This research aims to investigate the effects of customers' personal characteristics of age, gender, income, education, employment and marital status on their use of online banking in New Zealand. Advanced statistical tests are being conducted to learn about the effects of independent variables (age, gender, marital status, income, education and employment) on the use of online banking. RO2: To study how age, gender, income, marital status, employment status and education of customers affect the use of trends related to online banking (such as frequency and intensity of use).
RQ1: In what ways has traditional banking customer behavior changed in the online banking environment. According to findings from previous research, the most crucial demographic factors influencing the use of online banking services are age, gender, life stages, education, income and occupation. Age is a frequently studied demographic factor that has important implications for the adoption and use of online banking services.
Therefore, the use of online banking at work (even if they have a part-time or full-time job outside the home) is very unusual among women (Lichtenstein & Williamson, 2006). The above illustration shows a likely relationship between each personal characteristic of a bank customer and his or her use of online banking.
Survey development through focus groups
Intercept surveying techniques were also used in distributing survey postcards (see Appendix 1.13.1) to people in shopping centres, on the streets, cafes, morning markets and other public places in the Palmerston North, Levin, Feilding and Wellington regions for voluntary participation. The target sample size was 1067 (with the New Zealand adult population estimated at 4.5 million respondents with a margin of error of 3%, a confidence level of 95% and an estimated response rate of 20%)2 (see Appendix 1.14.3 for calculations of the sampling frame). The third phase of data collection includes follow-up interviews with survey participants who expressed interest in being interviewed in addition to the survey.
Previous research informs about data saturation in qualitative interviews, and therefore a total number of 25 interviews is aimed to avoid risks of lack of depth content and data saturation (Guest, Bunce, & Johnson, 2006). As the online survey was developed using ideas from focus group results and previous research support, it was tested for its accuracy in measuring the hypotheses, its clarity and understandability. The survey was piloted with a number of non-specialists who provided specific comments to improve the survey's content, instructions, length and overall layout.
The survey was launched on March 12, 2018, after which different interception techniques were used to spread it using postcards, social media and social contacts. A QR code for the survey was also created to allow participation through smartphones and tablets, in addition to using bit.ly URL for the survey and evites via Qualtrics software.
Response rate of online surveys
Ethical Issues and Limitations
Preliminary results
Respondent characteristics
In addition, the limited availability of resources such as time and finance can also affect the quality of research.
Results
It was interesting to note that approximately 98% of the total respondents were online banking users. In addition to determining the frequencies of each question, cross-tabulation was also performed to examine the relationship of one variable to another. Cross-tabulation is useful for this research because of its primary focus, which is to assess the effects of.
According to Malhotra (2019), cross-tabulations are often used in commercial market research to present the joint distribution of two or more variables, and this analysis helps in clearer interpretations of data and simplified insights into complex phenomena. For question 12, a cross-tabulation analysis is provided below that compared the dependent variable (ie, devices) with the independent predictor variables (age, gender, education, employment, income, and marital status). The first table shows a cross-tabulation between age and devices, showing the highest use of laptops and smartphones in the 40-64 age group.
The following cross-tabulation analysis between gender and devices shows that more women use laptops or smartphones, which is quite similar to men. A cross-tabulation analysis between employment and devices shows that the smartphone is the most used device among students, the unemployed and paid full-time and part-time workers.
Future analysis goals
While most people were expected to be married, with a partner or in a civil union, more married people used smartphones than tablets. I am also looking at running linear regression which will be useful in making predictions about the likely effects of one variable over another. Through logistic regression, the relationship between categorical dependent variable and one or more independent variables can be established using cumulative logistic distribution (Burns & . Bush, 2000).
Logistic regression does not assume linear relationships between dependent and independent variables, and does not require that the independent variables be. Quantitative data analysis is expected to be completed by October 2018, along with the analysis of qualitative interviews.
Research Timeline
Key references
Appendix
Survey Postcards for Recruiting Participants
Online Survey
This part of the survey will help me understand how personal characteristics influence the use of online banking. Q19 To what extent do you agree or disagree that there has been a change in your use of online banking as a result of your current marital status. Q20 Do you wish to comment on changes to your use of online banking due to your current marital status?
Q25 Would you like to comment on how your use of online banking differs from that of your children. I have age-related physical impairments that make it difficult to learn how to use online banking services (8). This section is to learn about the reasons for preferring branch banking over online banking.
Q33 To what extent do you think it may be difficult for you to switch from branch banking to online banking? Q34 Would you like to say something about the extent to which the switch from branch banking to online banking can be difficult for you? Question 36 Would you like to say something about your willingness to learn how to use online banking in the future?
The main purpose of this interview is to gather in-depth insight into individual experiences and get detailed opinions about your and your household's use of online banking.
Calculations for the representative sample size
Definition of terms
Summary: According to these respondents, losing physical contact with the bank branch is an obvious challenge. Respondents enjoyed driving or walking to bank branches and physical bill pay points in Palmerston North in the past, which provided them with valuable opportunities for social interaction with their children and bank staff. . One of the respondents argued that migration from branch to online can be considered as 'forced' migration as online media is gradually becoming inevitable.
These respondents felt that since the screen layout on mobile devices is much smaller, they perceive navigation issues and therefore prefer desktop banking. These respondents said that doing business between two separate banks is difficult, as cash leaving one bank can take up to 3 days to reach the account of the other bank, with no instant cash transfer services available. Summary: These people have been using online banking for a very long time for personal and professional use.
One lady claimed that spending habits differ from one age group to another (her daughter uses online banking for literally everything, while her mother doesn't even want to learn). Both respondents said they had no problem remembering long PIN codes and that their NZCU login screen was very secure. These women find online banking very useful in a variety of contexts and said they did not have to worry about wrong transactions or large amounts of money going to the wrong person, as they are not good savers anyway.
Summary: According to respondents, online banking has increased their financial control and financial management has become more "casual". Also important uses of online banking were Kiwi Saver account tracking, bill payments, transfers and carrying out transactions on the go. One of the respondents used desktop banking in most cases, while the other two were most comfortable with her mobile/tablet.
Usability is a problem, according to these respondents: "Phones are smaller and fingers are big" and "you can't see what you're doing on it". These respondents used telephone banking as well as mobile banking, and had used it for more than twelve to fourteen years (in Canada) to about five years. However, these respondents felt that banks should improve internal customer service as the lunch/break times of bank staff mostly coincide with the customers'.
