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Customer acceptance of internet banking in Estonia

Customer acceptance of internet banking in Estonia Purpose – The purpose of this paper is to study technology acceptance of internet banking in Estonia, an emerging east European economy. Design/methodology/approach – The present paper modifies the technology acceptance model and applies it to bank customers in Estonia, because Estonia, a country with a developing economy, has focused on internet banking as an important distribution channel. Findings – The findings suggest that internet bank use increases insofar as customers perceive it as useful. The perceived usefulness is central because it determines whether the perceived ease of internet bank use will lead to increased use of the internet bank. Put differently, a well‐designed and easy to use internet bank may not be used if it is not perceived as useful. We thus conclude that the perceived usefulness of internet banking is, for banks, a key construct for promoting customer use. We also suggest that models of technology acceptance should be re‐formulated to focus more on the key role of the perceived usefulness of the service embedded in the technology. Research limitations/implications – Implications for banks are that they need to put much effort not only into making a user‐friendly internet bank, but also into explaining to their customers how the internet bank is useful to them. Originality/value – Contributes to the literature on internet banking in an East European economy. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png International Journal of Bank Marketing Emerald Publishing

Customer acceptance of internet banking in Estonia

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References (73)

Publisher
Emerald Publishing
Copyright
Copyright © 2005 Emerald Group Publishing Limited. All rights reserved.
ISSN
0265-2323
DOI
10.1108/02652320510584412
Publisher site
See Article on Publisher Site

Abstract

Purpose – The purpose of this paper is to study technology acceptance of internet banking in Estonia, an emerging east European economy. Design/methodology/approach – The present paper modifies the technology acceptance model and applies it to bank customers in Estonia, because Estonia, a country with a developing economy, has focused on internet banking as an important distribution channel. Findings – The findings suggest that internet bank use increases insofar as customers perceive it as useful. The perceived usefulness is central because it determines whether the perceived ease of internet bank use will lead to increased use of the internet bank. Put differently, a well‐designed and easy to use internet bank may not be used if it is not perceived as useful. We thus conclude that the perceived usefulness of internet banking is, for banks, a key construct for promoting customer use. We also suggest that models of technology acceptance should be re‐formulated to focus more on the key role of the perceived usefulness of the service embedded in the technology. Research limitations/implications – Implications for banks are that they need to put much effort not only into making a user‐friendly internet bank, but also into explaining to their customers how the internet bank is useful to them. Originality/value – Contributes to the literature on internet banking in an East European economy.

Journal

International Journal of Bank MarketingEmerald Publishing

Published: Mar 1, 2005

Keywords: Internet; Financial services; Banks; Estonia; Relationship marketing

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