Effect of Mobile Banking Strategies on Customer Satisfaction in the Kenyan Banking Industry

Abstract

The objective of the study was to establish the impact mobile banking has on customer satisfaction in Kenyan banking industry. This study aimed at examining; the effect of ease of product use on customer satisfaction, the effect of mobile banking service quality on customer satisfaction, the effect of technology proficiency on customer satisfaction, and the effect of customer attitudes towards mobile banking on customer satisfaction in Kenyan banking industry. This study employed descriptive research design techniques in gathering, analyzing, interpreting and presenting the information. The descriptive research design showed the relationship between mobile banking and customer satisfaction. The study focused on the United States International University student population. This study used simple random sampling technique. This study used questionnaires for data collection and use of the quantitative method of the descriptive method of data analysis. The study adopted descriptive and inferential statistics in data analysis and presentation. The research data was analyzed using Statistical Package for Social Sciences (SPSS) and Microsoft excel programs. Figures and tables were used in data presentation. The study examined the effect of ease of product use on customer satisfaction in the Kenyan banking industry. The study found that mobile banking application user interface is clear and easy to understand. Each and every bank that has a mobile banking platform has made application unique to the bank hence it is easy for customers to recognize their bank’s mobile banking applications on their phones. Mobile banking applications allow users to confirm transactions in the process hence the design of the applications influence customer satisfaction when using the service. The study revealed the effect of mobile banking service quality on customer satisfaction in Kenyan banking industry. The study found that mobile banking applications that are able to function as needed all the time ensure the high quality customers are looking for. The study revealed that the mobile banking applications are of good quality hence customers are able to complete their transaction in full when carrying out transactions on those platforms. The study found that the level of service quality determined the clients’ frequency of using a specific mobile banking application hence enhancing customer satisfaction. The study examined the effect of technology proficiency when using mobile banking platforms on customer satisfaction in the Kenyan banking industry. The study revealed that most of the mobile banking users don’t have high technology proficiency hence they are more willing to learn how to use mobile banking technologies. It is confirmed from the study that the level of proficiency in using mobile banking application influences customer satisfaction. The study concludes that mobile banking application user interface that is clear and easy to understand enhances customer satisfaction. Mobile banking application is able to function as needed all the time hence enhances customer satisfaction. Customers’ level of proficiency in using a mobile banking application influences customer satisfaction levels. From the study it is also concluded that most customers feel that mobile banking applications are susceptible to fraud hence affecting customer satisfaction. The study recommends that the user interface of customers’ mobile banking application ought to be properly designed in a way that the buttons in the mobile banking application perform the same function always. The study also recommends banks to implement mobile banking application that are able to function as needed all the time in that when carrying out a transaction, the transaction is completed in full. Bank managements should initiate programs that will help customers to learn how to use mobile banking technologies and ensure that mobile banking applications should not be susceptible to fraud.