Abstract
The evolution of the Internet has changed the way in which business is being conducted, particularly in the banking industry. Electronic banking (e-banking) is an important method of delivering banking services to clients and banks can gain a competitive advantage from the implementation of e-banking. Prior research has indicated that South African banks in particular, pay more attention to and allocate more resources to the acquisition of new clients instead of focusing on retaining clients. It is important to identify how certain ebanking aspects can assist banks in retaining their clients, as the literature investigation has revealed the many benefits that can accrue to banks for retaining clients. Therefore, this paper discusses how e-banking can be used as a mechanism for improving client trust in e-banking facilities and ultimately increasing client
retention in the banking industry. A total of 220 individuals with banks accounts from the Nelson Mandela Bay area were approached to be respondents in an empirical investigation. 186 usable questionnaires were subjected to various statistical analyses, such as exploratory factor analyses and multiple regression
analyses to examine the relationships between e-banking aspects, client trust and client retention. The empirical findings revealed that the e-banking aspects with the most significant influence on client trust and ultimately client retention is Convenience and Fees. Finally, the paper presents recommendations regarding
e-banking and client retention to bank managers.
retention in the banking industry. A total of 220 individuals with banks accounts from the Nelson Mandela Bay area were approached to be respondents in an empirical investigation. 186 usable questionnaires were subjected to various statistical analyses, such as exploratory factor analyses and multiple regression
analyses to examine the relationships between e-banking aspects, client trust and client retention. The empirical findings revealed that the e-banking aspects with the most significant influence on client trust and ultimately client retention is Convenience and Fees. Finally, the paper presents recommendations regarding
e-banking and client retention to bank managers.
Original language | English |
---|---|
Title of host publication | Contemporary Management in Theory and Practice |
Subtitle of host publication | Proceedings of the 26th Annual SAIMS Conference |
Editors | GA Goldman, CF de Meyer, C Kruger |
Place of Publication | South Africa |
Publisher | The Southern African Institute of Management Scientists (SAIMS) |
Pages | 350-364 |
Number of pages | 15 |
ISBN (Print) | 9780869707845 |
Publication status | Published - 2014 |
Externally published | Yes |
Event | 26th Annual SAIMS Conference - Riverside Resort, Vanberbijlpark, South Africa Duration: 14 Sep 2014 → 17 Sep 2014 |
Conference
Conference | 26th Annual SAIMS Conference |
---|---|
Country/Territory | South Africa |
City | Vanberbijlpark |
Period | 14/09/14 → 17/09/14 |