1. A STUDY ON CONSUMER AWARENESS AND PERCEPTION
TOWARDS E-BANKING SERVICES OF
BANK OF MAHARASHTRA
DR. HARI SINGH GOUR UNIVERSITY, SAGAR
(A CENTRAL UNIVERSITY)
DEPARTMENT OF BUSINESS MANAGEMENT
PRESENTED BY
SHUBHAM AHIRWAR
(Y151805334)
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2. TABLE OF CONTENT
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S. No. Content Page No.
1. Introduction 03
2. Services Provided By E-Banking 04
3. Features of E-Banking 05
4. Advantages of E-Banking 06
5. Disadvantages of E-Banking 07
6. Research Objectives 08
7. Research Methodology 09-10
8. Sample of Questionnaire 11-12
9. Data Analysis & Interpretation 13-17
10. Findings 18
11. Suggestions 19
12. Conclusion 20
13. Reference 21
3. INTRODUCTION
E-banking, also known as internet banking, online-banking or virtual
banking, is an electronic payment system that enables customers of a
bank or other financial institution to conduct a range of financial
transactions through the financial institution's website.
The online banking system will typically connect to or be part of the core
banking system operated by a bank and is in contrast to branch banking
which was the traditional way customers accessed banking services.
Online banking has become so widespread today that customers expect
accounts to include free online banking, and many banks only operate on
the internet, effectively decreasing overhead costs to offer more
competitive rates and enjoy higher profit margins.
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4. SERVICES PROVIDED BY E-BANKING
Automated Teller Machines
Credit Cards
Debit Cards
Smart Cards
SMS Banking
Mobile Banking
Internet Banking
Telephone banking
Cheques Transaction Payment System
Electronic Fund Transfer (EFT) System
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Indian banks offer to their customers following e-banking services:
5. FEATURES OF E-BANKING
There are some features of E-Banking such as:
Viewing account balances
Viewing recent transactions
Viewing images of paid cheque
Ordering cheque books
Transaction approval process
Register utility billers and make bill payments
Download periodic account statements
Downloading applications for M-banking, E-banking etc.
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6. ADVANTAGES OF E-BANKING
There are some advantages of E-banking are:
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Permanent access to the bank.
Access anywhere.
Less time consuming.
Security of account.
Online Bill Payment
Very safe and secure method.
Provides ways for international banking.
Lower transaction costs / general cost reductions.
Helps to transfer the money immediately and accurately.
7. DISADVANTAGES OF E-BANKING
Problem of security
Lack of awareness
Lack of computerization
High cost
Wrong assumption by people
Site disruption
Site navigation
Delayed Statement
User apprehension
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There are some disadvantages of E-banking are:
8. 8
RESEARCH OBJECTIVES
There are some Research Objectives of the Study:
To study about impact of e-banking on customers.
To study the growth and progress of electronic banking.
To study the perception of the customers towards payment services.
To study the awareness of customers towards the e-banking facilities.
To analyze the level of satisfaction about e-banking services.
To analyze the impact on various e-banking services provided to the
customers.
To identify the problems involved in e-banking transactions.
To identify the factors that influences the customer in using e-
banking services.
9. RESEARCH METHODOLOGY
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Research methodology is a methodology for collecting all sorts of
information & data pertaining to the subject in question. The
objective is to examine all the issues involved & conduct situational
analysis.
The methodology includes the overall research design, sampling
procedure & fieldwork done finally the analysis procedure.
This is an exploratory research. It is the science that tells the method
of doing research. It mainly consists of following steps;
1. Developing research design
2. Determining the data collection method
3. Developing sampling plan
4. Conducting field work
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Sampling Unit: The sample unit of this survey was the Bank of
Maharashtra Sagar, Madhya Pradesh.
Data Collection Method: The Data collection methodology used
in the study consistent of systematic sampling using both
primary & secondary data.
The Primary data has been collected with the help of
questionnaire.
The Secondary data is collected through websites of bank
(www.bom.in), pamphlet, annual journals of banks,
reference books, research journals, survey etc.
Cont……..
11. 11
SAMPLE OF QUESTIONNAIRE
S. No Items Scale
A. On the Basis of Awareness
1. I am aware of the E-banking services offered by the banks. 1 2 3 4 5
2. I am aware of the benefits of E-banking services which are available. 1 2 3 4 5
3. I am aware of the methods which can be undertaken to make any kind of fraud. 1 2 3 4 5
4. I know how to operate E-banking services. 1 2 3 4 5
5. The Bank educates me about the E-banking services being offered. 1 2 3 4 5
B. On the Basis of Perception
6. I think E-banking is easier to use than branch banking. 1 2 3 4 5
7. I think E-banking transaction procedures are simple and straightforward. 1 2 3 4 5
8. I think E-banking services are generally faster than branch banking. 1 2 3 4 5
9. I think E-banking services are generally cheaper than branch banking. 1 2 3 4 5
10. I think E-Banking is more effective than branch banking about time saving. 1 2 3 4 5
12. 12
Cont……..
11. I think E-Banking services provide more information than branch banks. 1 2 3 4 5
12. I think E-Banking services influence me to increase using internet banking. 1 2 3 4 5
C. On the Basis of Security
13. I feel safe when I am using E-banking services. 1 2 3 4 5
14. I feel safe in disclosing my information online. 1 2 3 4 5
15. I think E-banking is more secure than branch banking. 1 2 3 4 5
16. I think E-banking services are good enough for me to safe. 1 2 3 4 5
17. I think E-banking services keep accurate records of my transactions. 1 2 3 4 5
18. I think E-banking provide security for my transaction data and privacy. 1 2 3 4 5
D. On the Basis of Other Factors
19. If I have any problem about E-banking service, banks provide support. 1 2 3 4 5
20. I think E-banking services have no time limit as I can use them anytime. 1 2 3 4 5
21. I think E-banking services are convenient because it eliminates the risk of
carrying cash.
1 2 3 4 5
22. I am satisfied with the E-banking services of my bank. 1 2 3 4 5
13. DATA ANALYSIS & INTERPRETATION
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Q.1: I am aware of the E-banking services offered by the banks.
Items Strongly Disagree Disagree Neutral Agree Strongly Agree
No. of Respondent 2 5 15 7 6
Percentage (%) 6% 14% 43% 20% 17%
0
2
4
6
8
10
12
14
16
Strongly Disagree Disagree Neutral Agree Strongly Agree
Fig-1. From the above interpretation, it shows that out of 35 respondents where 6%
respondent are Strongly Disagree, 14% are Disagree, 43% are Neutral, 20% are Agree
and 17% respondent are Strongly Agree on saying that I am aware of the E-banking
services offered by the banks.
14. Q.2: I think E-banking transaction procedures are simple & straightforward.
Items Strongly Disagree Disagree Neutral Agree Strongly Agree
No. of Respondent 3 5 14 6 7
Percentage (%) 9% 14% 40% 17% 20%
0
2
4
6
8
10
12
14
16
Strongly Disagree Disagree Neutral Agree Strongly Agree
Fig-2. From the above interpretation, it shows that out of 35 respondents where 9%
respondent are Strongly Disagree, 14% are Disagree, 40% are Neutral, 17% are Agree
and 20% respondent are Strongly Agree on saying that E-banking transaction
procedures are simple and straightforward. 14
15. Q.3: I feel safe when I am using E-banking services.
Items Strongly Disagree Disagree Neutral Agree Strongly Agree
No. of Respondent 6 8 13 4 4
Percentage (%) 17% 23% 37% 12% 11%
0
2
4
6
8
10
12
14
Strongly Disagree Disagree Neutral Agree Strongly Agree
Fig-3. From the above interpretation, it shows that out of 35 respondents where 17%
respondent are Strongly Disagree, 23% are Disagree, 37% are Neutral, 12% are Agree
and 11% respondent are Strongly Agree on saying that I feel safe when I am using E-
banking services. 15
16. Q.4: I think E-banking is more secure than branch banking.
Items Strongly Disagree Disagree Neutral Agree Strongly Agree
No. of Respondent 7 11 8 5 4
Percentage (%) 20% 31% 23% 14% 12%
0
2
4
6
8
10
12
Strongly Disagree Disagree Neutral Agree Strongly Agree
Fig-4. From the above interpretation, it shows that out of 35 respondents where 20%
respondent are Strongly Disagree, 31% are Disagree, 23% are Neutral, 14% are Agree
and 12% respondent are Strongly Agree on saying that E-banking is more secure than
branch banking. 16
17. Q.5: I am satisfied with the E-banking services of my bank.
Items Strongly Disagree Disagree Neutral Agree Strongly Agree
No. of Respondent 0 3 12 11 9
Percentage (%) 0% 9% 34% 31% 26%
0
2
4
6
8
10
12
14
Strongly Disagree Disagree Neutral Agree Strongly Agree
Fig-5. From the above interpretation, it shows that out of 35 respondents where 0%
respondent are Strongly Disagree, 9% are Disagree, 34% are Neutral, 31% are Agree
and 26% respondent are Strongly Agree on saying that I am satisfied with the E-
banking services of my bank. 17
18. FINDINGS
E-banking services are generally cheaper than branch banking.
E-banking services are generally faster than branch banking.
E-Banking services have no time limit.
E-banking is easier to use than branch banking.
E-banking services keep accurate records of my transactions.
E-Banking services provide more information than branch banks.
E-banking transaction procedures are simple and straightforward.
Risk is one of the factor customer were consider while opening an
internet bank account.
The respondents preferred ATM, Online banking, Mobile banking,
SMS banking for their financial transactions.
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19. SUGGESTIONS
Give proper training to customer for using E-banking.
The customer should not send one time password to anybody else.
Awareness level about E-banking is very less among customers.
E-banking facility must be made available in all branches of the
banks.
Create a trust in mind of customer towards security of their
accounts.
Seminars and workshops should be organized on the healthy
usage of e-banking .
Though lot of safety measures are taken by the Bank, the
customers should keep their username and password confidential.
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20. CONCLUSION
E-banking has become a necessary survival weapon. Today, the
click of the mouse offers customers banking services at a much
lower cost and also empowers them with unprecedented freedom
in choosing vendors for their financial service needs.
Younger generation is beginning to see the convenience and
benefits if e-banking. In years to come, e-banking will not only be
acceptable mode of banking but will be preferred mode of
banking.
The international scope of E-banking provides new growth
perspectives and Internet business is a catalyst for new
technologies and new business processes.
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REFERENCE
Jeon, Kiyong”Essayson banking industry: ATM (Automatic Teller
Machine) (2014)
Leeladhar V (2008), “The Indian Banking Industry: A Retrospect of
Select Aspects”, BIS Review, 96/2008, available at www.rbi.org
Isern,Jennifer” A cross-country analysis of the effects of e-banking
and financial infrastructure on financial sector competition: A
Schumpeterian shift?(2008)
Reynolds, John” A retrospective data examination of customer
loyalty in the ebanking technology services industry: Strategies for
new successes (2007)
Wamalwa, Tom” The impact of internet banking on banks: A
descriptive and evaluative case study of a large United states bank
(2006).