Internet Banking in India Consumer Concerns and Bank Marketing Strategies
Author Affiliations
- 1AAII College, Barabanki, INDIA
Res. J. Management Sci., Volume 1, Issue (3), Pages 20-24, October,6 (2012)
Abstract
Internet banking has attracted the attention of banks, securities trading firms, brokerage houses, insurance companies, regulators and lawmakers in developing nations since the late 1990s. With the rapid and significant growth in electronic commerce, it is obvious that electronic (internet) banking and payments are likely to advance. Researches show that impact of internet banking on cost savings, revenue growth and increased customer satisfaction on Industry is tremendous and can be a potential tool for building a sound strategy. However, it has raised many public policy issues before the banking regulators and government agencies. Interestingly, reliable and systematic information on the scope of internet banking in Indian context is still not sufficient, particularly what it means to the consumers and the bankers. The paper fills significant gaps in knowledge about the consumer’s perspective of Internet banking, trace its present growth and project the likely scenario. The paper presents the data, drawn from a survey of Internet banking consumers and the services providers (banks) that offer internet banking and develops a functional model for maximizing value to the consumers, which the banks may choose to adopt Internet banking strategically. The paper identifies the weaknesses of conventional banking and explores the consumer awareness, use patterns, satisfaction and preferences for internet banking vis-ŕ-visconventional form of banking and also highlights the factors that may affect the bank’s strategy to adopt Internet banking. It also addresses the regulatory and supervisory concerns of internet banking.
References
- Awamleh, R. and Fernandes C., Internet Banking: An Empirical investigation into the Extent of Adoption by Banks and the Determinants of Customer Satisfaction in the United Arab Emirates, Journal of Internet Banking and Commerce, 10(1) (2012)
- Chiemeke S.C., The Adoption of Internet Banking in Nigeria: An Empirical Investigation, Journal of Internet Banking and Commerce,11(3)(2011)
- Devi Suma, Electronic Banking-Entry in the Indian Banking Scenario, Banking in the New Millennium, Kanishka Publishers, Distributors, 39 (2009)
- Duetsche Bank AG Research Retail banking via internet-Banking online boosts and curbs customer loyalty (2011)
- Gupta, Ankur, Data Protection in Consumer E-banking” Journal of Internet Banking and Commerce, 11(1) (2003)
- Hawke John D., Internet Banking: Challenges for banks and Regulators” Banking in the New Millennium, Institute of Chartered Financial Analysts of India, 16 (2001)
- Kennor and Taylor, Marketing Research, Wiley Eastern Ltd., 440-442 (1997)
- Pires G.D. and Aisbett J., The Relationship between Technology Adoption in Business-to- Business Markets: The Case of E-Commerce, Industrial Marketing Management,32(4) 291-300 (2002)
- Rajgopalan S.P., Banking in the New Millennium, Kanishka Publishers, Distributors, 1-6 Rao, Rohit (2001)
- Rose Peter S., Commercial Bank Management, IRWIN, 669 (1998)
- Sakkthivel A.M., Impact Of Demographics On The Consumption Of Different Services Online In India, Journal of Internet Banking and Commerce,11(3)(2006)
- Saunders, Financial institutions Management - A Modern Perspective, IRWIN, 274 (1997)
- Scott William L., Markets and Institutions-A contemporary introduction to Financial Services, South-Western College Publishing, 308 (1999)
- Sharma B.R., Bank Frauds-Prevention and Detection, Universal law Publishing, 167-182 (2001)
- Sinkney J.F., Commercial Bank Financial Management, Prentice Hall, 824 (1998)
- Will the Banks Control Online Banking, Treasury Management, ICFAI Press, Delhi, Internet Banking in the U.S.: landscape, prospects, industry implications, Journal of Financial Transformation(2001)