A Study on Customer’s Satisfaction Towards E-Banking Services

(with Special Reference to Banking Customer of Bhopal City)

Research Project Submitted in Partial Fulfilment of the Requirements for the

Degree of BCOM Honours
By Rudrapriya Diwan
to the
DEPARTMENT OF COMMERCE
BHOPAL SCHOOL OF SOCIAL SCIENCES

April 2021
Submitted by Guided by
Rudrapriya Diwan Dr Vinod Kumar Adwani
Associate Professor
Department of Commerce

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 CERTIFICATE

It is certified that the work contained in the project report titled “A Study on
Customer’s Satisfaction Towards E-Banking Services (with Special Reference to
Banking Customer of Bhopal City),” by “Rudrapriya Diwan,” has been carried
out under my/our supervision and that this work has not been submitted elsewhere
for a degree*

Signature of Supervisor: …………….

Name: Dr. Vinod Kumar Adwani

Department: Commerce

Bhopal School of Social Sciences

April 2021

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 DECLARATION

I hereby declare that this project report entitled “A Study on Customer’s

Satisfaction Towards E-Banking Services (with Special Reference to Banking
Customer of Bhopal City).” was carried out by me for the degree of BCOM
Honours under the guidance and supervision of Dr. Vinod Kumar Adwani
Associate Professor of Department of Commerce, BSSS College. The
interpretations put forth are based on my reading and understanding of the
original texts and they are not published anywhere in any form. The other books,
articles and websites, which I have made use of are acknowledged at the
respective place in the text. This research report is not submitted for any other
degree or diploma in any other University.

Name of the Student: Rudrapriya Diwan

Class & Section: B.com (Honours), Final Year
Date:
Place: Bhopal

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 ACKNOWLEDGEMENT

I would like to thank our Principal Dr. Fr. John P.J. and Vice Principal Dr. Sr.
Sonia Kurien for their immense support and blessings. I thank our HOD Dr. Amit
Kumar Nag for his support. I would like to express my special thanks of gratitude
to my research guide Dr Vinod Kumar Adwani, Associate Professor of
Department of Commerce for his valuable suggestions and guidance and for
giving me the golden opportunity to do this wonderful research project on the
topic: A Study on Customer’s Satisfaction Towards E-Banking Services
(with Special Reference to Banking Customer of Bhopal City), without his
help it would have been difficult for me to have reached this state of completion
of my project report. Also, I would like to thank my parents and friends who
helped me a lot in the preparation of this project.
I wish to acknowledge the help of all those who have provided me with
information, guidance and other help during my research period

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 CONTENT

CHAPTER PARTICULAR PAGE

NO.
1. Introduction of the Topic 7-13
1.1 Rationale of the Study 8
1.2 Introduction of the industry 9
1.3 Justification of the topic 13
2. Review of Literature 14-20
2.1 International Reviews 15
2.2 National Reviews 17
3. Research Methodology 21-26
3.1 Objectives of the Study 22
3.2 Research Hypothesis 22
3.3 Scope of the Study 22
3.4 primary data study 24
3.5 Limitation of the study 26
4. Data representation & Analysis 27-49
4.1 Data representation & Interpretation 28
4.2 Hypothesis Testing 48
5. Results & Discussion 50-52
5.1 Major Findings 51
5.2 Discussions & Suggestions 52
5.3 Conclusion 52
6. REFERENCES 53-54
7. ANNEXURE 55-59

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 LIST OF FIGURES

Figure Title Page no.

No.
4.1 Gender of the Respondents 28
4.2 Age of the Respondents 29
4.3 Employment status of the Respondents 30
4.4 Annual Income of the Respondents 31
4.5 Place of Residence 32
4.6 Type of Bank Accounts 33
4.7 E-Banking Services used by the Respondents 34
4.8 Preference of E-Banking Services 35
4.9 Risk related to internet banking 36
4.10 Usage of E-Banking services 37
4.11 Convenience Measurement 38
4.12 Privacy Measurement 40
4.13 Cost Measurement 41
4.14 Ease of use 42
4.15 Security Measurement 44
4.16 Satisfaction Measurement 45
4.17 Improvement in the Quality Services Offered by the 46
Banks
4.18 Services as Per Customer’s Needs 47

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 CHAPTER: 1
INTRODUCTION
1.1 Rationale of the Study
1.2 Introduction to the company
1.3 Justification of the topic

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 Chapter I: Introduction of the Topic

1.1 Rationale of the Study

When every day is a race against time in our hectic lives, we look for ways to save time as
much as we can. E-Banking is one of the technology advancements that help consumers to
perform their financial transactions on a secured platform from a retail or automated bank,
credit union, or any financial institution. E-Banking, also known as electronic banking, is the
digital distribution of new banking services and products to customers directly through
electronic, interactive contact networks. When opposed to conventional banking, it offers many
advantages and strengths to customers. E-Banking is a simple and convenient way to obtain
24-hour access to your bank using a smartphone. E-Banking makes use of the internet as a
distribution mechanism for banking transfers. E-Banking services have made bank transfers a
thing of the past when it comes to everyday errands. Since online banking is one of the most
popular services provided by banks, it is also a very stable platform. Encryption systems are
often used by banks to ensure that all customer information is secure and that no data breaches
occur. It protects you from online fraud and account manipulation in the end.
Accessibility is not a problem.
You should rely on online banking even though it's the last day of your bill payment and you're
minutes away from being charged a penalty. Online purchases can be made at any time of day
from the privacy of your own home. Not just that, but instead of having to be physically there
for a large number of transfers, you can safely move funds at any moment and get them
completed in a matter of seconds.
There are no hidden costs. Given the ease, there are no undisclosed fees when using the internet
to do business. You are only paying a small processing fee, and the rest is handled by your
bank. Assured Convenience, while one of the many advantages of online banking is the ease
with which it can be accessed, it also makes banking very simple. There is no longer the reason
to stand in long lines at the bank. Transfers and withdrawals have since become smoother
thanks to most banks' mobile banking options. If you're caught in a traffic jam or at work, you
can complete transactions on the go. This makes it much easier to check your balance before
making cashless payments, saving you from humiliation if your account doesn't have enough
money to support your whole shopping list. Keep a close watch on the finances. Finally, having

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E-Banking and a decent budgeting application at your fingertips makes budgeting and handling
your account even easier. When making payments or calculating your monthly savings and
expenditures, you can keep track of real-time expenses. Online banking allows consumers to
access general information and accounts of bank products and services through PC or other
intelligent systems, which has a significant impact on the growth of more convenient payment
mechanisms and user-friendly banking services in the banking industry. With many of these
advantages and even more to come, it's impossible to justify not using online banking for faster
banking transfers. (yes bank, n.d.)

Customers who use E-Banking are more successful, loyal, and likely to recommend their bank
to friends and family than conventional banking customers. Online consumers also have better
balances, need fewer customer service, and have lower retention rates than offline customers.
Customers who use online bill pay and e-bill systems are satisfied with their banks, which turns
into deeper relationships.

1.2 Introduction to the industry

Madhya Pradesh is an Indian state. It is located in the heart of the country, as its name indicates
(Madhya means "central" and Pradesh means "place" or "state"). There is no coastline and no
international border in the state. It is bounded to the northeast by Uttar Pradesh, to the southeast
by Chhattisgarh, to the south by Maharashtra, to the southwest by Gujarat, and the northwest
by Rajasthan. Bhopal, the state's capital, is located in the state's west-central region. 119,016
square miles of land (308,252 square km). Madhya Pradesh is located on the border between
the Indo-Gangetic Plain to the north and the Deccan plateau to the south. Low hills, vast
plateaus, and river valleys define its physiography. Rock paintings and stone and metal tools
discovered in Madhya Pradesh's rivers, valleys, and other areas suggest that the region has been
inhabited since prehistoric times. Avanti, with its capital in Ujjain, was one of the earliest
kingdoms known to have existed in the area. This state was part of the Mauryan empire (4th–
3rd century BCE) and was later known as Malwa. It is situated in the western part of present-
day Madhya Pradesh. Attracted by the region's rich black soils, settlers migrated to Malwa
through three major migratory routes: from the western coast, the Deccan plateau, and the
ancient city of Shravasti and its surrounding territories in the north (Ayyar, 2020). There are
numerous places to visit in Madhya Pradesh that will satisfy the wanderlust of any traveller.

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Madhya Pradesh is every traveller’s holiday destination, with magnificent temples, rich
wildlife, stunning landscapes, and popular cities. The City of Lakes is known for its numerous
natural and artificial lakes and for being one of India's greenest cities. Bhopal was included in
the Sehore district. In 1972, it was divided into two districts, one of which was Bhopal.

The city was established in 1707 as the capital of the former Bhopal State, a British princely
state governed by the Nawabs of Bhopal. Bhopal is a city in Madhya Pradesh, a state in central
India. It is one of the greenest cities in India. The Upper Lake and Lower Lake are the two
largest reservoirs. Van Vihar National Park, situated on the banks of the Upper Lake, is home
to tigers, lions, and leopards. The State Museum houses a collection of fossils, drawings, and
rare Jain sculptures. The Taj-ul-Masjid is one of Asia's largest mosques, with white domes,
minarets, and a sprawling courtyard. The Taj-ul-Masjid and Taj Mahal palace are two examples
of heritage buildings from this period time. The city was devastated by the Bhopal disaster, one
of the worst industrial disasters in history, in 1984. In addition to cooperative credit institutions,
the Indian banking system includes 12 public sector banks, 22 private sector banks, 44
international banks, 56 regional rural banks, 1,485 urban cooperative banks, and 96,000 rural
cooperative banks. The total number of ATMs in India increased to 209,110 in August 2020
and is projected to reach 407,000 by 2021. According to the Reserve Bank of India (RBI),
India's foreign exchange reserve stood at $560.53 billion on October 23, 2020. The Reserve
Bank of India (RBI) announced that bank credit and deposits totalled Rs. 103.43 lakh crore
(US$ 1.39 trillion) and Rs. 143.02 lakh crore (US$ 1.92 trillion), respectively, in the fortnight
ending October. After that E-Banking first appeared in the United Kingdom and the United
States in the 1920s. It rose to prominence in the 1960s as a result of electronic funds transfers
and credit cards. In the early 1980s, the idea of web-based banking emerged in Europe and the
United States. It has been calculated that approximately 40% of banking transactions will be
conducted via the Internet. The late-1990s Internet boom raised people's satisfaction level with
performing online purchases. Despite the dot-com bust, E-Banking expanded alongside the
Internet. By the year 2000, E-Banking was available at 80% of US banks. Customer use
increased gradually. In 2001, Bank of America became the first bank to reach 3 million online
banking users, accounting for more than 20% of its overall customer base.

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The Indian Banking Sector and Information Technology

After independence, the Indian banking system has progressed from nationalisation to
liberalisation. It has seen the transformation of a sluggish corporate institution into a highly
proactive and competitive organisation. This transition has occurred. largely as a result of
liberalisation and economic reforms that allowed banks to rather than generating sales from
traditional sources, investigate potential market prospects. Borrowing and lending streams This
financial reform, which began in the early 1970s introduced a radically new operating
environment for banks. The banks were also selling their products and services through a
variety of creative and appealing technology-based multichannel. The method began in the
1970s with the introduction of computers as ledger posting machines. The use of technology
has been implemented in Banking operations have a wide range of back-office and customer-
facing tasks. Early in the 1980s, The Reserve Bank of India established two committees to
speed up the modernization of the banking system. operations in the financial industry A high-
level committee were formed under the auspices of the Under the chairmanship of Dr C.
Rangarajan, a phased strategy for computerization and automation was created. In the banking
industry, there has been a lot of automation. Banks are now using a range of innovative and
attractive technology-based multichannel to market their goods and services. With the
invention of computers as ledger posting machines in the 1970s, the system was born. Banking
operations use automation for a variety of back-office and customer-facing activities. The
Reserve Bank of India formed two committees to speed up the restructuring of the banking
system in the early 1980s. economic processes A high-level committee was organised under
the auspices of the and a phased plan for computerization and automation was established under
the chairmanship of Dr C. Rangarajan. Banks that once relied solely on the branch to provide
services have now begun to sell their products and services across several creative and
technology-based channels. Internet Banking, Automated Teller Machines, and other platforms
are examples of these. ‘ATMs,' 'Mobile Banking,' 'Phone Banking,' 'TV Banking,' and so on.
Any of these are E-banking or online-banking is the domain of new delivery networks. In the
type of digital banking, electronic banking has been around for a long time. Telephone transfers
and automated teller machines (ATMs). It has been more common in recent years. The internet
has changed everything – it's a digital distribution system that had enabled banking simpler for
its transactions.

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E-Banking in India

E-Banking is a relatively new phenomenon in India. The conventional banking paradigm has
been through branch banking. Non-branch banking services were only introduced in the early
1990s. The old manual systems that Indian banking relied on for centuries seem to have no
place today. ICICI Bank is responsible for the introduction of internet banking in India. In
1999, Citibank and HDFC Bank launched internet banking services. The Government of India
and the Reserve Bank of India have taken many steps to encourage the growth of E-Banking
in India. With effect from October 17, 2000, the Government of India passed the IT Act, 2000,
which offered legal recognition.
To deal with the pressures of the rivalry, Indian commercial banks have implemented several
initiatives, one of which is E-Banking. The competition has been internal disagreements for
public sector banks, as the newly formed private sector and foreign banks have emerged. E-
Banking provides three broad services: Convenience- Complete your banking at your leisure
in the privacy of your own house, there are no lines at an online bank,24x7 service- Bank online
transactions are available 24 hours a day, 7 days a week, 52 weeks a year. (LAL* &
SALUJA**, 2012)
In simpler terms, E-Banking is a banking arrangement that allows customers to conduct
multiple transactions over the internet that are end-to-end encrypted, i.e., totally safe and stable.
Paperless/cashless transfers are encouraged by E-Banking. It also comes with a set of
protections, obligations, and payments. E-Banking programmes include the following:
1.Internet Banking: A banking service offered to customers that allows them to conduct a
variety of monetary and non-monetary transactions through the internet, via the bank's
application or website.
2.Mobile Banking: Almost all banks have created mobile apps that allow users to make
transactions at the press of a button. This requires four things: a tablet, internet access, a
smartphone app, and mobile banking service available in your bank account.
3.ATM: Automated Teller Machine, also known as ATM, is one of the most popular and early
services offered by E-Banking. It is more than just a cash withdrawal machine; it also helps
you to check your account balance, pass funds, deposit funds, update your telephone number,
and change your Debit Card PIN, or Personal Identification Number.

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4.Debit Card: Debit cards are used in our daily lives to make a variety of transactions. Debit
cards are attached to the customer's bank account, meaning the customer simply has to swipe
the card to make payments at POS outlets, internet shopping, and ATM withdrawals. In this
manner, the balance is automatically withdrawn from the user's account.
5.Credit Card: A credit card, like a debit card, is a payment card that banks give to consumers
upon their request after reviewing their credit score and records. It allows the cardholder to
borrow and pay for funds up to the pre-approved cap. The card's cap is set by the banks that
issue the card. For the use of a credit card, the cardholder decides to refund the balance within
a defined period, subject to such penalties.
6.Electronic Fund Transfer (EFT): This is the term used when money is transferred
electronically from one bank to another. Which includes direct debit, direct deposits, wire
transfers, NEFT, RTGS, IMPS, and other methods.
7.Point of Sale (POS): A point of sale system refers to a point, in terms of date, time, and
position (retail outlet), where the customer makes a payment for the product made or services
offered, using a plastic card (business jargons, 2021).

1.3 Justification of the topic

The study has been conducted to thoroughly analyse and investigate the degree of satisfaction
towards E-Banking services. This study aim is to assess and understand the intent of using
internet banking, the motives for choosing internet banking, consumer satisfaction towards E-
Banking services, and to identify customer's problem. This study helps in knowing how far the
modern E-Banking services are used by the customers. The primary data for this study is
collected using a well-structured questionnaire filled out one-on-one by the residents of Bhopal
city.

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Chapter 2: Review of Literature
2.1 International Reviews
2.2 National Reviews

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2.1 International Reviews

S. Fatemeh Sakhaei, 2014 In his research on the effect of service quality factors of Internet
Banking on customer satisfaction in Iran, has evaluated the relationship between service quality
and customer satisfaction and examines the effects of service quality on customer satisfaction
by the use of Internet Banking services. According to the findings, six service quality
dimensions, namely dependability, performance, responsiveness, fulfilment, security/privacy,
and website design, have a substantive relationship with customer satisfaction and Internet
Banking.

(A.P.P. Perera, 2018) the paper talks about how internet banking services impact customer
satisfaction, the information was gathered from 285 customers who used internet banking
facilities at the Bank of Ceylon's Panadura Branch using a formal questionnaire and face-to-
face interviews. The study tested seven theories about the relationship between seven aspects
of internet banking and customer satisfaction. According to the findings, performance, device
availability, and rewards have a major and positive impact on customer satisfaction, while
fulfilment, confidentiality, and responsiveness have no significant impact on the degree of
customer satisfaction. The results have shown that touch and reliability are the most affected
variables that increase the satisfaction level of internet banking customers. The methodological
evidence aided in understanding the relative effectiveness of internet banking service values,
which would aid policymakers in developing quality services.
dimensions designed to boost customer satisfaction.

(Adewuyi, 2014)Have conducted a study on electronic banking product and service in Nigeria.
Their results revealed that all banks provide at least one form of electronic services, such as E-
Banking, even though many E-Banking schemes have been adopted and embraced by
customers, e-payment is the most commonly used E-Banking solution.

(Hindu J. Amin P. E., 2018)According to another researcher, customer satisfaction is the source
of service efficiency. Efficiency and satisfaction are not the same things. There is no agreement
about how to define service efficiency and customer satisfaction. Any organisation expects
service efficiency to increase customer satisfaction.

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(Jane M. Kolodinsky, 2004)This study explores the factors that influence the adoption or plan
to adopt three E-Banking technologies, as well as changes in these factors over time. Using a
data collection commissioned by the Federal Reserve Board, the paper discovers that relative
benefit, complexity/simplicity, compatibility, observability, risk tolerance, and product
participation are all correlated with adoption. Adoption is affected by factors such as income,
assets, education, gender, marital status, and age. Adoption has developed over time, but the
influence of other factors on adoption have not. The consequences for the banking sector as
well as public policy are discussed.

(Emad Hashiem Abualsauod, 2020)This research aims to create a conceptual context for OB
(online banking) by understanding the interactions of stakeholders in the banking industry, as
well as to identify OB quality gaps based on relevant literature. There were five online banking
quality gaps found, as well as three phases of customer engagement with online banking
systems. As a result, the ultimate goal of this study is to assess the impact of such quality
differences on customers' willingness to use OB in Saudi Arabia, as well as customer
satisfaction with OB. Gaps in technology and human interaction were discovered to have a
huge impact on customers' ability to use OB.

(Khan, 2017)According to the current study, E-Banking has radically changed the banking
industry by offering enormous opportunities to its customers. It is a borderless arrangement
that gives its customers to bank whenever, wherever, and anywhere they want. On the other
hand, it raises the risk of using conventional banking. Because of its many benefits, online
banking transactions are now approved by the overwhelming majority of customers. There is
a strong connection between E-Banking and customer satisfaction. Customers are committed
to using the service, and banks can maintain the majority of their users' attention.

(Khrais, 2013)This study aims to look into the important determinants that make it easier
for customers to use E-Banking services. The survey method is used in this study to investigate
the relationship between independent and dependent variables. Data was collected using
questionnaires that were followed by a letter explaining the intent of the study and assuring
respondents of the confidentiality of their responses; the participants were online banking users
in Poland. To test hypotheses and accomplish goals, statistical instruments were used; hence,
the analysis is descriptive, and quantitative methods were used.

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(Hua, 2009)The study deals with the acceptance of online banking in China The study aims is
to look at users' perceptions of online banking, the ease of use of the platform, and the privacy
policies offered by the online banking website. The perceived ease of use and privacy policies,
as a result, have a huge effect on consumer adoption of online banking. This research also
considers the relative importance of perceived ease of use, privacy, and protection. Privacy and
protection are more important than perceived ease of use. The most important factor affecting
user adoption is security. In the end, there is a summary of the consequences of these findings
as well as their limitations.

(Jamil Hammoud, 2018)This study aimed to investigate the relationship between the factors of
E-Banking service quality and customer satisfaction to decide which component has the
greatest potential impact on customer satisfaction. Responses were extracted by the use of a
survey instrument, which was distributed to bank clients in the Lebanese banking sector. The
data was statistically analysed using SPSS. According to the results, dependability,
performance, and ease of use; responsiveness and communication; and protection and privacy
all have a major effect on consumer satisfaction, with dependability having the greatest impact.

2.2 National Reviews

(Dr. S. Sangeetha, 2020) studies the customer’s satisfaction towards E-Banking Services
and its impacts on banks. Electronic Banking technology is useful to customers as well as banks
and other organizations. and there is no significant difference between personal factors like
age, profession, annual income and category of the bank chosen and the satisfaction level of
the customers.

(Dr. Jagdeep Singh, 2018) investigates the effect of E-Banking on service quality Likert scales
with five points have been established. To accomplish this task, the Service quality model was
extended to 42 statements. A total of 42 statements were included. Respondents were requested
to score these products on a scale of 1 to 5 based on their interactions with E-Banking services.
The effect of E-banking on service quality was examined using nine factors: connectivity,
tangibility, understanding, credibility, stability, access, responsiveness, competence, and
reliability, all of which have a major impact on service quality. According to the findings of

17
the study, there is a major difference between the various factors influencing the use of E-
Banking. These considerations should be addressed by E-Banking service providers to offer
high-quality banking services to their customers.

(Rajput, 2015)explores customer satisfaction of online banking systems and its consequences
for banks. This paper aim is to assess consumer perceptions towards E-Banking facilities. The
data was collected via questionnaire and descriptively evaluated using percentages and
ANOVA. Customers were discovered to be using E-Banking systems such as ATMs, home
banking, including the use of payment cards, it can be inferred that about 45 per cent of people
have a favourable view of and are satisfied with E-Banking. ATM withdrawals, bill payments,
and bank statement retrieval are all common E-Banking services.

(Vikas Chauhan and Vipin Choudhary, 2015) discusses the problems and opportunities
associated with internet banking in the Indian competition, the analysis concludes that the
concept of online banking is increasingly gaining momentum. Gaining recognition in the Indian
context, and efforts are being made by government departments to increase its popularity
among customers. some of the challenges such as Security risks, Privacy concerns, distrust,
and a general lack of knowledge among consumers regarding E-Banking is serving as a bridge
in the adoption of E-Banking services. Considering the difficulties, and the risks associated
with E-Banking, the government of India, with different government departments is working
to make E-Banking even more secure, safe, and dependable. Beginning with the fact that the
way banks used to work has changed as a result of the incorporation of the internet into
financial institutions. The launch of the internet in Banks have been modernised as a result of
the banking organisation. Implementation Online banking has helped both banks and
customers.

(D, A Study of Consumer Awareness towards e-Banking, 2016)The study deals with the
consumer's behaviour toward the E-Banking system According to the findings of the survey,
consumers have a positive outlook. The biggest barrier to using the E-Banking facility is a lack
of information about banking operations. Respondents also agree that E-Banking systems are
too difficult to use, and a few respondents believe that E-Banking is dangerous. This study is
based on primary data for analysis. According to the findings of the study, the majority of bank
customers are aware of all banking facilities. Banks must also take the appropriate steps to
inform customers about emerging technologies and other services provided by the banks.

18
(Kavitha.S, 2016)According to the research, the banking sector is the dominant sector, which
is regarded as the gateway to savings for the general public and the government, which is a
source of GDP. The research is based on secondary data. The study's tools included trend and
compound Annual Growth Rate (AGR). According to the analysis, E-Banking is both a
strength and weakness and the banking sector will be able to solve all of the obstacles in the
coming years.

(.P.V, 2016)The demonstrates that online banking allows for a greater understanding of
customers' attitudes toward technology. The research is primarily focused on primary data
collected via the distribution of questionnaires to 200 Coimbatore residents. The tools used are
basic percentage analysis and chi-square analysis. According to the study, banks adopt new
technology to satisfy their customers and to improve the way services are delivered to attract
new customers.

(Raghavendra.B, 2016) The study focuses on selected public sector banks and consumer
opinion from a single region with a similar social background resulting in prompt response,
confidentiality, web design, and ease of use of factors affecting customer
satisfaction. Customer satisfaction is influenced by the customer's gender, age, education, and
income level. The scope of the analysis is limited to investigating customer satisfaction with
internet banking services offered by banks and. Furthermore, the study focuses on mobile
banking, bank support services, and private banks for exploration. Components that core
banking solutions allowed Indian banks to provide excellent customer service. Internet
developments are paving the way for more efficient and innovative banking. ATMs have been
widely adopted to avoid customer queues, to bank more easily, and to make use of information
authentication. Nowadays, public sector banks are well-equipped with tools and technology to
meet the needs of their customers. ANOVA, coefficient, and variance are the methods used in
this analysis.

(Samsunisa. A, 2016)the study aims to identify the factors that affect customer's adoption of
Internet banking services in Chennai, as well as to investigate the relationship between Internet
banking service adoption and demographic factors. The primary data collection instrument was
a Questionnaire designed on a 5-point Likert scale to collect quantitative data. The findings
indicate that demographic factors such as education, place of residence, and income all play a

19
positive role in the adoption of banking technology. According to the study, with the change in
the banking industry, consumers are ready to embrace Internet Banking because it offers certain
values and benefits while saving time and effort.

(Dr. Geeta Sharma, 2014)It has been analysed that internet banking service quality is a key
issue to maintain customer satisfaction. Website ease of use, comfort, accessibility, confidence
and responsiveness is the major integral determinants of internet banking services quality. An
understanding of the factors identified in this study allows bank managers and policymakers to
direct efforts and resources most effectively and efficiently to increase bank business in the
long run. The research seeks to make an original contribution to knowledge by investigating
the impact of internet banking service quality on customer satisfaction in the Indore district of
Madhya Pradesh.

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 Chapter 3
Research Methodology
3.1 Objectives of the Study
3.2 Research Hypothesis
3.3 Scope of the Study
3.4 Primary data Study
3.5 Limitation of the Study

21
3.1 Objectives of the Study

1.To study the relationship between security towards the satisfaction level of customers using
E-Banking services of Bhopal city.
2.To study the relationship between convenience and satisfaction level of the E-Banking
customer of Bhopal city.
3.To study the effect of E-Banking on quality services and customer satisfaction.

3.2 Research Hypothesis

H01: There is no significant relationship between security measurement towards the satisfaction
level of the E-Banking customer.
H02: There is no significant relationship between Convenience measurement towards the
satisfaction level of the E-Banking customer.

3.3 Scope of the Study

The study focuses on E-Banking and the variables that impact E-Banking users in Bhopal, as
well as the level of customer satisfaction with these services. It also allows everyone to see
how many new banking services are used by consumers. The research goes on to say that
modern facilities help to build a stronger relationship with consumers. Customers nowadays
want banking services to be available 24 hours a day, seven days a week. Because of the
extensive use of internet technologies, the entire banking system has changed in the current
era. E-Banking has given all customers the ability to operate across borders. E-Banking is an
electronic payment system that allows a bank or financial institution's customers to perform
financial and non-financial transactions over the internet. Customers can use this service to
access almost every banking service that was formerly only accessible at a local branch, such
as fund transfers, withdrawals, and online bill payments. It is a system designed for online
banking that helps customers to reach them to bank account easily and safely.

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E-Banking

E-Banking is a safe, fast, simple, and effective electronic service that allows users to access
the bank account and conduct online banking transactions 24 hours a day, seven days a week.
This service allows users to save time by allowing them to make banking transactions from any
location and at any time, whether at home or work. The study aims to assess and analyse
consumers' attitudes toward E-Banking. Bankers care about customer perception and they can
only understand and decide what the customer needs and how the E-Banking service can satisfy
them if they know what they want. E-Banking in Bhopal will be discussed in terms of certain
factors. Online banking is a simple and efficient way for consumers to handle their finances
without having to visit the bank and from any location, as it is open 24 hours a day, 365 days
a year. The study aims to determine customer’s preferences for E-Banking services, as well as
the reasons for their preferences, and to measure convenience, privacy, cost, ease of use,
protection, as well as to study the level of satisfaction with E-Banking services and
customer's perceptions of E-Banking services with the level of effectiveness offered through
online banking. The preference of E-Banking services Account balances and activity reports
can be accessed with easy-to-set-up, automatic payment, users can pay their bills automatically
each month can Transfer money and for certain tax or personal documents, users can download
or print statements. And Users can log in to the system at any time. And the risk related to
online banking includes Risks associated with online banking include, online hacking of the
Login Code/User ID/Username, PIN/Password, virus attacks, fraud, unauthorised access, and
data theft.

History of Bhopal city

The study is conducted in Bhopal city which is located in the heart of the state of Madhya
Pradesh, the city of Bhopal is located between North Latitude 23°16' and East Longitude 77°36'
in India. The city of Bhopal is situated in Madhya Pradesh's north-western zone. Bhopal is
situated in the country's central zone, as seen on a map of India. Bhopal is bordered on two
sides by two wide and magnificent lakes. Bhopal, like a few other major cities in the world, is
divided into two parts: the old city and the new city. The northern part of the city is known as
Old Bhopal, while the southern part is known as New Bhopal. The Upper and Lower Lakes of

23
Bhopal City are the two lakes that make up the city. Bhopal has a population of 2,447,000
people and over 430+ banks.

3.4 primary data study

Population
Bhopal has a population of 1,798,218 people (17.98 Lakhs)
Female Population 862,050
Male Population 936,168
1,320,675 individuals are literate.

Sample
Urban and rural account holders of Bhopal city.

Sample Size
110 account holders

Sampling Method
Convenient Random sampling method

Analysis of data

The study used the primary source to know about the preferences of people who use E-Banking
services. The study was undertaken using an online survey method. A questionnaire is
circulated among the inhabitants of Bhopal city, which has a population of 1,798,218 people,
and their responses are collected to obtain data for the appropriate test to be performed for the
analysis. The questionnaire was circulated through the internet, e-mail, and posting on social
media and web sites, and it was a comprehensive collection of data from consumers of E-
Banking services. The survey, which consisted of 20 multiple choice questions, was scheduled
to take no longer than two minutes to fill the questionnaire. The researcher will verify the data
right away via email. When waiting for the optimal number of responses to aggregate, it allows

24
researchers to do preliminary analyses on collected results. In comparison to other polling
techniques, online surveys have a range of advantages. Respondents will finish it according to
their own time, which saves time for analysts because the data is automatically processed
online, making interpretation simpler. The questionnaire for this study was generated through
Google Forms, and a link to the questionnaire was sent to the participants at random, and
participation was voluntary as they were agreed to involve in the study. The analysis of data is
using descriptive statistics. (Kothari, 2004)

Primary Data
The questionnaire included demographic details, personal information such as name, gender,
age, educational qualification, employment status, annual income, place of residence and
questions relevant to the usage of banking services as well as preferences and satisfaction with
E-Banking services, under 5 major heads of Convenience, Privacy, cost, security, and ease of
use. It was used to obtain the sample's opinion as a data collection method. The data was then
gathered and analysed using a tabular presentation, as well as graphical representations and
related tests. The benefits of using a quantitative survey are that it is versatile, since multiple
questions can be asked on any particular subject, and it allows for broad sample sizes. The total
sample size for the quantitative survey study is 110 participants, who were chosen using a basic
random sampling method from all of Bhopal's population.

Secondary Data
Secondary data was gathered from books, magazines, and blogs, allowing the researcher to get
a better understanding of the issue area from the perspectives of other authors. Studying the
sources of relevant papers to consider the broad ideas and context of that research was one of
the most important ways we used to gather secondary knowledge. To address and investigate
another critical field in the literature of change as a result of our study. While investigating the
idea, we uncovered several hypotheses that both endorse and clarify it, as well as have potential
solutions. Also, studying the literature enabled us to determine what should be obtained from
a primary and secondary source of data.

25
3.5 Limitation of the study

 The study has been conducted for a period of Three Months from February 2021 – April
2021 only.
 The inferences apply only to the respondents of Bhopal City and are based on a sample
size of only 110 respondents drawn from a large population.
 It can't be applied to any other location and can't be generalised.

26
Chapter 4: Data representation & Analysis
4.1 Data representation & Interpretation
4.2 Hypothesis Testing

27
4.1 Data representation & Interpretation

1. Gender of the Respondents

Gender No. of Respondents

Female 71

Male 37

Prefer not to say 2

Grand Total 110

Table No.: 4.1

Figure No.: 4.1

28
The total number of respondents is 110, with the majority of them (71) are females. (which is
64.5 per cent of total respondents). 37 respondents are males (i.e., 33.6 per cent of total
respondents) and 2 respondents prefer not to say (i.e., 1.8 per cent of the total respondents).

2. Age of the Respondents

Age No. of Respondents

Below 25 years 87

26-35 years 17

36-45 years 4

46 and above 2

Grand Total 110

Table No.: 4.2

Figure No.: 4.2

The total number of respondents is 110, with the majority of them (87) being under the age of
25. (which is 79.1 per cent of total respondents).17 respondents are between the ages of 26 and
35 years old (i.e., 15.5 per cent of total respondents) The number of respondents between the

29
ages of 36 and 45 is 4 (i.e., 3.6 per cent of total respondents), which is the second-lowest of all
age groups, and the number of respondents over 46 is 2 (i.e., 1.8 per cent of total respondents),
which is the lowest of all age groups.

3. Employment status of the Respondents

Employment status No. of Respondents

Employed for wages 23

Self-employed 11

Other 52

A students 23

Unable to work 1

Grand Total 110

Table no.: 4.3

Figure No.: 4.3

30
The total number of respondents is 110, with the majority of them (52) being under the others
category. (which is 47.3 per cent of total respondents).23 respondents are Employed for wages
that comprise 20.9 per cent of the total respondents. The number of respondents under the
category of students is 23 (i.e.,20.9 per cent of the total respondents). 11 of them are self-
employed which is 10 per cent of the total population. and the number of respondents who are
unable to work is 1 (i.e., 0.9 per cent of the total respondents), which is the lowest of all.

4. Annual Income of the Respondents

Annual Income No. of Respondents

Below 100000 35

Rs 100000-300000 17

Rs 300000-600000 11

600000 & Above 14

Grand Total 73

Table No. : 4.4

Figure No.:4.4

31
The total number of respondents is 73, with the majority of them (35) whose annual income is
below 100000 Rs (which is 47.9 per cent of total respondents). There are 17 respondents whose
annual income is between 100000 to 300000 Rs (i.e., 17.8 per cent of total respondents) The
number of respondents whose annual income is between 300000 to 600000 Rs is 11 (i.e., 15.1
per cent of total respondents), and the number of respondents whose income is above 600000
Rs is 14 (i.e., 19.2 per cent of the total respondents.

5. Place of Residence

Place of Residence No. of Respondents

Urban 91

Rural 5

Semi-Urban 11

Grand Total 107

Table No.: 4.5

Figure No.: 4.5

32
The total number of respondents is 107, with the majority of them, 91 respondents are from
urban area (which is 85 per cent of the total respondents). 5 respondents are from a rural area
that comprises 4.7 per cent of the total respondents and 11 respondents are from a semi-urban
area which is 10.3 per cent of the total respondents.

6. Type of Bank Accounts

Type of Bank Accounts No. of Respondents

Saving 103

Current 24

Fixed Deposit 32

Recurring Deposit 16

Grand Total 110

Table No. : 4.6

Figure No. : 4.6

33
The total number of respondents is 110, with the majority of them (103) respondents have a
saving account (which is 93.6 per cent of the total respondents). 24 respondents are owning the
current account (which is 21.8 per cent of the total respondents). 32 owns fixed deposit (which
is 29.1 per cent of the total respondents) and 16 of them use recurring deposit (which is 14.5
per cent of the total respondents).

7. E-Banking Services used by the Respondents

E-Banking Services No. of Respondents

ATM 93

Mobile Banking 87

Internet Banking 56

Grand Total 111

Table No. : 4.7

Figure No. : 4.7

The number of respondents who use different types of E-Banking services like 93 of them uses
ATM as an E-Banking service(which is 83.8% of the total respondents).87 uses Mobile

34
Banking as an E-Banking service (which is 78.4% of the total respondents). And 56 uses
Internet Banking (which is 50.5% of the total respondents ) which is the least among all users.

8. Preference of E-Banking Services

Preference of E-Banking Services No. of Respondents

Pay your Bills Online 79

View Transaction Status 67

Time-Saving 96

Ease of Access 82

Grand Total 110

Table No. : 4.8

Figure No. : 4.8

The reason behind the preference of E-Banking services with the total number of respondents
being 110, with the majority of them being 79 prefer E-Banking services to pay bills online
comprises 71.8 per cent of total the respondents. 67 respondents prefer E-Banking services
because they can view their transaction status online which comprises 60.9 per cent of the total
respondents. 96 respondents believe that online banking helps them to save their time which

35
comprises 87.3 per cent of the total respondents. and 82 respondents prefer E-Banking services
because it is easy to operate which comprises 74.5 per cent of the total respondents.

9. Risk related to internet banking

Risk related to internet banking No. of Respondents

Transactional Risk 60

Password Risk 46

Network Issues 82

Virus Attacks 36

Hacking 63

Unauthorized Access 50

Total 337

Table No.: 4.9

Figure No.: 4.9

The respondents were given the option that they can choose more than one option under the
head risk related to internet banking and under 60 respondents believes that there is more
transactional risk in internet banking i.e., 54.5 per cent of the total responses. 46 respondents
believe that there is more password risk as compare to all risks i.e., 41.8 per cent of the total
responses. 82 respondents believe that there are network issues while using internet banking
i.e., 74.5 per cent of the total responses. According to 36 respondents that there is a risk of virus

36
 attacks in using banking services through the internet i.e., 32.7 per cent of the total responses
and 63 respondents believes that there is a risk of hacking i.e.,57.3 per cent and 50 respondents
believes that there is a risk of unauthorized access while using banking services through
internet i.e., is 45.5 per cent if the total responses.

10. Usage of E-Banking services

Usage of E-Banking Yes No Total

services

Use ATM 68 43 111

Use Credit Card 17 85 102

Use through Internet 97 14 111

Total 182 142 324

Table No.:4.10

Figure No.: 4.10

From the total of 111 respondents, 68 respondents use ATM (Automated Teller Machine) as
E-Banking services and 43 respondents don’t use ATM as E-Banking services.17 respondents
use credit card like visa cards as E-Banking services and 85 respondents don’t use a credit card

37
 as E-Banking services. 97 respondents use banking services through the internet and 14
respondents don’t use banking services through the internet.

11. Convenience Measurement

Convenience Strongly Agree Neutral Disagree Strongly

measurement Agree Disagree

Services as per 25 68 16 2 0
customer’s will
and needs

Services offer 32 61 15 2 0
great facilities

Total 57 129 31 4 0

Table No.: 4.11

Figure No.:4.11

According to convenience measurement, Customers find online banking to be very convenient.

Users can access their financial transfers and bank account regardless of where they are as long
as they have access to the internet. It offers great facilities like Viewing account balances,

38
receiving statements, verifying recent expenses, exchanging money between accounts, and
making payments
View account activity, including deposits, transfers, checks, and fees that have cleared, as well
as interest that has been credited. Customers benefit from the fact that they are not expected to
visit the bank. There is very little chance of making a mistake. It provides excellent services
such as checking accounts, retirement accounts, money market accounts, certificates of deposit,
and any loans.
Interpretation: 25 respondents strongly agree that E-Banking services are as per customers
needs and want, 68 respondents agree with this,16 respondents are neutral and 2 disagree with
the statement that E-Banking services are as customers needs and requirement and 32
respondents strongly agree as convenience measurement that E-Banking services offer great
facilities to the customers 61 agree to the statement, 15 respondents find this statement to be
neutral and 2 disagree with the statement that E-Banking services offer great facilities to the
customers.

12. Privacy Measurement

Privacy Strongly Agree Neutral Disagree Strongly

Measurement Agree Disagree

confidentiality 22 59 28 2 0

Privacy 23 59 26 3 0

Client’s 28 57 23 3 0
privacy as
main feature

Total 73 175 77 8 0

Table No.: 4.12

39
 Figure No.:4.12
In terms of privacy, confidence can be described as a customer's belief that online banking will
handle his or her personal information equally. Confidentiality, reliability, and availability are
the three core components of information management. Confidentiality ensures it is exchanged
only with those who are allowed to see it. Authentication mechanisms that distinguish accounts,
such as user IDs and passwords, can assist in achieving the purpose of confidentiality. Other
management mechanisms, such as restricting each designated user's access to the data system's
resources, help to maintain confidentiality. Furthermore, secrecy (as well as integrity) is
important. In terms of privacy 22 responses strongly agree that E-Banking services keep the
information confidential 59 responses agree that online banking keeps their data confidential.
28 responses find it to be neutral and 2 disagree with the statement that it keeps information
confidential. In other head under privacy 23 responses believe that E-Banking services provide
a higher degree of privacy, 59 agree to the statement, 26 responses find it to be neutral and 3
disagree with the statement. And the third head under privacy is client’s privacy as one of the
main features of E-Banking services 28 responses strongly agree to the statement, 57 responses
agree to the statement, 23 responses find it to be neutral and 3 responses disagree with the
statement.

13. Cost Measurement

40
 Cost Strongly Agree Neutral Disagree Strongly
Measurement Agree Disagree
Very cheap 22 48 33 7 0
Decreasing 20 46 32 9 1
price of
services
Saves money 40 53 14 1 0
of
transportation
Total 82 147 79 17 1
Table No.: 4.13

Figure No.: 4.13

Under cost measurement of E-Banking services.22 responses strongly agree that E-Banking
services are very cheap, 48 agree to the statement, 33 responses find it to be neutral and 7
disagree with the statement.20 responses strongly agree that to the statement that E-Banking
services contribute to decreasing the price of the services, 46 respondents agree to the
statement,32 respondents find it to be neutral, 9 respondents disagree with the statement and 1
respondent strongly disagree with the statement. 40 responses strongly agree that E-Banking
services save money spent in going to-and-from the bank to get the services, 53 responses agree
to the statement, 14 respondents find it to be a neutral statement and 1 respondent disagrees
with the statement.

41
14. Ease of use

Ease of use Strongly Agree Neutral Disagree Strongly

Agree Disagree

Very simple 25 68 16 1 0
to use

Performs 22 75 11 2 0
services
immediately

User friendly 25 61 19 3 0

Total 72 204 46 6 0

Table No.:4.14

Figure No.: 4.14

In Ease of use as a facility of E-Banking services under that 25 responses strongly agree that
use of E-Banking services is very easy and simple to use,68 responses agree to the statement
that E-Banking services are very simple to use,16 responses find the statement to be neutral
and 1 respondent disagree to the statement. 22 respondents strongly agree with the statement
that E-Banking services perform their services immediately, 75 respondents agree with the

42
statement and 11 respondents find the statement to be neutral and 2 respondents disagree with
the statement. 25 respondents strongly agree with the statement that it is easy for the users to
become skilful at using online banking i.e., it is user friendly, 61 responses agree with the
statement, 19 respondents find the statement to be neutral and 3 respondents disagree with the
statement.

15. Security Measurement

Security Strongly Agree Neutral Disagree Strongly

Measurement Agree Disagree

Safe to use 20 57 30 4 0

ATM and 16 54 37 3 1
credit card is
save

Provides 18 58 35 0 0
sufficient
control

Grand Total 54 169 102 7 1

Table No.: 4.15

43
 Figure No.: 4.15

Security as a service of E-Banking services, Both banks and their customers are concerned
about internet banking stability. Banks are also ensuring that their websites have additional
levels of security. They take certain precautions to secure all confidential consumer data
because there is simply too much at risk.
Interpretation: 20 responses strongly agree with the statement that using E-Banking services
is safe while 57 agree with the statement, 30 respondents find it to be neutral and 4 respondents
disagree with the statement that E-Banking services are safe to use. 16 respondents strongly
agree with the statement that using ATM and credit card is not dangerous in this 54 agree with
the statement and 37 respondents find it to be neutral, 3 disagree with the statement and 1
strongly disagree with the statement. 18 respondents believe E-Banking services supply
sufficient control through controlling procedures applied on input, output and processes for the
safety of the client. 58 respondents agree to the statement and 35 respondents find the statement
to be neutral.

16. Satisfaction Measurement

Satisfaction Strongly Agree Neutral Disagree Strongly

measurement Agree Disagree

44
 Satisfied with 18 68 23 1 0
the services

Strongly it 23 67 18 2 0
recommend
to others

Continue to 35 62 13 0 0
use these
services in
future

Total 76 197 54 3 0

Table No.: 4.16

Figure No.: 4.16

Satisfaction measurement from E-Banking services includes satisfaction from the facilities
offered through online banking and the services are convenient and fully save and secured
Interpretation:18 respondents who strongly agree with the statement that E-Banking services
provide satisfaction, 68 agree with the statement,23 respondents find the statement to be neutral
and 1 respondent disagree with the statement. 23 respondents strongly agree in response to the
statement that online banking should be strongly recommended to others, 67 respondents agree

45
with the statement,18 respondents find this statement to be neutral and 2 respondents disagree
with the statement. 35 respondents strongly agree to the statement that they will continue to
use online banking services in future,62 respondents agree to the statement and 13 respondents
find this statement to be neutral.

17. Improvement in the Quality Services Offered by the Banks

Improved quality services No. of respondents

Strongly Agree 17

Agree 61

Neutral 26

Disagree 1

Strongly Disagree 5

Grand Total 110

Table No.: 4.17

Figure No.: 4.17

Banks are improving the quality of their E-Banking services. From a total of 110 respondents,
17 respondents strongly agree with the statement that there is improvement in the quality of E-
Banking services offered by the banks which comprises 15.5 per cent of the total respondents,
61 respondents agree to the statement which comprises 55.5 per cent of the total responses,26

46
respondents find the statement to be neutral which comprises of 23.6 per cent of the total
respondents, 1 respondent disagree to the statement which comprises of 0.9 per cent of the total
population and 5 respondents strongly disagree to the statement which comprises of 4.5 per
cent of the total population.

18. Services as Per Customer’s Needs

Services as per consumer’s needs No. of respondents

Strongly agree 11

Agree 61

Neutral 24

Disagree 8

Strongly disagree 6

Grand Total 110

Table No.: 4.18

Figure No.:4.18

E-Banking Services offered by the banks are as per consumer’s needs 11 respondents strongly
agree to the statement which comprises 10 per cent of the population,61 respondents agree to
the statement which comprises 55.5 per cent of the population, 24 respondents find the
statement to be neutral which comprises of 21.8 per cent of the total respondents, 8 respondents
disagree to the statement which comprises of 7.3 per cent of the total population and 6

47
respondents strongly disagree to the statement which comprises of 5.5 per cent of the total
population.

4.2 Hypothesis Testing

To test the hypothesis and to analyse the results using p-values in a regression model. In the
regression model, p-values and coefficients work together to show which relationships in the
model are statistically significant and the coefficients show how each independent variable and
the dependent variable are related mathematically. The coefficient’s p-values show whether or
not these relationships are statistically significant. With a 5 per cent significance level, the p-
value for each independent variable (convenience and security) checks the null hypothesis that
the variable has a relationship with the dependent variable (satisfaction level of the E-Banking
customer). The sampling results provide enough support to reject the null hypothesis for the
entire population. The p-value for a variable is less than the significance level, i.e.,0.05. The
data support the hypothesis of a non-zero correlation. At the population level, changes in the
independent variable are linked to changes in the response. This variable is statistically
significant and should be included in the regression model. A p-value less than the significance
level means that there is enough data in the study to infer that the variables have a non-zero
correlation. The dependent and independent variables are statistically significant, as evidenced
by their p-values are 0.000, 0.001, which is smaller than the normal significance range of 0.05
at a 5% significance level.

Standard
Coefficients Error t Stat P-value
Intercept 0.754 0.334 2.260 0.026
Convenience
Average 0.356 0.093 3.816 0.000
Security average 0.288 0.087 3.316 0.001

The regression output for convenience and security average is statistically significant because
their p-values are smaller than the usual significance level i.e., 0.05. Two variables are

48
significant (convenience average, security average), convenience is most significantly related
followed by security.
Null hypothesis H01 is rejected which means that there is a significant relationship between
security measurement towards the satisfaction level of E-Banking customer.
Null hypothesis H02 is rejected which means that there is a significant relationship between
Convenience measurement towards the satisfaction level of the E-Banking customer.

49
Chapter 5. Results & Discussion
5.1 Major Findings
5.2 Discussions & Suggestions
5.3 Conclusion

50
5.1 Major Findings

Customers, as well as banks and other organisations, benefit from electronic banking
technologies. E-banking will help banks improve their performance, quality service.
1. Gender composition shows that most respondents were women Gender-specific (64.5 per
cent). Male (33.6 per cent). The study, therefore, showed that e-banking was more popular
among women than men.
2. The age distribution of respondents revealed that the majority of respondents (79.1 per cent)
were from the age groups Less than 25 years and 26-35 years together (15.5%). it was followed
by the age groups of 36-45 years (3.6%) and Above 46 (1,8 per cent). The studies found that
e-banking services are more common among young people than in upper age groups.
3. The place of residence of respondents shows that most of the respondents are from urban
area i.e., 85% as compared to rural area i.e., 4.7 % which shows that the maximum users of E-
Banking services are from urban areas. E-Banking is not widely used in rural areas due to a
lack of resources.
4. results of the study indicated that ATM users are more (83.8%) as compare to mobile banking
or internet banking users. and mobile banking service users (78.4%) is more popular as
compared to internet banking users (50.5%). which shows that internet banking is still not
prevalent among the users of banking services, as ATM or mobile banking is popular.

5.The results indicated that the main reason behind the preference for E-Banking services is
that it saves times (87.3%) and after that, it is easy to use (74.5%) followed by that the users
can pay their bills online (71.8%) and can view the transaction status (60.9%).
6. The results of this study showed that the main reason behind the risk of using internet
banking is network issues.
7. The level of satisfaction of E-Banking customers in Bhopal city has a significant relationship
with convenience as an indicator of E-Banking services.
8. Security measurement has a significant relation with the satisfaction level of the E-Banking
customers of Bhopal city.
9. Satisfaction derived from E-Banking services 18 respondents strongly agree that they are
satisfied with the E-Banking services offered by the banks.35 respondents strongly agree that

51
they will continue to use online services in future. this shows that people are satisfied with the
E-Banking services offered by the banks they find E-banking to be safe, secure and convenient.
10. Electronic banking has improved the quality of services offered by the bank maximum
respondents (61) agree to the statement which indicates that the quality of online services
offered by banks has improved.
11. The E-banking services provided by the banks offer services as per customer’s needs many
respondents agree to the statement (55.5%) which shows that facilities are as per users’ needs
and will.

5.2 Discussions & Suggestions

E-banking is not widely used in rural areas due to a lack of understanding. Banks should take
the requisite steps to educate their customers about the different available E-Banking services,
as well as the benefits of using those services. Customers should be sent demonstrations of E-
Banking to encourage them to use it.

Banks should concentrate on cybersecurity problems including sensitive identities that are
susceptible to misuse in the cyber environment. The cost of accessing Internet Banking services
should be reduced to maximise the number of people who use the service. The E-Banking
infrastructure should be improved to make online inquiry and payment even more convenient.

5.3 Conclusion
1. The bank's service quality has increased as a result of electronic banking. The majority of
respondents agree with the statement, indicating that the efficiency of online banking services
has increased.
2. The level of E-Banking customer satisfaction in Bhopal city is strongly linked to
convenience as a predictor of E-Banking services.
3. The satisfaction levels of Bhopal city's E-Banking customers is strongly linked to security
and protection.

52
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 ANNEXURE

Copy of Blank questionnaire

A Study on Customer’s Satisfaction Towards E-Banking Services (with Special

Reference to Banking Customer of Bhopal City)

Section -1

Demographic Information
1.Name
2. Gender- Female
Male
prefer not to say

3. Age- Below 25 years

26 - 35 years
36 - 45 years
46 and above

4. Educational Qualification- Bachelor’s degree

Master’s degree
Professional degree
Other

5. Employment Status- Employed for wages

Self-employed
Retired
Other

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 6. Annual Income- Below 100000
Rs100000-300000
Rs 300000-600000
600000 & Above

7. Place of Residence- Rural

Urban
Semi-urban

8. Types of Bank account- Savings a/c

Current a/c
Fixed deposit a/c
Recurring deposit a/c

9. Which type of E-Banking services you use- ATM

Mobile Banking
Internet Banking

10. Why you Prefer E-banking services- Pay your Bills Online
View Transaction Status
Time-Saving
Ease of Access

11. Risk related to internet banking- Transactional risk

Password risk
Network issues
Virus attacks
Hacking
Unauthorized access
Yes No
12. Usage of E-Banking service- 1- Do you permanently use ATM?
2- Do you use a Credit card like Visa Card?
3- Do you use banking services through the internet?

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 Section-2
E-banking Services

13. Convenience measurement

1. E-banking services are fit my needs and wills?

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

2. E-banking services offered great facilities?

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

14. Privacy measurement

1. E-banking services are confidential

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

2. Using E-banking services provides privacy

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

3. Client's privacy is one of the main features of E-banking services

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

15. Cost measurement

1. E-banking services are very Cheap

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

2. E-banking services contribute to decreasing the price of service

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

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3. E-banking services save money spent in going to-and-from the bank to get the service
Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

16. Ease of use measurement

1. E-banking services are very simple

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

2. E-banking service performs service immediately

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

3. It is easy for you to become skilful at using Electronic Banking

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

17. Security measurement

1. Using E-banking services is safe

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

2. Using ATM and Credit Cards are not dangerous

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

3. E-banking services supply sufficient control through controlling procedures applied on

input, output and processes for the safety of the client
Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

18. Satisfaction measurement

1. I am satisfied with the E-banking data and services on the bank website
Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

2. I will strongly recommend others to use Online Banking

Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

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3. I will continue to use Electronic Banking services in the future
Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

19. Electronic banking has improved the quality of services offered by the bank.
Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

20. The E-banking services provided by the banks offer services as per customer’s needs.
Strongly Agree, Agree, Neutral, Disagree, Strongly Disagree

59