Application of Technology Acceptance Model in Mobile Banking Adoption in Kenya

Abstract

Mobile Banking is an application of mobile computing which provides customers with the support needed to access their bank accounts and bank anywhere, anytime using a mobile handheld device such as a mobile phone. Mobile Banking removes space and time limitations from banking activities such as checking account balances, or transferring money from one account to another. Research and studies has found that Mobile Banking applications have become popular in many countries and regions across the globe; however they are still not widely used. This study identifies and investigates the factors which influence the adoption of Mobile Banking, and specifically focuses on the evaluation of M-Kesho Mobile Banking application in the context of Kenya. The research model includes the basic concepts of the Technology Acceptance Model. Survey was conducted to gather data which was coded in SPSS 16. Confirmatory Factor Analysis was used to analyse data and Structural Hquation Modeling using Analysis of Moment Structures 16 software was used to validate the research model. Result show that Perceived hase of Use, Perceived Usefulness, Perceived Normative Pressure, Perceived Financial Cost and Perceived Credibility significantly influences customers altitude which influences adoption ol Mobile Banking, rhe results of the data analysis contributes to the body of knowledge by demonstrating factors such as Perceived Financial Cost, Perceived Normative Pressure influencing attitude towards Mobile Banking which in turn affect adoption of Mobile Banking. Although the study has its limitations, the implications of the results allow providing practical recommendations to the banking industry, and directions for further work