Kathmandu University School of Management

Research report on
customer satisfaction in
m-banking
Siddhartha bank limited

12/22/2016

Group members:

Babita Sharma
Dikshya Shrestha
Ojaswi Sharma
Sushan Maharjan
Utsav Pradhan
BBA 7th Semester
Table of Contents
Introduction.....................................................................................................................................2
Introduction to Siddhartha Bank Limited....................................................................................2
m-Connect – Siddhartha Bank Limited........................................................................................3
Objectives of the research...............................................................................................................4
Problem statement..........................................................................................................................4
Research question...........................................................................................................................5
Limitations of the study...................................................................................................................5
Literature review.............................................................................................................................5
Conceptual framework....................................................................................................................7
Operational definition.....................................................................................................................8
Independent variables:................................................................................................................8
Dependent variable:....................................................................................................................8
Research method.............................................................................................................................8
Research instruments......................................................................................................................9
Data collection procedure...............................................................................................................9
Data analysis....................................................................................................................................9
Analysis..........................................................................................................................................10
Correlation analysis...................................................................................................................10
Satisfaction (Will recommend)..............................................................................................10
Satisfaction (Overall Rating)..................................................................................................12
Gender based mean analysis.....................................................................................................13
ANOVA...................................................................................................................................13
Findings..........................................................................................................................................22
Recommendation..........................................................................................................................23
References:....................................................................................................................................24
Annexure........................................................................................................................................25
Introduction
Satisfaction is a crucial concern for both customers and organizations including banks. Since
satisfaction is a subjective concept, it is difficult to determine. In simple words, satisfaction is
the meeting of wants and needs of the customers. It depends on the customer’s perception of
the value of the services provided.

With the growing competition in the banking sector, customer satisfaction has been an
important issue for banks. Customer service has become the heart of good banking system
because retention of existing consumers is crucial and attracting newer customers ensures
survival of banks in the long run. Along with development and competition in banking sector,
customers are more conscious about service they expect from banks; such that the decision to
continue transaction with a given bank largely depends on the service they are provided on the
initial contact. Due to increased number of banks, the switching cost is also low for existing
consumers. Therefore in order to retain existing customers and attract new customers, banks
are required to become more and more customer-focused.

Mobile Banking (m-banking) is an additional service provided by a bank or other financial

institution (BFIs) that allow customers to conduct various financial transactions through a
mobile device. It is a software application developed by the bank for its customers to improve
the ease of their banking.

The Bricks and Clicks approach of Banks has benefited them to improve customer’s banking
experience. As the sector is becoming more and more focused on improving customer
satisfaction, Mobile Banking is a drive towards that goal.

M-Banking is a revolutionizing service which has helped financial institutions gain customer
loyalty, their satisfaction, and add value to their products and services. M-Banking has also
provided a competitive advantage for the institutions by not only providing an “always
available” access but also providing better service and revenue opportunities.

Introduction to Siddhartha Bank Limited

Siddhartha Bank Limited is an ‘A’ class commercial bank licensed by Nepal Rastra Bank and has
branches all across the nation with its head office in Kathmandu which provides entire
commercial banking services. It was established in 2002 AD. The bank's shares are publicly
traded as an 'A' category company in the Nepal Stock Exchange.

The Bank desires to be one of the leading banks of the industry by fulfilling the interest of the
stakeholders and also aims to provide total customer satisfaction by way of offering innovative
products and by developing and retaining highly motivated and committed staff. It directs all its
efforts to move ahead with increased profits.
Having more than two decades of experience in the Banking industry, Siddhartha bank (est.
2002) recognizes the pressure of rising competition in banking sector. Total customer
satisfaction has been designed as the core value of the bank along with other attributes.
Siddhartha bank desires to be one of the leading banks of the industry by fulfilling the interest
of the stakeholders and also aims to provide total customer satisfaction by way of offering
innovative products.

m-Connect – Siddhartha Bank Limited

m-Connect by Siddhartha Bank Limited (SBL) is an improved mobile banking application that
enables anywhere banking from a mobile device with features such as instant access to
customer’s account(s), fund transfers, viewing mini statements, and balance inquiry among
many others.

m-Connect also integrates with SBL’s iConnect and Card services which has further set
mConnect apart from the SBL SMS service. mConnect, with its vast array of available services,
aims to improve Siddhartha Bank’s customer satisfaction to a higher degree.

SBL has allowed customers to make financial transactions up to Rs 10,000, with a maximum
limit of Rs 25,000 per day. A maximum of 5 transactions per day has been set. The annual
charge to subscribe to mConnect is Rs 100 and Rs 10 is charged per fund transfer from SBL
mConnect.

The features offered by SBL mConnect are:

 Inquiry: Balance and Mini Statement Inquiry

 Account Fund Transfer
 Inquiry: Balance Inquiry and Mini Statement.
 Account Fund Transfer: Transfer of fund within various accounts of SBL.
 Merchant Payment: Payment to various SBL Authorized merchants.
 Utility Payment: Payment of various utility bills like GSM Post-paid, PSTN Landline etc.
 Electronic Top Ups: To gets recharge Top Ups of various entities like NTC, NCELL etc.
 General Information: To receives various information of SBL like Branch & ATM Location,
Deposit & Loan Products details and their features etc.
 Card Services: To get solution for various card related issues.
  iConnect Services: To get solution for various iConnect related issues such as: User
Activation, Login Pin Reset, Transaction Pin Reset etc.
 mConnect PIN Change: To change the mConnect service PIN.

Objectives of the research

Siddhartha bank identifies itself as a customer focused bank. Focus on customer service is
crucial to survive in competition because satisfied customers inspire word of mouth advertising,
improve the firm’s image in the market and reduce operational costs dedicated to correct
complaints.

The real question is whether the bank has proved itself as a bank that actually focuses on
customer satisfaction in the chaos of competition. Introduction of Mobile Banking (M-banking)
has been one of the major steps taken by Siddhartha bank to incorporate technology in the
field of customer service. Along with analyzing the level of customer satisfaction at Siddhartha
bank by use of m-banking, this research aims to identify the major variables that the bank can
focus on to improve customer satisfaction in terms of mobile banking services.

Specifically, the major objectives of this research are:

 To identify the variables that affect customer satisfaction in m-banking services of

Siddhartha bank and the relationship between them.
 To analyse the customer satisfaction regarding the mobile banking services provided by
Siddhartha bank.
 To give recommendations and suggestions to the management of the bank regarding
the concerns on mobile services in order to enhance the customers satisfaction.

Problem statement
Siddhartha bank’s m-connect has been a significant step in using information technology to
provide banking services to its customers in a convenient and reliable manner. However, only
5.6% of the total no. of account holders in Siddhartha bank use mobile banking services. As the
competition is intense in the banking sector, customer satisfaction remains an important factor
for the bank’s success. So, with this, an attempt has been made to study the satisfaction level of
the customers who use mobile banking services of Siddhartha bank.
Research question
What is the current level of satisfaction of customers in using mobile banking services of
Siddhartha bank?

Limitations of the study

There are various limitations for the study:

 The sample size was limited to 70 respondents. This may not represent the entire
customers.
 The research was carried out in a short period of time.
 The research was limited to Kathmandu valley.

Literature review
Customer satisfaction can be experienced in a variety of situations and connected to both
goods and services. It is a highly personal assessment that is greatly affected by customer
expectations. Satisfaction also is based on the customer’s experience of both contact with the
organization and personal outcomes. Customer satisfaction differs depending on the situation
and the product or service. A customer may be satisfied with a product or service, an
experience, a purchase decision, a salesperson, store, service provider, or an attribute or any of
these.

Customer satisfaction is a highly personal assessment that is greatly influenced by individual

expectations. Some definitions are based on the observation that customer satisfaction or
dissatisfaction results from either the confirmation or disconfirmation of individual
expectations regarding a service or product.

The growth of mobile banking is extraordinary, especially when we compare it with the
previous delivery channels. It has been found that it took almost 20 years for ATM to penetrate
into the market; online banking took a decade, while mobile banking penetrated in just 5 to 6
years. Mobile is now bringing together the digital and physical worlds, and radically changing
consumer behavior and expectations.
Advantages for Mobile Banking Services

1) Access to a broader base of customers: one of the most important features of mobile
banking is to access to a broad base of customers across the world without being bound by a
particular place or time.

2) Provide full banking services and new: there are new banking operations should provide the
service in fast performance and accuracy.

3) The highest quality of banking services: the higher quality of the transactions that are
completed electronically has the likelihood of few errors, because of the non-interference of
the human factor in their submission to customers, and therefore, the possibility of providing
services free of errors is high.

4) Increase the profitability of the customer: the use of technology in the completion of banking
operations became requires a shorter time and fewer visits by the client to the bank's branches,
which means dealing more and higher profitability for the customer and the company.

Disadvantages for Mobile Banking Services

1) Does not offer a secure environment that customer would always prefer to interface
interaction while making transaction.

2) Lack of confidentiality by not using receipt or signature in any transaction they do.

3) No offline (out of the coverage) capability because mobile services need internet connection
to use the application.

4) Absence of bank’s marketing role because no interface face-to-face meeting.

The Kathmandu Post’s article on June 14, 2016, revealed that the number of m-banking service
users has reached 1.5 million as of Mid-May. It is nearly 10 percent of the total deposit
accounts in Banks and Financial Institutions. (BFIs). The number of commercial bank customers
using mobile banking services, alone, stands at 1.43 million.

With fast improving mobile technology, there has been a surge in the number of m-banking
users. According to Rajan Amatya, deputy general manager of Nepal Investment Bank Limited,
new customers tend to seek electronic banking facilities, which also incorporate m-banking
services.
According to The Himalayan Times, Nov 29, 2016, following the G20’s adoption of financial
inclusion as one of its primary goals, the focus on financial inclusion has further deepened.
Financial Inclusion denotes the opportunity for low-income groups to obtain affordable access
to basic financial services.

Digital Financial Services (DFS) provide accessible and affordable for many people, offering
great potential to overcome critical development challenges by providing access to greater
range of financial services. Nepal Rastra Bank, through its Monetary Policy for 2015/16, put due
emphasis on the expansion of branchless banking and mobile banking services in the
geographical region with low financial access.

DFS allows reducing transactions costs and increase transparency which is an added benefit for
banking and other financial institutions (BFIs) when providing m-banking features. M-Banking
enables such institutions to not only embrace technological advancement, but also
simultaneously improve customer experience and satisfaction.

Conceptual framework
The conceptual framework for this research has been developed mainly based on the factors
that are considered important for satisfaction by three sources: customers, bank and the
researchers. The bank here refers to Siddhartha bank and the customers refer to the customers
of Siddhartha bank. The main factors that were identified important for customer satisfaction in
mobile banking services are: Time effective, Convenience, Reliability, and Security. The
independent and dependent variables are shown in a table below:

Independent variables Dependent variable

 Time effective

 Reliability Customer satisfaction in

mobile banking
 Convenience

 Security
Operational definition
Independent variables:
1. Time effective: It indicates benefits of using mobile banking in saving time. It refers to
how effective is mobile banking in terms of saving customers time. It also indicates the
smooth functioning of this platform.
2. Reliability: It involves consistency and stability of performance and dependability. It
means that the firm performs the service right the first time. This indicates that the
information received from m-banking is consistent and free of errors. It also means that
the firm honours its promises.
3. Convenience: It is related with the ease of conducting various transactions using mobile
banking. It refers to the state where customers are able to proceed with their use of
mobile banking without any difficulty.
4. Security: It indicates security features offered by mobile banking and how trustworthy
customers consider it. It refers to the state of being free from threat or any kind of
danger. It also includes how safe the customers feel while using the mobile banking
services.

Dependent variable:
1. Customer satisfaction: Customers’ evaluation of a product and service in term of
whether it has met their needs or expectations better than others. It refers to positive
feelings about the product or service in the customer’s minds.

Research method
The method used for this research is quantitative method in order to get the most factual and
dependable information. A questionnaire survey has been used as the main data collection
method for this research.

The primary data was collected with the help of self-developed questionnaires. A total sample
of 70 respondents is used for this research. The sample size consists of customers of Siddhartha
bank among which 50 respondents are the users of mobile banking of Siddhartha bank and 20
respondents do not use m-banking. A sample of 20 customers who do not use m-banking is also
taken in this research for the purpose of providing reliable recommendations to the bank.
Interview was also conducted with the managers to determine the customer satisfaction
determinants and various other information that are critical for the research.
The secondary data has been collected from the bank’s website, magazines, journals,
newspapers and internet. The secondary data have been used in this research but to a limited
extent.

Research instruments
 Questionnaire: A self-developed questionnaire was used to measure satisfaction of
customers which contained total of 10 questions. The questionnaire included all the
four factors (Time effective, Convenience, Reliability, and Security) considered
important for customer satisfaction. The questions were designed in a scale where
respondents rated from strongly agree to strongly disagree. A separate questionnaire
was used for the customers who didn’t use m-banking with 9 questions on the similar
four factors.
 Direct interview: An interview with managers of the bank was also conducted for
accurate information.

Data collection procedure

The primary data used for this research has been collected using above described questionnaire
which were distributed to the customers personally by the researchers. Interviews with few
managers of the bank were also conducted to formulate the problem statement and customer
satisfaction variables. The secondary data has been collected from various sources such as: the
official website of Siddhartha bank, articles on customer satisfaction etc.

Data analysis
Data analysis is a process of inspecting, transforming, and modeling data with the goal of
highlighting useful information, suggesting conclusions, and supporting decision making. The
research first established if adequate data had been collected through the administration of the
described instruments. Once ascertained, data duly collected was analyzed using descriptive
statistics. Statistical Package for Social Scientists Program (SPSS) was then used and findings
were derived from ANOVA analysis and correlation analysis.
Analysis
Survey was conducted amongst 50 users of m-banking of Siddhartha bank. We observed the
relationship between independent variables like convenience, reliability, safety and time
effectiveness. Following were the findings from the survey.

Correlation analysis
Null Hypothesis (H0): There is no correlation between independent and dependent variables

Alternative Hypothesis (H1): There is correlation between independent and dependent

variables

Significance (p): 0.05

Satisfaction (Will recommend)

Independent variables along with their correlation and significance is shown is given in each
independent table below.

Convenience
Satisfaction Significance Correlation
Convenience (Using is Pearson Correlation 0.013 .488
easy)

From the correlation analysis, it was found that convenience (ease of using m-banking app) is
positively related to satisfaction (recommendation), i.e. convenience to use the m-banking
service is directly proportional to positive recommendation to use the app that existing
customers will give to other people.

Satisfaction Significance Correlation

Convenience (Made banking Pearson Correlation 0.014 0.447
easier)

Similarly, we observe that convenience on transacting banking services through m-banking is

positively related to satisfaction (recommendation). When banking is made easier through the
use of m-banking facilities, more people will recommend the app to other people.

Therefore, these independent variables convenience (ease to use the m-banking app) and
convenience (easy banking) are directly correlated to the dependent variable satisfaction
(recommendation).
Time efficient
Satisfaction Significance Correlation
Time efficient (Logs in Pearson Correlation 0.000 0.689
quickly)

Satisfaction Significance Correlation

Time efficient (Transactions Pearson 0.016 0.689
happens fast) Correlation

From the observation we found that easy login into m-banking service (time efficiency) is highly
correlated with satisfaction (recommendation). This shows that quick login into the m-banking
app is positively related with satisfaction of users and thus users will recommend the app to
other people.

Satisfaction Significance Correlation

Reliability (Variety of services) Pearson Correlation 0.001 0.499

Reliability
From the table we observe that reliability because of access to various services is positively
correlated with satisfaction (recommendation). The more services users can access through m-
banking, the more they will be satisfied and recommend the app to other people.

Satisfaction Significance Correlation

Reliability (Gives dependable Pearson Correlation 0.019 0.413
information)

Satisfaction Significance Correlation

Reliability (Gives correct Pearson Correlation 0.029 0.384
information)

Similarly, reliability of the app based on provision of dependable and correct information is also
positively correlated with satisfaction (recommendation). When accurate figures are given
through the app more users are satisfied and will recommend the app to other people.
Therefore, the independent variable reliability based on access to various services and provision
of correct information is directly correlated to the dependent variable satisfaction
(recommendation).

Security
Satisfaction Significance Correlation
Security (Is secure) Pearson Correlation 0.000 0.384

From the figure of the correlation analysis we can observe that the variable security is highly
correlated with satisfaction (recommendation). It shows that when users feeling secure using
the app is directly proportional to their satisfaction and incidence of recommending to other
people.

Satisfaction (Overall Rating)

Significance of independent variable Reliability (dependable information) has significance level
below 0.05. This shows that alternate hypothesis is accepted and indicates that there is
correlation between independent and dependent variable i.e. Satisfaction (overall rating).

Reliability
Satisfaction Significance Correlation
Reliability (Gives Pearson Correlation 0.005 0.310
dependable information)

From Overall rating table, we can observe that satisfaction on this factor is correlated with
reliability. This shows that increase in reliability factor of m-banking giving dependable
information increases satisfaction.

Significance of independent variables like Significance (ease in using & made banking service
easier), Time effective (quick login & quick transactions), Reliability (variety of services,
dependable information & correct information) and security all had significance level below
0.05. This shows that alternate hypothesis is accepted and indicates that there is correlation
between independent and dependent variable i.e. Satisfaction (recommendation).
Gender based mean analysis

ANOVA
The ANOVA table is used to determine whether the independent as well as dependent variables
are affected by the gender or not.

Here,

Null Hypothesis (H0): There is no relationship between gender and the variables

Alternative Hypothesis (H1): There is relationship between gender and the variables

Significance level (p): 0.05

Given table shows the mean of different genders and their preference towards m-banking of
Siddhartha Bank. It also shows the significance level of each variable.

Convenience
N Mean Std. Deviation

Convenience (Using is easy) Male 34 2.0882 .71213

Female 16 2.0000 .51640
Significance 0.660
Total 50 2.0600 .65184

N Mean Std. Deviation

Convenience (Made banking 34 1.8235 .62622
easier) Male
16 2.1250 .61914
Significance 0.118 Female
50 1.9200 .63374
Total

The above table shows the mean analysis of independent factor convenience based on gender.
While more male agree that m-banking service is easy to use (convenient) compared to female
users, more female users agree that m-banking has made banking easier. Overall mean of 2
shows that both male and female agree that m-baking of Siddhartha bank is convenient to use.
Time efficient
N Mean Std. Deviation
34 2.3235 .63821
Time efficient (Logs in quickly) Male
16 1.9375 .77190
Significance 0.68 Female
50 2.2000 .69985
Total

N Mean Std. Deviation

34 2.3824 .65202
Time efficient (Saves time) Male
16 2.0000 .63246
Significance 0.57 Female
50 2.2600 .66425
Total

N Mean Std. Deviation

Time efficient (Transactions 34 2.1765 .83378
happens fast) Male
16 2.3125 .87321
Significance 0.598 Female
50 2.2200 .84007
Total

While analyzing the mean of gender based on independent variable time efficiency, we observe
that more males agree that m-banking service of Siddhartha bank can be logged in quickly and
is time saving compared to female users. On contrary, more female users agree that
transactions done through m-banking are time efficient. Overall mean of 2 concludes that both
male and female agree that m-banking of Siddhartha bank is time efficient.

Reliability
N Mean Std. Deviation
34 2.3235 .87803
Reliability (Variety of services) Male
16 2.0625 .92871
Significance 0.340 Female
50 2.2400 .89351
Total
 N Mean Std. Deviation
Reliability (Gives dependable 34 2.2059 .59183
information)
Male
Significance 0.935 16 2.1875 .98107
Female
50 2.2000 .72843
Total

N Mean Std. Deviation

Reliability (Gives correct 34 2.3824 .65202
information) Male
16 2.3125 .87321
Significance 0.753 Female
50 2.3600 .72168
Total

More male users agree that there are varieties of services included within the m-banking
service of Siddhartha bank that makes it reliable. Similarly we also observe that more number
of male users agree that information of m-banking service is dependable and correct compared
to female users.

Overall mean of 2 suggests that both male and female agree that m-banking of Siddhartha bank
is reliable.

Security
N Mean Std. Deviation
34 2.1176 .64030
Security (Is secure) Male
16 2.2500 .93095
Significance 0.560 Female
50 2.1600 .73845
Total
As seen in the above table, we observe that more female users agree that m-banking service is
secure compared to male users. Overall mean of 2 indicates that both male and female agree
that m-banking of Siddhartha bank is secure.

Satisfaction
N Mean Std. Deviation
34 2.1176 .64030
Satisfaction (Will recommend) Male
16 2.0625 .77190
Significance 0.791 Female
50 2.1000 .67763
Total

N Mean Std. Deviation

34 1.9412 .69375
Overall Rating Male
16 2.0000 .63246
Significance 0.775 Female
50 1.9600 .66884
Total

Overall mean of 2 suggests that both male and female agree that m-banking of Siddhartha bank
increases their satisfaction.

Significance of independent variables like Significance (ease in using & made banking service
easier), Time effective (quick login & quick transactions), Reliability (variety of services,
dependable information & correct information) and security all had significance level above
0.05. Null hypothesis is accepted in this case. This concludes that there is no relationship
between gender and the variables.

We also took the survey of 20 people who were not using the m-connect for the
recommendation purpose. They were asked to fill the questionnaire of about 9 questions which
were in an ordinal scale.
The independent variables: Aware of M-banking, Knows how to use, Inquiring is easy,
Expensive, Coming to bank easier than M-banking, Safe to use, Useful and Bad Experience using
M-banking.

The dependent variable: Consider using in future.

Gender Proportion
Gender Frequency Percent
Male 11 55
Female 9 45
Total 20 100

ANOVA
The ANOVA table is used to determine whether the independent as well as dependent variables
are affected by the gender or not.

Here,

Null Hypothesis (H0): There is no relationship between gender and the variables

Alternative Hypothesis (H1): There is relationship between gender and the variables

Significance level (p): 0.05

ANOVA
Sum of Mean
df F Sig.
Squares Square
 Between
0.051 1 0.051 0.026 0.874
Groups
Aware of M-banking Within Groups 34.949 18 1.942

Total 35 19
Between
0.223 1 0.223 0.176 0.679
Groups
Knows how to use Within Groups 22.727 18 1.263

Total 22.95 19
Between
0.025 1 0.025 0.042 0.839
Groups
Inquiring is easy Within Groups 10.525 18 0.585

Total 10.55 19
Between
0.061 1 0.061 0.124 0.729
Groups
Expensive Within Groups 8.889 18 0.494

Total 8.95 19
Between
1.879 1 1.879 1.774 0.2
Groups
Coming to bank easier than
Within Groups 19.071 18 1.059
M-banking
Total 20.95 19
Between
0.164 1 0.164 0.306 0.587
Groups
Safe to use Within Groups 9.636 18 0.535

Total 9.8 19
Between
0.849 1 0.849 1.084 0.312
Groups
Useful Within Groups 14.101 18 0.783

Total 14.95 19
Bad Experience using M- Between 0.425 1 0.425 0.726 0.405
banking Groups
 Within Groups 10.525 18 0.585

Total 10.95 19
Between
1.473 1 1.473 1.416 0.25
Groups
Consider using in future Within Groups 18.727 18 1.04

Total 20.2 19

According to the above ANOVA table, all the significance is greater than 0.05 which means that
null hypothesis is accepted.

This indicates that there is no relationship between gender and the variables. A person, being
male or female doesn’t affect the above-mentioned independent as well as dependent
variables.

Mean/ Standard Deviation of variables

Variables
Mean Std. Deviation

Aware of M-banking 2.5 1.35724

Knows how to use 3.45 1.09904

Inquiring is easy 2.85 0.74516

Expensive 3.05 0.68633

Coming to bank easier than M-
2.45 1.05006
banking
Safe to use 2.9 0.71818

Useful 2.55 0.88704

Bad Experience using M-banking 3.95 0.75915

Consider using in future 2.3 1.0311

The mean of the above variables shows the rating of people from strongly agree (1) to strongly
disagree (5). The figure in the table shows that many people do not know how to use M-
banking services. It shows that people are aware to some extent however, they prefer coming
to the bank for transactions rather than using M-banking. The mean of dependent variable
shows that even though people are not using M-banking services now, the agree to consider
using in the future.

Intention of people
Consider using in future
N Mean
The intention of the people towards M-
Total 20 2.3 banking of Siddhartha bank is
calculated by its mean. According to the above mean of people considering to use in future, it
shows that people are willing to consider using in future. Since the mean is 2.3 which belongs to
2 scale i.e. Agree. This means that people are agreeing to consider using M-banking of
Siddhartha bank in future.

Correlation Analysis
The correlation between independent and dependent variables are calculated, where:

Null Hypothesis (H0): There is no correlation betweenindependent and dependent variables

Alternative Hypothesis (H1): There is correlation between independent and dependent

variables

Significance level (p): 0.05

Consider using in
future
Pearson
0.376
Correlation
Aware of M-banking
Sig. (2-tailed) 0.102

Knows how to use Pearson

0.432
Correlation
Sig. (2-tailed) 0.057
 Pearson
.473*
Correlation
Inquiring is easy
Sig. (2-tailed) 0.035

Pearson
-.469*
Correlation
Expensive
Sig. (2-tailed) 0.037

Pearson
-0.277
Correlation
Coming to bank easier than M-banking
Sig. (2-tailed) 0.237

Pearson
0.398
Correlation
Safe to use
Sig. (2-tailed) 0.082

Pearson
-0.075
Correlation
Useful
Sig. (2-tailed) 0.754

Pearson
-0.316
Correlation
Bad Experience using M-banking
Sig. (2-tailed) 0.175
According to the above correlation table, all the significance is more than 0.05 except
“Expensive” and “Inquiring is easy “variables which means that null hypothesis is accepted in
those variables. This indicates that there is no relation between those independent variables
and the dependent variable.

In “Expensive” and “Inquiring is easy” the significance is less than 0.05. Therefore, alternative
hypothesis is accepted. This indicates that there is relation between Expensive and Inquiring is
easy with Consider using in future.

There is negative correlation between Expensive and Consider using in future. So, the decrease
in price of the service will lead to increase in people considering to use M-banking services.

Findings

Hence, from the above data analysis the major findings that we have received are listed as
follows:

 Customers of Siddhartha bank using mobile banking services (mConnect) are satisfied
with the services provided.
 Customer satisfaction is highest in the “convenience” variable than other independent
variables used in this research.
 Satisfaction of m-banking of Siddhartha bank can be increased through increasing
convenience, reliability, time effectiveness and security since they are all positively
correlated.
 Overall rating of m-banking of Siddhartha bank is only related to its reliability of it giving
dependable information.
 Gender does not affect the perspective towards the variables like convenience,
reliability, time effectiveness and security.
  Both male and female equally agree that they are satisfied with m-banking service of
Siddhartha bank.
 A person being male or female does not affect the survey since there is no relation
between gender and both dependent and independent variables.
 The data shows that people agree that they are aware of the m-connect. However, they
find it difficult to use it and they also find coming to the bank easy rather than using m-
connect.
 They do not have any bad experience from the m-connect and they think that m-
connect is useful as well as safe to use. Therefore, they agree on considering to use m-
connect in the future.
 There is negative correlation between Expensive and Considering to use in future, which
means that the decrease in price of the service will increase the people’s willingness to
use it.
 There is positive correlation between Inquiring is easy and Considering to use in future,
which means that the easier the inquiry, the more people will consider to use m-
connect in the future.

Recommendation

Here are some recommendations that are provided on the basis of the findings from the study
to Siddhartha bank limited:

 We suggest encouraging the widespread use of mobile banking; campaigns should be

launched to disseminate the usefulness of the technology.
 We highly recommend improving the quality of the services to increase the customer
satisfaction which means reliability dimension is important to support service quality.
 Time effectiveness is highly positively correlated with satisfaction. Siddhartha bank must
focus on refining time effectiveness of the m-banking application.
 Customers are comparatively less satisfied in the reliability dimension so bank must
focus on the information quality it provides and its dependability.
 Most of the depositors do not know how to use the m-connect according to the survey.
Therefore, Siddhartha bank should focus on making the service simple and easy.
  They should also provide the depositors with various illustrations and steps of using the
m-connect; for example: login, balance inquiry and other basic m-connect services etc.
 There is negative correlation between “Expensive” and “Consider using in future”,
therefore the bank should decrease the cost to encourage depositors to use the m-
connect.
 Since the people agree on considering to use m-connect in future, the bank must
encourage them by providing favourable environment, easy inquiry and convince the
depositor that m-connect is easy to use.
 They should be able to make people knowledgeable about the process and usages of m-
connect as most of the people agree that they do not have the knowledge of using the
m-connect.

References:

 Siddhartha Bank Limited. Wikipedia. April 2016.

https://en.wikipedia.org/wiki/Siddhartha_Bank_Limited
 About Us, Siddhartha Bank Ltd. c2015 Siddhartha Bank Ltd.
http://www.siddharthabank.com/About-Us/1/
 Pant, B. (2016, November 26). Digital Services: For Financial Inclusion. The Himalayan
Times, Retrieved from http://thehimalayantimes.com/opinion/digital-services-financial-
inclusion/
 (2016, June 14). 1.5 million use mobile banking services, The Kathmandu Post,
Retrieved from http://kathmandupost.ekantipur.com/news/2016-06-14/15m-use-mobile-
banking-services.html
 http://www.cssp.org/publications/constituents-co-invested-in-change/customer-
satisfaction/customer-satisfaction-what-research-tells-us.pdf
 Retrieved from http://www.siddharthabank.com/mobile-banking/100/
  Retrieved from http://www.siddharthabank.com/userfiles/mConnectFAQs1.pdf
 Retrieved from https://en.wikipedia.org/wiki/Mobile_banking
 Ranjbarian, B., &Fath, S. (2012). Factors Influencing on Customers'-Satisfaction.
Interdisciplinary Journal of Contemporary Research in Business, 3(9), 1–17.

Annexure
Questionnaire:

The following survey is done by the students of Kathmandu University School of Management
(KUSOM) for research and educational purpose only. Information will be kept confidential.

Gender:
a. Male b. Female
Do you use M-banking (m-Connect) of Siddhartha Bank Pvt. Ltd?
a. Yes
b. No (turn to the back)
S.N Questions Strongly Agree Neutral Disagree Strongly
Agree Disagree

1 Using M-banking of Siddhartha Bank is easy

 2 It takes very little time to login to the M-banking
services of Siddhartha Bank

3 M-banking of Siddhartha Bank has made banking

transactions easier

4 M-banking of Siddhartha Bank saves my time

5 There are many services included in M-banking of

Siddhartha Bank

6 I receive dependable information from M-banking

service of Siddhartha Bank
7 Transactions done through m-banking of Siddhartha
Bank is fast

8 I feel secure using the M-banking services of

Siddhartha Bank
9 I always get correct information using m-banking of
Siddhartha Bank

10 I will recommend others to use M-banking services

of Siddhartha Bank

Overall, I would rate M-banking services of Siddhartha Bank from 1 to 5 (5 being highest)

1 2 3 4 5

If No,

S.N Questions Strongly Agree Neutral Disagree Strongly

Agree Disagree

1 I am aware of M-banking services of Siddhartha Bank

2 I know how to use m-banking services of Siddhartha

Bank

3 Inquiring about M-banking services of Siddhartha

Bank is easy

4 M-banking of Siddhartha Bank service is expensive

I find coming to the bank easier than using M-

5 banking services of Siddhartha Bank
6 I find m-banking of Siddhartha Bank safe

7 M-banking of Siddhartha Bank can be useful

8 I had a very bad experience using M-banking of

Siddhartha Bank

9 I would consider using M-banking of Siddhartha Bank

in near future