The Effect of Perceived Usefulness, Reliability, and COVID-19 Pandemic on Digital Banking Effectiveness: Analysis Using Technology Acceptance Model

This study examined the digital banking effectiveness of a bank. This study specifically explored the effect of perceived usefulness, banking system reliability, and COVID-19 pandemic on the digital banking effectiveness of a bank in Malaysia based on the technology acceptance model (TAM). Data collection was undertaken using a questionnaire survey involving 228 clients of the bank. The findings indicated that two of the chosen factors, namely, perceived usefulness and reliability of the banking system, significantly influenced digital banking effectiveness. On the other hand, the findings also showed that the COVID-19 pandemic did not influence digital banking effectiveness, per the bank clients’ perspective. The study’s findings provide insight into the future financial direction and addresses consumers’ financial needs. In addition, the findings help develop an overview of the industry based on one of the prominent financial institutions in Malaysia.

[1]  Z. Arief,et al.  Digitalization in banking sector: the role of intrinsic motivation , 2020, Heliyon.

[2]  H. Sudarsono,et al.  The Effect of Covid-19 Pandemic on the Adoption of Internet Banking in Indonesia: Islamic Bank and Conventional Bank , 2020 .

[3]  C. Boshoff,et al.  “I just don't like digital-only banks, and you should not use them either”: Traditional-bank customers' opposition to using digital-only banks , 2020 .

[4]  M. Breitner,et al.  Influencing factors for the digital transformation in the financial services sector , 2020, Zeitschrift für die gesamte Versicherungswissenschaft.

[5]  Daniel Adrian Gârdan,et al.  The impact of COVID-19 on consumer behavior in retail banking. Evidence from Romania , 2020 .

[6]  Florentina Kurniasari,et al.  THE EFFECT OF PERCEIVED USEFULNESS, PERCEIVED EASE OF USE, TRUST, ATTITUDE AND SATISFACTION INTO CONTINUANCE INTENTION IN USING ALIPAY , 2020 .

[7]  S. Ishak,et al.  The impact of Covid-19 Movement Control Order on SMEs’ businesses and survival strategies , 2020, Malaysian Journal of Society and Space.

[8]  Nur M Ridha Tarigan,et al.  The Effect of Employee Competence on Increasing Employee Motivation in Sumut Bank of Sharia Unit, North Sumatera , 2020, Budapest International Research and Critics Institute (BIRCI-Journal): Humanities and Social Sciences.

[9]  O. Nguyen.  Factors Affecting the Intention to Use Digital Banking in Vietnam , 2020, The Journal of Asian Finance, Economics and Business.

[10]  Mohammed Amin Almaiah,et al.  Mobile Government Adoption Model Based on Combining GAM and UTAUT to Explain Factors According to Adoption of Mobile Government Services , 2020, Int. J. Interact. Mob. Technol..

[11]  R. Jayadi,et al.  Factors Influencing Customers to Use Digital Banking Application in Yogyakarta, Indonesia , 2020 .

[12]  Dr. Pallavi Pattan,et al.  A STUDY OF CONSUMER’S PERCEPTION TOWARDS FREQUENTLY USE OF TYPES OF E-PAYMENT SYSTEM IN INDORE DIVISION , 2018 .

[13]  E. Ghani,et al.  Enhancing Corporate Governance via XBRL: Preparers’ Perception on Compatibility Expectation☆ , 2014 .

[14]  Shweta Bajpai,et al.  Goodness of Measurement: Reliability and Validity , 2014 .

[15]  M. Tavakol,et al.  Making sense of Cronbach's alpha , 2011, International journal of medical education.

[16]  A. Haque,et al.  Issues of E-Banking Transaction: An Empirical Investigation on Malaysian Customers Perception , 2009 .

[17]  Fred D. Davis.  User Acceptance of Information Technology: System Characteristics, User Perceptions and Behavioral Impacts , 1993, Int. J. Man Mach. Stud..

[18]  Fred D. Davis.  Perceived Usefulness, Perceived Ease of Use, and User Acceptance of Information Technology , 1989, MIS Q..