M.Com. (Business Management) / The current competitive climate within the South African banking industry has put pressure on banks to either find new revenue streams mainly through innovation, or to achieve existing cost efficiencies. South African banks have increasingly looked to advancements in new technology, innovation and service distribution channels as a solution for attaining sustainable competitive advantage. The primary objective of this study was to investigate and assess the independent variables (perceived usefulness, perceived ease of use, perceived cost, perceived privacy/ security and knowledgeability/ awareness) that influence the adoption of electronic banking channels in order to inform banks’ channel migration strategy decisions. The study attempts to close the gap in electronic banking adoption theory that exists within a South African context. The significance of the study is that due to a majority of electronic banking adoption research and models being conducted internationally, an attempt is made to investigate and apply these models within a South African context. Based on a survey conducted among 211 respondents, the above mentioned independent and dependent variables under study were examined. The analyses revealed significant demographic and behavioural findings between the independent variables that influence consumer adoption of electronic banking channels. The perceived privacy/security variable was found to be responsible for the highest frequency of branch visits by clients mainly due to the perception that electronic banking channels are not safe to use. The independent variable, perceived usefulness, was found to have the strongest positive correlation with the adoption of electronic banking channels. These results imply that in addition to the importance of addressing privacy and security concerns associated with electronic banking, banks need to focus on improving consumer usefulness and value perceptions in their electronic banking offerings.

A fundamental idea of this study was that the formal financial institutions have an essential role to play in the process of assisting financial inclusion of South Africa's low income and under-banked consumers. Financial inclusion is important for consumers to have access to affordable basic financial products and services. An increase in the number of financially included consumers is important for growth of home ownership, positive savings habits among low income consumers and mitigating risks with insurance products. Consumers have access to financial products and services but are not equipped with the basic knowledge to fully benefit from the use of these financial products and services. As a result, the construct of financial inclusion and the measures being taken by South African financial institutions to optimise financial inclusion was investigated in this study. There is a broad consensus that under-banked consumers face a myriad of factors that may prevent them from having effective access and usage of banking products and services. The effective usage of banking products and services not only promotes an inclusive society but also consumers' ability to take full advantage of the benefits of having access to suitable financial products and services. The influence of these factors on the usage of banking products and services by low income and under-banked consumers was under investigation in this research study. The influence of these factors on the usage of banking products and services by low income and under-banked consumers was under investigation in this research study. To achieve this, the researcher identified a number of factors that have a relationship with usage. These include Financial Awareness, Trust, Fees, Simplicity and Appropriateness of banking products and services. Consumers' usage of banking products and services were tested using primary data collected from low income and under-banked consumers in the NMB. This study only focused on five influencing factors. The investigation of other possible factors contributing to the usage of banking products and services is necessary. Making use of a larger sample and an improved model with other pertinent influencing factors might bring to light the significant factors involved in the decisions made by consumers in the usage of banking products and services. The significant factors presented in this study reveals that of the five proposed relationships, only two were found to be significant (Financial Awareness and Appropriateness). The findings of the study show that the usage of banking products and services can be increased through increased Financial Awareness about various available banking products and services, changing the unrealised need of the consumers into a realised need for banking and providing affordable products and services for various sections of the population. Appropriateness also reported a positive significant influence on Usage. This means that consumers are likely to access their bank account at different locations. With banking institutions offering products and services that meet their needs, consumers can achieve their financial goals and improve lifestyles by doing all transactions via the bank account and having more control over their personal financial affairs. Recommendations where suggested based on the empirical results to help improve the banking institutions ways of attracting and retaining consumers to effectively use their products and services. It was recommended that banking institutions should tailor their marketing campaigns towards low income and under-banked consumers in order to improve the level of financial awareness of consumers about banking products and services they consume. Seek to improve their communications strategies by adopting techniques that effectively transmits their ideas between the banking institutions and low income and under-banked consumers. And also focus should be on the creation of innovative design systems to ensure that banking products and services will effectively address the needs of low income and under-banked consumers.

Submitted in fulfilment of the requirements of the Degree of Master of Technology: Marketing, Durban University of Technology, 2012. / Online banking in the financial sector has revolutionised the banking industry. This study aims to determine the perception of electronic banking, from the consumer`s perspective among Congolese consumers using South African banks in the Greater Durban area. Banks are competing on the basis of technology and service offering to win a sizeable share of the online market. Congolese consumer is a good target market, however, very little is known about the factors influencing Congolese consumer behaviour in the online banking sector in Durban. An understanding of the demographic profile, factors prompting the use of electronic banking and motivators influence the adoption of electronic banking. Analyses of Congolese customers adopting electronic banking will facilitate the formulation of marketing strategies to foreign nationals in South Africa. The empirical section of the study involved data collection through the use of self-completion questionnaires administrated by the researcher. A survey was conducted in the greater Durban area using convenience sampling methodology and 288 completed questionnaires were collected by the researcher. The key findings revealed that the demographic profile (gender, area of residence, marital status, and income categories) influences the adoption of electronic banking as a segmentation basis. It was interesting to note that most of respondents were married and reside in Central Durban and South Durban. Furthermore, psychological factors (motivators, attitudes, perceptions and perceived risk) were found to influence the adoption of electronic banking to a large extend. Interestingly, cultural factors (social class, age and education level)play a significant role in the adoption of electronic banking by Congolese customers of South African banks. The findings also revealed that the driving force for the adoption of electronic banking was that respondents have a job which requires them to have a bank account. Most of the banks in South Africa offer free internet banking to their clients. Since convenience sampling method was used, the findings of this study may not be generalised. Based on the findings of this study it is apparent that the customer analysis of banking clients should be examined on a regular basis. A customised strategy for foreign national customers residing in South Africa should be developed on a regular basis.

M.Comm. (Information Technology Management) / The advancement of technology in mobile devices, places South African banking institutions in unique positions to leverage these advancements into innovative, value-added services. Mobile banking is one such innovation that has afforded banking clients the ability to - amongst other services - view bank statements, pay bills, and transfer money. Despite a growing trend towards mobile banking service offerings by South African banks, privacy and security issues are still considered a concern. This dissertation conceptualises the influence of demographic factors on perceptions of mobile banking. Privacy Calculus Model (PCM) has been used as a theoretical lens to explain the cognitive process involved when a potential mobile banking subscriber is presented with mobile banking technology solutions. PCM is extended by abstracting the risk/benefit trade-off psyche held by SA bank clients, and there is an attempt to explain, using PCM, the bank clients’ cognitive process and willingness to subscribe to mobile banking services. A quantitative research method has been used for this purpose. Purposeful sampling that targeted South African bank account holders was applied. Empirical results show that potential South African mobile banking subscribers are not homogenously influenced in the same manner. Instead - for example - people in different age groups are subject to different influences than a grouping defined by highest education level. Thus, in order for South Africa’s four big banks to attract and retain mobile banking subscribers, they should realise that different groups of people are influenced by subscription to mobile banking in different ways.

This thesis investigates young bank customer (YBC) perceptions of loyalty in the context of mobile bank applications (MBAs), including loyalty antecedents and the consequences of loyalty. A first study investigates the relationships between cognitive, affective, and conative antecedents, on one hand, and loyalty, on the other. A second study investigates the relationships between usability, responsiveness and reliability, and customer satisfaction, on one hand, and loyalty, on the other. The thesis employs a theoretical framework describing customer loyalty in the MBA context. An electronic questionnaire was sent to 500 YBCs in the Mid Sweden region (146 completed questionnaires were received), and confirmatory factor analysis and structural equation modelling were employed to test and develop a measurement model from the responses. Synthesizing the results of the studies performed suggests a model of MBA loyalty from the YBC perspective. The model indicates that cognitive and usability antecedents are significantly related to customer satisfaction, which in turn is significantly related to attitudinal and behavioural loyalty. Despite some limitations, the thesis has novel implications for theory and practice regarding YBC perceptions of MBAs. / <p>Vid tidpunkten för framläggningen av avhandlingen var följande delarbeten opublicerade: delarbete 1 (accepterat), delarbete 2 (accepterat).</p><p>At the time of the defence the following papers were unpublished: paper 1 (accepted), paper 2 (accepted).</p>

The banking industry is constantly changing, resulting in more flexible payment methods and user-friendly services. Today's digital society attracts young people where new attitudes and behaviours are attributed. Thus, mobile banking applications are considered to be a technological development and streamlining of the bank. With this development, operational risks such as security risks may also arise. Trust is therefore of great importance for the relationship between bank customers and the bank in order to maintain customer satisfaction and customer loyalty. Previous research shows that young bank customers' confidence in mobile banking applications is influenced and connected by a number of factors. The purpose of the study is to describe and analyse the relationship between young bank customers' trust in mobile banking applications and perceived security risks. A quantitative research method is applied for this study. The method has been based on a deductive and positivistic approach based on theoretical frameworks that tests the study's six hypotheses. The empirical data that the study has applied was collected through a survey that was answered by 183 respondents. It was processed by using a univariate and bivariate analysis as well as a multiple regression analysis. The study's theoretical frame of reference introduces a number of theories with the purpose of investigating the study's background and problem discussion. An independent variable and five control variables have been developed as influential factors for young bank customers' trust in mobile banking applications. The independent variable is perception of security risks. The five control variables consist of gender, age, level of education, position and savings, all of which are related to the dependent variable trust. The results showed that there is no statistically significant relationship between young bank customers' trust in mobile banking applications in relation to gender, level of education and position. However, it was also discovered that there is a statistically significant connection between young bank customers' trust in mobile banking applications with respect to perception of security risks, age and savings. Beyond that it was also established that the older the bank customer is, the lower the customer's trust is in the mobile banking applications. / Bankbranschen förändras ständigt där allt fler flexibla betalningsmetoder och användarvänliga tjänster uppkommer. Dagens digitaliserade samhälle lockar till sig unga människor där nya attityder och beteenden attribueras. Således anses mobila bankapplikationer vara en teknologisk utveckling och effektivisering av banken. Med denna utveckling kan även operativa risker såsom säkerhetsrisker tillkomma. Förtroendet är följaktligen av stor betydelse för förhållandet mellan bankkunder och banken för att bevara kundnöjdheten och kundlojaliteten. Tidigare forskning visar att unga bankkunders förtroende för mobila bankapplikationer influeras av och uppvisar samband mellan ett flertal faktorer. Syftet med studien är att beskriva och analysera sambandet mellan unga bankkunders förtroende för mobila bankapplikationer och upplevda säkerhetsrisker. Studien tillämpar en kvantitativ forskningsmetod. Metoden baseras på en deduktiv och positivistisk ansats med utgångspunkt i teoretiska ramverk som prövar studiens sex hypoteser. Den empiriska datan har samlats in genom en enkätundersökning, som vidare besvarades av 183 respondenter. Därefter bearbetades data med hjälp av en univariat och bivariat analys samt en multipel regressionsanalys. Studiens teoretiska referensram introducerar ett flertal teorier med ändamål att utreda studiens bakgrund och problemdiskussion. En oberoende variabel och fem kontrollvariabler har framtagits som inflytelserika faktorer för unga bankkunders förtroende för mobila bankapplikationer. Den oberoende variabeln består av perception av säkerhetsrisker och de fem kontrollvariablerna utgörs av kön, ålder, utbildningsnivå, befattning och sparande, vilka alla står i relation till den beroende variabeln förtroende. Resultatet påvisar att det inte finns ett statistiskt säkerställt samband mellan unga bankkunders förtroende för mobila bankapplikationer i relation till kön, utbildningsnivå och befattning. Däremot tyder resultatet på ett statistiskt säkerställt samband mellan unga bankkunders förtroende för mobila bankapplikationer i förhållande till perception av säkerhetsrisker, ålder och sparande. Studiens resultat fastslog även att ju äldre den unga bankkunden är desto lägre förtroende erhåller kunden för de mobila bankapplikationerna.