Consumer perspectives about mobile banking adoption in India – a cluster analysis

2017 ◽  
Vol 35 (4) ◽  
pp. 616-636 ◽  
Author(s):  
Deepak Chawla ◽  
Himanshu Joshi
Keyword(s):  
Cluster Analysis ◽  
Factor Analysis ◽  
Service Providers ◽  
Internet Banking ◽  
Equation Modeling ◽  
Mobile Users ◽  
Future Research ◽  
Mobile Banking ◽  
Content Type ◽  
Indian Consumers

Purpose The purpose of this paper is to identify which factors influence mobile banking adoption and examine those factors for segmentation, using a sample of Indian consumers. Design/methodology/approach In total, 59 statements were identified based on a literature review, focus group discussions and personal interviews. Exploratory factor analysis was conducted to identify the relevant factors. An online survey of 367 mobile phone users in India was conducted. Confirmatory factor analysis was conducted using structural equation modeling. Appropriate statistical techniques (hierarchical cluster analysis, k-means cluster analysis) were used to segment the users. A profile of each segment was developed based on demographics, mobile banking services used, and attitude and intentions toward mobile banking. Further, a post hoc test was used to test the variation between the obtained clusters and user attitudes and intentions toward mobile banking. The demographic characteristics of users within each cluster were also examined. Findings Mobile users were segmented into three clusters based on their perceptions of various factors influencing mobile banking. These segments were labeled as technology adoption (TA) leaders, TA followers and TA laggards. The results show that both attitude and intentions toward mobile banking significantly differs across the three segments. In terms of relative positioning, TA leaders have the most favorable attitudes and intentions followed by TA followers, and TA laggards. Age was found to significantly influence TA and usage. Research limitations/implications The findings of the study are based on responses from young, educated and salaried Indian consumers from large metro cities. Therefore, it is important to include respondents from smaller cities and towns to be able to generalize the findings. The sample is skewed toward users having accounts with private banks and hence, a balanced representation of respondents from public and private sector banks would help in identifying gaps pertaining to each sector. In future research, attempting to compare the results with other developing and developed countries may be beneficial. Practical implications The results offer service providers better knowledge about typical mobile banking user segments, providing banks with ideas for customizing their services to meet customer expectations. Originality/value This paper provides insights into factors that influence mobile banking adoption in India, which has not been investigated. In contrast to earlier studies conducted on internet banking, this study attempts to examine the perceptions, attitudes and intentions of mobile users. Although traditional TA models and theories of technology diffusion have been used, this study attempts to tailor the model specifically for mobile banking.

Identifying brand touchpoints to increase switching costs in the banking industry

2019 ◽  
Vol 38 (3) ◽  
pp. 718-736 ◽  
Author(s):  
Abdullah Sultan
Keyword(s):  
Factor Analysis ◽  
Structural Equation ◽  
Switching Costs ◽  
Service Providers ◽  
Banking Industry ◽  
Service Failure ◽  
Customer Experience ◽  
Equation Modeling ◽  
Exploratory Research ◽  
Content Type

Purpose The purpose of this paper is to study the effect of staged customer experiences on customer switching costs in the banking industry. Design/methodology/approach Brand touchpoints in the banking industry are identified by exploratory research using focus group sessions with bank customers and staff and refined by exploratory factor analysis using an independent sample of bank customers to form the staged customer experience construct. The proposed research model is then validated by confirmatory factor analysis with an independent sample using structural equation modeling. Findings Customer experience in the banking industry consists of four related but distinct stages (i.e. pre-touch, in-touch, post-touch and service failure). The first three stages have direct and indirect effects on switching costs that are partially mediated by relationship quality. Research limitations/implications Customer experience is an industry-specific construct with complicated effects on switching costs. Thus, the staged customer experience construct should be examined in different industries and applications to understand its implications. Practical implications Bank customers demand experiences that achieve desirable results in everyday situations and switch to other service providers easily if this demand is not met. Banks should focus on brand touchpoints that are both important to customers and increase switching costs to keep customers from defecting. Originality/value This research expands upon findings in the customer experience literature by exploring factors that link staged customer experiences with switching costs in the banking industry. In addition, a paradox is identified in the staged customer experience model that requires managers’ attention in order to design an effective customer experience strategy.

The relationship between EFQM enablers and business performance

2019 ◽  
Vol 30 (4) ◽  
pp. 684-706 ◽  
Author(s):  
Dimitrios Kafetzopoulos ◽  
Katerina Gotzamani ◽  
Dimitrios Skalkos
Keyword(s):  
Factor Analysis ◽  
Quality Management ◽  
Business Performance ◽  
Innovation Performance ◽  
Equation Modeling ◽  
Future Research ◽  
Content Type ◽  
Mediating Role ◽  
Efqm Model

PurposeThe purpose of this paper is to examine the extent to which the five European Foundation for Quality Management (EFQM) model enablers, as the latent factor “enabler excellence,” are associated with business performance, taking into consideration the mediating role of innovation in this relationship.Design/methodology/approachThe analysis followed in order to investigate the relations among the various constructs of the proposed model includes an initial exploratory factor analysis, followed by confirmatory factor analysis and finally structural equation modeling.FindingsAccording to the study findings, “enabler excellence” and innovation performance directly contribute to business performance. Moreover, this paper concludes that innovation performance partially mediates the effect of excellence enablers on business performance.Research limitations/implicationsThis study does not separate between radical and incremental innovation; thus, it would be very interesting to explore this issue in future research. Moreover, it might be useful for researchers to reassess the proposed relationships examining the mediating role of organizational culture.Practical implicationsThis study offers clear implications for managers, proving that they should give higher emphasis on quality management (QM) and the four dimensions of innovation in order to achieve increased performance.Originality/valueBased on the multidimensional structure of the EFQM model, this empirical study determines the contribution of QM to business performance taking into consideration the role of innovation performance as a mediator in this relationship.

Emotional brand attachment: a factor in customer-bank relationships

2016 ◽  
Vol 34 (2) ◽  
pp. 136-150 ◽  
Author(s):  
Shalom Levy ◽  
Hayiel Hino
Keyword(s):  
Factor Analysis ◽  
Conceptual Framework ◽  
Structural Equation ◽  
Positive Relationship ◽  
Service Providers ◽  
Equation Modeling ◽  
Emotional Attachment ◽  
Content Type ◽  
The Impact ◽  
The Relationship

Purpose – The purpose of this paper is to evaluate the relationship between customers’ emotional attachment toward bank service providers and bank loyalty. In particular, the study examines the impact of the emotional attachment factor while treating established effecting variables by employing a new conceptual framework that integrates these variables. Design/methodology/approach – The study employs data collected from a survey involving 436 participants. The study employs Exploratory Factor Analysis and Confirmatory Factor Analysis methods following a path analysis method and structural equation modeling for testing research hypotheses. Findings – The empirical results support the claim that the conceptual framework applied in this study better explains the relationship between customers’ emotional attachment toward bank service providers and bank loyalty. Specifically, the findings show a significant, direct and positive relationship between the customer’s emotional attachment and bank loyalty; an indirect positive relationship also exists through the connection of customer satisfaction. The study distinguishes between two integrated pathways consumers possibly follow when making decisions about services: the conscious decision-making process path and the emotional process path. Practical implications – The paper provides managerial and planning implications to bank service providers who seek to achieve excellent performance and a positive brand personality, thus maintaining long-lasting relationships with their customers. Originality/value – The study is among the few empirical works to specifically examine the impact of customers’ emotional attachment on bank loyalty and contributes to the available literature in that it suggests a systematic conceptual framework that evaluates the impact of key factors on bank loyalty.

Satisfaction, trust and loyalty: investigating the mediating effects of commitment, switching costs and corporate image

2018 ◽  
Vol 12 (4) ◽  
pp. 361-380 ◽  
Author(s):  
Harsandaldeep Kaur ◽  
Harmeen Soch
Keyword(s):  
Mobile Phone ◽  
Switching Costs ◽  
Service Providers ◽  
Corporate Image ◽  
Equation Modeling ◽  
Content Type ◽  
Attitudinal Loyalty ◽  
Calculative Commitment ◽  
Indian Consumers ◽  
The Impact

PurposeThe purpose of this study is to develop an understanding of the factors influencing Indian consumers’ loyalty toward mobile phone service providers by exploring the mediating roles of commitment, corporate image and switching costs on causal relationships between customer satisfaction, trust and loyalty.Design/methodology/approachA survey of 855 Indian mobile phone users was carried out to test the hypothesized relationships using structural equation modeling. The results support most of the proposed hypotheses.FindingsThe direct linkages in the model are found to be statistically significant. Of these relationships, corporate image emerged as the strongest determinant of attitudinal loyalty. Calculative commitment and corporate image are found to be partial mediators between satisfaction and attitudinal loyalty. Calculative commitment and switching costs are each proven to be partial mediators between trust and attitudinal loyalty, while corporate image is proved to be a complete mediator.Research limitations/implicationsThe study is limited to examining the impact of relationship variables on Indian consumers’ loyalty toward mobile phone companies. Future research can examine the impact of variables such as rate plans, value-added services, billing experience and voice quality on customer loyalty.Practical implicationsThe results have implications for retaining customers in highly competitive and maturing Indian mobile telecommunications. The research provides some initial insights into corporate brand building as an important area for mobile phone companies.Originality/valueThis is one of the first studies to test the mediating role of commitment, switching costs and corporate image in the relationship between satisfaction, trust and loyalty in the Indian context.

Lean management and innovation performance

2019 ◽  
Vol 42 (2) ◽  
pp. 239-262 ◽  
Author(s):  
Ayman Bahjat Abdallah ◽  
Samer Eid Dahiyat ◽  
Yoshiki Matsui
Keyword(s):  
Factor Analysis ◽  
Continuous Improvement ◽  
Structural Equation ◽  
Innovation Performance ◽  
Incremental Innovation ◽  
Equation Modeling ◽  
Future Research ◽  
Lean Management ◽  
Manufacturing Companies ◽  
Content Type

Purpose The purpose of this paper is to explore the effects of innovation orientation (IO) on both the implementation levels of soft and hard lean management (LM), as well as innovation performance. It also aims at exploring the effects of soft and hard LM on innovation performance. Design/methodology/approach The study analyzes survey data collected as a part of a high-performance manufacturing (HPM) project from 238 international manufacturing companies in eight countries and three industries. Exploratory factor analysis and confirmatory factor analysis were applied to assess construct validity. The study hypotheses were tested using structural equation modeling. Findings The results demonstrated that innovation-oriented companies tend to adopt aspects of both soft and hard LM. However, the results revealed an insignificant effect of soft and hard LM on innovation performance. The study also showed that innovation performance is positively influenced by an IO. These results indicate that having an IO is vital for enhancing both LM as well as innovation performance. They also evidently suggest that LM is more related to continuous improvement (incremental innovation) rather than (radical) innovation and, as such, is not important for firm’s intent on enhancing their innovation performance. Practical implications The current study demonstrates that IO and LM are complementary and not contradicting strategies. The two strategies share many cultural aspects, similarities and commonalities. However, LM is not sufficient to predict innovation performance. Managers of the surveyed manufacturing firms are advised to focus on IO, as it has beneficial impacts on both LM (continuous improvement initiatives) as well as innovation performance. This clearly indicates that placing the emphasis upon radical (innovative) improvement rather than incremental improvement (LM practices) is believed to support continuous and innovative improvement alike. Originality/value The relationship between LM and innovation is debated in the existing literature, but the debate is characterized by a lack of empirical evidence. This is one of the first studies that empirically investigates the relationships between IO, LM and innovation performance. It identifies some new insights to direct future research, particularly regarding different innovation types as well as in service organizations.

Impact of trust on the relationship of e-service quality and customer satisfaction

2015 ◽  
Vol 10 (1) ◽  
pp. 21-46 ◽  
Author(s):  
Sukanya Kundu ◽  
Saroj Kumar Datta
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Service Providers ◽  
Research Work ◽  
Internet Banking ◽  
Equation Modeling ◽  
Content Type ◽  
Banking Service ◽  
Valid Instrument

Purpose – The purpose of this paper is to find the role of trust as a mediating variable between e-service quality and customer satisfaction in internet banking. Design/methodology/approach – The paper opted for an exploratory study using closed ended questionnaire. The empirical data are drawn from 367 customers of internet banking. Factor structure of e-SQ, customer satisfaction and trust has been tested using EFA and CFA by gap values and perception values. Structure equation modeling has been used to analyze the effects of independent variable e-service quality on customer satisfaction and the role of mediating variable trust. Stepwise analysis has been done to examine the effect of trust on customer satisfaction. Sobel test has been used to measure the indirect effect. Findings – e-SQ was found to be strongly correlated with customer satisfaction. The results confirm trust as a mediating variable between e-service quality while analyzing the same model with gap value and perception value. Research limitations/implications – The research implies that banking service providers should focus on improvement of trust parameters as well as those e-SQ dimensions which affects trust, to retain the customers and to get more customers for internet banking. Originality/value – The reliable and valid instrument confirmed in this research can be used by further studies detecting the relationships among these constructs in an extended context. The fundamental premise of the proposed research work model was to make banking service providers understand comprehensively the factors necessary to achieve high service quality that will significantly impact on customers’ trust, satisfaction.

scholarly journals The value proposition of food delivery apps from the perspective of theory of consumption value

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Puneet Kaur ◽  
Amandeep Dhir ◽  
Shalini Talwar ◽  
Karminder Ghuman
Keyword(s):  
Food Consumption ◽  
Service Providers ◽  
Food Delivery ◽  
Purchase Intentions ◽  
Equation Modeling ◽  
Future Research ◽  
Research Approach ◽  
Content Type ◽  
Consumption Values ◽  
Functional Value

Purpose The theory of consumption values (TCV) has successfully explained much consumer choice behavior, but few studies have investigated the values that drive food-delivery application (FDA) use. This study aims to bridge this gap by extending the TCV to the FDA context to examine food consumption-related values and interpreting and rechristening generic consumption values to adapt the TCV to the FDA context. Design/methodology/approach An explorative mixed-method research approach was taken to conduct focus group discussions with 20 target users to develop the questionnaire and then administer it for a cross-sectional survey (pen and pencil) to FDA users aged 22–65 years; 423 complete responses so received were analyzed using structural equation modeling. Findings The findings show that epistemic value (“visibility”) is the chief driver of purchase intentions toward FDAs, followed by conditional (“affordances”), price (part of functional value) and social value (“prestige”). Food-safety concerns and health consciousness (proposed as part of functional value) did not share any statistically significant association with purchase intentions toward FDAs. Research limitations/implications The findings of this study are insightful for FDA service providers competing for higher shares in the market by helping them understand ways to influence consumer choices and purchase intentions. Originality/value It is the first study that combines FDAs 2014 an online service that it is attracting a lot of investment 2014and TCV which has continued to be one of the most relevant theories of consumer behavior. It extends the TCV by adapting it to the FDA context with food-consumption-related values. Thus, it adds to the relatively scant literature on FDAs on the whole which is essential, as FDAs represent the business model of new economy, i.e. online-to-offline (O2O). Finally, this study formulates a conceptual framework that may serve as the basis of future research.

Cruise brand experience: functional and wellness value creation in tourism business

2019 ◽  
Vol 31 (5) ◽  
pp. 2205-2223 ◽  
Author(s):  
Jiseon Ahn ◽  
Ki-Joon Back
Keyword(s):  
Customer Satisfaction ◽  
Value Creation ◽  
Service Providers ◽  
Positive Impact ◽  
Perceived Value ◽  
Equation Modeling ◽  
Future Research ◽  
Brand Experience ◽  
Content Type

Purpose Experience and value creation have become integral themes for tourism service providers. This study aims to understand the role of different types of experiences in formulating customers’ perceived value. Studies on this area are scarce, especially in the cruise industry. Design/methodology/approach A research model that includes two value variables, namely, functional and wellness values, and four cruise brand experience variables, namely, sensory, affective, behavioral and intellectual factors, was tested through partial least-squares (PLS) structural equation modeling approach. A total of 389 usable cruise customer responses were obtained and analyzed using SmartPLS software. Findings Results revealed the relative effects of sensory, affective, behavioral and intellectual factors on perceived functional and wellness values. The positive impact of perceived value on customer satisfaction and behavioral intention and the moderating role of service expertise in the relationship between cruise experience and perceived value were examined. Research limitations/implications Future research can examine how types of leisure facilities (e.g. casinos, restaurants, bars and shows), cultural differences (e.g. Eastern and Western) and customers’ travel characteristics (e.g. visiting purpose and companions) may influence the relationships between cruise brand experience and perceived value. Practical implications From a practical point, the relationships among multidimensional cruise brand experience, functional and wellness values, customer satisfaction, revisit intention and service expertise provide a clue on how cruise brands can enhance customers’ perceived value to retain current customers. Originality/value This study contributes to literature by providing a theoretical framework and empirical evidence for predicting and explaining cruise customers’ behavior. From a managerial perspective, this study identified critical factors that are essential to value creation and discussed the implications of predictive factors on developing marketing strategies that enhance customers’ positive attitude and behavior toward the cruise brand.

Adoption of internet banking services in Gujarat

2018 ◽  
Vol 36 (1) ◽  
pp. 147-169 ◽  
Author(s):  
Kiran J. Patel ◽  
Hiren J. Patel
Keyword(s):  
Social Influence ◽  
Service Providers ◽  
Internet Banking ◽  
Perceived Usefulness ◽  
Equation Modeling ◽  
Banking Services ◽  
Content Type ◽  
Factors Influencing ◽  
Perceived Security ◽  
Internet Banking Services

Purpose The purpose of this paper is to validate the technology acceptance model (TAM) and its extended form to understand the factors influencing internet banking adoption in Gujarat. Design/methodology/approach Extended TAM incorporates perceived security and social influence, important variables in internet banking literature. Using a questionnaire survey, data relating to the variables are collected from 284 individuals who are/were using internet banking services and subjected to confirmatory factor analysis (CFA) to establish validity and structural equation modeling (SEM) to identify important factors influencing internet banking adoption. Findings The empirical results of SEM showed that the extended TAM has higher predictability than the TAM in internet banking settings. The results highlighted that the intention to use internet banking is positively influenced mainly by perceived security, followed by other significant factors, namely, perceived usefulness, perceived ease of use and social influence. Practical implications The findings of this paper enable internet banking service providers to develop/modify new/existing internet banking services in order to achieve higher adoption rates of internet banking. Originality/value Additional incorporated variables in a new model considerably contribute to improving the understanding of internet banking adoption in Gujarat.

Customer’s patronage decision toward health insurance products

2018 ◽  
Vol 30 (1) ◽  
pp. 62-83 ◽  
Author(s):  
Muhammad Sabbir Rahman ◽  
Fadi Abdel Muniem Abdel Fattah ◽  
Mahmud Zaman ◽  
Hasliza Hassan
Keyword(s):  
Factor Analysis ◽  
Health Insurance ◽  
Service Quality ◽  
Structural Equation ◽  
Service Providers ◽  
Dominant Role ◽  
Equation Modeling ◽  
Cross Sectional ◽  
Content Type

Purpose The purpose of this paper is to examine the influence of service quality, customer’s satisfaction and religiosity on customer’s patronage decision toward health insurance products. The paper also assesses the influence of religiosity on customer’s patronage decision. The influence of customers’ satisfaction as mediation between service quality and customer’s patronage decision was also measured. Design/methodology/approach A structured questionnaire was developed and administered to a sample of 200 respondents. This research applied the exploratory factor analysis, the confirmatory factor analysis and the structural equation modeling to test the proposed hypotheses. Findings The findings indicate that customers’ religiosity behavior has a significant influence on customer’s patronage decision for selecting health insurance products. The results also indicated that the role of customer’s satisfaction as a mediator in between the relationship of service quality and customer’s patronage decision is significant. Research limitations/implications This research is a cross-sectional study consisting of 200 respondents. In addition, the elements of the sample were Malaysian customers using health insurance products and services. Practical implications This study suggests that customers of health insurance products are more concerned with perceived service quality and perceived satisfaction. The role of religiosity also plays a dominant role. As a result, managers of the health insurance service providers need to focus more on benefits of service varieties centered toward their target customers in order to gain higher patronage decision of health insurance products. Originality/value The study sought to address the gap of religiosity aspects in health insurance products through intensive literature and offer a conceptual framework that tested service quality, customer’s satisfaction and religiosity in one integrated model under the perspective of health insurance industry. More importantly, it also examines the influence of religiosity on patronage behavior, thus shedding insights into the opportunities for understanding consumers in detail.

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