FACTORS INFLUENCE ON CUSTOMERS’ BEHAVIORAL INTENTION TO USE MOBILE BANKING APPLICATION IN SRI LANKA

Abstract

In this modern technological era, with the improvement of telecommunication and technology, banking has become a radically transformational industry in the world. There are a lot of new products, players and channels introducing daily to the banking industry. Therefore providing pioneering facilities is an essential factor for attractiveness of the banking sector. Mobile banking application is such an innovative service which enables all customers to make banking activities more quickly and conveniently than traditional banking. Anyhow the most consumers do not use this innovative service. Therefore this study focuses on examining the factors influencing on customers’ behavioral intention to use mobile banking application in Sri Lanka. Four antecedents as Perceived risk, trust, convenience, and relative advantage are incorporated in to the proposed model. Advanced Multivariate Analysis as Exploratory Factor Analysis, Confirmatory Factor Analysis, Correlation and Multiple Linear Regression Analysis was used to test the research hypotheses. The findings revealed that there is a positive relationship between perceived risk, trust, convenience and relative advantage on intention to use mobile banking application. This study has suggested government, banking authority and software making companies to improve on mobile banking usage and increase consumer’s self-confidence to use mobile banking.