Customer's migration to innovative products and services in Indian retail banks

Banking has witnessed tremendous transformation particularly from the past decade. By providing these services, banks can notably reduce the costs, branch network and downsize the service staff. Of late, many Indian banks have been offering innovative banking services but still it is an unknown concept or customers do not want to migrate towards it. This study examines the impact of innovative banking products on customer migration and customer satisfaction. Banks which have introduced more number of innovative products and serving a larger clientele group have been opted for the study. Hundred customers from these banks were personally administered with the questionnaire to collect the primary data. Percentage analysis and factor analysis were adopted to test the data. From the study, it was found that factors like convenience, system availability, and accuracy of transactions have a positive influence while negative factors like security of transactions, problem handling system of banks, perceived value of the banks service also influence the migration and satisfaction towards the usage of the innovative product introduced by the banks. So there is a need to educate the customer group.