E-banking scenario and its impact on customers’ satisfaction in India – An evidential inquest

Most of the banks today have electronic system to handle their daily voluminous tasks of retrieval, storage and processing of information. Banks by their nature are continually involved in all forms of information management on a continuous basis irrespective of whether they are automated or not. Computer is an established tool for achieving the competitive edge and optimal allocation of resources these days. Competition and the constant changes in technology and life styles of the customers have changed the face of banking. Nowadays, banks are seeking alternative ways to provide and differentiate amongst their varied services. Customers, both corporate as well as retail, are no longer willing to queue in banks, or wait on the phone for the most basic of services. They demand and expect to be able to transact their financial dealings where and when they wish to. With the increasing number of computers every year, electronic delivery of banking services is becoming the ideal way for the banks to meet their clients’ expectations. E-banking refers to the effective deployment of IT by the banks. PSBs, which are the foundation of the Indian banking system, account for more than 78 per cent of the assets of total banking industry. Unfortunately, they are burdened with excessive NPAs, massive manpower and lack of modern technology. On the other hand, the PSIBs and PSFBs in India are witnessing immense progress. They have an edge over the PSBs in the implementation of technological solutions. They are leaders in internet banking, mobile banking, credit cards and ATMs. In India too, i-banking has taken roots. A number of banks have set up banking portals allowing their customers to access facilities like obtaining information, querying on their accounts, etc. Soon, still higher level of online services will be made available. The present study aims to examine the progress of e-banking in India, through some empirical studies.