| dc.description.abstract | The purpose of this study was to establish the factors affecting adoption of mobile phone banking by customers of commercial banks in Kenya. Mobile banking in Kenya has been adopted by Kenyans however an evaluation of the factors that affect the adoption of mobile phone banking in Kenya has not been studied. This study intended to fill this gap. The study was guided by the following objectives: to establish factors that affect commercial banks customers‟ adoption of mobile banking; to establish the extent to which commercial bank customers in Kenya are using mobile banking; to establish the benefits of the adoption of mobile banking by commercial banks customers in Kenya and to establish challenges that affect banks customers‟ adoption of mobile banking. The study employed a descriptive research design in which the population of the study were customers of all the commercial banks in Kenya. The study used a sample size of 60 customers to collect data using research questionnaires and the collected data was coded and analysed using means and standard deviations. The analysed data was presented in form of tables, pies and graphs.
The study found that most of the respondents were in one form of a relationship of another and were in some useful form of employment. The study also found out that the respondents used mobile banking because they found it cheap, safe and reliable to a greater extent. The study also found out that the respondent‟s colleagues, friends and family influenced the respondents to adopt and use mobile banking while the influence of the media on the adoption of mobile banking is not clear. The study also found out that mobile banking has a range of services, is convenient in doing bank transactions and access to the bank service, saves time and has a good connection speed. The banks customers expect mobile banking to proceed with their expectations and to be secure. The customers also expect not to lose nay privacy and any amount of money when doing mobile banking transactions. The respondents were also willing technology and were aware of mobile banking services. The study also found out the advantages for using mobile banking provides easy access bank account information, mobile banking is more secure than traditional banking, it is easy to learn to use the mobile banking mobile banking is safe and mobile banking system is user friendly. On the challenges to mobile banking the respondents indicated that they cannot transact when the mobile phone network is down, sometimes transactions are not online, some services are not available on mobile banking platform and phone software cannot access some utilities of mobile banking. On perceived risks the respondents indicated that they might not use mobile banking because they risk in mobile banking, agreed that their banks do not accept liability in case of loss, the technology of mobile banking is not easy to understand and information concerning my cell phone banking transactions can be tampered with by others.
The study found out that perceived usefulness and perceived ease of use (PEOU) has positive relationship in examining the intention to adopt mobile banking in Kenya. Similarly, relative advantage was found to be significant in determining the intention to use mobile banking. In addition, personal innovativeness (PI) has positive significant relationship towards the intention to adopt mobile banking services. However, social norms were found to have insignificant relationship with the intention to adopt the service. Finally the study found out that there is a negative significant relationship between perceived risk (PR) and mobile banking adoption. The research findings provide several important implications for banks, service developers, and software engineer with better strategic insights to design and implement mobile banking services to yield higher consumer acceptance towards mobile banking in Kenya. The study concludes and recommends that banks, service developers and software engineers should focus on the perceived usefulness, perceived ease of use, relative advantages and perceived risks of their mobile phone banking services and products. This can be achieved by developing better functions in terms of flexibility, security and accessibility features to enhance consumers‟ confidence to adopt mobile banking services. | en |
