Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
7
Mobile Banking Services and
Customer Satisfaction with
Reference to ICICI Bank -
A Study
H.Manjula Bai
Faculty Member, Department of Post Graduate Studies and Research in Commerce
Kuvempu University, Shankaragatta, Karnataka, India
Abstract
This paper is designed to study the extent of the recent developments in themobile banking system in
India., to know the optimistic and pessimistic inuence of mobile banking on the customers of ICICI
bank. For the purpose of study, the researcher has selected 50 respondents who have familiar with
the modern technology of mobile banking. It particularly focused on the problems or the benets
availed from the mobile banking provided by ICICI bank. All levels of customers were surveyed
by using questionnaire and the level of satisfaction or dissatisfaction from the mobile banking was
studied. Finally the detail information about the benets they had received were also considered.
A small attempt have been made to understand the benets of the mobile banking and also the
limitation of mobile banking was studied with reference to ICICI Bank. Finally, it makes an attempt
to offer suggestions to the bank to educate much more about mobile banking to its customer.
Keywords: E-banking, EFT, ATMs, Mobile banking, Internet banking, Electronic Clearing
Services [ECS], Credit Cards
Introduction
The Banking sector is the lifeline of any modern economy. It is one of the
important nancial pillars of the nancial sector, which plays a vital role on the
functioning of an economy. It is very important for economic development of a
country that its nance requirements of trade, industry and agriculture are met
with higher degree of commitment and responsibility. Thus, the development
of a country is integrally linked with the development of banking.
A bank is a nancial intermediary and money creator that create money by
lending money to a borrower, thereby creating a corresponding deposit on the
bank’s balance sheet. Lending activities can be performed directly by loaning
or indirectly through capital markets.
Banks felt the need to upgrade their customer service to much higher plan
in order to survive in this competitive environment. They found technology
as an ideal tool to achieving this objective. Public sector banks were guided
by the recommendations of the committee for the up-gradation of banking
technology. Though the pace of the computerization has been moderate, the
manner in which public sector banks went in for investments in technology was
enough proof of the belief the banks have on technology to secure their future.
Till 1980, banks had only one delivery channel which is the branch presence.
OPEN ACCESS
Volume: 7
Issue: 2
Month: April
Year: 2019
ISSN: 2320-4168
Received: 11.03.2019
Accepted: 30.03.2019
Published: 01.04.2019
Citation:
Manjula Bai, H. “Mobile
Banking Services and
Customer Satisfaction
with Reference to
ICICI Bank - A Study.”
Shanlax International
Journal of Commerce,
vol. 7, no. 2, 2019,
pp. 7–18.
DOI:
https://doi.org/10.34293/
commerce.v7i2.345
This work is licensed
under a Creative
Commons Attribution-
NonCommercial-
NoDerivatives 4.0
International License
Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
8
Suddenly, technology has opened up options
for various delivery channels. Technology-aided
products like ATMs, point of sale devices, anywhere
banking, smart cards and internetbanking, has given
the customers to choose his channel of getting
catered to his requirements consequently, and the
bank should also have channel- based strategy to
serve the customers. Over the years, technology has
brought a sea change in the functioning of the banks.
In modern days banks provide a variety of
products and services to the customers. Apart from
regular banking activities, they provide telebanking
and e-banking and mobile banking services, offer
insurance products, mutual fund schemes and etc.
The various services offered by the banks can be
united by the customers only when they are made
aware of these services. Mobile phones have becomes
an integral part of the 21st_century landscape with
an expected penetration of 4.5 billion by 2011.
Indeveloping countries, the role of the mobile phone
is more extensive than in developed countries as it
helps bridge the digital divide.
The mobile phone is the one device that people
already carry at all time and service beyond voice and
text messaging are booming all over the globe. The
main reason that mobile banking scores over internet
banking is that it enables ‘Anywhere Banking’
customer now don’t need access to a computer
terminal to access their banks. They can now do so
on the go when they are waiting for their bus to work,
when they are travelling or when they are waiting for
their orders to come through in a restaurant.
Mobile banking are supported by these services
a) Account balance inquiry
b) Cheque status inquiry
c) Account statement inquiry
d) Fund transfer between Accounts
e) Cheque book requests
f) Credit/debit alerts
g) Minimum balance alerts
h) Bill payment alerts
i) Recent transaction literacy
j) Bill payment
The rapid growth in users and wider coverage
of mobile phone networks have made this medium
a platform for extending banking services to
customers.
Technology has revolutionized all the aspects of
our life and even the banking sector is no execution
from computerization to networking, to internet
banking and now mobile banking, the banks have
advanced with time and are providing more and more
new form of services which are not only convenient
to customer but also provide competitive edge to
the banks. With mobile technology banks can offer
a wide range of services to their customer such
as doing fund transfers purchasing stocks access
to account information etc. This is called mobile
banking or M-banking.
The banker and customer have to know about one
another. The banker has to understand the customer’s
needs and in the same way the customer has to know
about the various services offered by the banks and
it increased level of awareness among the customers.
So in the light of the above, this studyattempted to
know about the pros and cons of mobile banking
services.
Review of Literature
Krassie Petrova, made a study on “Mobile
Banking background, services and adoption,
he stated that, a new communication technology is
redening the convergence of telecommunication
and computing. Mobile banking has emerged as
a possible powerful provider of bundled banking
services. New platforms and protocols are being
developed able to create and support a seamless and
truly global service platform. The mass adoption
of mobile banking will depend on the provision
of secure, reliable and easy to customize user
interfaces. Paper examines some relevant standards
and protocols for mobile banking and discusses
mobile banking services and their adoption within a
conceptual framework.
Rahamathsana, Hema Date, Abdullah
Kammani, and ‘Niserhundewale’, they made
a study on, Technology adoption and Indian
consumers: study on mobile banking, they stated
that, information technology is consider as the key
driver for the changes taking place around the world.
Mobile banking is the latest and most innovative
services afford by the banks. The transformation
from the traditional banking to E-banking has
been a ‘leap’ change. The evolution of E-banking
Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
9
started from the use of Automatic Teller Machine
(ATM) and telephone banking (Tele banking),
direct bill payment, electronic fund transfer, and the
revolutionary online banking. This study determines
the consumer perspective on mobile banking
adoption.
D. Vanisree, made a study on Mobile Banking
in India: Barriers in adoption and service
preferences, she stated that Mobile banking yet
there are numbers of issues and threats in Mobile
banking system and the major problem of mobile
banking customer inuence of demographic variable
on mobile banking services adoption. A cross-
section descriptive design was adopted and data
collected was subject to product moment correlation.
She also stated that the customer’s security concern
is the major barrier in adopting mobile banking
services. As for as preferred services are concern
balance check tops, as customer prefer information
based services rather than nancial services provided
by the bank.
Jonathan Donner made a study on Mobile
Banking and Economic Development: linking
adoption, impact, and use, he stated that, various
initiatives use the mobile phone to provide nancial
services to those without accesses traditional banks.
Yet relatively little scholarly research explores
the use of these m-banking/m payments systems.
Presenting illustrative data from explanatory work
with small enterprises in urban India, it argues that
contextual research is a critical input to effective
“adoption” or “impact” research. She also stated
that the challenges of linking studies of use to
those of adoption and impact reect established
and communication technologies and development
research community.
Jadav Anil (2004), made a study on Status of
E-banking in India, described various channels
of e-banking services such as ATM, Telephone
Banking, Mobile Banking, internet banking and
its features. The focus is also given on e-banking
opportunities, challenges and security aspects while
performing the banking transaction on the internet.
Comparison of public, foreign and co-operative
banks and barriers to the growth of e-banking in
India are also discussed. Finally the paper discusses
an overview of the major private sector banks such
as ICICI, HDFC, IDBI and UTI banks provides
e-banking services.
Ranjuchaandran, made a study on “Pros and
cons of Mobile Banking”. Mobile Banking refers to
provision of banking and nancial services with the
help of mobile telecommunication devices. After the
launch of Mobile Banking in India, mobile banking
transactions have seen some growth. Majority of
customers prefer banking in traditional ways. The
basic objective is to identify the advantages and
limitations of mobile banking and the problems
faced by customers in mobile banking.
He also stated that, Banking Apps can make bill
paying and bank account management incredibly
convenient. But the risk of identity theft is a major
downside. Fortunately, it’s easy to avoid most of
the pitfalls with commonsense solutions like strong
password protection and secure connections. By
keeping these security tips in mind, we can enjoy a
safer Mobile banking experience.
Devadevan, made a study on “Mobile banking
in India-Issues and challenges” he stated that,
Technology plays an important role in banking.
Mobile banking is an emerging alternate channel
for banking institution. The rapid technology
development in mobile technology like 2G, 3G, and
4G has become matrix challenges for banks. It is
visible that the bank which started mobile banking in
the form of SMS banking, then adopted application
(software) based model for tradition mobile handsets,
the evaluation of smart phones, mobile operating
system and Mobile Apps posed the banks to adopt
the current technology. The customers are mostly
using ATM and online banking services. Most of the
customers feel comfortable without mobile banking.
They also feel, there are chances of misuse in mobile
banking due to mobile handset theft.
Nitin Nayak, Vikas Nath, Nancy Goel, they
made a study on “A study of Adoption behavior
of mobile banking services by Indian consumers”.
They are stated that, recent innovations in the
telecommunication have proven to be a boon for the
e-banking sector and its customers: one of these is
Mobile Banking, where customers interact with the
bank via mobile phones. This review shows that
to fulll the expectations of the consumers and to
increase the mobile banking users, mobile banking
Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
10
service provider needs to increase the awareness
about the mobile banking services.
Sunil, kumar Mishra and Durga Prasad sahoo,
they made a study on “Mobile Banking adoption on
and Benet towards customer’s service.” They are
stated that, In order to achieve the goals of business,
various channel of communications to customers
have to be developed through technology.
Mobile banking is considered a new era in banking,
in which banks are spending considerable amount of
money to have it available to their customers and to
cut their operations costs. Unfortunately, evidence
have shown that some number of customers do not
use mobile banking for various reasons, despite its
benets.
Statement of Problem
The position of banking industry is not excellent
in India. In 2011, 65% of India’s population
did not have access to a bank account. The lots
of Indian population till date do not have their
personal bank accounts. RBI also requested to the
members of the country, each person has minimum
one saving account in any bank of India. But still
there is lack of awareness in the people. So mobile
banking is a good option for the banking industry to
increase their customers. With the help of mobile
telecommunication technology customers make
numerous transactions in the bank at any time.
There are many researchers which show that India is
moving fast towards mobile users as well as mobile
internet users which is also bigger strength to the
banking industry to promote Mobile Banking. But
this Mobile Banking system has certain drawbacks.,
such as lack of awareness, transaction cost, security
issue, difculty to understand, sometimes the
information available is not accurate. Because of
this, many customers are not using it. So a detail
information about the benets they receive are
considered and a small attempt has been made to
understand the benets of the mobile banking and
also the limitation of mobile banking with reference
to ICICI Bank. Finally, it makes an attempt to offer
suggestions to the bank to educate much more about
mobile banking to its customer.
Objectives of the Study
1. To know about the role of Mobile Banking in
Modern days.
2. To study about the Mobile Banking services and
other modern services provided by the ICICI
Bank.
3. To study about the factors that inuenced the
customers to use mobile banking.
4. To study the benets and limitations of Mobile
Banking.
5. To see the future prospects of mobile banking in
India.
6. To nd out the facilities that are provided by
Mobile Banking services.
7. To study the Mobile banking services used by
worldwide.
8. To offer some suitable suggestions for the
improvement of Mobile Banking.
Scope of the Study
It covers the mobile banking silent feature, its
impact on customer’s progress. The scope of the
study is restricted to Branches of ICICI in Shimoga
only .The study is conrmed to the period 2018-2019
Research Methodology
For the purpose of study data is collected in two
ways one is primary and other is secondary.
Primary Data
Primary data is collected by distributing
questioners to the respondents and by conducting
personnel interview. The questioners were
distributed to the students and graduates,but personal
interview was conducted for some who did not ll
the questionnaire.
Secondary Data
Secondary data is collected from various articles,
newspapers, magazines, and websites.
Sample Size
A total number of 50 respondents are selected for
the purpose of collecting information on the study
and convenience sampling method has been selected.
Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
11
Tools of Analysis
The collected data has been analyzed with the
help of percentage and interpreted through various
gures.
Limitations of the Study
The present study is not free from limitations.
Same of the important limitations of this study are
pointed out as follows.
1) Lack of proper co-ordination from the
respondents.
2) Lack of proper communication with the
respondents.
3) Lack of time.
4) Biased response from the respondents.
Many of the respondents felt that the information
they gave, would be circulated and did not feel easy.
But the researcher after convincing them, was able to
get the information.
Concept of Mobile Banking
Mobile banking is an electronic system that
provides most of the basic services through the smart
phone. Mobile banking comes in as a pan of the
banks initiative to offer multiple channels banking
providing convenience for its customer. Mobile
phones are playing great role in Indian banking –
both directly and indirectly. There are being used
both as banking and other channels.
Meaning of Mobile Banking
The term mobile banking refers to the use of
mobile as a channel of offering and delivering
banking services which includes traditional services
such as funds transfer as well as new services such
online and electronic payments. In fact, Mobile
banking is dened as doing bank transactions via
mobile phone. Mobile banking services in India will
continue to grow so that economic experts forecast
that by 2013. Three hundred billion transactions
worth more than 860 billion dollars will be done
through mobile banking.
Characteristics of Mobile Banking
Mobile banking has become increasingly popular
over the years. Banks offer mobile banking services
to their clients as a convenience. Here are some
features to consider with mobile banking.
Saving Money
Many banks use the savings generated from
online transactions to offer clients better interest
rates, or other rewards, for maintaining online
accounts.
Saving the Environment
Mobile banking reduces the number of paper
transactions. Reduced paper use helps preserve
natural resources and is better for the environment.
Convenience
Mobile banking is certainly more convenient
when compared to calling a bank or physically
visiting it. Financial transactions can be performed
at any time; day or night and during holidays.
Simplicity
Clients can set up instant bill payment and
automate other tasks via mobile banking. This
simplies bill payment and frees the client from
spending time on writing checks and mailing
envelops.
Security
Mobile banking can be plagued with security
concerns. Though bit is rare, hackers have been
known to gain access to client accounts, banks
have become increasingly vigilant about securing
additional passwords or answers to security
questions.
Account Notification
Most banks will email notications to their
clients when a bill is due or when an account
statement is available. This helps the client remember
bill payment and other such items before they are
overdue.
Growth of Mobile Banking in India
The business drivers contributed to the growth of
mobile banking over various modes of operation.
SMS Alerts
One of the key concerns banks were facing was
that of customers did several inquiry transactions
on ATMs and this was adding to the burden on the
Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
12
ATM infrastructure. This trafc was particularly
heavy during salary days. Banks adopted a solution
of proactively. Communicating account balances
and important transactional activity on accounts
to customers through a simple SMS. Customers
stopped queuing up in front of ATMs for inquiry
transactions.
Account Inquiries
The SMS technology proved simple enough for
banks to adopt this as a self-service channel. This
model of option involved customers sending an SMS
to a published number of the bank with keyword and
identication information. The customer experience
for SMS based inquires was not very good and this
led to the introduction of real time communication
channels such as WAP and USSD
Fund Transfer and Bill Payment
As customers experience from mobile banking
improved. Banks began to realize the potential of
offering nancial transactions through the mobile
device. The rst set of transactions to be offered were
fund transfer between the customers own accounts
and payments to pre-designated billers such as utility
companies. These facilities vastly reduced the use of
cheques, hence contributing to the cost benet for
banks.
Payment Services
The mobile phone was unique in that it was
a personal device which had computation power,
storage ability and occupied a greater mind-share of
the customer than the traditional money wallet. This
triggered new thoughts among bankers who wanted
to leverage these capabilities to offer newer set of
transactions on the mobile phone. This came in the
form of enabling payment transactions through the
mobile phone.
Loan Requests and Service Requests
As mobile phones evolve into smart phones and
the usability is improving, banks are nding it easier
to offer more complex services on the mobile phone.
The latest trends include offering loans through
requests placed from the mobile phone were pre-
registered customers can provide details about the
loans and avail instant approval of loans. Mobile
banking progressed to offer enhanced customer
experience and adopt the latest technology trends in
communication to offer real time exchange of data.
Mobile Banking Services
Mobile banking services means providing all
banking services or facilities to users through mobile
device by bankers. Mobile banking services includes
making various payments, paying bills, various
enquiries, checking various accounts, fund transfer,
enquiry on ATM, balances, SMS services etc. are
called mobile banking services.
Service Features
Mobile banking users can perform the following
banking operations
• Subscribe to the mobile banking services at their
nancial institution and cancel their subscription
at any time.
• Add or remove a bank account from a list of
available accounts managed through mobile
service
• Simulate transaction in order to try the system.
• Verify the balance of their bank account.
• View the most recent transactions on their bank
accounts
• Accounts managed through mobile banking
• Check the amount of credit available on their
credit cards.
• Obtain cash advances on their credit card
accounts
• Recharge their pre-paid mobile accounts
• Pay utility bills, such as electricity, or any other
bill that that can be registered with the nancial
institution.
• Pay other services through reference numbers
found on the bills.
• Add or remove a credit card account from the
list of available transfer funds between different
accounts.
• Transferfunds between different accounts
including to another customers account, or an
account in a different bank.
• Mobile wallet (stored value account)
One way to classify these services depending
on the originator of a service session is the “Push/
Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
13
Pull” nature. ‘Push’ is when the bank sends out
information based upon an agreed set of rules, for
example your banks sends out an alert when your
account balance goes below a threshold level. ‘Pull’
is when the customer explicitly requests service
information from the bank, so a request for your last
ve transactions statement is a Pull based offering.
The other way to categorize the mobile banking
services, by the nature of the service, give us two kind
of services- Transaction based and Enquiry Based.
So a request for your bank statement is an Enquiry
based service and a request for your fund’s transfer
to some other account is a transaction-based service.
Transaction based services are also differentiated
from enquiry based services in the sense that they
require additional security across the channel from
the mobile phone to the banks data services.
Problems of Customer of Mobile Banking
• Not sure about the safety of transactions
• Mobile security
• Network availability
• Heavy charges for transactions
• Email and web security
• Literacy of people in rural areas
• Not aware of new innovation
• Handset operate ability
• Inadequate guidance
• Identity theft
Advantages of Mobile Banking
Mobile banking through cell phone offers many
advantages for customers as well as banks. Some of
them are as follows.
To Customers
• Customers need not stand at the bank counter
or front ofce for various enquiries about their
account.
• Customers can save their valuable time and
traveling cost in reaching the bank for their
nancial transactions.
• It is a mobile service to have information, all
the 365 days, anytime, anywhere, about their
account.
• Customers can pay their utility bills on time and
save their selves from paying penalties, since
alerts are received from the bank.
• Cheese book request can be made sitting at their
work place.
• Customer can transfer money instantly to another
account in the same bank using mobile banking.
To Bankers
• Bankers can utilize the time saved by the channel
migration of customers to mobile banking for
expansion of business through better marketing
and sales activities.
• Mobile banking enables banks to reduce cost of
courier, communication, paper works etc.
• Bank can be in touch with their clients with
mobile banking.
• Banks can also promote and sell their products
and services like credit cards, loans etc. to a
specic group of customers.
• This new channel gives the bank ability to cross-
sell up-sell their other complex banking products
and services such as vehicle loans, credit cards
etc.
• Mobile banking through cell phone is very
advantageous to the banks as it serves as a guide
in order to help the banks improve their customer
care services.
• Mobile banking through cell phone is user
friendly. The interface is also very simple. It
just need to follow the instructions to make
the transaction. It also saves the record of any
transactions made.
• Banking through mobile reduces the risk of
fraud. Customer will get on SMS whenever
there is an activity in our account. This includes
deposits, cash withdrawals, funds transfer etc.
customer will get a notice as soon as any amount
is deducted or deposited in our account
Disadvantages of Mobile Banking
• Mobile banking users are risk of receiving fake
and scams
• The loss of a person’s mobile device often means
that criminal can gain access to the mobile
banking PIN and other sensitive information.
• Modern mobile devices like smartphones and
tablets are better suited for mobile banking than
old models of mobile phones and device
Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
14
• Regular users of mobile banking over time can
accumulate signicant charges from their banks.
• Most mobile banking apps need an internet
connection to be able to operate. So if you live
in a rural area or experience problems with your
internet connection, then you won’t be able to
access your account. the same applies if your
mobile phone runs out of battery
• Security
• Most people have not enough idea about mobile
banking yet
• Mobile banking is being used for fund transfer
mainly, customer does not keep deposit for long
duration.
• The data is transferring through a third party
cellular network, so there is a security thread.
• The most prominent issue faced is security of
the account information stored on the mobile
devices.
Analysis and Interpretation
S. No Particulars
No. of
respondents
(%)
Gender
1 Male 30 60
2 Female 20 40
Total 50 100
Age (years)
1 Below 25 25 50
2 26-40 17 34
3 41-55 08 16
4 Above 55 00 00
Total 50 100
Educational qualication
1 SSLC 05 10
2 PUC 06 12
3 Graduate 15 30
4 Post Graduate 24 48
Total 50 100
Occupation
1 Student 21 42
2 Businessman 06 12
3 Employee 19 38
4 others 04 08
Total 50 100
Monthly Income
1 Below 15000 18 36
2 15000-25000 17 34
3 25000-35000 12 24
4 Above 35000 03 06
Total 50 100
From the above data it is clear that majority of
the respondents who are using the services of mobile
banking are male of the age group below 25 and are
students and employees who are graduates and their
monthly income is below 15000.
Classification of respondents on the basis of factor
influenced about mobile banking service.
S.
No
Particulars
No. of
respondents
(%)
1 Quality of service 17 34
2 Technology use 11 22
3 Trust 19 38
4 Location 03 06
Total 50 100
Source: survey result
From the above table it is clear that, out of 50
respondents, 38% of respondents have preferred trust
based service, 34% of respondents have preferred
quality service and 22% of respondents have
preferred technology based service and remaining
6% of respondents have preferred location based
service. This shows that, majority of the respondents
have given importance to trust and quality service.
Classification of respondents on the basis of usage
of modern technology
S. No Particulars
No. of
respondents
(%)
1 Mobile Banking 20 40
2 Tele Banking 02 04
3 Internet Banking 05 10
4 Credit Card 02 04
5 ATM 20 40
6 EFT 01 02
Total 50 100
Source: survey result
Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
15
From the above table it is clear that, among 50
respondents, 40% of respondents prefer mobile
banking, 40% of respondents prefer ATM services,
and 10% of respondents prefer internet banking,
4% of respondents prefer credit card and 4% of
respondents prefer Tele banking.
This shows that, all the respondents prefer
mobile banking services especially ATM and mobile
banking because these services are easily accessible
for all most all the customer.
Classification of respondents on the basis of
reason for not access Mobile Banking services
S.
No
particulars
No. of
respondents
(%)
1 I don’t have Mobile phone 00 00
2 Not aware of the service 03 30
3 I don’t trust this service 04 40
4 I’ll register sometime later 03 30
Total 10 100
Source: survey result
From the above table it is clear that, 10
respondents did not accessed mobile banking service,
4 respondent don’t trust on this service, 3 respondent
are not aware about this service and 3 respondent
opinion that they would register after some time.
This shows that, very less number of customers
of the bank are not using mobile banking service
because they are not aware about it and have less
trust on this service.
Classification of respondents on the basis of
purposes of using Mobile Banking services
S. No Particulars
No. of
respondents
(%)
1 Deposit 08 20
2 Withdrawal 04 10
3 Money transfer 16 40
4 Payment 02 05
5 Saving 02 05
6 Purchasing 08 20
Total
40 100
Source: survey result
From the above table it is clear that, among 40
responses, 40% of respondents are using money
transfer services in mobile banking, 20% of
respondents are using for deposit purpose, also 20%
of respondents are using for purchasing purpose,
10% of respondents are using for withdrawal
purpose, where as 5% respondents are using for
saving purpose, and remaining 5% of respondents
are using for payment purpose.
This show that majority of them are using mobile
banking for money transfer because it’s very easy
and convenient.
Classification of respondents on the basis of
opinion about mobile Banking service
S.
No
Particulars
No. of
respondents
(%)
1 Simple 16 40
2 Easy to Use 20 50
3 Difcult to Use 02 05
4 Need for usage Training 02 05
Total 40 100
Source: survey result
From the above table it is clear that, out of 50
respondents, 40 respondents are using mobile
banking services, 50% respondents have felt that it
is easy to use, 40% respondents have felt that it is
simple, 5% respondents have felt that it is difcult to
use, and remain 5% respondents have felt that need
for usage training.
This shows that, majority of them are felt that
mobile banking is easy to use because the procedure
for usage of mobile banking is very easy and
understandable one.
Classification of respondents based on satisfaction
level about use of mobile banking services
S.
No
Particulars
No. of
respondents
(%)
1 Highly satised 06 15
2 Satised 20 50
3 Average 10 25
4 Dissatised 04 10
Highly Dissatised 00 00
Total 40 100
Source: survey result
From the above table it is clear that, out of 50
respondents, 40 respondents are using mobile
banking service, 50% respondents have felt that it is
Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
16
satised, 25% respondents have felt that it is average
and 15% of respondents have felt that it is highly
satised, remaining 10% of respondents have felt
that it is dissatised.
This shows that, majority of the respondents are
satised with mobile banking service.
Classification of respondents based on problems
faced by usage of mobile banking services
From the below table, it is clear that, out of 50
respondents, 40 respondents are using mobile banking
services, 45% of respondents have felt that there is
sometimes technical problem during transactions,
25% of respondents have felt that there is fear about
security of the transaction, 20% of respondents have
felt that there is No direct communication and 10%
of respondents have felt that there is limited scope
for personal advice on banking transactions.
This shows that, majority of the respondents have
felt that mobile banking service have some problem
for transactions and security problems
S.
No
Particulars
No. of
respondents
(%)
1
Limited scope for
personal advice on
banking transactions
04 10
2
No direct communication
with bank
08 20
3
Sometimes technical
problem during
transaction
18 45
4
Fear about security of the
transactions
10 25
Total 40 100
Test Application
Chi square Test
H
0
: Educationis not signicant for the use of
mobile banking
H
1
: Education is signicant for the use of mobile
banking
Responses Observed Expected (O-E) (O-E)^2 (O-E)^2/E Values
Agree 30 15 15 225 225/15 15
Disagree 40 45 -5 25 25/45 0.55
Neutral 30 40 -10 100 100/40 2.5
Calculated Value = 18.05; Degree of freedom n-1 i.e. 3-1=2
Table value of chi square for 2 degree of freedom @ 5% level of signicance is 5.99
Since the calculated value is more than the table
value, Null hypothesis is rejected. Hence alternative
hypothesis is accepted .Hence proved that Education
is signicant for the use of mobile banking.
Findings
Following are the major ndings extracted from
the analysis:
• Mobile banking services are majorly accessed by
student and employed people.
• The major user of mobile banking come under
age group of below 25 years age and majority of
them are student community.
• It is observed that, majority of the customers are
using mobile banking services of ICICI bank for
the purpose of money transfer.
• Majority of the customers have preferred
mobile banking services because it is easy and
convenient to use.
• It is observed that, majority of the customers
are aware about service cost charges in mobile
banking services.
• The service cost charged by the bank on mobile
banking services is affordable when compared to
other services of the bank.
• Some of the customers are not accessing mobile
banking because of insecurity and difcult
to understand and difculty in using mobile
banking services are the major problem.
• Customers opined that ICICI mobile banking
service is satisfactory.
• Mobile banking is one of the time saving
technology services.
• People are interested to take services of private
sector because it gives good quality of service,
good technology used, they are trust lenders etc.
• Customers are interested to open saving bank
account because mobile banking and various
Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
17
modern banking services are available only for
saving bank account holders.
• Among various modern banking services,
majority of the customers prefer to use mobile
banking and ATM because it is very convenient
and easy for operation when compared to other
services.
• The main purpose of using mobile banking is for
money transfer and online purchasing.
• Mobile banking is very simple and convenient to
use so now a days almost all the customers are
using this service for the nancial transactions.
• Mobile banking is regularly used by the
customers for the purpose of checking bank
balance, transfer fund and to know debit and
credit information about the account.
• Some customers are not using this service
because of security issues.
• In the study area it is found that majority of
respondents are satised with the mobile banking
services provided by ICICI bank.
Suggestions
• ICICI bank must keep a frequent touch with
its customers after providing a technological
services to its customers they should improve
their customers relationship management policy.
• Bank has to create a trust in the mind of customers
about security of their accounts
• Bank should reduce the service cost and need to
improve mobile banking service.
• Illiterate people cannot understand mobile
banking service instructions. So, there is a need
to simplify it and instructions should be given in
regional language.
• The technical services of the ICICI bank must
be improved.
• Give proper training to customers for using
mobile and for other modern banking services.
• Illiterate people can’t able to understand and
operate mobile banking services. So bank has to
conduct some programs toward the operation of
Mobile banking services.
• Bank need to simplify less procedure for
accessibility of mobile banking.
• Bank should increase the service of mobile
banking.
• Bank should give clear information to the
customers about charging of service cost.
• ICICI bank should make the procedure for
transaction simple and easy.
• Awareness about various services available
through the mobile banking should be created.
• Transaction cost charged on mobile banking
should be regularly communicated to customer.
• ICICI Bank is charging more charges towards
internet banking facility so if they reduce the
hidden charges or any charges it is benecial for
more customers to utilize this facility.
• ICICI Bank has to improve the service of time
given for transaction to users.
Conclusion
ICICI bank is providing very good services and
they are maintaining the good relationship between
the customers, they are also providing modern
banking facilities like cards, these are modern
banking facilities helps the customer to make easy
transaction. E-banking, EFT, ATMs, Mobile banking
and internet banking, Electronic Clearing Services
[ECS], credit
In this study, it came to know that ICICI bank
is providing good mobile banking services to its
customers. So here there is an opportunity for ICICI
bank to promote mobile banking services to the
customer. Many people are interested to use mobile
banking services from ICICI bank but some customer
further, with increasing consumer demands, bank
have to constantly think of innovative customized
services to remain competitive. Mobile banking is an
innovative tool that is fast becoming a necessity. It
is a successful strategic weapon for banks to remain
protable in a volatile and competitive marketplace
of today.
References
Devadevan, “A study on Mobile banking in India -
Issues and challenges”.
Federal Reserve BANK; “Consumer and mobile
nancial services: A survey”, March, 2012
(www.federaleserve.gov)
International Journal of Emerging Technology and
Advanced Engineering, ISSN: 2250-2459,
Volume 3, Issue 6, June 2013.
Shanlax
International Journal of Commerce
http://www.shanlaxjournals.in
18
Jadav Anil, “Study on Status of E-banking in India.”,
2004.
Jonathan Donner, “Study on Mobile Banking and
Economic Development: linking adoption,
impact, and use.”
Jothi, M, “3G Network technology; A back bone
for mobile phone application”, Journal of
commerce and management Thought, vol,1,
no 4, oct-dec 2010, pp.427.
Kamini shah, Sandip Bhat and Jain Nirmal;
“Awareness and perception of consumer
about Mobile banking”, The Indian Journal
of Commerce, vol. 4, no. 1, January-March,
2011.
Krassie Petrova, “A study on Mobile Banking
background, services and adoption.”
Nitin Nayak, Vikas Nath, Nancy Goel. A study of
Adoption behavior of mobile banking services
by Indian consumers”.
Rahamathsana, Hema Date, Abdullah Kammani,
and ‘Niserhundewale’. Study on Technology
adoption and Indian consumers: study on
mobile banking.”
Ranjuchaandran, A study on “Pros and cons of
Mobile Banking”.
Ruby shukla “Pankajshukla: Mobile banking:
problems and prospects.”
Sunil, kumar Mishra and Durga Prasad sahoo, a
study on “Mobile Banking adoption on and
Benet towards customer’s service.”
Tiwari. and Stephen, Buse: “The mobile commerce
prospects: A strategic analysis of opportunities
in the banking sector”, 2007
Vanisree, D. “Study on Mobile Banking in India:
Barriers in adoption and service preferences.”
Vishal Goyal, U. S. “Pandey: Mobile Banking in
India: Practices, Challenges and Security
Issues.”
Web Sources
https://books.google.co.in>books
https://dl.acm.org.>citation
https://en.m.wikipedia.org>wiki>ICICI-Bank
https://en.m.wikipedia.org>wiki>mobile-banking
https://www.icicibank.com
www.academia.edu>MOBILE-BANKING
Author Details
H.Manjula Bai
Faculty Member, Department of Post Graduate Studies and Research in Commerce, Kuvempu University, Shankaragatta,
Karnataka, India. Email ID: [email protected]
