Customers' attitudes towards online banking services: an empirical analysis of the Maltese context

Abstract

The recent development and growth of the internet has altered the way many banks operate and the method by which consumers get across and view banking. One of the technologies which mostly help banks to be more efficient and profitable is Internet Banking (IB), also known as online banking. Internet Banking facility is generally viewed as a means that facilitates the lives of customers; but there is still a number of customers globally who have not yet adopted Internet Banking. However, this study is based on a Maltese context. Several studies have been conducted in order to examine customer acceptance of Internet Banking, however, so far, little attention is given to the factors precluding customers from using financial innovations. The purpose of this thesis is to point out the main reasons which prevent Maltese customers from using the Internet Banking facility. In conclusion of this study, it is shown that security concerns and perceived difficulty attached to the usage of Internet Banking are the two most common inhibitors of online banking adoption in Malta. The differences between the adopters and non-adopters categories were analyzed in order to identify why they do not respond in the same manner towards a common service. Moreover, the non-adopters of Internet Banking were segmented, in order to investigate the different perceptions of each segment. This thesis concludes with some recommendations to the banking sector regarding the attitudes of Maltese customers towards online banking.