IDENTIFICATION OF FACTORS THAT INFLUENCE CUSTOMERS' ACCEPTANCE OF INTERNET BANKING IN IRAN

Ever increasing advance of electronic commerce along with the rapid development of Information Technology in recent decade has heavily affected the banking industry. By providing Internet banking services, banks can get: notable cost saving, reduce their branch networks, and downsize the number of their service staff. But if customers do not accept these services, it will lead to the waste of bank's resources and they cannot profit from these new services. Therefore, identification of factors that influence acceptance of internet banking by customers is necessary for banks. The purpose of thisstudy is to identify the influencing factors on acceptance of internet banking by Saman bank customersin Tehran. The current research is an applied one on the basis of purpose and a descriptive one on thebasis of its function. Hence, by reviewing the most recent literature on technology acceptance by usersand interviewing with a number of banking experts, identified variables were include in questionnaire.The questionnaire, which was based on a Likert (one to five) scale, was tested in a pilot of 50 customers of Saman bank. After checking the questionnaire for validity and reliability, it was launched among three branches of Saman bank in Tehran. Finally 331 questionnaires were returned to the researcher. For data assimilation and analysis, SPSS software was used and data were analyzed using factor analysis, and two variable Pearson's correlation coefficient.Result from the research represents influencing factors on acceptance of internet banking by Samanbank customers in Tehran. These factors include: Perceived Ease of use, Information on Internetbanking, Perceived Usefulness, Attitude towards change, Perceived Security, Cost, Privacy, and Selfefficacy.

Keywords:

Internet banking , Banking , Customers' acceptance