Introduction:
Traditional banks offer many services to their customers, including accepting
customer money deposits, providing various banking services to customers, and
making loans to individuals and companies. E-banking uses the Internet to
deliver traditional banking services to their customers, such as opening
accounts, transferring funds, and electronic bill payment compared with
traditional channels of offering banking services through physical branches.
Electronic banking is an umbrella term for the process by which a customer
may perform banking transactions electronically without visiting a brick-and-
mortar institution. Internet banking is changing the banking industry and is
having the major effects on banking relationships. Banking is now no longer
confined to the branches were one has to approach the branch in person, to
withdraw cash or deposit a cheque or request a statement of accounts. In true
Internet banking, any inquiry or transaction is processed online without any
reference to the branch (anywhere banking) at any time.
Providing Internet banking is increasingly becoming a "need to have" than a
"nice to have" service. The net banking, thus, now is more of a norm rather than
an exception in many developed countries due to the fact that it is the cheapest
way of providing banking services.
E-banking can be offered in two main ways. First, an existing bank with
physical offices can also establish an online site and offer e-banking services to
its customers in addition to the regular channel. Bank customers can access their
bank accounts through the Internet, and in addition to the core e-banking
services such as account balance inquiry, funds transfer, and electronic bill
payment, banks also provides premium services including financial calculators,
online stock quotes, brokerage services, and insurance.
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The range of e-banking services is likely to increase in the future. Some banks
plan to introduce electronic money and electronic checks. Electronic money can
be stored in computers or smart cards and consumers can use the electronic
money to purchase small value items over the Internet. Electronic checks will
look similar to paper checks, but they can be sent from buyers to sellers over the
Internet, electronically endorsed by the seller, and forwarded to the seller's bank
for electronic collection from the buyer's bank.
Various private as well as nationalised commercial banks are using e-banking
services not only to satisfy their customers’ need, but it also has become an
effective tool to gain competitive edge in the industry and a common banking
service offered to customers. This research will be conducted to know the
perception of the customers towards the e-banking services offered by various
private and nationalised banks in Vallabh Vidyanagar.
Research Objective:
1. To know the perception of customers towards the various e-banking
facilities offered by private and nationalized banks in V.V. Nagar.
2. Purpose and Frequency of usage of e-banking services by the customers
3. Reasons for not using the e-banking services
Importance/ Scope of Study:
1. How customer perceive the e-banking services provided by private and
nationalized bank.
2. Experience of customers regarding the e-banking services offered by
these banks.
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3. Banks can use the research findings as a basis to improve the customer
service and satisfaction of the customers towards the e-banking services.
Review of Literature:
Various studies and research has already been conducted on the topic of e-
banking in India.
1. Dr. P Malyadri (2009) in his paper “Impact of IT on customer service in
Banks of Adhra Pradesh” finds that customers are becoming very
demanding and it is the extensive use of technology that will enable
banks to satisfy customer requirements of the customers adequately.
2. Divya Singhal & V. Padmanabhan (2008) in their paper “A Study of
customer perception towards internet banking” talks about factors
responsible for Internet banking. It is difficult to infer whether the
internet tool has been applied for convenience of bankers or customers’’
convenience. But ultimately it contributes in increasing the efficiency of
the banking operation as well as providing more convenience to
customers.
3. M. S. Khan; S.S. Mohapatra and Sreekumar (2009) in their paper on
“Service Quality evaluation in Internet Banking”, studied the Indian
Banking and conducted a survey to measure the service quality and found
that internet banking in India is currently at an emerging stage.
4. Pooja Malhotra and Balwinder Singh (2007) in their study on
Determinants of Internet Banking adoption by banks in India, found that
the larger banks, banks with younger age, private ownership, higher
expenses for fixed assets, higher deposits and lower branch intensity
evidence a higher probability of adoption of this new technology.
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Research Design:
1. Descriptive Research Design
• Structured Questionnaire
2. Data Collection
• Primary Data - Questionnaire
• Secondary Data- Online Database, Journals, Surveys
3. Sampling
• Sampling Technique: Convenient Sampling
• Sample Area: V. V. Nagar
• Sample Size: 100
Data Analysis:
Data analysis will be conducted using SPSS and various Microsoft programs
such as word and excel. In data analysis various data will be presented in the
forms of table, graphs, Bar charts and Pie diagrams.
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Schedule:
The research report will be completed within 11 days and the same will be
presented/ submitted. The detail of schedule is as follows:
Budget:
The budgetary requirement of this research to be completed will be of Rs.
235.00. The breakdown of the budget is as under:
i. Questionnaire Print
(100 pcs * Re. 1) Rs. 100.00
ii. Report Printing
(35 pgs * Re. 1) Rs. 35.00
iii. Refreshment Expenses Rs.100.00
Total Rs. 235.00
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Limitations of the Study:
1. Sample
The sample size for the research is limited to only hundred samples that
may not represent the research population of Anand. The convenient
sampling technique used in our research covers only 2 privatized i.e.
ICICI Bank and Kotak Mahindra Bank and 2 nationalized bank i.e. Bank
of Baroda and SBI Bank of V.V. Nagar.
2. Time
As the report is to be submitted within the 2 nd semester of the program
and also because of the busy schedule of classes, we will not get enough
time to cover the research samples other than V. V. Nagar.
3. Budget
Being students’, budget will also be a limitation for the data collection
and visiting the sample area.
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Bibliography:
1. Websites:
i. http://www.scribd.com/doc/13282604/Customer-Perception-
Towards-Internet-Banking
ii. http://www.bankersonline.com/technology/gurus_tech081803d.htm
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2. Book:
i. Donald R Cooper & Pamela S Schindler, “Business Research
Methods”, New Delhi- 110 008, Tata McGraw Hill Education Pvt.
Ltd.
3. Magazines & Journals:
i. Prof. Virender Singh Solanki: Impact of Internet Banking on
Customer Services, BVIMR Management Edge, Vol. 4 No. 1, Jan-
Jun 2011.
ii. Sachin Mittal & Rajnish Jain: Effect of IT Based Services on
Customer Satisfaction in Banking Industry, Prestige Int’l Journal of
Management and Research, Vol. 2-3, July 09-Jan 10.
