PROJECT-Impact of Internet banking services on customer loyalty

IMPACT OF EFFECTIVE INTERNET BANKING
SERVICES ON CUSTOMER LOYALTY
AIMS Institute of Higher Education 1
1.1 INDUSTRY PROFILE
Banks borrow cash by accepting funds deposited on current accounts, by accepting term
deposits, and by supply debt securities like banknotes and bonds. Banks lend cash by creating
advances to customers on current accounts, by creating installment loans, and by investment in
marketable debt securities and different varieties of cash loaning.
Banks offer completely different payment services, and a checking account is taken into account
indispensable by most businesses and people. Non-banks that offer payment services like
remittal firms area unit usually not thought of as associate degree adequate substitute for a
checking account.
Banks will produce new cash once they build a loan. New loans throughout the industry generate
new deposits elsewhere within the system. the money provide is sometimes augmented by the act
of loaning, and reduced once loans area unit repaid quicker than new ones area unit generated.
Activities performed by bank:
Activities undertaken with the aid of banks consist of personal banking, company banking,
funding banking, non-public banking, insurance, customer finance, foreign exchange buying and
selling, commodity trading, trading in equities, futures and alternatives buying and selling and
cash marketplace buying and selling.
Channels
Banks offer many distinctive channels to get entry to their banking and different services:
 Automatic teller machines (ATM)
 Mail: most banks take delivery of cheque deposits thru mail and use mail to speak to their
clients, e.g. via sending out statements
 Mobile banking is a way of the usage of one's cellular phone to conduct banking
transactions
 Online banking is a time period used for acting multiple transactions, payments and so
on, over the net

 Relationship managers, typically for private banking or enterprise banking, frequently
touring clients at their houses or organizations
 Video banking is a term used for performing banking transactions or professional
banking consultations through a remote video and audio connection. Video banking may
be performed thru purpose constructed banking transaction machines (similar to an
automatic teller machine), or through a video conference enabled bank department
explanation
Commercial Enterprise Models
A financial institution can generate revenue in a selection of various approaches inclusive of
interest, transaction prices and economic recommendation. The traditionally maximum good
sized method is via charging hobby on the capital it lends out to customers. The bank income
from the distinction among the extent of interest it will pay for deposits and different resources
of price range, and the extent of interest it fees in its lending activities.
This distinction is known as the spread between the fee of price range and the mortgage interest
rate. Historically, profitability from lending activities has been cyclical and dependent on the
needs and strengths of mortgage customers and the degree of the financial cycle. Fees and
financial recommendation constitute a greater stable sales movement and banks have
consequently positioned extra emphasis on these sales lines to clean their monetary overall
performance.
Type of banks
Bank‟s activities will be divided into:
 Retail banking :- Dealing directly with people and little businesses.
 Business banking : - Providing services to mid-market business.
 Company banking : - Directed at giant business entities.
 Non-public banking : - Providing wealth management services to high-net-worth people
and families.
 Investment banking : - Regarding activities on the money markets.

Most banks are profit-making, non-public enterprises. However, some are closely-held by
government, or are non-profit organizations
Types of investment banks
 Investment banks "underwrite” stock and bond problems, trade for his or her own
accounts, build markets, give investment management, and advise companies on capital
market activities like mergers and acquisitions.
 Merchandiser banks were historically banks that engaged in trade finance. The
definition, however, refers to banks which offer capital to companies within the type of
shares instead of loans. In contrast to venture caps, they have a tendency to not invest in
new firms
Other forms of banks
Central banks are usually government-owned and charged with quasi-regulatory responsibilities,
like superintendence industrial banks, or dominant the money rate. They typically give liquidity
to the banking industry and act because the investor of expedient in event of a crisis.
Internet Banking
There‟s no doubt that the banking industry has been greatly impacted by using the advent of the
net.
Today, maximum large countrywide banks, many regional banks and even smaller banks and
credit score unions offer a few shape of on-line banking. at some stage in the appearance of on
line banking the ones banks that offered the carrier mentioned themselves as "brick-to-click on"
banks, both to differentiate them from brick-and-mortar banks that yet to provide on-line
banking, as well as from on-line or "digital" banks that haven't any physical branches or tellers
The undertaking for the banking enterprise has been to layout this new carrier channel in such a
way that its clients will with ease discover ways to use and consider it. Customer agrees with this
is extremely essential in an industry that handles peoples life financial savings and checking
bills. Many banks ought to be cautious while imposing on line banking due to the fact they might

danger losing people consider from an internet site that is too frustrating to navigate or that feels
unsecured.
But, maximum of the big banks now offer fully comfortable, absolutely practical on-line banking
totally free. Some smaller banks provide limited access or capability, like viewing your account
stability and history; however do not offer on line transactions. As more banks have prevail
online and greater customers turn to on-line banking adversarial to conventional banking, on-line
banking has turn out to be as commonplace within the enterprise as using ATMs.
The general public can now be in even extra control in their money, the facts to be had and the
speed this is accessed by means of the internet and mobile gadgets make it all feasible. Statistics
is to be had at a click of a button and we can accomplish all our banking wishes with using the
net. It isn't vital any extra to bodily go to a retail financial institution location to deposit checks,
pay bills, all our credit or financial desires may be completed with the net. The time financial
savings and comfort of cellular banking is now 2d nature to the present day international.
Online banking gives customers with a convenient approach of conducting bank enterprise from
the consolation and protection of their personal home and personal pc. Customers can check
account balances and review other account records any time of the day or night time. Online
banking has modified the face of transactional enterprise and affects commerce across many
trades and industries.
1.2 THEORITICAL BACKGROUND OF THE STUDY
A review of theoretical background is needed because it is very important to know about service
quality, perceived price, trust, all these things are very vital in customer loyalty.
 Service Quality
On-line services (e-services) as deeds, efforts or performances whose delivery is mediate by info
technology. Such on-line service includes the service component of e-tailing, client support and
repair, and repair delivery. Besides that, the author additionally mentioned that there are three
characteristics of on-line service, that area unit technology mediation, info service and self-
service. On-line service is taken into account because the provision of service over electronic
networks like the web and includes the service product, service setting, and repair delivery that

comprise any business model, whether or not it belongs to a merchandise manufacturer or a pure
service supplier.
Service quality has become a district to be specializing in with this of e-services that change
transmission, military operation, dealing process and knowledge interchange between on-line
vendors and customers across time and area. Service quality has been outlined as a worldwide
judgment, or angle, with reference to the prevalence of the service whereby superiority is that the
gap during which sensible service on top of shopper expectation. In on-line setting, service
quality is outlined because the extent to that an internet site facilitates economical and effective
looking, getting and delivery of product and services delineated e-service quality as associate
degree overall client evaluations and judgments relating to the excellence and therefore the
quality of e-service delivery within the virtual marketplace.
In this extremely competitive age of e-commerce, delivering service quality through net sites is
an essential strategy to success and presumably plays a very important role than low worth and
web presence.
 Perceived Price
Delivering superior client price is a vital strategy for companies to achieve competitive
advantage and long run success. Client perceived price because the distinction between
prospective customers analysis of all the advantages and every one the prices of associate degree
offerings and therefore the perceived alternatives.
 Trust
Trust is a collection of specific beliefs which incorporates integrity, benevolence, ability and
foregone conclusion to be applied in e-commerce, specifically on-line looking context. The
definition is aligned with the past literatures wherever it's been most generally employed in
studies associated with current economic relationship that dealing buyer-seller and business
interactions.

 Customer Loyalty
Customer loyalty has been outlined as a deeply control commitment to re-buy most popular
product/service systematically within the future, thereby inflicting repetitive same-brand or same
brand-set getting, despite situational influences and selling efforts having the potential to cause
change behavior.
Loyalty consists of each activity and attitudinal dimensions, additional specifically, purchase
intentions word of mouth and commitment. Purchase intentions outlined because the propensity
to get a product or service at some purpose within the future. Client commitment refers to the
strength of relative ties, and therefore the want to keep up a relationship. Word of mouth outlined
as oral, person to person communication between a receiver and a mortal, whom the receiver
perceives as non-commercial, relating to a whole, a product or a service.
Online loyalty or e-loyalty is a consumer‟s intention to shop from an internet site. E-loyalty is
equally outlined as perceived loyalty towards a web website, with intent to return the location, or
to create procurement from it within the future. Therefore, e-loyalty refers to “perceived loyalty”
towards a web service supplier, as against actual loyalty behavior, like repeat visits/purchases.
Loyalty has been thought of to be one amongst the most keys to achieving company success and
property over. The high prices each company has got to face so as to win new customers build it
progressively necessary to strengthen the ties established with customers. Thus, getting higher
levels of loyalty is seen as a key objective for management, since this not solely helps to enhance
stability in company turnover, however additionally to scale back worth sensitivity, and build
contact networks to facilitate awareness and therefore the promotion of the services being
offered. Thus, holding customers become an additional enticing strategy for business to extend
profitableness than capturing new customers.
It‟s necessary not solely to win new customers, however to stay them over time and inspire the
repeat getting or consumption of the company‟s merchandise or services, additional highlighted
that loyal customers are additional inclined to suggest a web service supplier to alternative
customers. As a result, referrals increase the client base by lowering the prices of attracting new
ones.

Loyalty has been within the kinds of activity and attitudinal dimensions that consists of purchase
intention, commitment and word of mouth.
1.2 IMPORTANCE OF THE STUDY
Internet makes distances shrink. Once providing services on the web a bank doesn‟t have to
establish branches everywhere the country to achieve its customers. This alongside the
automation given by the web may be advantageous from the bank‟s purpose of read. At a similar
time net additionally will increase the gap between the client and also the bank since the client
cannot see or speak to the bank personnel. The contact between the bank and also the client
becomes a lot of impersonal, which could build it easier for customers to change to a different
bank.
The Internet additionally will increase the transparency, providing the client a clear stage to urge
a complete read over totally different banks out there within the market.
Once providing standardized services through the web, the bank cannot differentiate the service
through the looks and behavior of the employees or the branch location. Thus it's vital for banks
providing services on the web to differentiate them from competitors in alternative ways in
which.
Using net as a channel for banking, can somewhat amendment the stipulations of the past. Loyal
customers have forever been vital, however the ways in which during which customers develop
loyalty can be manifested otherwise once the web is concerned. Still, fairly very little has been
written in this domain; however I have done research on this topic.
1.3 NEED TO STUDY THE TOPIC
The study analyses how online banking services helps in gaining customer loyalty. Customer
loyalty is very vital in any service based industry and It‟s necessary not solely to win new
customers, however to stay them over time and inspire the repeat getting or consumption of the
company‟s merchandise or services, additional highlighted that loyal customers are additional
inclined to suggest a web service supplier to alternative customers. As a result, referrals increase
the client base by lowering the prices of attracting new ones.

2.1 LITERATURE REVIEW AND GAPS
As a part of my literature review I have taken few research papers into consideration. Below
literature review is a consolidated form of the research papers.
Sources and Authors: Customer Loyalty in an internet banking context – Erica Jannson, Effect
of E-Banking services on customer loyalty – Ammar Hamid, Impact of trust of Internet Banking-
Sidhrokh Goudarzi, E-Banking service quality and customer loyalty- Navneet kaur
The quantitative relation of net users is growing day by day globally the trend of mistreatment
net is swelling. Technology can amend the approach of firms doing business. It'll bring your
client nearer and can produce sturdy relationship. The utilization of net and technology is that the
most vital component to boost potency in business.
E-banking is outlined because the machine-controlled delivery of latest and ancient banking
product and services on to customers through electronic, collective communication channels.
The effective factors that area unit vital, like: service factor, trust, reputation, satisfaction.
The term client loyalty is employed to explain the behavior of repeat customers, yet as those that
provide smart ratings, reviews, or testimonials. Customer loyalty has importance in electronic
commerce. Client loyalty outlined as a deeply control commitment to re-purchase or re-patronize
a product/service systematically within the future. Client loyalty is significant to the continued
occupation of competitive markets; associated banks won‟t be an exception during this regard.
Client loyalty is a vital consideration for the success of the organization and it‟s an oversized
impact on the gain. Some customers do an excellent job by providing favorable word of mouth
publicity concerning a product, telling friends and family, and adding them to the quantity of
loyal customers. Client loyalty includes rather more, however; it‟s a method, a program, or a
bunch of programs intermeshed toward keeping a consumer happy therefore he or she is going to
give additional business.
To help making client relations to net bank customers, the bank sends individualized messages to
new customers. The client ought to feel that he or she gets special offers simply because he or
she is a web bank client. The web technique ought to be seen as a technical aid, principally for
standardized services. Big deals, like house loans, ought to still be created throughout a private

face-to-face meeting. It is assumed that client loyalty is extremely necessary though all of them
appear to speak concerning the behavioral variety of loyalty. It‟s the repeat purchase that helps
the bank to live and the respondents don‟t believe that customer‟s feel committed and dedicated
to at least one bank. The apprehension appears to be that customers do „shop around‟ and square
measure continuously needing to modification banks if the correct chance comes around. Thus it
would not be worthwhile to place an excessive amount of effort in aiming at all loyal customers,
even supposing it's fascinating.
The bank appears to place plenty of effort in informing, guiding and educating and also the client
concerning the web bank. This decreases the sensation of uncertainty and risk and will increase
the sensation of client management. Besides keeping the branches and phone lines as channels
for private contact, the bank co-jointly tries to customize the web bank. There square measure
potentialities for thus known as co-browsing furthermore as potentialities for patrons to line their
personal mark on the web website, one thing that may in all probability build the client feel safer
and happy and presumably strengthen the relation. The respondents co-jointly see the importance
of loyal personnel; however will the bank take any actions towards worker loyalty? And if thus,
is that this enforced throughout the complete organization? Here it might facilitate with a loyalty
program.
Gaps
Research Papers Findings Gaps
1.
Relationship between service quality and
customer loyalty
Security is what they haven‟t
talked about more.
2.
Concerned about more on satisfaction level
of the customers.
It doesn‟t talk about the
adoption of E banking services
3.
It talks about how to make customers aware
of E-Banking services.
Low rate to adoption.
4. Online trust amongst the customers
Privacy of the information
provided by the customers
should be ensured.

2.2 STATEMENT OF THE PROBLEM
All banks compete with each other to attract their customers in different ways by providing
convenient, accessible and acceptable services and products to their customers. One of the
importance‟s of these services is the electronic services that have contributed vastly to increase
the distance between costumers and bank. Because of some customers, electronic banking
services means easier, lower-cost, around the availability, and time savings in managing of
financial services, while for some customers, the complexity, risk and difficulties in accessibility
might lead to not using internet banking services.
Although the banks have recently taken much interest in generating customer value, they have
experienced high levels of dissatisfaction on the part of users. Hence, no matter how much effort
the banks put into their electronic services, if the customers do not understand the meaning or
value of using them, the electronic service itself will be meaningless. The banks must provide
distinctive services that give banks an opportunity to increase customer loyalty.
This study will address the following question:
To what extent E- banking services affect Customer Loyalty?
2.3 SCOPE OF THE STUDY
In banking industry establishing a warm and good relation with every customer becomes priority.
When good relations are established, it is easier for the customer to trust the bank and feel
committed to it, which gives the conditions for loyalty to develop. Keeping its customers is
essential for the bank because it is expensive to attract new customers. Using Internet as a
channel for banking, will somewhat change the prerequisites of the past. Loyal customers have
always been important, but the ways in which customers develop loyalty might be manifested
differently when the Internet is involved. Electronic banking, otherwise known as Internet
banking is increasingly popularized in the global market place in facilitating e-commerce.
This study will investigate how effective internet banking services increases consumer loyalty.

2.4 OBJECTIVES OF THE STUDY
1. To identify the internet banking services provided by banks in general.
2. To analyze the internet banking services provided by Bank of India
3. To understand the relationship between effective internet banking services and customer
loyalty
4. To analyze the impact of internet banking services on customer loyalty
2.5 SAMPLING TECHNIQUES
Sampling is a definite plan for obtaining sample from a given population.
Population: A population is the total of all the individuals who have certain attribute and are of
interest to a researcher.
Sampling Method: From the population of users of internet banking services customers of Bank
of India are chosen by stratified sampling. From the customers of Bank of India, internet banking
users are chosen. From this homogenous group of internet banking service users, a sample size is
chosen by convenient sampling.
Sampling Unit: Sampling for the study are the user of internet banking services of Bank of
India.
Sampling Size: The sample size chosen for this study is 200 users of Internet banking services
of Bank of India.
2.6 TOOLS OF DATA COLLECTION
To achieve the objective of the study, a survey will be conducted to collect data from the sample.
In total (200) questionnaires will be distributed to the customers in specific to the users of
internet banking services of Bank of India. The researcher will also personally interact with the
respondents to collect information.
a. Primary data will be collected through questionnaire and personal interview
b. Secondary data will be collected form
 Company Profile

 Internet
 Research Papers
2.7 DATA ANALYSIS
Total of (200) questionnaires will be distributed to the customers in specific to the users of
internet banking services of Bank of India and being analyzed through chart, graph and
percentages. All these graphs, charts and percentages will give deep understanding of the
effectiveness of internet banking services amongst the customers.
2.8 LIMITATIONS OF THE STUDY
Instead of using customers of all the bank branches sampled only few were used for this study,
this can affect the results of the study. Limitation of this study is the unwilling and denial to the
questionnaires administered to them. The last limitation to this study is that most of the
customers have either less knowledge or no knowledge on the E-Banking service and how such
service works.

Bank of India is a banking company with headquarters in metropolis, Mumbai, India.
Established in 1906, it‟s been government-owned since nationalization in 1969. Bank of
India has 4828 branches as on thirty one Dec 2013, as well as fifty six offices outside Republic
of India, which has 5 subsidiaries, 5 representative offices, and one venture. Bank of India could
be founder member of SWIFT (Society for Worldwide lay to rest Bank Money
Telecommunications), that facilitates provision of cost-efficient money process and
communication services.
Bank of India was supported on seven Gregorian calendar month 1906 by a bunch of eminent
businessmen from metropolis, Mumbai, India. The Bank was below non public possession and
management until July 1969 once it absolutely was nationalized together with thirteen different
banks. Beginning with one workplace in Mumbai, with a paid-up capital of Rs 50 lakhs and fifty
workers, The Bank has created an ascent over the years and blossomed into a mighty
establishment with a powerful national presence and sizable international operations
3.2 Vision
To become the bank of choice for corporate, medium business and up market retail customers
and developmental banking for small business, mass market and rural markets.
3.3 Mission
“To provide superior, proactive banking service to niche markets globally, while providing cost
effective, responsive service to others in our role as a development bank, and in doing so, meet
the requirements of our stakeholders.”

3.4 Quality Policy

3.5 Products and Services
1. Deposit Products
 Savings Account
 Savings Plus
 Current Account
 CD Plus
 Double Benefit Deposit
 Fixed Deposit
 Short Deposit
2. Loan Products
 Cash credit
 Overdraft
 Loan against Bank Deposit
 Loan against NSC, KVP, LIC policies etc.
 Agricultural Loan
 SSI Finance
 Star SSI Supreme Scheme, Priyadarshini Scheme etc.
 Star Home Loan
 Star Personal Loan
 Star Mortgage Loan
 Star IPO
 Star Autofin
 Star Education Loan
 Medimobile Loan
 Gold Loan
 Bullion Banking
 Bill Finance
 Bank Guarantee

 Export Finance
 Channel credit
 Corporate Loan
 Discounting Future Cash Flows
 Foreign Currency Swing
RESPONDENTS
Education
The primary thing which is required in internet banking services is education. Education has lot
to say, educated customers use internet banking services more than uneducated customers.
Customers having graduation and post graduation use internet banking services. Internet banking
services requires more of understanding the services which is being provided by the bank.
Adoption of internet banking services is more amongst the educated customer.

Questionnaire Analysis and Interpretation
4.1 Frequency of visiting bank branch per month?
4.1.1 Below table and chart shows frequency of visiting bank branch per month
Factors Number of Respondents Percentage (%)
<1 72 36
1-3 times 86 43
3-8 times 20 20
8-12 times 1 1
>12 0 -
Total number of respondents is 200
Source: Primary
Analysis
 Form the above table, it can be analyzed that out of 200 respondents 72 respondents
constituting 36% of the total have visited <1 times, 43% have visited 1-3 times, 20%
have visited 3-8 times, 1% have visited 8-12 times and no has visited more than twelve
times.

Interpretation
 Advancement of the technology people prefer online banking methods which they can do
in very ease manner.
 People still visit their bank branches for withdrawing large amount of cash or any kind of
investment options or making large amount deposits.
72
86
41
1 0
0
20
40
60
80
100
120
140
160
180
200
<1 1-3times 3-8times 8-12times >12
Frequency
Visiting bank branch
Frequency of visiting bank branch per month

4.2 The main reason that you generally visit your branch?
4.2.1 Below table and chart shows the main reason that respondents generally visit their
branch
Factors Number of respondents Percentage (%)
To make deposits 97 48
To get recommendation for investment choice 2 1
To inquire regarding balance 17 8
To withdraw money 51 26
Others 33 17
Source: Primary
Analysis
 Form the above table, it can be analyzed that out of 200 respondents 48% goes to make
deposits,26% goes for withdrawing money, 8% goes for checking their balance , 17%
goes for other purposes and least being investment choices.

Interpretation
 To make large amount to deposits people often visit their branch instead of depositing via
any machine and same goes for withdrawing money, large amount of money cannot be
withdrawn from ATM because it has certain limits. People visit bank for other purposes
also like making of draft, fixed deposits.
97
2
17
51
33
0
20
40
60
80
100
120
140
160
180
200
To make deposits Investment
choices
Regarding balance Withdraw money Other
Frequency
Reason for visiting bank
The main reason that you generally visit your branch

4.3 Are you user of internet banking?(Age)
4.3.1 Below table and chart show internet banking user by age
Age Number of Respondents Percentage (%)
<20 19 9
20-30 48 24
30-40 62 31
40-50 35 18
>50 36 18
Source: Primary
Analysis
 The above table predicts the number of internet banking users by age. Age is an
important factor in adoption of internet banking. The age between 20-30 and 30-40 this
combines around 55%.
Interpretation
 The probability of adoption of internet banking decreases when it comes to old people.
The younger the generation more they are used to technological advancements. The mid
age people are less adaptive than that of younger groups.
19
48
62
35 36
0
50
100
150
200
<20 20-30 30-40 40-50 50 & above
Frequency
Age
Internet banking users(Age)

4.3.2 Internet banking user (Educational qualification)
Below table and chart shows internet banking users (Educational qualification)
Educational Qualification Number of Respondents Percentage (%)
10th
8 4
12th
26 13
Graduate 90 45
Post Graduate 67 33
Others 9 5
Source: Primary
Analysis
 The above table predicts the number of internet banking customers by educational
qualification. The maximum number of internet banking users are mostly graduate‟s or
post-graduate‟s their combinations comes around 75%.
8
26
90
67
9
Ten Twelve Graduation Post Others
0
20
40
60
80
100
Educational Qualification
Frequency
Internet banking user (Educational qualification)

Interpretation
 Maximum numbers of internet banking users are well educated. Education plays a very
important role in changing the baking scenario. A college student attitude towards taking
up internet banking is very high, so internet banking is surely related to education.
4.1.3 Internet banking users (Occupation)
Below table and chart showing internet banking users (Occupation)
Occupation Number of Respondents Percentage (%)
Self Employed 39 19
Professional 67 33
Government Worker 31 16
Student 42 21
Others 21 11
Source: Primary
Analysis
 The above table predicts the number of internet banking customers by occupation. The
maximum numbers of customers are professionals. Professionals 33%, students 21%, self
employed 19%, Government worker 16% and others 11%.

Interpretation
 They have a busy lifestyle so they adopt internet banking more. Students are more likely
to adopt because they have become technology freak and they don‟t want to visit banks
more frequently. People holding high position in the government may hold internet
banking facility. Internet banking is helping busy professionals to stay in touch with the
bank very easily.
4.4 What was the most important reason that you selected this specific bank as your
Internet Bank?
4.4 Below table and chart shows the important reason to select specific bank for
internet banking
Traditional Account 89 44
Brand Name 11 6
Excellent Services 98 49
Others 2 1
Source: Primary
39
67
31 42
21
0
50
100
150
200
Self Employed Professional Government
Worker
Student Others
Frequency
Occupation
Internet banking users (Occupation)

Analysis
 The above table shows why customers have selected Bank of India as their choice of
internet banking. The maximum of the customers have chosen this bank because of
excellent services provided by the bank (49%), then because they have traditional
banking account with the bank (44%), then 6% for brand name and 1% for other reasons.
Interpretation
 The customers choose Bank of India of number of availability of ATM‟s, application
process is easy, low interest rates and availability of bank branches in foreign countries.
89
11
98
2
Traditional Bank
Account
Brand Name Excellent Services Others
0
20
40
60
80
100
120
140
160
180
200
Specific Reason for chosing
Frequency
Important reason to select specific bank for internet banking

4.5 Which of the following E-banking services are provided by your bank?
4.5.1 below table and chart shows following E-banking services provided by the bank
ATM 200 32
Telephone Banking 11 2
Credit Cards 65 10
Debit Cards 200 32
Mobile Banking 57 9
EFT 35 6
Internet Banking 56 9
Source: Primary
Analysis
 The above table shows 64% uses ATM and Debit cards,10% uses credit cards, 9% uses
mobile banking, 9% uses internet banking, 6% uses EFT and 2% uses telephone banking.

Interpretation
 The number of customers I have approached they all use ATM and Debit Cards. The
customer use this ATM and debit card because number of discount and features they are
providing. Adoption of credit card is there and then internet banking and now they
mobile banking which is new they have launched with packed up features.
200
11
65
200
57
35
56
0
20
40
60
80
100
120
140
160
180
200
ATM Telephone
Banking
Credit Cards Debit Cards Mobile
Banking
EFT Internet
Banking
Frequency
E-banking services
E-banking services provided by the bank

4.6 Which online banking services do you use?
4.6.1 Below table and graph shows online banking services used
Calculate loan payment info 34 7
Download loan application 21 4
Download personal bank transactions activity 153 31
Apply for consumer loans and credit cards online 47 9
Inter Account Transfers 106 21
Online bill payments 137 27
Others 4 1
Total number respondents is 200
Source: Primary
Analysis
 The above table shows the number customers using online services, 31% uses personal
banking transactions activities, 27% uses for online bill payments, 21% uses for inter
account transfers, 9% uses for applying consumer loans and credit cards, 7% uses for
loan information, 4% uses for loan applications and 1% uses for other reasons.

Interpretation
 Maximum people use internet banking because to know about their personal banking
transactions then online bill payments and then inter account transfers and then applying
for consumer loans and downloading loan applications and then about loan payment
information.
4.6.1.1 Use of Loan Payment information (Age)
<20 2 6
20-30 5 15
30-40 8 23
40-50 12 35
>50 7 21
Source: Primary
34
21
153
47
106
137
4
0
20
40
60
80
100
120
140
160
180
200
Loan
payment info
Loan
applications
Personal
Banking
transactions
Apply for
consumer
loans
Inter account
transfers
Online bill
payments
Others
Frequency
Online services used
Online banking services used

Analysis
 From the table we can see that loan payment information from age of 40-50 is more that
other age group of ages then 30-40, 40-50 uses loan payment information 35%, 30-40
uses 23%, >50 uses 21%, 20-30 uses 15% and <20 uses 6%.
Interpretation
 At the age of 40-50 people tend to do lot of investments in and around so take up loan
and access information online for easy interest payments.
4.6.1.2 Use of Loan Payment information (Educational qualification)
Ten 0 -
Twelve 6 18
Graduate 9 26
Post-Graduate 13 38
Others 6 18
Source: Primary
2
5
8
12
7
0
5
10
15
20
25
30
<20 20-30 30-40 40-50 >50
Frequency
Age
Use of Loan Payment information(Age)

Analysis
 From the table it‟s been seen post graduate people uses 38% of loan payment
information, then graduate people uses 26%, then higher secondary degree people uses
18% and other people 18%.
Interpretation
 Customer having post graduate degree access loan payment information then the graduate
ones then other people accesses their loan payment information for various purposes.
4.6.1.3 Use of Loan Payment information (Occupation)
Self-Employed 11 32
Professional 8 23
Government Workers 5 15
Student 6 18
Others 4 12
Source: Primary
0
6 9
13
6
Ten Twelve Graduate Post Graduate Others
0
5
10
15
20
25
30
Frequency
Use of Loan Payment information(Educational qualification)

Analysis
 The above table shows self employed people uses loan payment information 32%, the
professional people 23%, then student uses 18%, government workers uses 15%, then
12% used by other people.
Interpretation
 Self employed customer‟s access loan payment information because they may take
different kind of loans from the bank, then comes professional people wherein they loan
for buying a car or a house and least being the other type of people.
4.6.2.1 Downloading loan applications (Age)
<20 1 5
20-30 9 43
30-40 2 9
40-50 7 33
>50 2 10
Source: Primary
11 8 5 6 4
Worker
Student Others
0
5
10
15
20
25
30
Occupation
Frequency
Use of Loan Payment information (Occupation)

Analysis
 From the table it can be seen 20-30 age group people download loan applications more
they constitute 43%, then 40-50 downloads 33%, then 30-40 and >50 downloads 9 and
10% respectively.
Interpretation
 Loans applications downloaded by the age group 40-50 is more than the other age groups
then 40-50 and least being less than 20.
4.6.2.2 Downloading loan application (Educational qualification)
Ten 1 5
Twelve 1 5
Graduate 7 33
Post-Graduate 9 43
Others 3 14
Source: Primary
1
9
2
7
2
<20 20-30 30-40 40-50 >50
0
5
10
15
20
Age
Frequency
Downloading loan applications (Age)

Analysis
 From the above table, 19% are post graduate people who download loan application, then
graduate people 33%, then 14% done by other kind of people and 10th
and 12th
passed out
customers uses 5% respectively.
Interpretation
 From the above graph it can easily seen that customers having a post graduate degree
download loan applications more than the graduate one‟s. People more educated uses
internet banking more.
4.6.2.3 Downloading loan application (Occupation)
Self Employed 4 19
Professional 7 33
Student 6 29
Others 2 10
Source: Primary
1 1
7
9
3
0
5
10
15
20
Frequency
Downloading loan application (Educational qualification)

Analysis
 From the above table 33% loan applications are download by professional people then
29% by students, 19% by self employed people and 10% and 9 % by government
workers and other kind of people
Interpretation
 Professional download loan applications to buy a car or a house and can be many things
then the students download loan applications as require education loans to pursue higher-
education then the self employed people and least being the other kind of people.
4.6.3.1 Download personal banking transactions (Age)
<20 17 11
20-30 46 30
30-40 37 24
40-50 29 19
>50 24 16
Source: Primary
4
7
2
6
2
Workers
Student Others
0
5
10
15
20
Occupation
Frequency
Downloading loan application (Occupation)

Analysis
 From the above table and chart it can be seen that customers of age group between 20-30
access personal banking transactions is 30% then 30-40 is 24% then 40-50 is 19%, then
>50 is 16% and <20 is 11%
Interpretation
 Customers of age group 20-30 access personal banking transactions more than other age
group of people. People nowadays are very much tech savvy and much dependent on
technology and professional people are dependent on technology as because it is hard to
find time from busy schedule.
4.6.3.2 Download personal banking transactions (Educational qualification)
Ten 5 3
Twelve 25 17
Graduate 64 42
Post Graduate 51 33
Others 8 5
Source: Primary
17
46 37 29 24
0
20
40
60
80
100
120
140
<20 20-30 30-40 40-50 >50
Frequency
Age
Download personal banking transactions (Age)

Analysis
 From the above table it can be seen that people having graduate degree access to personal
banking transactions is 42% then post graduate people is 33%, then 12th
is 17% then
comes other kind of people with 5% and 10th
with 5%
Interpretation
 People having graduate degree access to personal banking transactions more than other
educated customers. Internet banking requires proper understanding of the process it is
associated with so most of the internet banking users is graduated or post graduated.
4.6.3.3 Download personal banking transactions activity (Occupation)
Self Employed 23 15
Professional 48 31
Student 30 20
Others 21 14
Source: Primary
5
25
64 51
80
20
40
60
80
100
120
140
Ten Twelve Grauate Post Graduate Others
Frequency
Download personal banking transactions
(Educational qualification)

Analysis
 From the above table it can be seen the professional people access personal transactions
constitutes of 31%, then government worker and students 20% each, then self employed
customers with 15% and the others with 14%.
Interpretation
 Professional people access personal transactions more than employed people.
Professional people are busy and find hard to come down to bank frequently so they have
access to personal transactions more, then comes student and government workers who
access to personal transactions more.
4.6.4.1 Apply for consumer loans or credit cards online (Age)
<20 0 -
20-30 21 45
30-40 17 36
40-50 6 13
>50 3 6
Source: Primary
23
48
31 30 21
Worker
Student Others
0
20
40
60
80
100
120
140
Occupation
Frequency
Download personal banking transactions activity (Occupation)

Analysis
 From the above table it can be seen that customers of age group 20-30 apply for
consumer loans and credit cards is 45% then 30-40 is 36%, and then 40-50 is 6% and nil
less than 20.
Interpretation
 Customers of age group 20-30 apply for consumer loans and credit because at this age
they might have various necessities. People with maximum necessities apply for
consumer loans and credit cards.
4.6.4.2 Apply for consumer loans or credit cards online (Educational qualification)
Ten 0 -
Twelve 7 15
Graduate 19 40
Post Graduate 16 34
Others 5 11
Source: Primary
0
21
17
6 3
<20 20-30 30-40 40-50 >50
0
5
10
15
20
25
30
35
40
45
Age
Frequency
Apply for consumer loans or credit cards online (Age)

Analysis
 From the above table it can be seen the customers who are graduate apply for consumer
loans or credit cards online is 45% then post graduated people is 36%, then 15% is 12th
,
other kind of people is 11% and nil in 10th
.
Interpretation
 Customers who are graduated apply for consumer loans or credit cards online then post-
graduated customers. Maximum people are graduate professionals so they apply for
consumer loans and credit cards online.
4.6.4.3 Apply for consumer loans or credit cards online (Occupation)
Self Employed 12 25
Professional 21 45
Student 2 4
Others 5 11
Source: Primary
0
7
19 16
5
0
5
10
15
20
25
30
35
40
45
Frequency
Apply for consumer loans or credit cards online
(Educational qualification)

Analysis
 From the above table it can be seen professional customers apply for consumer loans or
credit cards online is 45% then self employed people is 25% then government worker is
15%, then other kind of people is 11% and then students 4%.
Interpretation
 Professional customers apply for consumer loans or credit cards online. Professional
people are busy and find hard to make out time to come down to bank. A professional
person have various necessities then comes the self employed people then government
workers and then students and least being the other kind of customers.
4.6.5.1 Inter account transfers (Age)
<20 9 9
20-30 46 43
30-40 32 30
40-50 12 11
>50 7 7
Source: Primary
12
21
7 2 50
10
20
30
40
Worker
Student Others
Frequency
Occupation
Apply for consumer loans or credit cards online (Occupation)

Analysis
 From the above table it can be seen that customers of age group 20-30 do inter account
transfers is 43% then is 30-40 is 30%, then 40-50 is 11%, <20 is 9% and then >50 is 7%.
Interpretation
 Customers of age group 20-30 do inter account transfers more than other age group of
customers. Maximum in this age group are professional so much more tech savvy than
other age group people. Professional people are mostly educated.
4.6.5.2 Inter account transfers (Educational qualification)
Ten 2 2
Twelve 13 12
Graduate 48 45
Post Graduate 39 37
Others 4 4
Source: Primary
9
46
32
12 70
20
40
60
80
100
<20 20-30 30-40 40-50 >50
Frequency
Age
Inter account transfers (Age)

Analysis
 From the above table it can be seen the customers having a graduate degree do inter
accounts is 45% then post graduated people is 37% then 12th
passed out people is 12%
then 4% other kind of people and then 10th
is 2%
Interpretation
 Customers having a graduate degree do inter accounts more than kind of people then the
post-graduated people. Graduated and post graduated people are educated and have
knowledge about internet banking so they do more of inter account transfers.
4.6.5.3 Inter account transfers (Occupation)
Self Employed 17 16
Professional 53 50
Student 22 21
Others 1 1
Source: Primary
2
13
48
39
40
20
40
60
80
100
Frequency
Inter account transfers (Educational qualification)

Analysis
 From the above table it can be seen that inter accounts are done by the professional
people is 50%, then students 21% then self employed people is 16% , then government
workers 12% and then other kind of people 1%
Interpretation
 Inter accounts are done by the professional people who all find hard to come down to
bank and do paper work to transfer cash from one account to another then comes student
then self employed customers then government workers.
4.6.6.1 Online bill payments (Age)
<20 6 4
20-30 48 35
30-40 43 32
40-50 32 23
>50 8 6
Source: Primary
17
53
13 22
10
20
40
60
80
100
Worker
Student Others
Frequency
Occupation
Inter account transfers (Occupation)

Analysis
 From the above table it can be seen online bill payments made by the 20-30 age group
customers is 35% then is 30-40 is 32% then is 40-50 is 23%, then >50 is 6% and <20 is
4%.
Interpretation
 Online bill payments made by the 20-30 age group customers is more than other age
group then almost at par 30-40 age group customers. 20-30 and 30-40 age group are
much more tech savvy so they do online bill payments.
4.6.6.2 Online bill payments (Educational qualification)
Ten 2 1
Twelve 16 12
Graduate 67 49
Post Graduate 47 33
Others 7 5
Source: Primary
6
48 43
32
8
<20 20-30 30-40 40-50 >50
0
20
40
60
80
100
120
Age
Frequency
Online bill payments (Age)

Analysis
 From the above table it can be seen graduate people make number of online bill payments
is 49% then is post graduated people is 33% then 12th
is 12% , then other kind of people
is 5% then 10th
is 1%.
Interpretation
 Graduated people make number of online bill payments then comes post graduate people.
Most of the graduated people are professional workers so they do online bill payments
more.
4.6.6.3 Online bill payments (Occupation)
Self Employed 20 15
Professional 63 46
Student 32 23
Others 5 4
Source: Primary
2
16
67
45
7
0
20
40
60
80
100
120
Frequency
Online bill payments (Educational qualification)

Analysis
 From the above table it can be seen the professional customers do number of online bill
payments 46% then student 23% then self employed customers 15% then government
worker is 12% then other kind of people is 2%.
Interpretation
 Professional customers do number of online bill payments. They are not able to make
time out of their busy schedule so they make online bill payments then students and least
being other kind of people.
20
63
17
32
50
20
40
60
80
100
120
Worker
Student Others
Frequency
Occupation
Online bill payments (Occupation)

4.7 Indicate the services offered through E-Banking and ATM in your bank?
Withdraw of cash/Transfer of cash 189 20
Deposit cash or cheque 117 13
Balance check 191 21
Requesting cheque book 53 6
Paying utility bills 177 19
Check financial statement 193 21
Source: Primary
Analysis
 The above table shows check of financial statement and balance constitutes of 21% each
then withdraw or transfer cash is 20% then paying utility bills is 19% then deposit cash or
cheque is 13% and requesting cheque book is 6%.

Interpretation
 Most of the people use because to check financial statement of their account along with
credit card statements then check balance then withdraw cash or transfer cash then
depositing cash or a cheque then paying various utility bills. Most important being
checking of financial statement and balance check.
4.7.1.1 Withdraw of cash/Transfer money (Age)
Age Number of Respondents Percentage
<20 17 9
20-30 47 25
30-40 60 32
40-50 33 17
>50 32 17
Source: Primary
189
117
191
53
177
193
0
20
40
60
80
100
120
140
160
180
200
Withdraw or
transfer cash
Deposit of cash
or cheque
Balance check Requesting
cheque book
Paying utility
bills
Check financial
statement
Frequency
Services offered through ATM and E-Banking
Services offered through E-Banking and ATM in your bank

Analysis
 From the above table it can be seen the customers of age group 30-40 transfer cash online
is 32% then 20-30 is 25%, then 40-50 is 17%, then >50 is 17% and less than 20 is 9%.
Interpretation
 Customers of age group 30-40 and 20-30 transfer online or withdraw cash from ATM or
bank, mostly ATM. At this age group people are at working stage and maximum are
professionals. So they tend to transfer online.
4.7.1.2 Withdraw of cash/Transfer of money (Educational qualification)
Ten 3 2
Twelve 21 11
Graduate 89 47
Post Graduate 67 35
Others 9 5
Source: Primary
Analysis
17
47 60
33 32
0
20
40
60
80
100
120
140
160
180
<20 20-30 30-40 40-50 >50
Frequency
Age
Withdraw of cash/Transfer money (Age)

 From the above table it can be seen graduate people transfer money or withdraw cash is
47%, then post graduated people is 35%, then 12th
people 11%, and then other kind of
people 5% and 2% is 10th
.
Interpretation
 Graduate people transfer more of cash from one account to another, and then comes the
post graduated customers. Graduate and post graduate people are well educated and have
knowledge about internet banking so they transfer money online.
4.7.1.3 Withdraw of cash/Transfer money by occupation
Self Employed 29 15
Professional 73 39
Student 37 20
Others 21 11
Source: Primary
3
21
89
67
9
0
50
100
150
Frequency
Withdraw of cash/Transfer of money (Educational qualification)

Analysis
 From the above table it can be seen professional customers withdraw cash or transfer is
39%, then students 20%, then government workers and self employed 29% each and 21%
by other kind of people.
Interpretation
 Professional customers withdraw cash or transfer money from one account to another,
professional people have their busy schedule to go to the bank the student who finds it
easy to withdraw cash from ATM‟s or transfer money online rather than standing in the
queue then the government workers and self employed customers.
4.7.2.1 Deposit cash or cheque (Age)
<20 5 4
20-30 49 42
30-40 32 27
40-50 22 19
>50 9 8
Source: Primary
29
73
29 37 21
0
20
40
60
80
100
120
140
160
180
Worker
Student Others
Frequency
Occupation

Analysis
 From the above table it can be seen customers of age group 20-30 deposit cash or cheque
is 42%, then 30-40 is 27%, then 40-50 is 19%, then >50 is 8% and <20 is 4%.
Interpretation
 Customers of age group 20-30 deposit cash or cheque in ATM‟s rather than standing in a
queue in the bank that is much more time consuming. Maximum people do the same
nowadays.
4.7.2.2 Deposit cash or cheque (Educational qualification)
Ten 4 4
Twelve 15 13
Graduate 53 45
Post Graduate 33 28
Others 12 10
Source: Primary
5
49
32
22
90
20
40
60
80
100
<20 20-30 30-40 40-50 >50
Frequency
Age
Deposit cash or cheque (Age)

Analysis
 From the above table it can be seen graduate people deposit cash or cheque is 45% then
post graduated customers is 28% then 12th
is 13% , other kind of people is 10% and 10th
is 4%.
Interpretation
 Graduate people transfer or withdraw cash ATM‟s and almost maximum graduate and
post graduated people deposit cash or cheque through ATM‟s because they find it
convenient to do so. They have the knowledge how to do.
4.7.2.3 Deposit of cash or cheque (Occupation)
Self Employed 21 18
Professional 48 41
Student 22 19
Others 8 7
Source: Primary
4
15
53
33
12
0
20
40
60
80
100
Frequency
Deposit cash or cheque (Educational qualification)

Analysis
 From the above table it can be seen professional customers deposit cash or cheque
through ATM‟s is 41%, then student 19%, then self employed is 18%, then government
worker is 15% and other kind of people is 7%.
Interpretation
 Professional people find it easy and very convenient transfer cash or cheque through
ATM‟s then comes student customers then self employed people and then government
workers.
4.7.3.1 Balance check (Age)
Age No of Respondents Percentage (%)
<20 16 8
20-30 48 25
30-40 62 33
40-50 34 18
>50 31 16
Source: Primary
21
48
18 22
80
20
40
60
80
100
Worker
Student Others
Frequency
Occupation
Deposit of cash or cheque (Occupation)

Analysis
 From the above table it can be seen customers of age group 30-40 check their balance
online is 33%, then 20-30 is 25%, then 40-50 is 18%, then >50 is 16% and <20 is 8%.
Interpretation
 Customers of age group 30-40 check their balance online as they find it convenient. In
this age group maximum are professional people and they are well educated so they find
it easy.
4.7.3.2 Balance check (Educational qualification)
Ten 6 3
Twelve 23 12
Graduate 89 47
Post Graduate 64 33
Others 9 5
Source: Primary
16
48 62
34 31
0
20
40
60
80
100
120
140
160
180
<20 20-30 30-40 40-50 >50
Frequency
Age
Balance check (Age)

Analysis
 From the above table it can be seen people having a graduate degree is 47%, then post
graduated people 33%, then 12th
is 12%, then other kind of people is 5% and 10th
is 3%.
Interpretation
 Customer‟s people having a graduate degree access online balance check of their
accounts as it is an easy way to check balance rather than to bank and update their pass
books.
4.7.3.3 Balance check (Occupation)
Self Employed 39 20
Professional 66 35
Student 37 19
Others 20 11
Source: Primary
6
23
89
64
9
0
20
40
60
80
100
120
140
160
180
Frequency
Balance check (Educational qualification)

Analysis
 From the above table it can be seen professional customers is 35% who all checks
balance online then self employed is 20% then students is 19% then government workers
is 15% and others is 11%
Interpretation
 Professional customers access online balance check more they less time to go to bank and
update their pass books then self employed customers then comes student customers and
least being the other kind of people.
4.7.4.1 Requesting cheque books (Age)
<20 0 -
20-30 21 40
30-40 17 32
40-50 9 17
>50 6 11
Source: Primary
39
66
29 37 20
Worker
Student Others
0
50
100
150
Occupation
Frequency
Balance check (Occupation)

Analysis
 From the above table it can be seen customers of age group 20-30 requests cheque book
online is 40%, then is 30-40 is 32%, then 40-50 is 17%, then >50 is 11% and no one less
than 20.
Interpretation
 Customers of age group 20-30 and 30-40 requests online cheque books. Maximum is
these age group people are working and maximum are professional people so it is easy to
request cheque book online rather than going to bank.
4.7.4.2 Requesting cheque books (Educational qualification)
Educational Qualification Number of Respondents Percentage
Ten 0 -
Twelve 10 19%
Graduate 22 41%
Post Graduate 17 32%
Others 4 8%
Source: Primary
0
21 17
9 6
0
10
20
30
40
50
<20 20-30 30-40 40-50 >50
Frequency
Age
Requesting cheque books (Age)

Analysis
 From the above table it can be seen graduate customers requests cheque books is 41%
then post graduate is 32%, then 12th
is 19% and others is 11%.
Interpretation
 Graduate customers and post graduate customer‟s requests cheque books online as they
find it convenient. Graduate and post graduated customer‟s means that they are educated
and have knowledge of internet banking and how to use it.
4.7.4.3 Requesting cheque books (Occupation)
Self Employed 14 42
Professional 22 26
Student 5 9
Others 3 6
Source: Primary
0
10
22
17
40
10
20
30
40
50
Frequency
Requesting cheque books (Educational qualification)

Analysis
 From the above table it can be seen professional customers requests cheque books online
is 42% then self employed people is 26%, and then government worker is 17%, then
students 9% and 6% by other kind of people.
Interpretation
 Professional customers requests cheque books online as it is easy to order cheque books
online then comes the self employed customers who requires cheque books very often
because of amount of transactions then the government workers and then the students.
4.7.5.1 Paying utility bills (Age)
<20 12 7
20-30 46 26
30-40 62 35
40-50 35 20
>50 22 12
Source: Primary
14
22
9 5 3
Worker
Student Others
0
10
20
30
40
50
Occupation
Frequency
Requesting cheque books (Occupation)

Analysis
 From the above table it can be seen online bill payments made by the 30-40 age group
customers is 35%, then 20-30 is 26%, then 40-50 is 20%, then >50 is 12% and <20 is 7%.
Interpretation
 Online bill payments made by 30-40 age group customers are more than other age group
then age group of 20-30. In these age group maximum people are professional or busy
with their work so they online payment of their bills.
4.7.5.2 Paying utility bills (Educational qualification)
Ten 4 2
Twelve 21 12
Graduate 81 46
Post Graduate 62 35
Others 9 5
Source: Primary
12
46
62
35
22
<20 20-30 30-40 40-50 >50
0
20
40
60
80
100
120
140
160
Age
Frequency
Paying utility bills (Age)

Analysis
 From the above table it can be seen graduate customers pays utility bill is 46% then post
graduate is 35% then 12th
is 26%, others is 12% and 10th
is 7%
Interpretation
 Graduate customer‟s pays utility bill online mostly as seen from the table and chart. Next
are post graduated customers who use online to pay bills. These graduated and post
graduated people are educated so they how to pay bills online.
4.7.5.3 Paying utility bills (Occupation)
Self Employed 37 21
Professional 61 35
Student 36 20
Others 14 8
Source: Primary
4
21
81
62
90
20
40
60
80
100
120
140
160
Frequency
Paying utility bills (Educational Qualification)

Analysis
 From the above table it can be seen professional people pays their utility bills online is
35% then self employed is 21% then students is 20%, then government workers is 16%
and other 8%.
Interpretation
 Professional people pays their utility bills online as it is a convenient way to paying the
bills then the self employed people who pays their all kind of bills online and then
students and government workers.
4.7.6.1 Check financial statement (Age)
<20 12 6
20-30 48 25
30-40 62 32
40-50 35 18
>50 36 19
Source: Primary
37
61
29 36
140
20
40
60
80
100
120
140
160
Worker
Student Others
Frequency
Occupation
Paying utility bills (Occupation)

Analysis
 From the above table it can be seen age group of 30-40 checks their account and
downloads their financial statement is 32% then 20-30 is 25%, then 40-50 is 18%, then
>50 is 19% and <12 is 6%.
Interpretation
 Age group of 30-40 checks their account and downloads their financial statement as in
this age group maximum people are professional people or self employed people so it is
easy to check balance online rather going to bank branch.
4.7.6.2 Check financial statement (Educational qualification)
Ten 7 4
Twelve 19 10
Graduate 86 44
Post Graduate 65 34
Others 16 8%
Source: Primary
12
48 62
35 36
0
20
40
60
80
100
120
140
160
180
<20 20-30 30-40 40-50 >50
Frequency
Age
Financial statement (Age)

Analysis
 From the above table it can be seen graduate people checks financial statement online is
44% then post graduate customers is 34% then 12th
is 10%, then others is 8% and 10th
is
6%.
Interpretation
 Graduate people and post graduate people pays their utility bills online as it is easy for
everybody. They are more aware of these E-banking services and they are well educated.
4.7.6.3 Check financial statement (Occupation)
Self Employed 35 18
Professional 65 34
Student 42 22
Others 21 11
Source: Primary
7 19
86
65
160
50
100
150
Frequency
Check financial statement (Educational qualification)

Analysis
 From the above table it can be seen professional customer check financial
statement online is 34% then student is 22% then self employed is 18% then
government workers is 15% and others 11%
Interpretation
 Professional customer check their financial statement online as it a convenient
way, professional people are busy so they check their account statements online,
rather going to bank and updating their pass books.
35
65
30 42
21
Worker
Student Others
0
20
40
60
80
100
120
140
160
180
Occuaption
Frequency
Check financial statement (Occupation)

4.8 What is your opinion regarding E-Banking as new system of delivering banking
services?
4.8.1 Below table and chart shows opinion regarding E-Banking as new system of
delivering banking services
Vital 88 44
Essential 98 49
Desirable 14 7
Source: Primary
Analysis
 The above table shows what customers think about in adoption of internet banking. 49%
of the customers think it is vital, 44% thinks is essential and 7% thinks it is desirable.

Interpretation
 Customers who think it is still desirable, bank people have to convince them to use
internet banking.
88
98
14
0
20
40
60
80
100
120
140
160
180
200
Vital Essential Desirable
Frequency
Opinion
Opinion regarding E-Banking as new system of delivering banking
services

4.9 Are you satisfied with the E-banking services offered by the bank?
4.9.1 below table and chart shows satisfied with the E-banking services offered by the
bank
Factors Number of Respondents Percentage
Yes 174 87%
No 26 13%
Total number respondents is 200
Source: Primary
Analysis
 The above table and chart shows 87% are satisfied which constitutes 174 respondents and
26% says no which constitutes 26 respondents.
Interpretation
 Dissatisfaction level is very low here in this case; feedback from the customers to bank
will remove the dissatisfaction level among the customers.
174
26
Yes No
0
50
100
150
200
Satisfied with the services
Frequency
Satisfied with the E-banking services offered by the bank

4.10 According to you, what strategies can be used to encourage use of E-banking?
4.10.1 Below table and chart shows strategies that can be used to encourage use of E-
banking
Factors Number of Respondents Percentage
Incentives to E-Banking users 24 12
Intensive advertisement 30 15
Contacting each customer personally 32 16
Keep on reminding customers through communication 39 19
Demonstrating on a way to use services to them 33 17
Giving them guarantee of security and privacy 42 21
Source: Primary
Analysis
 The above table shows what all strategies to be used for encouraging customers for E-
Banking, 21% thinks security and privacy is most important then 19% thinks keep on
reminding the customers, then 17% thinks demonstrating the services, then 16% thinks
contacting each customer, then 15% thinks intensive advertisement and 12% thinks
incentives to E-banking users.

Interpretation
 Each customer has their own perceptions. Maximum people think that security and
privacy is the main factor why people don‟t opt for E-Banking. Secondly customers want
bank to remind them about internet banking, thirdly demonstrating about the services of
internet banking, fourthly contacting each customer in person, fifthly intensive
advertisement of internet banking i.e. bring awareness among the customers and lastly
incentives to the E-banking users.
24
30 32
39
33
42
Incentives to
Ebanking
Intensive
Advertisement
Contacting each
customer
Keep on
reminding
customers
Demonstrating
the services
Security and
privacy
0
20
40
60
80
100
120
140
160
180
200
Strategies
Frequency Strategies that can be used to encourage use of E-banking

4.11 In your own opinion what are the challenges facing the adoption of E-banking
techniques
4.11.1 The price of adopting is extremely high
Strong Agree 36 18
Agree 69 34
Neutral 27 13
Disagree 51 26
Strongly Disagree 17 9
Source: Primary
Analysis
 From the above table it can be seen 34% of the customers agree that the price of adopting
is extremely high and then 18% strongly agrees to it that is extremely high for adoption,
9% of the customers doesn‟t agree or disagree they are ok with anything. Majority agrees
that the price of adopting is extremely high.
36
69
27
51
17
0
20
40
60
80
100
120
140
160
180
200
Strongly Agree Agree Neutral Disagree Strongly Disagree
Frequency
Adoption price
The price of adopting is extremely high

Interpretation
 Majority agrees that the price of adopting is extremely high. People have very less
knowledge about internet banking people think they need smartphone or internet
connections to access internet banking, people can use ATM‟s to access many
information.
4.11.2 Traditional banking still stays the most effective choice for our clients
Strong Agree 36 18
Agree 71 35
Neutral 40 20
Disagree 45 23
Source: Primary
Analysis
 From the above table it can be seen 35% agrees to traditional banking still stands the way
for banking. Online banking has few problems like security and privacy and then 18%
strongly agrees to it traditional banking is more effective choice of banking. 20% of the
customers are ok with anything. Majority agrees traditional banking still more effective
choice of banking.

Interpretation
 Majority agrees traditional banking still more effective choice of banking. People have
very limited knowledge about internet banking people think they need smartphone or
internet connections to access internet banking, people can use ATM‟s to access many
information. Traditional banking takes much time wherein internet banking takes less
time.
4.11.3 The services are simply too expensive for the lower end consumers
Strong Agree 41 20
Agree 45 22
Neutral 36 18
Disagree 66 33
Source: Primary
36
71
40 45
8
0
20
40
60
80
100
120
140
160
180
200
Effectiveness of traditional banking
Frequency Traditional banking still stays the most effective choice for our clients

Analysis
 From the above table it can be seen 22% of the customers agree that the services are
extremely high priced for lower end consumers and then 20% strongly agrees to it that is
services are expensive for lower end consumers, 18% of the customers doesn‟t agree or
disagree they are ok with anything. 33% disagrees to the fact that it is not expensive.
Interpretation
 People have limited knowledge about internet banking people think they need
smartphone or internet connections to access internet banking, people can use ATM‟s to
access many information. Nowadays one can get a smartphone at a very low price from
he/she has access to net banking. Majority agrees that the services are expensive for
lower end consumers.
41 45
36
66
14
Strongly Agree Agree Neutral Disagree Strong Disagree
0
20
40
60
80
100
120
140
160
180
200
Services are expensive
Frequency
The services are simply too expensive for lower end consumers

4.11.4 No difference in profitableness as compared to branch banking
Strong Agree 21 10
Agree 57 28
Neutral 59 30
Disagree 51 26
Source: Primary
Analysis
 From the above table it can be seen 28% of the customers agree that the no difference in
profitableness as compared to branch banking and then 26% disagrees to it that is no
difference in profitableness as compared to branch banking, 30% of the customers
doesn‟t agree or disagree they are ok with anything.

Interpretation
 Though majority says there is no difference in profitableness but confusion is still there
amongst the customers and the banks. People have limited knowledge about internet
banking people think they need smartphone or internet connections to access internet
banking, people can use ATM‟s to access many information. People don‟t the difference
between branch banking and internet banking; there is lot of services in E-banking that
one may not know.
21
57 59
51
12
0
20
40
60
80
100
120
140
160
180
200
Profitableness compare to branch banking
Frequency No difference in profitableness as compared to branch banking

5.1 FINDINGS
The purpose of this study was to examine of the effect of E-banking services on customer
loyalty of Bank of India. This study produced several queries, and constructed several
graph and charts that mirrored the relation of the positive effects between study factors.
Several findings emerged that contributed to solve the study drawback, gave logical
answers to the study questions, and interpreted the graph and charts.
According to objective 1: To identify the internet banking services provided by the banks in
general.
 Characteristics of E-banking services demonstrated a positive result on customer value as
that can be seen in various charts and graphs.
According to objective 2: To analyze the internet banking services provided by Bank of India
 Customer‟s still now agrees traditional banking still stands the way for banking. 53%
agrees to that. Online banking has few problems like security and privacy. As seen from
the chart majority agrees traditional banking still more effective choice of banking.
 Customers use E-banking to check financial balance because to check financial statement
of their account along with credit card statements then check balance then withdraw cash
or transfer cash then depositing cash or a cheque then paying various utility bills and least
being requesting for cheque books. Customers are satisfied with the services they are
using.
 Maximum customers use internet banking because to know about their personal banking
transactions (31%) then online bill payments(27%) and then inter account transfers(21%)
and then applying for consumer loans and downloading loan applications and then about
loan payment information.
 Around 33% are professional customers use E-banking services more than any other
employed group people.
 Customers having higher education degree like graduation and post graduation degree
use internet banking services more with 45% and 33% respectively.

 Customers of age 20-30 and 30-40 consists 55% of total internet users. At this age
customers preferably working as professionals or being self employed.
According to objective 3: To understand the relationship between effective internet banking
services and customer loyalty
 Customer‟s finds adoption of E-Banking services is high price.52% agrees to the fact E-
Banking services is high price. As in the chart seen in the analysis chapter, majority
agrees to this fact adopting E-banking services is very pricey.
 Around 42% customer‟s finds that the E-banking services are extremely high priced for
lower end consumers. As seen in the chart majority agrees that the services are expensive
for lower end consumers.
 Around 38% customers find that there is no difference in profitableness as compared to
branch banking. Though majority says there is no difference in profitableness but
confusion is still there amongst the customers and the banks.
According to objective 4: To analyze the impact of internet banking services on customer
loyalty
 Characteristics of E-banking services demonstrated a positive result on customer loyalty
as seen in the chart 87% of the customers are satisfied with the services.
 E-banking services are very user friendly, customer‟s easy access and fast adoption of the
services.

5.2 CONCLUSION
This study says that concerning (33%) of customers aged less than 30 years, while (31%) of
respondents aged between (30 - 40) years. This indicates that adults with young adults are
extremely willing to take up e-banking services. The study confirmed the positive effect of E-
banking services on customer loyalty. Customers who are prepared to use new technology to
expertise the benefits of E-banking use E-banking features more. E-banking needs more
awareness of security and privacy, help customers know how the services work which will help
in more number of internet banking customers.

5.3 SUGGESTIONS
 Bank of India needs a lot of time to develop, and innovate new techniques to encourage
their customer‟s mistreatment E-banking services.
 It is important for Bank of India giving services electronically to differentiate themselves
from competitors. They need to produce info for customers on numerous competitive
services.
 It is important specialize in for banks to focus on the worth that the customer generates,
rather than the worth that banks can give to their customers.
 It is important to create customers conscious of the knowledge and relative benefits of E-
banking services.
 It is important to provide more security and privacy to the E-Banking users so they can
trust the E-Banking services
 The bank must maintain long term bonding with their customers so as to get the benefits
of a customer base loyal to the Bank.

BIBLIOGRAPHY
 http://www.bankofindia.co.in/english/home.aspx
 https://en.wikipedia.org/wiki/Bank_of_India
 http://www.diva-portal.org/smash/get/diva2:16045/FULLTEXT01.pdf
 http://academic-pub.org/ojs/index.php/ijecs/article/viewFile/1097/140
 https://www.academia.edu/4965030/EBanking_Loyalty_A_Review_of_L
iterature
 https://www.academia.edu/9719028/A_RESEARCH_PROPOSAL_ON_
THE_IMPACT_OF_INTERNET_BANKING_ON_CUSTOMER_RET
ENTION

PROJECT-Impact of Internet banking services on customer loyalty

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