Topics on Payment Bank Services and Customer satisfaction

Topic 1: Investigating the impact of payment Bank Services on technological, personal, and
environmental aspects of customer satisfaction in Germany

Keywords: Payment Bank Services, Customer satisfaction, mobile payment, German Banking
system, Digital payment ecosystem

Each financial institution always tries to improve the service of the institution by looking for
technology-oriented innovation. When looking for technological innovation, it is necessary to have
key factors to satisfy the needs of its customers. Customer satisfaction has always been measured
as a singular variable, however, proper consideration has not been given to three major aspects of
the TPE framework, technology factors, personal perception, environmental factors or socio-
cultural concerns. Things that can be a concern for the development of technology, especially
regarding mobile payments, are the factors found in the technological factor, namely 7 factors:
safety, expected performance, facilitating conditions, absorbency, availability, consistency and
product involvement. Apart from these 7 factors, there are factors that together with personal
factors are 7 factors, namely: compatibility, value, services, accessibility, system quality,
agreement and usability. In addition, there are 3 factors related to technological, personal and
environmental aspects that must be taken into consideration in the development of technology,
namely: structural certainty, acceptance of acceptance and awareness. These 17 factors are
therefore very useful for technological development, especially in mobile payment when
developing and improving mobile payments. This critical gap will be addressed in the study. The
literature review will consist of analysing past literature regarding such variables and different
aspects including opportunities and barriers to the growth of digital payment services. The study
will adopt a quantitative methodology under which information will be collected through
quantitative surveys from bank managers as well as customers. The study will help in addressing
the critical gap of incorporating customer satisfaction in each aspect of the digital payment
mechanism. The study will also provide practical recommendations to improve the existing level
of customer satisfaction by German customers regarding digital payment services.
Reference
1. Karsen, M., Chandra, Y. U., & Juwitasary, H. (2019). Technological factors of mobile
payment: A systematic literature review. Procedia Computer Science, 157, 489-498.

Topic 2: Unveiling the impact of credit scoring models on measuring credit risks involved in
customer lending through digital payment services

Keywords: Credit Risk management, Credit scoring models, Digital Payment Services, German
Banking system, Digital payment ecosystem

Credit Rating Model is a generic description for Credit Risk models applied principally to
commercial (corporate) lending and subsequently being adopted for personal lending as well. But
such has been built for traditional banking platforms. On the other hand, digital payment services
can increase financial inclusion and user experience, but at the price of increased credit risks,
amplified by systemic risks, due to the high interconnectedness of Fintech platforms, which
increases contagion. Despite the fact that such models depend heavily on technology, their impact
on credit risk analysis using different credit scoring models has not been covered which will be
analysed in the current study. The literature review for the current study will consist of analysing
different credit rating models, their implications, and the challenges faced in analysing credit risk
in digital fintech systems. The study will adopt a qualitative methodology under which information
will be collected through open-ended interviews with bank managers as well as customers. The
study will critically address the existing literature gap regarding adopting current credit risk models
in the digital finance ecosystem and will aid in ensuring better credit risk management.

Reference

1. Giudici, P., Hadji-Misheva, B., & Spelta, A. (2020). Network based credit risk models.
Quality Engineering, 32(2), 199-211.
Topic 3: Analysing the need for a diversified digital payment banking system to address
economic challenges in the German economic system

Keywords: German Economy, Digital banking services, Banking system, Regional banking
infrastructure

From a diversity perspective, it is advisable for the real economy, also to support balanced spatial
development, and to have a diverse banking system with private, public and cooperative, but also
small and large, regional and supraregional banks. Germany plays a key leadership role among its
surrounding eurozone countries. The nation had the largest economy in Europe and relatively low
unemployment compared to other euro-area countries as of late 2020. One challenge Germany
faces is improving wage growth for workers. Following the 2008 global financial crisis, German
workers accepted low wage growth in return for job security. Germany had a budget surplus before
the coronavirus crisis, and its public debt ratio was lower than most other developed countries.
Hence, there is more room for the government to increase public spending. These challenges along
with sustainable growth opportunities have been tried to be addressed with the development of
digital payment services, but there has been the concern of such a market becoming a monopoly
or oligopoly, making the need for diversification important which will be addressed in the current
study. The literature review for the current study will consist of analysing banking infrastructure
in Germany, the need for diversification, and challenges of monopoly and oligopoly market
establishment in the banking institution. The study will adopt a qualitative methodology under
which information will be collected through open-ended interviews with bank managers as well
as customers. The study will critically address the existing literature gap regarding the need for a
diversified digital banking system, and also provide recommendations for balanced and positive
growth of the banking system.

Reference

1. Flögel, F., & Gärtner, S. (2020). The COVID‐19 pandemic and relationship banking in
Germany: will regional banks cushion an economic decline or is a banking crisis
looming? Tijdschrift voor economische en sociale geografie, 111(3), 416-433.