Concentration Of Online Banking

Online banking is a facility provided by banks and other financial institutions to their customers and clients for business transactions through internet. It enables the customers to access accounts and general information relating to bank's products and services through a personal computer. It provides the convenience of banking anytime from ones home or work, without having to incur some of the costs associated with a branch visit like going to branch and waiting on lines.

The prospects of online banking depends on customers. Therefore, specific understanding of customers perceived requirements and meeting their demands and expectations are becoming both opportunities and challenges to the bankers. This paper thus studies concentration of online banking and its impact on customer satisfaction from customers point of view.

The study is based upon a well designed schedule on five point Likert scale. The data were collected from 30 respondents and analysed with the help of the SPSS 15 software by employing Factor analysis. The reliability is examined by using split half test and Cronbach alpha.

The findings reveal that customers are quite satisfied with the online payment system, customer oriented services and customer support provided by the banks as it saves their time and efforts besides the system being cost effective.

The study concludes that banks in order to make their customers committed to deal online must implement personalised aspect to the service and take a problem solving approach in delivering services to their customers.