MOBILE BANKING IN INDIA: BARRIERS IN ADOPTION & SERVICE PREFERENCES

NAVEEN D.SOUZA PRANAY SHARMA RITESH ALVA ROHIT

INTRODUCTION
Mobile banking is growing yet there are number of issues and threats in mobile banking system Various factors influence customers adoption

It is argued that adoption will not take place unless customer perceive the service to be useful Understanding the symptoms could help banks to improve mobile banking services as well as to increase rate of mobile banking usage

OBJECTIVES
To study the barriers in using mobile banking services To study the perceived utility of various mobile banking services

To study the influence of demographic variables on mobile banking usage

RESEARCH METHODOLOGY
To measure the above objectives a cross sectional descriptive study was designed Questionnaire design Based on research objective , a structured questionnaire with 40 variables , mainly with a 5 point likert scale was used

DATA COLLECTION
DEMOGRAPHIC VARIABLES GENDER AGE EDUCATION INCOME PROFESSION PERCENTAGE DISTRIBUTION 80% MALES, 20% FEMALES 33% LESS THAN 30. 47% 30-39 , 20% ABOVE 39 67% GRADUATED, 33% POST GRADUATES 63% 10000 OR LESS , 37 % MORE THAN 10000 46% MANAGERIAL POSITION, 54% NON MANAGERIAL POSITION

BARRIERS IN USING MOBILE BANKING SYSTEM

SECURITY CONCERN NETWORK PPROBLEM DIFFICULTY IN HANDLING MOBILE BANKING SYSTEM INSUFFICIEN T OPERATING GUIDANCE COOST PER TRANSCTION

N
MEAN

100
4.15

100
3.99 3.2

100
1.19 2.156

100
3.87 2.863

100
2.51 2..030

KOLMOGORO 2.457 V- SMIRNOV Z

ASYMP. SIG

.000

.000

.561

.000

.101

DEMOGRAPHIC VARIABLES AND MOBILE BANKING USAGE

DEMOGRAPHIC VARIABLES CORRELATION COEFFICIENTT GENDER .233 SIGNIFICANCE AT 0.5 LEVEL NS

AGE

.611

SIGNIFICANT

EDUCATION

.521

SIGNIFICANT

INCOME

.198

NS

PROFESSION

.201

NS

SUGGESTION
The major concern among customers was the safety concern regarding mobile banking services Even most of those uses it do not conduct financial transactions This means it is not solving the purpose it was originally made for which is reduce customer visit to banks Based on findings, ensuring security of mobile banking and familiarizing customers will increase the rate of using mobile banking services

CONCLUSION
Mobile banking is a new era in banking in which banks are spending considerable amount of money to have it available to customers To cut down the operation cost Unfortunately large number of customers do not use mobile banking for various reasons , despite its benefits