E-banking and effective factors in applying its services in Iran

Significant progresses in regard with information and communication technology (ICT) over the decades has affected commerce and trade domain more than other domains and banking industry has been also affected significantly through this. Today, due to abundant economic advantages of Electronic Banking (E-banking) systems including reduction of costs; enhancement of banks’ profitability; enhancement of customer service quality; resolving spatial and temporal limitations; and expanding domain for banking activities. Hence, toady in many countries, experienced banks have expanded their performances through establishing independent electronic banks. Thus, the present study has aimed at assessing effective factors in demands for E-banking in Iran. The present study has applied Logit econometric model. Using services of E-banking as a dependent variable and some factor including income, age, educations, and properties of different banking services, are considered as effective factors in demand for E-banking services. Descriptive statistics have been analyzed using SPSS version 11 and data have been estimated by econometric software EWIVES varsion7. Obtained results from the study indicate that, some factors such as self-employment, education, and income cause increase in demand for E-banking services in Iran. In other words, mentioned factors would have positive effects on demands of consumers for E-banking services. Several other factors would cause decrease in demand for such services including employment; lack of trust of respondent in E-banking services; inapplicable nature of such services; unavailability, low price and easy application of E-banking services. In other words, the mentioned factors would have negative effects on demands for E-banking services.

Keywords:

E-banking , card banking , phone banking , internet banking , electronic money (E-money) , Logit model