The Impact of E-Banking on Customer Satisfaction in Sri Lankan Banking Industry

Abstract

Introduction: E-banking concept came to the society in mid-1990 but Sri Lanka took more time to adept this concept and today it has become a trend. Therefore, banks should more consider customer satisfaction in e banking. Hence this study was conducted with main objective of examining the impact of e banking on customer satisfaction in Sri Lankan banking industry. Design/Methodology/Approach: A questionnaire was used to collect data from the customers and convenient sampling technique was used. Therefore, Customers are selected from the systemically important banks and 150 customers filled the questionnaire and 25 customers from each bank were selected randomly. Five service quality dimensions (Reliability, responsiveness, assurance, tangibility and empathy) are independent variables and customer’s satisfaction is the dependent variable. Findings: Reliability, assurance and tangibility are significant with customer satisfaction with e banking. But responsiveness and empathy are not significant with customer satisfaction with e banking. However, over all model significant at 1% level and there is a strong relationship between dependent and independent variables. Conclusion: It leads to conclude that customers are satisfied with the service provided in e banking. Banks should give more consideration on reliability assurance and empathy. As well, bankers should get another effort to improve that satisfaction and become they are loyal.