Determinants of mobile and agent banking service adoption: evidence from selected commercial banks in Ethiopia

Abstract

The main purpose of the study was to examine determinants of mobile and agent banking service adoption: evidence from selected commercial banks in Ethiopia. The study specifically examined the effect of perceived trust on Agency banking adoption on Equity bank customers in Ethiopia, assessed the effect of perceived usefulness on Agency banking adoption on commercial banks customers in Ethiopia, and examined the effect of perceived ease of use on Agency banking adoption on commercial banks customers in Ethiopia. The study adopted the Technology Acceptance Model (TAM) to conceptualize the variables as used in the study. In the study, a case study research design was adopted; convenience sampling technique was used to select a sample of 81 customers from a population of the respondents. Quantitative and qualitative approaches were used to collect data from commercial banks customers with the help of questionnaires. In the study, analysis was done at different levels first with descriptive statistics, followed by correlation and later regression analysis. The findings of the study revealed that perceived trust was the strongest predictor of Agency banking adoption among commercial banks customers (Beta=0.368, p=.000), this was followed by perceived usefulness (Beta=0.272, p=0.004) and lastly perceived ease of use (Beta=0.261, p=0.007). The study recommended that efforts should be done to enhance perceived trust, perceived usefulness, perceived ease of use in a bid to increase agency banking adoption.