ASTUDYOFPOPULARITYONINTRNETBANKINGTHROUGHONLINEAPPLICATIONS

DISTRICT-COIMBATORE

ProjectsubmittedtothePGDepartmentofcommercecomputerApplication,

St.Joseph’sCollege(AUTONOMOUS),Tiruchirappalli

[AfflictedbyBharathidasanUniversity]

inpartialfulfillmentfortheawardoftheDegree

DEGREEOFCOMMERCECOMPUTERAPPLICATION

Submittedby

IMMANUELP

D.NO17UCC17

UndertheGuidanceof

PROF.MS.S.PUNITHAVATHIM.COM.,M.Phil.,DOA.,

AssistantProfessor

SCHOOLOFMANAGEMENTSTUDIES

UGDEPARTMENTOFCOMMERCECOMPUTERAPPLICATION

ST.JOSEPH’SCOLLEGE(AUTONOMOUS)

SpecialheritageStatusAwardedbyUGC

NationallyRe-AccreditedWith‘A++’(4thcycle)Grade

CollegewithpotentialforexcellencebyUGC

DBT-STAR&DST-STARSponsoredCollege

Tiruchirappalli-620002

May–2020

PROF.MS.S.PUNITHAVATHIM.COM.,M.Phil.,DOA.,
2
Assistantprofessor,

DepartmentOfCommerceComputerApplication,

St.Joseph’scollege(Autonomous), Tiruchirappalli–620002.

CERTIFICATE

Thisistocertifythattheprojectworkentitled“ASTUDYOFPOPULARITYONINTERNETBANKING
THROUGHONLINEAPPLICATIONS’’,isabonafiedrecordworkdonebyP.IMMANUEL(D.NO
17UCC517)duringtheyear2019–2020submittedtotheSt.Joseph’scollege(Autonomous)
Tiruchirappalli.Aprojectreportsubmittedinpartialfulfillmentoftherequirementsfortheawardofthe
degreeofDEGREEOFCOMMERCECOMPUTERAPPLICATIONundermyguidanceandsupervision.
Thisprojectworkrepresentsentirelyanindependentoriginalworkonpartofthecandidateandthiswork
hasnotpreviouslyformedthebasisfortheawardofanyotherdegreediplomaoranyothertitle.

HeadoftheDepartment ProjectGuide

ExternalExaminer

DECLARATION

P.IMMANUEL,herebydeclarethattheprojectworkentitled“ASTUDYOFPOPULARITYONINTERNET
BANKINGTHROUGHONLINEAPPLICATIONS”,SubmittedtotheDepartmentofcommercecomputer
applicationSt.Joseph’scollege(Autonomous)Tiruchirappalli,Inapartialfulfillmentoftherequirementsf
or
theawardofPGDEGREEOFMASTEROFCOMMERCECOMPUTERAPPLICATIONhasbeen
originallycarriedoutbymeunderguidanceandsupervisionofPROF.MS.S.PUNITHAVATHIM.COM.,
M.Phil.,DOA,AssistantProfessor,DepartmentofCommerceComputerApplicationSt.Joseph’scollege
(Autonomous),Tiruchirappalli–600002.Thisworkhasnotbeensubmittedeitherinwholeorinpartfor
anyDegreeorDiplomaatanyotheruniversity.

3
Place:
(P.IMMANUEL) Date:

ACKNOWLEDGEMENT
Myimmensegratitudegod,forhisenlightenmentandguidancebestoweduponthroughoutthisresearch
study.
IamboundtoextendmyprofoundthankstoREV.DR.M.AROCKIASAMYXAVIER,S.J.Principal,St.
Joseph’scollege,forgivingopportunitytodothisproject.
IexpressmysincerethankstoMR.J.RAJEESM.COM,M.PHILL,NETHeadofthedepartmentof
commercecomputerapplicationthatprovidemethiswonderfulopportunitytocarryoutthisprojectwork.
IwishtoexpressmyspecialthankstoPROF.DR.V.ALEXRAMANIDeputyPrincipalofSt.Joseph’scollege
(Autonomous)forgivingmethisopportunitytodothisproject.
IexpressmysincerethanksanddeepsenseofgratitudetomyguidePROF.MS.S.PUNITHAVATHI
M.COM.,M.Phil.,DOA.,AndthestaffmembersofthedepartmentofcommercecomputerapplicationSt.
Joseph’scollege(Autonomous)Tiruchirappalli.
IexpressmyHeartfulandsincerethankstomyPARENTSANDFRIENDSareallmywillwisherswho
encouragedandhelpedmeincompletingthisprojectsuccessfully.

DATE:
PLACE: (IMMANUEL.P)

CONTENT
CHAPTER TITLE PAGENO

09
I INTRODUCTION

II REVIEWOFLITERATURE 16

III COMPANYPROFILE 25

DATAANALYSISANDINTERPRETATION 35
IV

V FINDINGS,SUGGESTIONSANDCONCLUSION 77

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 BIBLIOGRAPHY 82

QUESTIONNAIRE 84

LISTOFTABLES
TABLENO TITLEOFTHETABLE PAGENO
4.1 GENDEROFTHERESPONDENTS 37
4.2 AGEOFTHERESPONDENTS 39
4.3 EDUCATIONALQUALIFICATIONOFTHERESPONDENTS 40
4.4 OCCUPATIONALSTATUSOFTHERESPONDENTS 41
4.5 COMFORTWHILEUSINGONLINEBANKINGSERVICES 43
4.6 BANKACCOUNTINGSTRUCTUREOFTHERESPONDENTS 45
4.7 FAMILYINCOMEOFTHERESPONDENTS 47
4.8 ANNUALINCOMEOFTHERESPONDENTS 49
4.9 INDIVIDUALINCOMEOFTHERESPONDENTS 51
4.10 RESIDENTIALSTATUSOFTHERESPONDENTS 53
4.11 PERIODOFUSAGEODE-PAYMENTAPPS 55
4.12 OPNIONABOUTE-PAYMENT 57
4.13 PREFRENCESOFINTERNETBANKING 59
4.14 MODEOFPAYMENTVIAINTERNETBANKING 61
4.15 USAGEOFINTERNETBANKING 63
4.16 FACTORSINFLUSINGTOUSEINTERNETBANKING 65
4.17 OBSTACLESFACEDWHILEUSININGINTERNETBANKING 67
4.18 LEVELOFSATISFACTION 69
4.19 OPNIONONUSAGEOFINTERENETBANKING 74
4.21 PURPOSEONUSAGEOFINTERNETBANKING 75
LISTOFTHECHARTS

CHARTNO TITLEOFTHECHARTS PAGENO

4.1 GENDEROFTHERESPONDENTS 38
4.2 AGEOFTHERESPONDENTS 39
4.3 EDUCATIONALQUALIFICATIONOFTHERESPONDENTS 40
4.4 OCCUPATIONALSTATUSOFTHERESPONDENTS 42
4.5 COMFORTWHILEUSINGONLINEBANKINGSERVICES 44

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4.6 BANKACCOUNTINGSTRUCTUREOFTHERESPONDENTS 46
4.7 FAMILYINCOMEOFTHERESPONDENTS 48
4.8 ANNUALINCOMEOFTHERESPONDENTS 50
4.9 INDIVIDUALINCOMEOFTHERESPONDENTS 52
4.10 RESIDENTIALSTATUSOFTHERESPONDENTS 54

4.11 PERIODOFUSAGEODE-PAYMENTAPPS 56
4.12 OPNIONABOUTE-PAYMENT 58
4.13 PREFRENCESOFINTERNETBANKING 60
4.14 MODEOFPAYMENTVIAINTERNETBANKING 62
4.15 USAGEOFINTERNETBANKING 64
4.16 FACTORSINFLUSINGTOUSEINTERNETBANKING 66
4.17 OBSTACLESFACEDWHILEUSININGINTERNETBANKING 68
4.18 LEVELOFSATISFACTION 70-73
4.19 OPNIONONUSAGEOFINTERENETBANKING 74
4.21 PURPOSEONUSAGEOFINTERNETBANKING 76

CHAPTER1

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INTRODUCTION

7
 INTRODUCTION
Internetbankingprovidescustomersaccesstotheirbankaccountandwhichisusedfor
transactionsthroughonlinethroughacomputerorasmartphone.Itsutilityissameasacreditordebit
cardthroughonline.Internetbankingneedstobelinkedwiththeindividual’sbankaccounttomake
payments.Internetbankingisatypeofpre-paidaccountinwhichausercanstorehis/hermoneyfor
anyfutureonlinetransaction.Internetbankingisprotectedwithapassword.Withthehelpofinternet
banking,onecanmakepaymentsforgroceries,onlinepurchase,andflighttickets,amongothers.

Internetbankinghasmainlytwocomponents,softwareandinformation.Thesoftware
componentstorespersonalinformationandprovidessecurityandencryptionofthedata.The
informationcomponentisadatabaseofdetailsprovidedbytheuserwhichincludestheirname,
shippingaddress,paymentmethod,amounttobepaid,creditordebitcarddetails,etc.Forsettingup
aninternetbankingaccount,theuserneedstoinstallthesoftwareonhis/herdevice,andenterthe
relevantinformationrequired.Aftershoppingonline,theinternetbankingautomaticallyfillsintheuser’s
informationonthepaymentform.Toactivatetheinternetbanking,theuserneedstoenterhispassword.
Oncetheonlinepaymentismade,theconsumerisnotrequiredtofilltheorderformonanyother
websiteastheinformationgetsstoredinthedatabaseandisupdatedautomatically.

Themainobjectiveofinternetbankingistomakepaperlessmoneytransactioneasier.Thetrend
ofmobilebanking&paymentgatewaysinmostpartsoftheworldhasincreasedalot,especiallyin
India.AloneinIndia,wehaveseenthatthetrendofinternetbankingandpaymentsgatewayshas
grownexponentiallyinthelasttwoyears.AccordingtoGovernmentofIndia,till2018,Indiahasover
15mobilebankingorinternetbankingcompaniesoutofwhich14areIndianbasedcompanies.
OxygenbankingconsideredasthefirsteverinternetbankingormobilebankinglaunchedinIndia.The
OxygenbankinglaunchedinJuly2004.In2009,BipinPreetSinghfoundedMobikwikamobile
bankinginIndia.Andafterthat,MobikwikSystemsPrivateLimitedcontributestobringingdigital
transactioninIndia.Thismobilebankinghastheuserbaseof40millionalong2Lakhsretailers.

PeoplebelievethatMobikwikstartsthetrendofmobilebankingandmobilepayments.Sofew
analystssuggestthatMobikwikisthefirstmobilebankinginIndia.Sincethedawnofthedigitalerain
India,mostofourattentionhasmovedfromfacetofaceconversationonline.Itisonlybecauseofthe
youthsofthenewgenerationwhostartedtrustingtheinternetandrealizedtheimportanceofgoing
digital.On8thNovember2016,GovernmentofIndiaannouncedthedemonetizationofall ₹500and
₹1000banknotesafterwhichMobilebankingsuchasPaytm,Mobikwik,cameasaboon.Now,
accordingtoCisco,by2022,therewillbe829millionsmartphoneusersinIndia,whichwillbe60%

8
 ofthetotalpopulation.Accordingtothereportreleasedbye-marketeroverthetotalnumberofsmart
phoneusersinIndiain2018,Indiahad73.9millionpeopleusingmobilebanking.India’sjourneyinthe
fieldofthemobilebankingismakingitswaytowardssuccess.
Fromthelaunchof1smobilebanking,Indiahasnowover15mobilebankingwithover70
millionusers.Afterthat,onthewayofDigitalIndia,IndiahasneverlookedbackandnowIndiaisthe
world’slargest-growingmobilepaymentsmarket.Aftersomerevolutionarystepslikedemonetization
takenbyGovernmentofIndia,themobilebankingisnowarealityinIndia.Accordingtoe-marketer,
Indiahas337millionactivesmartphoneusersuntilNovember2018.Hence,ahumbleattempthas
beenmadetostudythegrowthofe-banking,itsimpactandconsumer’sperceptiontowardsadoption
ofe-bankingasamarchtowardsDigitalIndia.

STATEMENTOFTHEPROBLEM
Asbankingindustryhasanarrayofpaymentproductssuchascheque,demanddrafts,National
ElectronicFundsTransfer,RealTimeGrossSettlement,netbankingandmobilebanking.Butpeopleneed
aneasiestandsimplerwaytomakepayments.Itmadepeopletothinkaboutdigitalfinancialservices.
Theuseoftraditionalpaymentsusingeitherdebitcardsorcreditcardsisreplacedbyinternetbanking.In
thelightofadvancedtechnology,e-paymentsystemisemerginginstrumentinpaymentgateway.
Nowadays,peoplewanttomaketheirpaymentsystemmoreflexible,hencetheytendtousevariousefinan
cialproductstotheirfinancialtransactions.Internetbankingisoneamongthepaymentsystems,
whichattractedthepeopletogofordigitalcash.Henceastudyhasbeenundertakentoknowthe
attitudeofconsumerstowardse-bankingservicesinCoimbatoredistrict.
OBJECTIVESOFTHESTUDY
Tofindoutthepurposeandopinionoftherespondentstowardstheusageofinternetbanking.

Tostudythelevelofsatisfactionoftherespondentsonusageofinternetbanking.

Toknowtheobstaclesfacedbytherespondentswhileusinginternetbankingordigital
paymentapps.

NEEDFORTHESTUDY
Demonetizationdecisioncoupleswithgovernment’sinitiativetomakeIndiaacashlesseconomy
isexpectedtobringaphenomenalchangeinthewaypeoplemakepayments.Thepreferredmodeof
paymentisexpectedtochangeonline.Amongthevariousothermodesofpayments,onlinebankingis
gainingthepopularitypresently.Inacountrywheremostofthepeopleprefercash-on-delivery,tofasten
theprocessandconvincingpeopletowardsdigitalpaymentsisdifficult.Thisgeneratestheneedto

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 studytheperceptionofpeopletowardsinternetbankinganddigitaltransactionsandalacrityamong
peopletouseinternetbanking

RESEARCHMETHODOLOGY
Theresearchmethodologygivesanideaaboutthetypeofresearchdesign,thesampling
techniques,theprocessofdatacollectionandtheinstrumentusedforthedataanalysis.Inorderto
achievetheobjectivesofthestudyandtoanalyzethedatacollected,anappropriatemethodologyhas
beendeveloped.Aresearchmethodologyisamasterplanfortheconductofformalinvestigation.The
presentstudyisexplanatoryaswellasdescriptive.Thevariousaspectofmethodologyisdiscussed below.

SOURCEOFDATA:
Toaccomplishtheobjectivesofthestudy,thedatarequiredhasbeencollectedusingboth
primaryandsecondarydata.

Primarydata:

50questionnairesweredistributedamongthepeopleusinginternetbankinginCoimbatore
districtforcollectingdatarelatingtheawareness,satisfactionandtheproblemsoftheusersofthe
internetbankingapps.

Secondarydata:

Thesecondarysourcesforthedataarejournals,internet,andnewspapers.

PERIODOFSTUDY:
ThestudyhasspannedoveraperiodoffourmonthfromMarch–May2020.

AREAOFSTUDY:
ThestudyhasbeenconductedinCoimbatoredistrict

SAMPLESIZE:
Inordertoanalyzetheperceptionone-banking,50respondentshavebeenselected.

SAMPLINGMETHOD:
ConvenientrandomsamplingmethodhasbeenusedbyGoogleform.
SCOPEOFTHESTUDY
Thepurposeofthestudyistoidentifythepreferenceandsatisfactionofconsumerinusing
internetbankingservicesforvariousfinancialtransactions.Tostudythecurrentscenarioofthee-banking
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 serviceandunderstandthevariousfactorslikeeaseofuse,timesaving,securityandprivacy,lowcost
oftransaction,availableatanytimeinselectionofinternetbankingservices.Thestudyisconfinedtothe
peoplewhoarelivinginCoimbatoredistrict.

AREALIMITATIONSOFTHESTUDY
Thestudycoversasampleof50respondentsintheCoimbatoredistrictduetotimeconstraint
andthereforethefindingoncustomerperceptionone-bankingcannotbegeneralized
universally.
Thestudyisbasedontheprimarydatabycollectingopinionsoftherespondentsanditmay
varyfromtimetotime.

CHAPTERSCHEME

Chapter1:
Inthischapter,abriefintroductionaboutthestudy,statementofproblem,needforthestudy,
objectivesofthestudy,scopeofthestudy,researchmethodology,significance,limitationofthestudy
andchapterschemeofthestudyhasbeendescribed.

Chapter2:
Thesecondchapterdealswiththeliteraturereviewrelatedtothestudy.

Chapter3:
Thethirdchapterdealswiththeprofileofthecompany.

Chapter4:
Thefourthchapterrepresentsthedataanalysisandinterpretation.

Chapter5:
Thefinalchapterdealswithfindings,suggestionsandconclusionofthestudy.

CHAPTER2
11
REVIEWOFTHE
LITERATURE

12
 REVIEWOFLITERATURE
SreejithRKandSoubhagyaP(2019)havedoneareviewtitled,“EffectofDemonetizationon
PaymentSystem”.ThereviewmainlyfocusesontheimpactthatDemonetizationhashadonthevarious
paymentmethodsinIndia.Thispaperexploreseffectofdemonetizationonpaymentsysteminthe
Indianeconomy.Itaimstoseehowthevariousdigitalplatformshaveevolvedwiththeadventof
demonetization.Theobjectiveofthereviewpaperistounderstandthemeaningofdemonetizationand
toassessthefactoreffectone-commerceafterDemonetizationandexaminethepaymenthabits
amongcustomerafterdemonetization.Thisstudyisofdescriptivenature.Primarydataandsecondary
dataaswellhavebeencollected.Simplepiechartsandpercentagehasbeenusedforanalysis.The
researchareaisThiruvananthapuramandtherespondentsaregeneralpublic.Examinationofthe
paymenthabitsamongcustomerafterDemonetizationhasbeenstudied.Thestudyisconcludedby
statingthatdemonetizationhasimprovedthequalityoflifeofcommonmanwithregardtodigital
paymentsystem.
PriyankaSingh(2019)conductedon“AStudyonPenetrationofDigitalPaymentSystemin
SelectedAreasofRuralKarnataka”.Thestudyaboutpredemonetizationandpostdemonetizationis
expressiveinnatureandhelpstomakearesearchdesign.Inthisstudysecondarydataiscollectedfrom
books,journalsandwebsitesetc.Primarydataconsistsofabout200samplesthatwerecollectedfrom
ruralIndiathroughtheconveniencesamplingmethod.Surveyisdonebasedonthepopulationin2011
whichwas121.0Cr.,outofwhich68.84%residedinruralareasand31.6%inurbanareas.Totestthe
hypothesis,chi-squaretest,multipleregressionanalysis,confirmatoryfactoryanalysisandstructural
equationmodelingwereperformed.Theresearchalsofindoutthestudyonpenetrationofdigital
paymentsystemidentifiedthelackoftrainingonuseofDPSasthemajorreasonforlessadoptionof
thesystem

Dr.K.KamatchiEswaran(2019)conductedasurveyon“Consumerperceptiontowardsdigital
paymentmodewithspecialreferencetodigitalbanking”.Thestudywastofindoutthecustomer’s
perceptionatimpactofdemographicfactorsonadoptionofdigitalmodeofpayment.Thestudyis
basedonprimarydatacollectedfrom150respondentsfromthedifferentpartsofVirudhunagardistrict.
TheresearchandstatisticaltoolsusedinthisstudywereANOVAandfrequencyanalysis.Itwasfound
thatdemographicfactorexcepteducationdoesnothavemuchimpactontheadoptionofthedigitalpaym
ent.
Theresearcheralsofoundthatintheareasorregionwhereeducationlevelishigh,thepossibilityismuch
higher.

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 Dhanya.B.K(2019)conducted“Astudyonconsumerperceptionofdigitalpaymentmode”.The
wastofindoutthemostpreferredelectronicpaymentusedbycustomers,tofindoutthemostpopular
electronicpaymentsystemamongvariouselectronicpaymentmodesandtostudytheawarenessand
usageofcustomersusingdigitalpayment.Thestudyisconductindescriptivestyleusingbothsecondary
andprimarydatafrom200respondents.Thesamplemethodusedinthisstudyisstratifiedsamplingand
quotasampling.Thefindingofthisresearchshowusefuldecisionmakerstoimplementanddevelopin
digitalpaymentmodeandhelpastoknowhowitaffectuserperceptionandintention.Theresult
indicatesthatdigitalpaymentemphasizesgreatlyinusersandtheyunderstandhowitadoptson
bankingserviceandinnovativetechnologieshavebeenapartofthecominglifestyle.

Mr.SushilPunwatkarandDr.ManojVarghese(2018)conductedthestudythesurveyonthetitle
“AdaptationofinternetbankingPayment:AnEmpiricalStudyonConsumers”AdoptionBehaviorin
CentralIndiawiththeobjectivetounderstandthevariousfactorshavingeffectontheadaptationand
diffusionofinternetbankingsystem.Forthesurveytheycollectedsamplesfrom115respondentsfrom
Raipur,thecapitalcityofChhattisgarhStateinCentralIndia.HeusedtheCronbach’sAlphacoefficient
andlinearregressionanalysisandanalysisoutcomesuggest.

Thatperceivedsecurityisthebiggestfactoraffectingtheconsumer’sadoptionbehaviorfollowedb
y technicalknow-howandintentiontouse.Theyconcludedasdigitalbankingarequicklybecomingmain
streammodeofonlinepayment.

K.SumavallyandDr.K.HemaDivya(2018)haveconducted“AstudyonDigitalpaymentsin
Indiawithperspectiveofconsumersadoption”withtheobjectivetoanalyzetheimpactofcustomers
educationonusageofdigitalpayments.Fortheirstudycollectedthesamplesfrom200respondents
fromtheHyderabadregionusingstructuredquestionnaireandtheyanalyseusingpercentageanalysis
andthesquaretests.Theresultofthestudygivestheimportantpolicydirectiontowardswhatcan
enablethecountrytoincreasecashlesspaymentsandindicatethedevelopmentoftechnologyfor
digitalpaymentshaveimprovedtheperformanceofbankingsectorandabletoachievethemotive
cashlesseconomy.

Dr.ChhaviJain(2018)hasconductedastudyon,“DigitalPaymentsandDemonetization”.Itisa
descriptiveresearchapproachandthestudyisbasedonprimarydataaswellassecondarydata
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whichiscollectedthroughnewspapers,reportsetc.Samplesizeis50respondentsofAjmercity,
Rajasthan.Datahasbeencollectedthroughquestionnaire.Thefindingsofthestudystatesthatmiddle
agedpeople(from18-25)usemoreofdigitalpaymentswhereasthesenioragegroupsareabit
hesitantinusingdigitalpaymentswhichhoweverhasbeenincreasedafterde-monetization.

Dr.R.Gokilavani,Mr.D.VenkateshKumar,Dr.M.Durgarani,Dr.R.Mahalakshmi(2018)conducteda“Study
onperceptionofconsumerstowardsdigitalpayment”.Thestudywastoanalyzesocio-economicstatus
ofconsumersandtheirperceptiontowardsdigitalpayment.ThestudyiscarriedoutinCoimbatoredistrict
and300areselectedbyusingsimplerandomsamplingmethod.Thepercentageiscalculatedto
understandsocio-economicstatusofconsumersandmeanandstandarddeviationareworkedoutfor
perceptionofconsumerstowardsdigitalpayment.Thet-testandANOVAtestaredonetoinspect
differencebetweensocio-economicstatusofconsumersandtheirperceptiontowardsdigitalpayment.
Themultipleregressioniscarriedouttoanalyzetheinfluenceofperceptionofconsumerstowardsdigital
paymentonrateofadoptionofdigitalpayment.Theresultindicatesthathalfofconsumershave
moderatelevelofperceptiontowardsdigitalpayment.Significantdifferenceexistsbetweenperception
ofconsumerstowardsdigitalpaymentandtheirsocio-economicstatus.

DineshT.MandKiranKumarReddyandSuhasiniK(2018)conductedastudyon,
“DemonetizationanditsEffectsonDigitalPayments”.ThepaperstatestheeffectsofDemonetizationof
2016ondigitalindustry.Thestudyhasbeencarriedoutbasedonthecollectionoftherelevant
secondarydata.SecondarydatacollectionwasbasedonvarioussourcessuchasNPCI,RBI.
ComparativestudyonnumberoftransactionsbeforeandafterDemonetizationhasalsobeenincluded.
Overall,thestudyconcludedthattherewasasignificanteffectofdemonetizationondigitalpayments.

Dr.AjayPratapYadavandDr.AwadeshKumarTiwari(2018)haveconductedastudyon“Analysisof
ImpactofDemonetizationonDigitalTransactionsinIndia”withtheobjectivetoanalyzewhether
demonetizationwasacceleratesthegrowthindigitalpaymentmechanismtherebyshiftingtoward.For
theirresearchtheycollectedthesecondaryfromvariousjournalsandRBIreportsandusedtestfor
analysis.Theirstudyrevealthattherehasbeenashifttowardsdigitalpaymentmechanisminpost
demonetization phase and their study
concludedasthevolumeoffinancialtransactiongeneratedaftertheannouncement ofdemonetization
of currencynotearesignificantlydifferentthanthoseofwhichoccurredinperiodpriortout.

Ms.TanyaSanatani(2017hasconductedastudytitled,“EffectsofDemonetizationonDigital

15
PaymentSystemsinIndia”,wherethepaperlooksattheimpactthatDemonetizationhashadonthe
variouspaymentmethodsinIndia.Specifically,itaimstoseehowthevariousdigitalplatformshave
evolvedwiththeadventofdemonetization.Variousdigitalplatformsofpaymentlikepaymentapps,net
banking,etc.,werestudiedextensively.Thepaperalsolooksintotheimmediateeffectof
demonetizationine-commercewebsites.Findingsofthepaperincludehowfarthedemonetizationhas
boostedthedigitalpaymentsystem.

AkilaPai.H(2018)conducted“Astudyonconsumerperceptiontowardsdigitalbanking”.Thestudywas
toidentifythetop5digitalbankingserviceprovidersinIndia,tofindouttheawarenessandperception
oftheuserstowardsdigitalbanking,toevaluatethemeritsanddemeritsofe-paymentsystemandto
knowwhetherruralpeoplearegettingupdatedthemselvestotheupdatingtechnology.Inthisstudythe
dataisobtainedfrombothprimaryandsecondarysources.Themethodofnon-randomsamplinghas
beenusedtocalculatethedatafromtherespondents.Thesamplesizeis120.Thesampleofthestudy
consistsofbothusers(90respondents)andnon-users(30respondents)ofdigitalbanking.Thedatais
analysedandinterpretedusingtheGoogleDriveandMicrosoftExcel2007asperthefindingsofthe
study,digitalbankingisgettingpopularityamongtheyounglotssuchasstudentsandemployees.The
studywitnessedthatPayTmisleadingamongtheotherbankingproviders.

VenkateswararaoPodile(2017)conducted“Astudyonpublicperceptiononcashlesstransactionin
India”.Primarydataiscollectedthroughsurveymethod.Questionnairewasdevelopedbasedonpast
experienceoftheresearcherandreviewofliteratureonthetopicdonebytheresearchers.
Questionnaireconsistsoftotalsixteenquestionsoutofwhichfourquestionsrelatedtoprofileof
respondents.FivelevelsLikerscalewasusedinquestionnaire.Populationofthestudyconsistsofsavings
accountholdersofvariousbanksinIndia.Stratifiedrandomsamplingtechniqueisusedforselecting
respondentsforthesample.Samplesizeis195.Totalpopulationwasdividedinto36stratadepending
uponthetotalnumberofstatesandunionterritoriesinIndia.Outof195respondents,174arefrom29
statesinIndiaselectedattherateofsixeach,and21arefrom7unionterritoriesofIndiatakenatthe
rateof3each.Forselectingrespondentsfromstratasimplerandomsamplingtechniqueisusedusing
randomnumbertables..Theresearchalsofindoutthestudyonperceptiononcashlesstransactionin
Indiais,publicfeltthatmajorityofthetransaction(72.82%)convenienceisthereasonforcashless
paymentsinIndia.

NidhiSingh,ShaliniSrivastava,NeenaSinha(2017)conductedastudyonthetitle“Consumer
preferenceandsatisfactiononM-banking-astudyonNorthIndianconsumers”.Asampleof204
respondentsiscollectedfromthestatesofNorthIndiawiththeobjectivetotesttheconceptualmodelof

16
 consumer’sintentionandsatisfactiontowardsmobilebanking.Theresearchandstatisticaltools
employedinthisstudyareANOVA,descriptivestatistics,t-testandregressionanalysis.Thefindingof
thisstudyshowsastrongrelationbetweencustomer’sperception,preferenceandsatisfactionofonline
bankingusers.Theresultalsoshowstheimpactofcustomer’sperception,satisfactionandpreferenceon
usagerateofonlinebankinginIndia.
ShailendraSinghRana(2017)conductedastudyonthetitle“AStudyofpreferencetowards
themobilebanking”,amonguniversitiesstudentsinLucknow.Theobjectiveofthestudywasto
examinethefactorsinfluencingadoptionofE-banking.Thesurveyhasbeencollectedfrom95
respondents.Thetoolandthesampletechniquesusedinthestudyispurposivesample.Theresult
showsthatmajorityoftherespondentsuseonlinebankingformobilerecharge.

ShamshierSingh(2017)conducted“Astudyofconsumerperceptionofdigitalpaymentmode”.
Thestudywastofindoutthecustomerperceptionandimpactofdemographicfactorsonadoptionof
digitalmodeofpayment.Thestudyisbasedonprimarydatacollectedfrom150respondentsfromthe
differentpartsofDelhi.Thesamplingunitwasthecustomerswhohavebeenusingthedigitalpayment
modes.Awell-structuredquestionnairewasdesignedtocollecttheinformationfromtherespondents.
TheresearchandstatisticaltoolsemployedinthisstudyareANOVAandfrequencyanalysis.SPSS19
wasusedtoperformstatisticalanalysis.Cronbach’sAlphatestwasusedtofindoutthereliabilityofthe
data.Itwasfoundthatdemographicfactorexceptdoesnothavemuchimpactontheadoptionofthe
digitalpayment.

Dr.S.ManikandanandJ.MaryJayakodi(2017)conducted“Anempiricalstudyonconsumer’s
adoptionofonlinebankingwithspecialresearchtoChennaicity”.Thestudywastoknowthe
consumersperceptiontowardsmobilebankingandthefactorsthatinfluenceconsumersinadoptionof
mobilebanking.Thestudywasbasedonprimarydatacollectedfrom150respondentsinChennaicity.
TheresearchandstatisticaltoolusedinthisstudywasANOVA.Itwasclearthatmobilebankingalters
theothermodesofonlinepaymentinfuture.Theusersofmobilebankingweremuchsatisfiedonits
usage.Factorslikebrandroyalty,convenienceofshoppingplaceanimportantroleinadoptionof
mobilebanking.

Mr.Jubair.TandYakoob.C(2017)haveconductedthestudyonthetitle“AcceptanceofdigitalbankinginKerala:
Anempiricalstudy”withtheobjectivetoanalyzetheawarenessusageandissuesofdigitalbankingamongthe
peopleinKerala.Asampleof200bankcustomersselectedonthebasisofmultistagesamplingfromTrivandrum,
ErnakulumandMalappuramdistricts.Theyhaveusedpercentage,figures,crosstubandchi-squaretestareusedto
interpretthedata.Theresultshowsthatdigitalbankingisequallyacceptableamongpeoplewithdifferent
17
educationallevelemploymentstatusandincome.Fromtheirstudytheyconcludedthataretheconsiderablepartof
thepopulationofKeralahasadopteddigitalbankingformakingpayments.
Indhu.A(2017)haveconductedthestudyonthetitle“AwarenessofInternetbankingamong
peopleafterdemonetization”withtheobjectivetocertaintheawarenessofInternetbankingamong
peopleafterdemonetization.Theresearchercollectedthesamplesfrom200respondentsofTrichy
regionandfortheanalysesthepercentagemethod,frequenciesandregressionwereused.Thestudy
foundthatthebankingsystemevolveditbecameeasier,safeandevenremunerativetokeepone’s
moneyinabankaccountanditbecamestilleasierandsafetouse,transfermoneyinbankaccountfor
makingpaymentsforeconomictransactions.

RathoreHemShweta(2016)hasconductedastudyon“AdoptionofDigitalbankingby
Consumers”.Thestudywasconductedbycollectingprimarydatathroughastructurequestionnaire
from132smartphoneusers(respondents).Thestudywasconductedtoidentifyvariousfactorsaffecting
adoptionofdigitalbankinghasmodeofpaymentsbyconsumersanddifferentriskandchallenges
encounteredbyuserswhileusingdigitalbanking.Itwasfoundthatshoppersareadoptingdigital
bankingatanincrediblyrapidpace,largelyduetoconvenienceandeaseofuse.

18
CHAPTER3

19
PROFILEOFTHE
COMPANY

20
 PROFILEOFTHECOMPANY

Internetbankingisanelectronictransactiontoaworldoffinancialconvenience,securityand
efficiency.Thispaymentmethodhasbeengrowingoverthepastfewyears,asnumeroustech
companieshaveintroducedthemtothemarketplace,withnamessuchasApplePay,GooglePay,
SamsungPay,Microsoftbankingandmanyothers.Thesmartphonehaschangedtheway
consumerswanttoshop.Themobiledevicehasbecomemorerelevanttoconsumerstoday.The
mobilephonehaspracticallybecomethenextbestthingaftere-commerce.Sincethemobilephone
iswiththeconsumerallthetime,ithasbecomeahugeopportunityforbusinesses.Mobilebanking
allowsthecustomertostorehiscardandotherdetailsinthemobiledeviceandhelpsinsingleclick
payments.Theyrepresentashiftinpayingforgoodsandservicesawayfromtraditionalcardsand
towardsamoremobileformofpayments.
MostofthedigitalbankingworkwiththehelpofatechnologyknownasNearField
CommunicationorNFC,andhavealsobegantointegratewithcheck-
outinmobileappsandecommercewebsites.AMasterCardmobileshoppingsurveyamong8,500adultsaged
18-64 across14markets,showedthat45%ofusersinChina,36.7%ofusersinIndiaand23.3%ofusersin
Singaporearethebiggestadoptersofdigitalbanking.Thesurveywasconductedbetween
OctoberandDecember2015.Furtheranalysisshowedthat48.5%ofconsumersintheseregions
madepurchasesusingsmartphones.Indianconsumersareleadingthewaywith76.4%ofusinga
smartphonetomakeapurchase,whichisadrasticincreaseof29.3%ofthepreviousyear.Thishas
inspiredcompanieslikeRelianceandAmazonIndiatocomeoutwiththeirowndigitalbanking.

AccordingtoGovernmentofIndia,till2018,Indiahasover15mobilebankingandebankingcompanie
soutofwhich14areIndianbasedmobilebankingcompanies.Goingaccording
tothedateoflaunching,Oxygenbankingconsideredasthefirsteverinternetbankingormobile
bankinglaunchedinIndia.TheOxygenbankingwaslaunchedinJuly2004.

DEFINITION
AccordingtoCollinsDictionary,“ane-walletisancomputersoftwareinwhichdigitalcash
maybestoredforuseinpayingfortransactionsontheinternet.”
TYPESOFINTERNETBANKINGSERVICEPROVIDERININDIA:

PayTM

21
 PayTMisoneofthelargestmobilecommerceplatformsinIndia,offeringitscustomersa
onlinebankingtostoremoneyandmakequickpayments.Launchedin2010,PayTMworks onasemi-
closedmodelandhasamobilemarket,whereacustomercanloadmoneyand
makepaymentstomerchantswhohaveoperationaltie-upswiththecompany.Apartfrom
makinge-commercetransactions,PayTMbankingcanalsobeusedtomakebillpayments,
transfermoneyandavailservicesfrommerchantsfromtravels,entertainmentandretail
industry.Numberofinstalls:100million(or10crores)onAndroidPlayStore.

AmazonPay

AmazonPayisanonlinepaymentsprocessingservicethatisownedbyAmazon,
launchedin2007globallyandinIndiain2017,AmazonPayusestheconsumerbaseof
AmazonandfocusesongivinguserstheoptiontopaywiththeirAmazonaccountson
externalmerchantwebsites,includingappslikeBigBazaaretc.Onecanalsoshopon
AmazonusingAmazonPay.
GooglePay

AsitspartoftheGoogleecosystemtheyhavescaleduptheiruserbasereallyquickly,
inspiteofbeingalateentrant.WithGooglePayonecansendmoneytofriendspaybills
andbuyonline,rechargeyourphone.SinceGooglePayworkswithyourexistingbank
accountwhichmeansthemoneyissafewiththebank.There’snoneedtoworryabout
reloadingbankingandneednotdoadditionalKYC-whichisrequiredforalltheotherapps.
Numberofinstalls:100,000,000+(100millionor10crores)onAndroidPlayStore.

PhonePe

PhonePestartedin2015andinjust4yearsithasbeenabletocrossthe100million
downloadmark.FromUPIpaymentstorecharges,moneytransferstoonlinebillpayments,
onecandoitallonPhonePe.Ithasgotagooduserinterfaceandisoneofthesafestand
fastestonlinepaymentexperiencesinIndia.
Numberofinstalls:100,000,000+(100millionor10crores)onAndroidPlayStore. MobiKwik

MobiKwikisanindependentmobilepaymentnetworkthatsupposedlyconnects25
millionuserswith50,000retailersandmore.Thismobilebankingletsitsusersaddmoney
usingdebit,creditcard,netbankingandevendoorstepcashcollectionservice,whichcan
inturntobeusedtorecharge,topayutilitybillsandshopatmarketplaces.Owingtothe
growingneedforconvenience,MobiKwikhasalsorecentlytiedupwithlargeandsmall
timegrocery,restaurantsandotherofflinemerchants.Anotheruniquefeaturetheyhavein

22
 theirexpensetrackerwhichallowstosetbudgetforexpensesacrossallpaymentinstruments
anditusesSMSdatatoanalyzeandcontrolspends.
Numberofinstalls:10,000,000+(10millionor1crore)onAndroidplayStore.

FreeCharge

FreeChargewasfoundedin2010andisthefastestgrowingdigitalpayment
platform.Ithasabout20millionregisteredusersanditismoreofamobilerechargetool.It
alsoallowspayingelectricitybills,mobileandDTHrechargeandmanymore.FreeCharge
isavailableforAndroid,iOSandWindowsMobilePhone.

ICICIPockets

PocketsbyICICIareadigitalbankthatoffersamobilebankingforitscustomers.It
providestheconvenienceofusinganybankaccountinIndiatofundthemobilebanking
andpayfortransactions.WithPocketsonecantransfermoney,recharge,booktickets,
sendgiftsandspiltexpenseswithfriends.ThisbankingusesavirtualVISAcardthatenables
itsuserstotransactonanywebsiteormobileapplicationinIndiaandprovidesexclusive
dealsorpackagesfromassociatedbrands.
Numberofinstalls:5,000,000+(5millionor0.5crore)onAndroidPlayStore.

HDFCPayZapp

PayZappisacompletepaymentsolutiongivingthepowertopayinjustoneclick.
PayZappenablestorechargemobile,DTHanddatacard,payutilitybills,compareand
bookflighttickets,busandhotels,shop,buymovietickets,musicandgroceries,availgreat
offersatSmartBuyandsendmoneytoanyoneinthephonebook.
Numberofinstalls:10,000,000+(10millionor1crore)onAndroidPlayStore. YonobySBI

ThisbankingapplicationwaslaunchedbyStateBankofIndiatoletuserstransfer
moneytootherusersandbankaccounts,paybills,recharge,bookformovies,hotels,
shoppingaswellastravel.Thissemi-closedprepaidbankingoffersitsservicesin13
languagesandisavailablefornon-SBIcustomersaswell.Thisappalsoallowsitscustomers
tosetremaindersfordues,moneytransfersandviewthemini-statementforthetransactions
carriedout.
Numberofinstalls:10,000,000+(10millionor1crore)onAndroidPlayStore.

HOWTOUSEINTERNETBANKINGTHROUGHMOBILE?
23
ForConsumer
Downloadtheappondevice.

Sign-upbyenteringtherelevantinformation.Theuserwillreceiveapassword.

Loadmoneyusingdebit/creditcardorNetbanking.

Aftershoppingonline,theinternetbankingautomaticallyfillsintheuser’sinformationonthe
paymentform.
Oncetheonlinepaymentismade,theuserisnotrequiredtofilltheorderformonanyother
websiteastheinformationgetsstoredinthedatabaseandisupdatedautomatically.

ADVANTAGES:
Convenience

Inmereseconds,onecancompleteatransactionusingaonlinebankingwithatap
orwaveofthesmartphoneatthecheckoutterminal

Efficiency

Nomoredigginginpurseorbankingfortherightcard.Plus,asmoreconsumers
adoptthistechnology,checkoutlinescouldbecomeshorterduetothespeedynatureofthe
transactions.

Lessluggingitemsaround

Ifonecanstorepaymentcardsinadigitalbanking,itiseasytopayataccepting
storeswithoutneedingtocarryyourphysicalbanking-meaningonelessitemtocarry.

Itcouldhelpyouwithyourbudget

Ifthereisabig-ticketitemtopurchase,usercandisablethisfeaturetomakesure
there’senoughmoneyavailabletomakethepayment.

Splitbillfacility

Beingabletosplitexpenseswithfriendsisanotherbigadvantage.FreeChargeand
Mobikwikuserscansplittheirbillssimplybyenteringtheamountandthenumberofpeople

24
 whoareexpectedtopaytheirshare.Thesebankingwillautomaticallygeneratealinkwhich
usercansendtopeoplewhoowemoney.

Ensurestimelypayments

Userscanalsomakeuseoftheautopayfacilitytomakefuturebillpayments
automatically,frombankbalanceonapre-determineddate.

Quicktransferoffunds

Moneybankingmadesendingandreceivingmoneyquickandeasy.Andonthe
topofthat,currentlytherenotransactionchargesleviedfortransferringmoneyanywhere,
anytime,thusmakingitamorepreferableoption.

DISADVANTAGES
Itisnotfullyavailableworldwide
Thenumberofretailerswhichacceptpaymentsfromanelectronicbankingdepends
ontheactualbankingtheychoose.InDecember2016,just36%ofretailersaccepted
ApplePay.34%ofretailersacceptedPayPalasaformofpayment.Just25%ofretailers
acceptedMasterPass.About2millionretailersinNorthAmericacurrentlyprovideaccess
tosomeformofmobilepaymentthroughanelectronicbanking
Itcouldencouragerecklessspending

Whenmoneyiselectronically-basedinsteadofaphysicalitem,somepeople
strugglewiththeirspendinghabits.Themoneydoesn’tfeelreal,soproperbudgetingdoesn’t
takeplace.

Security

Companiesmustensurethattheircustomers'informationisencryptedandwell
protected.Oneofthebiggestconcernsofadoptingadigitalbankingapplicationis"willmy
informationbesafe"?Thisisthehurdlethatcompaniesmustfaceandasaresult,must
developsecuritysystemsthatareassafeandfullproofaspossibletoavoidpotential securityissues.

Internationalrestriction

25
 Everycountryhasdifferentservicesandsotheusermaynotbeabletousecountry’s
digitalbankingtomakepaymentswhiletheyareinothercountries.So,itcanbeagreat
hurdleforthosewhooftenneedtotraveltodifferentcountries.

Dependentonotherdevices

Asknownthedigitalbankingcanonlybeusedonlineandviadeviceslikealaptop,
smartphoneortablet,sotheuseofdigitalbankingishighlydependentondevice.Ifthe
userisunabletoreachsmartphoneorlaptopduetobatteryproblemoranyotherreason,
digitalbankingareofnouse.Thisisthemainreasonwhydigitalbankingcan’tbeatcredit
anddebitcards.

NFCBANKING
Somemobilebankingusenear-fieldcommunication(NFC)totransferpaymentinformation
toavendor'spoint-of-sale(POS)terminal.NFCisatechnologythatusesradiofrequencies
toallowsmartphonesandotherdevicestoexchangeinformation.

Beforecustomerscanusetheirhigh-techbankinginstores,theymustfirstuploadalloftheir
creditanddebitcardinformationtoadigitalaccount.Theythenlinkthisaccountdirectlyto
theirsmartphonesbydownloadingtheirprovider'scorrespondingmobilebankingapp.
Oncetheuserhastheirmobilebankingappinstalled,theycanholdtheirphoneovera
store'sNFCreadertomakeapayment.
Googlebanking,apopularfeatureoncertainAndroiddevices,usesNFCtechnology.
Googlebankingdoesnotsharecreditcarddetailsdirectlywithmerchants.Instead,
Google'spartner,Bancorp,issuesGooglebankingusersavirtualprepaidcardthatisthen
usedtomakepayments.SopayGoogleandGooglepaysthevendor.

THEWAYSTOPAY
ButnotallsmartphonesareNFC-
enabled,whichmeansthatcustomerswithoutNFCenableddevices,likeiPhoneusers,needa
differentwaytopaywiththeirmobilebankingin stores.
PayPaloffersauniquemobilebankingservicethatletsuserspayforitemsbyenteringtheir
mobilephonenumberatthecheckoutcounter.TousePayPalwhileshopping,simplyactivate
accountforin-storecheckout.

26
 MuchlikeGooglebanking,PayPaldoesnotsharecreditordebitcardinformationdirectly
withvendors.Instead,PayPalpaysthevendorforandthenpayPayPalthroughoneof accounts.
SCOPE
Mobilebankingwillplayasignificantroleindaytodaylifeasanincreaseinuseofsmart
phonecanbeseenandpeoplearerelyingondigitallifestyletomakethingsconvenientandfast.
Althoughthereisnot100%penetrationofonlinebankingyet,itstillholdsimmensepotential.
AsperaMcKinseyreport,presentlynumberofsmartphoneusersinIndiais29million.As
perIAMAIreport,numberofmobileinternetusersisexpectedtoreach213millionbyJune2015.
Thereforetoavailtheserviceofamobilebankingausershouldhaveasmartphoneandtheninternet
connection.Tofuelmobilebankingadoption,companieshaveevenopenedofflinestoreswhere
peoplewhodonothavecredit/debitcardscanpayandrechargetheiraccounts.
Therefore,attemptsarebeingmadeacrossindustryformobilebankingawarenesstogetas
manyusersaspossible.Withaffordabilityofsmartphonessettodrivetheoverallaffordabilityof
mobilebroadbandinIndia,thescopeofgrowthfordigitalpaymentwillcontinuetowitnessan
upswingincomingyears.TheglobalEricssonMobilityReportalsostatedthatIndiaaddedthemost
netmobilesubscribersinthefirstquarterthisyearat26million.Thesestatssurelysuggestthatdigital
paymentsegmentissettobecomethenextbightinginIndia.

CHAPTER4

27
DATAANALYSISAND
INTERTRETATION

28
 DATAANALYSIS
Inthischapter,theanalysisandinterpretationofdatacollectedonthestudyofDigital
paymentusinginternetbankinginCoimbatoredistrict.

GENDEROFTHERESPONDENTS
Table4.1.1depictsthegenderwisedistributionoftherespondents.

Table4.1.1
Genderoftherespondents
Gender No.ofRespondents Percentage(%)
Male 26 52
Female 24 48
Total 50 100
Theabovetablerevealsthatoutof50respondents,52percentaremaleand48per centarefemale.

Majority(50.0percent)oftherespondentsaremale.

29
30
 AGEOFTHERESPONDENTS
Table4.1.2showstheclassificationofrespondent’sagewise.

Table4.1.2
Ageoftherespondent
Age No.ofRespondents Percentage(%)
20andbelow 12 24.0
21-30 18 36.0
31-40 10 20.0
Above40 10 20.0
Total 50 100
Fromtheabovetableitisnotedthat36percentoftherespondentsareintheagegroupof 21-
30years,24percentoftherespondentsarebelow20years,20percentoftherespondents
areintheagegroup31-40years,and20percentoftherespondentsareabove40years.

Majority(36.0percent)oftherespondentsbelongtotheagegroup20to30years.

31
 EDUCATIONALQUALIFICATIONOFTHERESPONDENTS
Table4.1.3indicateseducationalqualificationsoftherespondents.

Table4.1.3
Educationalqualificationoftherespondents
EducationalQualification No.ofRespondents Percentage(%)
UptoSchoollevel 8 16.0
Graduate 18 36.0
PostGraduate 17 34.0
Professionaldegree 7 14.0
Total 50 100
Theabovetableindicates36percentoftherespondentsaregraduates,34percentofthe
respondentsarepostgraduates,16percentoftherespondentshavetheireducationalqualificationup
toschoolleveland14percentoftherespondentsareprofessionals.

Majorityoftherespondents(36.0percent)aregraduates

OCCUPATIONALSTATUSOFTHERESPONDENTS
Table4.1.4showsoccupationalstatusoftherespondents.

Table4.1.4
Occupationalstatusoftherespondents
Status No.ofRespondents Percentage(%)
Employed 18 36.0
32
SelfEmployed 3 6.0
Housewife 5 10.0
Students 24 48.0
Total 50 100
Theabovetableindicates36percentoftherespondentsareemployed,48percentofthe
respondentsarestudents,6percentoftherespondentsareself-employedand10percentof
therespondentsarehousewives.

Majorityoftherespondents(48.0percent)arestudents.

33
34
NO.OFTHERESPONDENTSCOMFORTWHILEUSINGONLINEBANKINGSERVICES
Table4.1.5showscomfortwhileusingonlinebankingservicesoftherespondents

Table4.1.5
Comfortwhileusingonlinebankingservices
Responses No.ofRespondents Percentage(%)
Yesit’scomfortable 38 76.0
Abithard 9 18.0
It’ssodifficult 3 6.0
Total 50 100
Theabovetableindicatesthat76.0percentoftherespondentsfeelscomfortablewhile
usingonlinebanking,18.0percentoftherespondentsarehavingabithardinonlinebanking
services,6.0percentoftherespondentsarehavingadifficultinusingonlinebankingservice.

Majorityoftherespondents(76.0percent)arehavingcomfortablewhileusingonlinebanking.

35
36
NUMBEROFBANKACCOUNTSTHERESPONDENTSPOSSES
Table4.1.6showsthenumberofbankaccountstherespondentsposses.

Table4.1.6
Bankaccountingstructureoftherespondents
RespondentsBankAccount No.ofRespondents Percentage(%)
1Account 41 82.0
2-3Account 6 12.0
Morethan3Accounts 3 6.0
Total 50 100
Theabovetableindicates82.0percentoftherespondentspossess1bankaccount,12.0percent
oftherespondentshave2-3accountand6.0percentoftherespondentshavemorethan3bank account.

Majorityoftherespondents(82.0percent)possess1bankaccount.

37
38
FAMILYMONTHLYINCOMEOFTHERESPONDENTS
Table4.1.7showsthefamilymonthlyincomeoftherespondents.

Table4.1.7
Familymonthlyincomeoftherespondents
MonthlyIncome No.ofRespondents Percentage(%)
BelowRs.10,000 14 28.0
Rs.10,001-25,000 8 16.0
Rs.25,001-50,000 16 32.0
Rs.50.001andabove 12 24.0
Total 50 100
Theabovetableindicates16.0percentoftherespondentsfamilymonthlyincomeis
betweenRs10,001-25,000,32.0percentoftherespondentsarehavingfamilymonthlyincome
betweenRs.25,001-50,000,24.0percentoftherespondentsarehavingfamilymonthlyincomeof
Rs50,000andabove,28.0percentoftherespondentsarehavingfamilymonthlyincomebelowRs 10,000.

Majorityoftherespondents(32.0percent)arehavingfamilymonthlyincomebetweenRs.25,00050,000.

39
ANNUALINCOMEOFTHERESPONDENTS

40
Thetable4.1.8showstheannualincomeoftherespondents.

Table4.1.8
Annualincomeoftherespondents
AnnualIncome No.ofRespondents Percentage(%)
Upto2,00,000 10 20.0
2,00,001-5,00,000 35 70.0
Above5,00,000 5 10.0
Total 50 100.0
Theabovetableshowsthat,35.0percentoftherespondentsarehavingannualincome
betweenRs200001-500000,20.0percentoftherespondentsarehavingannualincomeupto
Rs.200000and10.0percentoftherespondentsarehavingannualincomeaboveRs.5,00,000.

Majorityoftherespondents(70.0percent)arehavingannualincomebetweenRs.2, 00,001-5,00,000.

41
INDIVIDUALINCOMEOFTHERESPONDENTS
Table4.1.9showstheindividualincomeoftherespondents.
42
 Table4.1.9
Individualincomeoftherespondents
IndividualIncome No.ofRespondents Percentage(%)
BelowRs.10,000 10 20.0
Rs.10,001-25,000 24 48.0
Rs.25,001-50,000 7 14.0
Rs.50.001andabove 9 18.0
Total 50 100
Theabovetableindicates48.0percentoftherespondentsarehavinganindividual
incomebetweenRs.10000-25000,20.0percentoftherespondentsarehavinganindividual
incomebelowRs.10,000,14.0percentoftherespondentsarehavinganindividualincome
betweenRs.25,000-50,000and18.0percentoftherespondentsarehavinganindividual
incomeRs.50,000andabove.

Majorityoftherespondents(48.0percent)arehavinganindividualincomebetweenRs.10, 000-25,000.

43
RESIDENTIALSTATUSOFTHERESPONDENTS

44
Thetable4.1.10showsresidentialstatusoftherespondents.

Table4.1.10
Residentialstatusoftherespondents
Area No.ofRespondents Percentage(%)
Rural 9 18.0
Urban 31 62.0
SemiUrban 10 20.0
Total 50 100
Theabovetableindicatesthat62.0percentoftherespondentsarefromurbanarea
18.0percentoftherespondentsarefromruralareaand20.0percentoftherespondentsarefrom
semiurbanarea.

Mostoftherespondents(62.0percent)arefromurbanarea.

45
PERIODOFUSAGEOFE-PAYMENTAPPS
Thetable4.1.11showstheperiodofusageofe-paymentappsbytherespondents.

Table4.1.11
46
 Periodofusageofe-paymentapps
Year No.ofRespondents Percentage(%)
Morethanayear 24 48.0
Lessthan6months 14 28.0
Lessthanamonth 8 16.0
Notyetusing 4 8.0
Total 50 100
Theabovetableshowsthat,48.0percentoftherespondentshavebeenusinge-payment
appsformorethan1year,28.0percentoftherespondentshavebeenusinge-paymentappsless
than6months,16.0percentoftherespondentshavebeenusinge-paymentappslessthanamonth
and8.0percentoftherespondentshavebeenusinge-paymentappsfornotyetusing.

Majorityoftherespondents(48.0percent)havebeenusinge-paymentappsformorethan1year.

47
OPINIONABOUTEPAYMENT
48
Thetable4.1.12showstheopinionaboute-paymentapps.

Table4.1.12
Opinionaboutepayment
Opinion No.ofRespondents Percentage(%)
Vital 11 22.0
Essential 28 56.0
Desirable 9 18.0
Cannotsayexactly 2 4.0
Total 50 100
Theabovetableshowsthat,56.0percentoftherespondentshaveopinedthate-banking
hasbecomeessential,22.0percentoftherespondentshaveopinedthate-bankinghasbecome
vital,4.0percentoftherespondentsdidnotsayanythingexactlyand18.0percentofthe
respondentshaveopinedthatitisdesirable.

Majorityoftherespondents(56.0percent)haveopinedthate-bankinghasbecome essentialnowadays.

49
PREFERENCESOFINTERNETBANKING

50
Thetable4.1.13showsthepreferencesofinternetbanking.

Table4.1.13
Preferencesofinternetbanking
Preference No.ofRespondents Percentage(%)
GooglePay 20 40.0
Paytm 17 34.0
Phonepe 6 12.0
Mobikwik 2 4.0
Others 5 10.0
Total 50 100
Theabovetableshowsthat,40.0percentoftherespondentspreferGooglePayformaking e-
payments,34.0percentoftherespondentspreferPaytm,12.0percentoftherespondentsprefer
Phonepe,10.0percentoftherespondentspreferothersand4.0percentoftherespondentsprefer
Mobikwikformakinge-payments.

Majorityoftherespondents(40.0percent)preferGooglePayformakinge-payments.

51
MODEOFPAYMENTVIAONLINEBANKINGSERVICE
Thetable4.1.14showsthemodeofmakingpaymentviae-banking.

52
 Table4.1.14
Modeofpaymentviainternetbanking
Mode No.ofRespondents Percentage(%)
Throughdirectonlinebanking 7 14.0
services
Byotherapplications 39 78.0
Both 4 8.0
Total 50 100
Theabovetableshowsthat,78.0percentoftherespondentsaremakingtheonlinebanking
throughotheronlinebankingapplications,14.0percentoftherespondentsaremakingthe
transactionsthroughdirectonlinebankingservicesand8.0percentoftherespondentsaremaking
thepaymentusingbankingthroughinternetbankingapplicationsanddirectonlinebankingservices.

Majorityoftherespondents(78.0percent)aremakingthepaymentsusinginternetbankingthrough
otheronlineapplications.

53
USAGEOFINTERNETBANKING
Thetable4.1.15showstheusageofinternetbanking.

54
 Table4.1.15
Usageofinternetbanking
Period No.ofRespondents Percentage(%)
Daily 16 32.0
Weekly 13 26.0
Monthly 4 8.0
Wheneverrequired 17 37.0
Total 50 100
Theabovetableshowsthat,37.0percentoftherespondentsareusinginternetbanking
wheneveritisrequired,26.0percentoftherespondentsareusinginternetbankingonaweekly
basis,8.0percentoftherespondentsareusinginternetbankingonmonthlybasisand32.0percent
oftherespondentsareusinginternetbankingonadailybasis.

Majorityoftherespondents(37.0percent)areusinginternetbankingformakingpayments
wheneveritisrequired.

55
FACTORSINFLUENCINGTHERESPONDENTSTOUSEINTERNETBANKING

56
 Thetable4.1.16showsthefactorsinfluencingtherespondentstouseinternetbanking.

Table4.1.16
Factorsinfluencingtouseinternetbanking
Factors No.ofRespondents Percentage(%)
Parents 1 2.0
Friends 26 52.0
Relatives 2 4.0
Colleagues 13 26.0
Media 5 10.0
Financialserviceproviders 3 6.0
Total 50 100
Theabovetableshowsthat,52.0percentoftherespondentsareinfluencedbytheirfriends
tousetheinternetbanking,4.0percentoftherespondentsareinfluencedbytheirrelatives,26.0per
centoftherespondentsareinfluencedbycolleagues,2.0percentareinfluencedbytheirparents,
10.0percentareinfluencedbymediaand6.0percentrespondentsareinfluencedbyfinancial
serviceproviders.

Majorityoftherespondents(52.0percent)areinfluencedbytheirfriendstousetheinternetbanking

57
OBSTACLESFACEDWHILEUSINGINTERNETBANKING
Thetable4.1.17showstheobstaclesfacedbytherespondentswhileusinge-banking.
58
 Table4.1.17
Obstaclesfacedwhileusinginternetbanking
Obstacles No.ofRespondents Percentage(%)
Securityofmobilepayment 16 25.0
Tootimeconsumptiontosetup 19 29.69
Involvesdangeroflosingmoney 20 32.25
Networktraffic 4 6.25
Lackofinstanceinformation 5 7.82
Total 64 100
Theabovetableshowsmultipleresponsesoftherespondentsandoutof50respondents
6.25percentoftherespondentsfacetheobstaclesofnetworktrafficwhileusinginternetbanking,
25.0percentoftherespondentsarefacinginsecurityasobstaclewhilemakingmobilepayment,
31.25percentoftherespondentsfacedangeroflosingmoneyasobstaclewhilemakingpayment,
29.69percentoftherespondentsarefacingtoomuchoftimeconsumptiontosetupinternet
bankingappand7.82percentoftherespondentsarefacinglackofinstanceinformationas
obstaclewhileusinginternetbanking.

Majorityoftherespondents(31.25percent)arefacingdangeroflosingmoneyasobstaclewhile
usinginternetbankingformakingpayments.

59
LEVELOFSATISFACTIONTOWARDSTHEFACTORSTHATINFLUENCETHEUSAGEOFINTERNET

60
BANKING
Thetable4.1.18showsthelevelofsatisfactiontowardsthefactorsthatinfluencetheusage
ofinternetbanking.

Table4.1.18
Levelofsatisfactiontowardsthefactorsthatinfluencetheusageofinternetbanking
Levelof Satisfied Neutral Unsatisfied Total
Satisfaction
Pricing No 30 17 3 50
% 60.0 34.0 6.0 100
Convenience No 42 6 2 50
% 84.0 12.0 4.0 100
Accessibility No 41 5 4 50
% 82.0 10.0 8.0 100
Security/privacy No 20 25 5 50
% 40.0 50.0 10.0 100
Qualityofservice No 35 13 2 50
% 70.0 26.0 4.0 100
Userinterface No 31 11 8 50
% 62.0 22.0 16.0 100
Timesaving No 46 2 2 50
% 92.0 4.0 4.0 100
Addonbenefits No 19 21 10 50
% 38.0 42.0 20.0 100
Theabovetableshowsthat92.0percentoftherespondentsaresatisfiedwiththetime
savingfeatureoftheinternetbankingwhilemakingpayments,84.0percentaresatisfiedwiththe
conveniencefeature,82.0percentaresatisfiedwiththeaccessibilityfeatureofinternetbanking,
60.0percentaresatisfiedwiththepricingfeatureofinternetbanking,70.0percentaresatisfied
withthequalityofservice,54.0percentaresatisfiedwiththeaddonbenefitsprovidedininternet
banking,62.0percentaresatisfiedwiththeuserinterfaceand40.0percentoftherespondentsare
satisfiedwiththesecurityandprivacyprovidedininternetbanking.

Majorityoftherespondents(92.0percent)aresatisfiedwiththetimesavingfactorprovidedby
internetbankingandthisfactorhasinfluencedtherespondentstousee-banking.

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63
64
OPINIONONINTERNETBANKING

65
 Thetable4.1.19showstheopiniononusageofinternetbanking.

Table4.1.19
Opiniononusageofinternetbanking
Opinion Likely Neutral Unlikely Total

Internetbankingisuseful No 37 10 3 50
% 74.0 20.0 6.0 100
Theabovetableshowsthatoutof50respondents74.0percentarelikelytoconsiderusing
internetbankinginuseful,20.0percentoftherespondentshadneutralthoughtintheusageof
internetbanking,6.0percentoftherespondentsfeelthatitnottobeabettertoolforcashless economy.

Majorityoftherespondents(74.0percent)haveanopinionofconsiderinternetbankinginuseful.

Chart4.1.19

Opiniononusageofinternetbanking

PURPOSEOFUSAGEOFINTERNETBANKING
Thetable4.2.1showsthepurposeofusageofinternetbankingoftherespondents.

Table4.2.1
Purposeofusageofinternetbanking
Purposeofusageofinternet No.of.respondents Percentage
banking
Moneytransfer 15 30.0
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Onlinepayment 13 26.0
Ticketbooking 9 18.0
Shopping 8 16.0
Travelexpenses 5 10.0
Total 50 100
Thetablerevealsthat‘moneytransfer’isthemainpurposeofusageofinternetbanking,asit
isthelowestmeanscoreof30.0,‘onlinepayment’isthesecondmainreasonpreferredbythe
respondentswithameanscoreof2.0percent,followedby‘ticketbooking’withameanscoreof
18.0percent,‘shopping’withameanscoreof16.0percent,‘travelexpenses’withameanscore
of10.0percent.

Majority(30.0percent)oftherespondentshavestatedthatthemainreasonfortheusageof
internetbankingismoneytransfer.

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CHAPTER5
68
 FINDINGS
SUGGECTION
ANDCONCLUTION
FINDINGS
Percentageanalysis
(52.0percent)oftherespondentsaremale

(36.0percent)belongtotheagegroup21to30years

(36.0percent)aregraduates

(48.0percent)arestudents

(76.0percent)arehavingcomfortwhileusingonlinebankingservices

(82.0percent)peoplepossess1bankaccount

(32.0percent)arehavingfamilymonthlyincomebetweenR25,000-50,000

(70.0percent)arehavingannualincomebetweenRs.200001-500000

(48.0percent)arehavinganindividualincomebetweenRs.10,000-25,000

(62.0percent)arefromurbanarea

(48.0percent)havebeenusinge-paymentappsformorethan1year

(56.0percent)haveagreedthate-bankinghasbecomeessentialnowadays

(40.0percent)preferGooglepayformakingonlinepayments

(78.0percent)areusinginternetbankingthroughotheronlineapplications

(37.0percent)areusingonlinebankingforpaymentswheneverrequired

(52.0percent)influencedbytheirfriendstousetheinternetbanking

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 (31.25percent)arefacingdangeroflosingmoneyasobstaclesinonlinebanking

(92.0percent)oftherespondentaresatisfiedwiththetimesavingfeatureofinternetbanking

(74.0percent)considerinternetbankingisuseful

(30.0percent)havestatedthatmainreasonfortheusageofe-bankingismoneytransfer

SUGGESTIONS
Thestudywasmadetoidentifythepreference,purpose,satisfactionandopinionofebankingservices
usedbytheconsumersinCoimbatoredistrict.Basedonthefindings,thefollowing suggestionsareprovided.

Serviceprovidersshouldtakestepstominimizethesecurityissuesandtheriskfactorwhichin
turnwillincreasetheadoptionofinternetbankingamongthegeneralpublic.

Internetbankingserviceproviderscanjoinhandwithvarioussectornamelyinsurancesector
andotherpriatesoftwarewhichiseasytoadapt.

Providersofinternetbankingandbyfocusingmoreandmoreonsecurityenhancementand
frequentadaption.

Internetbankingserviceprovidersmustimprovetheapptobeuserfriendlywhichinturnwill
allowtheuserstomanageitmoreefficiently

CONCLUSION
Thestudyonattitudeandperceptionofpeopletowardsinternetbankingservicesrevealsthat
peoplearewillingtousee-bankingandinterestedtouseitcontinuously.

Thefactorssuchasmoneytransfer,onlinepaymentforutilities,ticketbookingandshopping
areconsideredtobethemostimportantpurposesofusingtheinternetbankingservices.

InbrieftheinternetbankingserviceproviderssuchasGooglePayandPaytmareusedby
majorityofthepeople.Easeofuse,anywhereandanytimetransferandnoneedtocarrycashare
consideredimportantbythepeopleinusinginternetbankingservices.

Thestudyconcludesthatduetoalargenumberofbenefitsprovidedbye-bankingservice
providers,thee-bankingarebecomingverypopulardaybyday,notonlyinthespecifiedareabut
alsothroughoutthecountry.Hencethebankingindustriesshouldconcentrateonmarketchangesto
withstandandcompetewithnewtechniques.

70
 BIBLIOGRAPHY

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WEBSITES

www.scribd.com

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Scholar.google.co.in

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ASTUDYOFPOPULARITYONINTERNETBANKINGTHROUGH
ONLINEAPPLICATIONSDISTRICT-COIMBATORETHEUSERS
PERSPECTIVE

QUESTIONNAIRE

1.Name:

72
2.Gender:(a)Male(b)Female

3.Age:(a)20yearsandbelow(b)21-30years(c)31-40years(d)Above40years

4.ResidentialStatus:

(a)Rural(b)Urban(c)Semi-Urban

5.EducationalQualification:

(a)Uptoschoollevel(b)Graduate(c)Postgraduate(d)Professionaldegree

6.Occupation:

(a)Employed(b)Self-employed(c)Housewife(d)Student

7.Monthlyincome(family)

(a)BelowRs10,000(b)BelowRs10,000-25,000(c)Rs25,000-Rs50,000

(d)Rs50,000andabove

8.Doyouthinkinternetbankingisuseful?
(a)Yes(b)Notreally

9.HowoftenyouuseInternetbanking?

(a)Daily(b)Weekly(c)Monthly(d)Wheneverrequired

10.Whatisthemainpurposeforusinginternetbanking?

(a)Transferofmoney(b)onlinepayment(c)Ticketbooking(d)Shopping

73
(e)Travelexpenses(f)hotelbooking

11.Haveyoupurchasedanyproductthroughonlinebanking?

(a)Yes(b)No

12.Approximatelyhowmanytimeshaveyoupurchasedthroughtheinternetinthelast12 months?

(a)Never(b)2-3times(c)5-6times(d)Morethan6times

13.Areyouwillingtoprovideyourcreditcardinformationandyourpersonalinformationtointernetbanking?

(a)Yesofcourse(b)No

14.WhichapplicationdoyouuseformakingthepaymentviaInternetbanking?

(a)GooglePay(b)Paytm(c)Phonepe(e)Others

15.Doyouhavecomfortwhileusingonlinebankingservice?
(a)Yes(b)Notreally(c)It’slittledifficult

16.Howmanybankaccountsdoyouhave?
(a)1account(b)2-3account(c)morethan3account

17.WhoinfluencedyoutouseInternetbanking?

(a)Parents(b)Friends(c)Relatives(d)Colleagues(e)Media(f)Financialserviceproviders

18.Doyoupreferbankingthroughthebankingserviceofthebankitselforthroughotheronlineapplications?

(a)Throughdirectonlinebankingservices(b)Byotherapplications(APPS)(c)Both

74
19.Howlonghaveyoubeenusingbankingthroughinternet?

(a)Morethanayear(b)Lessthan3months(c)Lessthan6months(d)Notyetusing
20.Stateyoursatisfactionlevelforthebelowfactors:

Features Satisfied Neutral Unsatisfied

Pricing

Convenience

Accessibility

Security/privacy

Qualityofservice

Userinterface

Timesaving

Addonbenefits

21.MentiontheobstaclesyoufacewhileusingInternetbanking.

S.No Obstacles Tick

1. Securityofmobilepayment

2. Tootimeconsumptiontosetup

3. Involvesdangeroflosingmoney

4. Networktraffic

5. Lackofinstanceinformation

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