loss had been incurred during Covid-19.
Banking Users were having problem in making Transaction through Physical Banking. They
were not so much linked with Mobile Banking which causes impact on their Satisfaction with E-
Banking or Mobile Banking. There are so many Banks which offer Mobile Banking. It was
discovered that there was no study implemented in Hyderabad. After the investigation, the
Research was implemented in Hyderabad, Sindh, Pakistan. The Research primarily focuses on
the Customer Satisfaction of Mobile Banking. There is no specific Bank mentioned in our Study,
every Bank Responses are taken into the Study. For this Purpose, Independent (Efficiency,
Security and Trust, Customer Service and Support, and Website Design) and Dependent
(Customer Satisfaction) Variable have been adopted. The Research Study was limited to
Hyderabad Bank’s Customers due to Time Limited and Accessibility. Therefore, Mobile
Banking is not only used in Hyderabad, but it is used all over in Urban and Rural Areas.

THEORETICAL FRAMEWORK:

According to Lazarus (1991), theory of customer relationship management (CRM), is

taken in consideration to provide theoretical support medium to know a link between Customer
satisfaction and Service Quality. This theory basically emphasize on alliance between cognitive
evaluation and emotional reaction. Cognitive behavior arise when any person turn their
evaluation on accordance with their goals, beliefs and respected values. Number Of researchers
has used CMR theory to associate relation between Service Quality and Customer Satisfaction as
follows (Brady & Robertson, 2001). According to this theory and results of many researchers
that service quality is based on effective evaluation of services and therefore they are link up
with customer satisfaction.

According to the Davis (1989), Technology Acceptance Model (TMA) is an information

systems theory, is taken in consideration to provide theoretical support medium to know a link
between security and trust and Customer satisfaction. It has been one of the most prominent
models of technology adoption, with two major elements influencing a person's inclination to use
new technology: perceived ease of use and perceived usefulness. Using TAM as a theoretical
framework, this study proposes "perceived credibility" as a new element of online banking
acceptability that reflects users' concerns about security and privacy. It also looks at the impact
of computer self-efficacy on the desire to use the Internet for banking. The results of a study by
Wang, Wang, Lin, and Tang (2003), based on a sample of 123 users via a telephonic interview,
validate the expanded TAM in predicting users' intentions to utilize Internet banking. It also
shows how perceived ease of use, perceived utility, and perceived credibility all have a
substantial impact on behavioral intention when it comes to computers.

According to Lewis and Booms (1983). "Service quality is a measure of how well the
service level given fulfils customer expectations," Providing exceptional service entails
consistently meeting or exceeding customer expectations." In today's competitive market,
providing a high-quality service is critical to success and survival (Zeithaml, Berry, &
Parasuraman, 1996). Banks established remote distribution service channels more than two
decades ago, according to Centeno (2003). The website of a bank serves as a conduit between the
bank and its customers, creating "moments of truth" between the bank and the customer
(Iwaarden, der Wiele, Ball, & Millen, 2003). According to Parasuraman, Zeithaml, and Malhotra
(2005), the quality of services given by bank websites across all stages of engagement is "the
amount to which a website allows efficient and successful shopping, purchasing, and delivery."
High-quality website services are critical for organizations like Forex Bank, and COMVIQ,
which all sell items and services through their websites. They have no other way to reach their
customers. Almost all businesses with a physical presence utilize a website to sell services and
reach new clients (Parasuraman et al., 2005).

According to Firdous (2017), the research theoretical perspective has been taken by ES-
qual and E-res - qual models to understand the phenomenon about the efficiency, service quality
and system availability in response to customer satisfaction. The phenomenon of efficiency is a
fusion of many layer like privacy, availability, responsiveness, website design. These factors act
as efficiency factory and effect the customer satisfaction respectively.
 LITERATURE REVIEW

Efficiency and Customer Satisfaction

Ketema and Selassie, (2020) discussed about the Mobile Banking Service Quality on
Customer’s Satisfaction during Covid-19 Lockdown in Ethiopia. Covid-19 has posed great
challenges for the Financial Industry. The study seeks empirically to test the impact of m-
Banking quality service on Bank of Abyssinia customer’s satisfaction during COVID-19. A
quantitative study approach and a descriptive research design with survey research method were
used. A survey Questionnaire was adopted (self-administered) that uses a five-point Likert scale.
Questionnaire was done with the help of Branch Managers. Convenience Sampling was done.
240 Responses were collected for Analysis out of 296. Data analysis was carried out using the
STATA version 16. Descriptive Statistics and Statistical Analysis (Pearson correlation, multiple
regression and factor analysis statistical techniques) was used to test the data. Therefore, the
findings from the study showed that e-service quality dimensions are significant forerunner to
Customer Satisfaction. All the six Independent Variables: Reliability, Efficiency, Security,
Responsiveness, Empathy, And Ease of Use were found to be positively influencing Abyssinia
banks Mobile-Banking Customer Satisfaction.

Saravanan and Leelavathi, (2020) has shown the significant impact of Mobile Banking
Services on Customer Satisfaction and Customer Attitude. Data has been gathered through
questionnaire from 200 E-banking users as respondents, from different region in Chennai district.
Convenient Sampling Method was used. The Questionnaire consists two sections (Customer
Demographics and Variables). The Questionnaire uses 5-point Likert. The (Demographic) data
was analyzed using descriptive statistics such as percentages and frequencies. Male respondents
were 57.2% (111 Respondents) and Female Respondent were 42.8% (83 Respondents). They
tested (Variables) data through Regression Analysis and Correlation. Results of the study have
revealed that there is momentous relationship between service quality dimensions and customer
satisfaction in E-banking in Chennai District. Therefore, it’s concluded that these dimensions
namely, that Efficiency, Privacy and Website Design contribute most highly towards Customer
Satisfaction.

Firdous and Farooqi, (2017) aim was to discover the knowledge of the e-banking. To help
the Bank and Policy makers have a better understanding of the internet banking dimensions and
their contributions towards customer satisfaction. An Exploratory Survey was done. The
Questionnaire was conducted in New Delhi. The Convenience Sampling was done. Data were
collected from a sample of 194 internet banking customers. The Questionnaire uses 5-point
Likert scale. They used Descriptive Analysis and Correlation and Regression Analysis to test the
data. Therefore, the result implicated that each of the dimensions namely Efficiency, System
Availability, Fulfillment, Privacy, and Responsiveness individually contribute 70% to the overall
Customer Satisfaction in Internet Banking.

Sahilu and Metin, (2017) this paper examines how product enhancements, dependability,
and efficiency affect customer satisfaction with electronic banking services. The emergence of
Information and Communication Technology has resulted in numerous changes in practically
every element of life. Electronic banking services such as ATM cards and e-banking are rapidly
displacing traditional banking methods. In this research. A questionnaire was sent out to collect
data for this study, there were 52 responses, however only 46 of the Questionnaires were filled
out correctly. The survey was disseminated via social media on the internet and Cronbach’s
Alpha were used to analyze the data. The study concluded that all Cronbach's Alpha values are
within acceptable limits, that services and reliability are highly linked or correlated, but that the
link between efficiency and satisfaction is minimal or weak. To put it simply, while service and
reliability have a favorable impact on customer satisfaction, efficiency has a negative impact.
 Hammoud et.al, (2018) this research was basically conducted to look at the relationship
between the characteristics of E-Banking service quality and customer satisfaction in the
Lebanese banking sector, in order to see which, one could have the most impact on customer
satisfaction. In this research the total respondent were (258) through which the responses were
collected and Structural equation modelling with SPSS and Amos (20) were used to statistically
examine the data. The study concluded that customer satisfaction is influenced by several
factors, including reliability, efficiency, and convenience of use; responsiveness and
communication; and security and privacy, with reliability having the greatest impact. E-banking
has evolved into one of the most important financial services that, when effectively handled, can
boost consumer satisfaction while also giving banks a competitive edge. Knowing the relative
relevance of service quality aspects can aid the banking business in concentrating on what most
satisfies customers.

Customer Service and Support and Customer Satisfaction

Haq and Awan, (2020) aims to empirically explore E-Banking Service Quality and its
impact on E-Banking Customer Satisfaction. The account holders of three domestic (NBP
National Bank of Pakistan, HBL Habib Bank Limited systemically important banks of Pakistan
were surveyed during COVID-19 to examine the electronic services provided by these banks.
The Data was collected through Questionnaire by Emails and Messaging Applications. 976
responses were collected and used in the analysis. The SEM (Structural Equation Model) was
used to test the data. Males Respondents were 72.23% and Female Respondents were 27.77%.
All Service Quality Determinants Reliability was greater than 0.70. Therefore, they concluded
that Privacy and Security and Customer Service and Support has great positive impact on
Customer Satisfaction and for higher Customer Satisfaction, Customer Service and Support need
to be smoother and more favorable.

Moraru and Duhnea, (2018) focus was to grasp the importance of e-banking within the
greater Satisfaction of customers with regard to banking Services. They employed Descriptive
Quantitative Research in South-East Romania. The Data was collected through questionnaire
comprising three main sections: a General socio-demographic section, a section dedicated to the
assessment of the general customer satisfaction level with bank services, and a third section
focused on assessing the five categories (Convenience, Quality, Environment, Tariffs, E-
Banking) of customer satisfaction determinants in terms of bank services. 643 sample were
collected and analyzed in IBM SPSS Statistics 23. Therefore, the result implicated that overall
Customer Satisfaction with banking services and Customer Satisfaction with e-banking services
are strongly correlated, thus pointing out the Importance of E-banking services.

Sardana and Bajpai, (2020) studies that Banking Sector has been updates years to years
and the evolution of banks brought Mobile Banking or Internet Banking which is a big yes for
thousands of customers. Their research discovers that by providing mobile banking they are
actually making their service quality best and this means the customer satisfaction will also
increase. The research says that service quality dimensions are directly proportional to customer
satisfaction. The Heterogeneous Sample was made. The data was collected through
Questionnaire and 182 Responses were collected. The Collected Data was analyzed through
SPSS Statistics 21. The following Tests were done: Reliability Test, KMO (Kaiser Meyer Olkin)
Test and Regression Analysis. Therefore, the findings emphasized that customer support is not
just an individual variable it has layers like trust, privacy sense of security and when bank
provide this set of benefit to customer in e banking it will definitely increase the customer
satisfaction.

Puriwat and Tripopsakul, (2017) purpose was to investigate the influence of E-Service
Quality toward Customer Satisfaction and Customer Loyalty in the Mobile Banking Services.
Mobile Technology is playing a vital role in daily life. Commercial Banks compete to develop
their Mobile Application for Banking Services to be more Efficient, Responsiveness, Convenient
and Secure for Customers. The Data was collected through Questionnaire. All items were
measured using a five-point Likert-type scale. 432 Responses were collected of Thai Mobile
Banking. The Data was tested through Multiple Correlation and Factor Analysis. SEM
(Structural Equation Modelling) was used to investigate the impact of e service quality on
Customer Satisfaction. The finding showed that overall e service quality significantly affects
Customer Satisfaction. Trust, Reliability, and Responsiveness are the first, second, and third
important dimensions to explain e service quality. Responsiveness affects overall E-Banking.
This finding infers that mobile banking users expect High Responsiveness or High Customer
Service and Support from the prompt delivery of Financial Services.
 Bala et.al, (2021) aim was to capture the impact of Different dimensions of Services of
Mobile Banking on Customer Satisfaction during Covid-19 Pandemic times. They collect the
data through Questionnaire and received 180 responses out of 250. The Survey was conducted in
Rural areas of Bangladesh who are availing Mobile Banking. They used Descriptive Analysis to
show Demographic in Percentage. They used Reliability test, KMO (Kaiser Mayer Olkin) test,
Correlation, Linearity Test and Multiple Regression Analysis. Therefore, they concluded that
Responsiveness is willingness to help Customer and provide prompt service which means
Customer Service and Support. Their Findings showed that Reliability, Responsiveness, and
Efficiency had great influence on Customer Satisfaction.

Security and Trust and Customer Satisfaction

Hossain, (2019) states that the mobile banking system has altered payment habits and has
the potential to improve people's quality of life as well as the efficiency of banks. As a result, the
security and lack of trust have unavoidably led to growing problems and become a key worry in
the adoption of mobile payment services. However, little is known about how risk and trust
variables influence mobile payment uptake. In this research the author is using exploratory and
confirmatory factor analysis and structural equation modelling, a complete research model that
captures consumer satisfaction and loyalty to mobile payment service adoption is constructed
and empirically verified. Moreover, 264 total responses that were collected which basically
counted as valid responses. The study determined perceived risk has a substantial negative effect
on perceived trust and customer satisfaction. Customer satisfaction is a decent predictor of
customer loyalty, and perceived trust is the most significant component in generating customer
satisfaction. Thus, the aim of the study is perceived risk has a substantial negative impact on
perceived trust and customer satisfaction.

Sheikh et.al, (2017) this research basically conducted to determine the major
determinants of mobile banking technology adoption that impact consumer E-satisfaction in
Pakistan, since mobile banking has manifested itself as an emerging technology embraced by the
banking sector throughout the world. This particular research based on regression analysis
technique for analyzing the data on sample data of 170 respondents. The study was based on
gathering primary data by use of questionnaires. The study concluded that the variables cost
efficiency, Ease of Use, and Security all have a major influence on Customer E-Satisfaction
However, cost efficiency and security are negatively or inversely related, but ease of use is
positively related.

Hamad, (2018) this research was basically conducted to shed more light on security,
service quality, and customer loyalty as they relate to customer happiness, in order to attain the
maximum degree of satisfaction possible. In order to meet the research objectives, he devised
three hypotheses based on three factors: customer loyalty, service quality, and security. In this
research they used SPSS version 20.0, in which they examined the data of 200 respondents using
correlation and logistic regression tests. The study led us to the conclusion that customer
satisfaction is favorably or positively influenced by characteristics such as customer loyalty and
security. Customer satisfaction in the banks studied did not change as a result of the third
variable that is service quality.

Leninkumar, (2017) this paper examines how customer satisfaction and trust affect
consumer loyalty. Furious rivalry among banks drives owners to seek out strategies to ensure
market viability and obtain a competitive edge even in the face of competition. As a result, the
focus on customer loyalty has grown more than ever before, attracting the attention of academics
en route to identifying the antecedents of consumer loyalty. In this research the total respondent
were (210) through which the responses were collected and SPSS and SmartPLS were used to
analyze the data. The study concluded that the Customer satisfaction and loyalty, as well as
customer satisfaction and trust, were all found to have a strong positive correlation. Similarly, if
clients are happy with the bank's services, they are more likely to remain loyal to the bank.
Furthermore, there was a substantial positive link between customer satisfaction and customer
trust, demonstrating that customer satisfaction is the precursor of trust. To put it another way, the
more satisfied customers are with the banking service, the more likely they are to trust the bank.

Masrek, (2018) this research was conducted to see how security and privacy concerns
affected trust and satisfaction. The study will also look at how perceived quality affects security,
privacy, trust, and satisfaction. Regardless of the steady increase in the number of people using
mobile banking, security and privacy concerns will continue to be a source of concern that
requires constant attention. Practitioners and researchers have collaborated to discover solutions
so that security and privacy concerns do not deter customers from using mobile banking services
to their full potential. Researchers have created a variety of models to illustrate the security and
privacy concerns, as well as their impact on consumers' mobile banking behavior. However,
because mobile technology evolves at such a quick rate, as well as user behavior, ongoing
refining and modification of these models is deemed required. This particular research based on
SEM (Structural Equation Modelling) for analyzing on sample data of 365 respondents that were
obtained from Malaysian mobile banking customers using the easy sampling method. The study
concluded that perceived credibility, operationalized as security and privacy, was found to be a
major predictor of trust and satisfaction. Furthermore, perceived quality is proven to have a
strong link with trust and satisfaction. The study's findings emphasize the necessity of security
and privacy in guaranteeing the viability of mobile banking services.

Website Design & Customer Satisfaction

Alkhouli, (2017) this research basically conducted to answer the question which is “The
Effect of Banks Website Service Quality and E-satisfaction on E-loyalty” as the use of internet
banking is increasing rapidly by various medium which are bank internet service and mobile
application service due to covid-19 people switched to internet banking. This is the empirical
research type and E-S-QUAL model used for analyzing the data on sample data of 213
respondents which is done on baking sector and it is based on primary data. This research
concludes that Customers are more satisfied, and e-loyalty percentages will rise, if banks give
increased web services.

Rahi et.al, (2020) this research was conducted on “Factors propelling the adoption of
internet banking: the role of e-customer service, website design, and brand image and customer
satisfaction”. In the research paper the data is collected from 500 respondents. G-power software
and Structural equation modelling (SEM) are used to test hypothesis relationships, The finding of
this research concluded that, a number of particular criteria (such as website design, e-customer
service, customer satisfaction, and brand image) drive the adoption of online banking in
Pakistan. In practice, these findings will aid policymakers in gaining a better understanding of
the important elements that impact customers' willingness to use online banking in Pakistan.

Dharmavaram and Nittala, (2018) this research conducted on “Service Quality and
Customer Satisfaction in Online Banking” The aim of this research is to investigate the elements
that influence consumer satisfaction in online banking services in Visakhapatnam, Andhra
Pradesh, India. The researchers collected primary data through structured questionnaire they get
response from 513 people and the author used SPSS to analyze the collected data. The research
concluded that responsiveness, reliability, privacy and security, ease of use, website design, and
information quality are the elements that have a significant positive impact on online banking
customer satisfaction. Moreover, understanding these characteristics allows bankers to focus
their efforts and resources in the most effective and efficient way possible to grow their customer
base and encourage new consumers to use online banking in the long run.

Jahan et.al, (2020) this survey conducted on “Examining the Key Determinants of
Customer Satisfaction Internet Banking Services in Bangladesh” this paper researched to
persuade the customer to use internet banking. This survey conducted with five-point Likert
scale from 121 randomly people which voluntarily take part in it. Author uses the SPSS version
23.0 to analyze the descriptive statistics and hypotheses testing. In order to please their
consumers, internet banking service companies will place a greater emphasis on improving the
quality of electronic services. Apart from website design and transaction speed, service quality,
security, and ease of use could indeed be found to get a major impact on customer satisfaction
among Bangladeshi online banking users.

Hamid et.al, (2018) This research conducted on “The Impact of Electronic Banking
Services on Customer Satisfaction in the Sudanese Banking Sector” this research aims to explain
how electronic banking leads to customer satisfaction with their service, the questionnaire is
designed by researches themselves and responses collected from 200 internet users, The study's
findings revealed that all of the study's hypotheses have been accepted. Further research could be
decided to expand to other Sudanese banks, and other factors such as ease of use, information
reliability, transaction speed, and transaction security could be addressed in the Sudanese
banking sector.
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