Effects of Demographic Factors on Adoption of E-Banking.

Abstract

The application of internet technologies to businesses for improvements in their performances is not something new. All organizations are adopting to changing world and so that they are concerning about technological advancements that improving every day. Banks are from service sector and they also considering the internet features in to their organizations. Banks have been adopted one of the e-commerce tools known as electronic banking in order to satisfy the several stakeholders. As per Pikkarainen et al (2004) e-banking is  "internet portal, through which customers can use different kinds of banking services ranging from bill payment to making investments". As the growing features of e-banking can carry many benefits to banks and customers. Thus, this study mainly focuses on the adoption of electronic banking among customers in Batticaloa District and the impact of demographics factors on such adoption behavior. For this study, data were obtained from the sample 200 customers, and convenience sampling was used. Primary data collected using structured questionnaires. Likert’s Five Points Rating Scale was used to require respondents to order their answers and SPSS (19.0) package used to analyze the findings. According to the research findings there is high level of adoption of e-banking exists in the in Manmunai North Divisional Secretariat banks. Further study concludes, there is no significant difference in adoption of e-banking with demographic factors such as gender, age, occupation and years of transactions. The banks in Sri Lanka are working in high competition with other banks. Therefore, this study allows banks’ decision makers to develop strategies that can increase the adoption of online banking.