If there is one business that has the stigma of being old and boring,
it would have to be banking. However, a worldwide trend of deregulation
has opened up many new businesses to the banks. Coupling that with
technological developments like internet banking and ATMs, the banking
sector is obviously trying its best to discard its dull image! Internet
banking, as the name suggests is a form of banking global network to
offer services, and this technology utilizes secure means of
transferring data, funds as per the instructions from the account
holder’s personal computer into the bank’s mainframe system.
As consumers become more mobile and skilled, their needs change
towards demanding increased access to banking services. In order to
ensure continuous growth in the online banking users, banks must think
ahead of the consumer by anticipating what their needs will be and
provide essential mechanics to satisfy those needs.Can you easily trust your money with an electronic banking system? If you had millions of dollars to transfer from one account into another account would you trust the click of a button or would you prefer to go to your bank and personally to interact with a client service representative? As with other industries, you want to know that a bank has costs under control, and efficiency levels are relatively good. Closely analyze the bank’s operating expenses. Ideally, operating expenses should remain the same as previous years or decrease. Many customers are often surprised by looking at banking costs increase without notice. Looking at it from a shareholder’s point of view, this isn’t to say that an increase in operating expenses is a negative aspect as long as revenues are also increasing. But, not all customers are also shareholders. Knowingly, merely by just browsing everything through your tablet or PC, you are still interested in the offerings of the bank and that there no risks with your deposited money.
The bank management’s perceptions about difficulties in using Internet are important variables that can be associated with their comportment to use the technology. Typical transactions would include bill payments, transferring of funds between accounts and presenting clear applications. The transactions are in real time and most transactions occur as soon as the user releases the command. Characteristics of innovation are the factors of adoption of innovation that have been tested by many researchers. Adopting innovation is usually to be related with perceived complexity. And in the Internet banking area, it is indeed complex for people from non technological backgrounds. Any Internet-equipped bank should find that self-efficiency and use it in order to make bring out confident Internet users, which can make them more likely to adopt Internet-based banking services. Better technical skills to implement and use a particular technology may increase the chances to adopt a technology. Thus, perceived ease of using Internet is likely to be associated with adopting use of Internet as a banking service to customers.
These are some of the facts that people consider when their bank begins to advertise about Internet banking services. Although the ability to perform transactions with your bank online has been around for a while now, the general public is not as enthusiastic as most banks would like them to be. Even confident technology users are cautious when it comes to the dollar and moving it “virtually”, rather than seeing an on-paper transaction. A standard platform needs to be present for the website to be easy to navigate. Such integration however does not come without expenses. It is clear that the cost of setting up an incredible but successful Internet banking system is wonderful, but banks need to see the bigger picture. They need to regard this expenditure as a positive strategy that is directed at strengthening their customer relationships rather than cutting costs.
It is clear that although there is much publicity, Internet banking has not latched on to consumers as fast as expected. As a typical consumer product, it must possess the qualities of ease of use backed by excellent customer support.
