Customers’ Acceptance of Mobile Banking: Obstructions and the Role of Cultural Moderators

Abstract

This research intended to identify and analyze security and privacy factors that impede mobile phone banking acceptance in the banking sector in Ghana. It also set out to examine the intervening effect of cultural dimensions on the factors that account for the acceptance of mobile banking. Lastly, the study sought to propose a conceptual model to depict the various obstructing factors and moderators of mobile banking acceptability from the respondents’ perspective. This work was carried out by the combination of the Technology Acceptance Model (TAM), which has evolved and expanded over time, and Hofstede’s Cultural theory as moderators. The study integrates constructs such as security and privacy, perceived trust, perceived risk, and regulatory influence. These constructs mostly make up underpinning theories and models of technology acceptance, such as the Theory of Reason Action (TRA), the Technology Acceptance Model (TAM), and the Unified Theory of Acceptance and Use of Technology (UTAUT). To achieve these objectives, the study adopted a qualitative research method, using an interview guide to collect data from twenty (20) panel participants drawn from mobile banking users and non-mobile banking users. Research questions were generated, and the data collected was analyzed. The study found that privacy and security were both obstructions and motivating factors to mobile banking acceptability. To most respondents, privacy and security were the reasons why they used mobile banking as they believed that their information is secured. They felt that since their account is protected by a PIN, known only to them, their account is safe while those who have not subscribed cited fear for their security and privacy as the rationale for not using mobile banking services. They feel that putting out their information in such a virtual world riddled with hackers may lead to their information ending up in the wrong hands. More devastating maybe, when they lose their phone, since their bank account may be accessed by unscrupulous people. Meanwhile, the study extensively, found that cultural moderators serve as factors influencing users’ mobile banking acceptability or rejection. Thus, individualism and uncertainty avoidance have a significant influence on security and privacy thereby determined whether a customer used mobile banking or not. It was also found that high cost, in terms of internet charges and unreliable internet services were the reasons some consumers have perceived not to use mobile banking services. On the basis of the findings, the study concluded that mobile banking has had a significant positive influence on the banking sector in Ghana. Mobile banking users have confidence in their banks. Though many people enjoy the ease and comfort that comes with mobile banking, efforts should be made by operators of these products to convince the few, who still do not trust the system. This country-specific study leads to mobile banking acceptance and offers authors, practitioners, and policymakers some useful insights into how to enhance the acceptability of mobile banking for countries with a similar environment. Especially, the study finally recommended that mobile banking service providers must improve security and privacy by improving security and privacy features on their mobile banking platforms to boost user confidence. More so, mobile banking service providers must use available channels to give adequate information and education surrounding the protection of mobile banking. Also, mobile banking service providers must collaborate with internet service providers to bring about affordable internet charges, and reliable internet services in the mobile banking industry. Further studies should, again, be undertaken with the focus on different possible intervening factors on mobile banking acceptability in Ghana.