INTRODUCTION
Research background
Internet banking could be conceptualized within the context of electronic banking
Internet banking is the situation where “customers can access their bank account via the
Internet using a PC or mobile phone and web-browser” (V.A Zeithaml et al.,2002, p.2)
Internet banking has rapidly expanded worldwide, offering customers convenient, 24/7 access to banking services through the internet environment It seamlessly integrates with both traditional banking systems and electronic distribution channels, enabling the delivery of products and services through online channels As one of the fastest-growing retail distribution methods, internet banking is highly successful in attracting new customers and increasing engagement It offers significant advantages, including lower costs, time savings, and greater control over personal finances, while also contributing to environmental sustainability through electronic statements Customers can access their accounts, view bank products, and manage financial transactions conveniently via personal computers or smart devices, making internet banking a vital modern banking service.
Internet banking products and services can include detailed account information for corporate customers as well as account summary and transfer money
Internet banking enables banks to automate multiple processes, reducing the need for extensive human resources while maintaining high-quality customer service This efficiency not only boosts the bank’s profitability but also enhances its reputation among customers Additionally, internet banking helps banks lower operational costs and decrease reliance on expanding the branch network, allowing them to broaden their business scope It also supports the strengthening of customer relationships, fostering long-term loyalty and satisfaction (Shih and Fang).
Since 2004, Internet banking has significantly accelerated communication and transactions between banks and customers, enhancing overall efficiency In an uncertain economic environment, banks face increasing competition from new entrants, both local and international, compelling them to differentiate their services As a result, many banks are adopting Internet banking solutions to stay competitive and meet evolving customer demands.
Banking is currently perceived as vital for customer retention and maintaining competitive advantage (DeYoung and Duffy, 2002)
According to Gartner Group report, the growth rate of online banking services in the U.S is very high, from ten million users in 1999 to thirty -five million users in 2003
Online banking services have become increasingly popular worldwide In the United States, their usage is comparable to other regions, reflecting a growing trend in digital financial management In the UK, approximately 30-40% of the population was utilizing online banking services as of 2009, highlighting its widespread adoption Similarly, Brazil boasts around 18.1 million online banking users, demonstrating significant regional growth in digital banking access.
In 2004, internet usage increased significantly from 8.3 million users in 2002, with 16.2 million user accounts being individual subscribers Financial websites consistently rank among the most visited, accounting for 50% of the total 13.5 million internet account logins Additionally, the Bank of Brazil alone invested approximately $2.1 billion in technology development during this period, reflecting the growing importance of digital infrastructure in the financial sector.
(Febraban, 2004), including the development of online banking services and a number of other areas
Since 1994, internet banking in Vietnam was initially built on basic information and banking technology, allowing customers to access information and perform simple payments Rapid advancements in information technology have significantly boosted the development of the banking sector in Vietnam In recent years, internet banking services have expanded aggressively, experiencing notable shifts, yet they remain in the early stages of development The internet banking market is still monotonous, underperforming in attracting customers, with low adoption of non-cash payments—cash accounts for approximately 24-25% of total payment methods in Vietnam This cash usage rate is much higher compared to regional neighbors like Thailand (6.3%) and China (9.7%), largely due to consumer preferences for cash in Vietnamese dong and foreign currencies, as well as limited understanding of banking services.
One of the main challenges in extending banking services in Vietnam is the low financial literacy among the population, which hinders efforts to expand access to banking and digital financial solutions.
The success of internet banking services depends on three key dimensions: product, service quality, and technology In Vietnam, as a developing country, the level of development and security in the information technology sector is lower than in developed nations, leading to compromised internet banking quality and reduced customer satisfaction While many studies explore factors influencing internet banking and how to enhance them to meet customer demands, few address the specific impact of technology quality in Vietnam; technological issues can cause significant service disruptions Despite having ample human resources and well-developed services, poor technology infrastructure often deters customers from using internet banking services This thesis focuses on investigating how the quality dimensions of online information systems influence overall service quality and customer satisfaction in Vietnam.
Problem statement
Consumer satisfaction is a critical challenge for businesses operating in electronic commerce systems, as high-quality customer service determines their long-term survival (Thompson, Green, and Bokma, 2000) Improving service quality helps build and maintain strong customer relationships, which is essential for success in online markets Many banks have adopted internet banking as a 24/7 service channel, requiring them to provide accurate information and quality services through well-designed websites to meet customer needs (Slu and Mou, 2003) Superior service quality can lead to increased market share and higher financial returns, highlighting the importance of understanding which attributes consumers prioritize when evaluating overall service quality and satisfaction (Yang and Fang, 2004) Internet-based services offer advantages like convenience, interactivity, and lower costs, yet there is limited research on the factors influencing customer satisfaction in this context (Khalifa and Liu, 2003) Given rapid technological advances and fierce market competition, enhancing service quality remains a crucial factor for ensuring customer satisfaction in internet banking, making it vital to understand customers’ perceptions of overall service quality.
Internet banking significantly reduces human interaction by enabling customers to manage their finances through online information systems, offering a convenient alternative to traditional banking methods (Jun and Cai, 2001) This technological shift streamlines banking processes, enhances accessibility, and provides a seamless digital experience for users.
In the highly competitive internet banking industry, providing high-quality services is essential for banks to survive Understanding the attributes customers use to evaluate service quality enables banks to monitor and improve their internet banking offerings While numerous studies have identified key service quality dimensions in traditional banking, limited research has focused on service quality attributes specific to internet banking and their impact on customer satisfaction Jun and Cai (2001) highlighted online information system quality as a crucial category influencing internet banking service quality Despite its importance, online information system quality has received little attention from researchers, even though it significantly shapes users’ perceptions of overall service quality, serving as a vital enabler of the online banking experience.
Internet banking website quality is perceived through six key dimensions of online information system quality: ease of use, aesthetics, timeliness, content quality, security, and accuracy (Jun and Cai, 2001) Understanding these dimensions is essential to evaluating overall internet banking service quality This analysis aims to explore how these online system quality factors influence customer satisfaction and impact the overall effectiveness of internet banking services.
Research objectives
This research aims to evaluate the effectiveness of a theoretical model in measuring how online information system quality dimensions influence overall internet banking service quality and customer satisfaction Key dimensions such as aesthetics, timeliness, content quality, ease of use, security, and accuracy are critical factors in assessing online information system performance Understanding these dimensions helps banks enhance their digital platforms to improve customer experience and satisfaction By analyzing the impact of these quality aspects, the study provides insights into optimizing internet banking services for greater user engagement and trust.
Significance of the research
This study offers valuable insights for practical business applications, particularly for commercial bank leaders and marketing managers, as it helps them better understand and respond to customer satisfaction, ultimately increasing customer adoption of internet banking services Additionally, the research provides academic benefits for researchers and business administration students by highlighting the key dimensions—such as aesthetics—that influence internet banking development The findings enable banks to make informed decisions to enhance their online banking systems, leading to improved customer experiences and competitive advantage.
In today's digital landscape, factors such as timeliness, content relevance, ease of use, security, and accuracy are essential for a successful online platform Ensuring that information is delivered promptly and accurately enhances user trust and satisfaction Additionally, providing user-friendly interfaces and robust security measures safeguards sensitive data while improving accessibility Staying updated with the latest research and innovations, such as the newest thesis downloads and academic resources, further supports users in achieving their educational and professional goals efficiently.
11 are also a basis for references in developing other research about internet banking service to practical applications.
Research scope and methodology
This study was conducted in Ho Chi Minh City, a major economic hub in Vietnam, focusing on customers using internet banking services To gather data efficiently within limited time and budget, a survey was carried out with approximately 250 customers from banks such as Vietinbank, Vietcombank, ACB, and Sacombank Customers were approached directly at the bank branches with the initial question, "Have you ever used internet banking service?" Only those who answered "Yes" were eligible to continue with the survey, ensuring targeted and relevant data collection.
The scope of this survey is primarily in HCM province, so the results are not covering the whole territory of Vietnam This is also the limitation of thesis
The research involved a survey on the usage of internet banking services, utilizing data collected from studies, articles, and journals to develop high-quality questionnaires that clearly define the thesis focus Both paper and online surveys were employed, with online surveys distributed via email to internet banking users and paper surveys provided directly to customers at bank branches The content of both survey types was similar to ensure consistency in data collection.
This study employed a mixed-methods approach, beginning with qualitative research to identify suitable models, factors, and measurement variables for the survey based on prior studies, followed by a pilot test to refine the questionnaire The second and main stage involved quantitative research aimed at analyzing the impact of online information system quality dimensions on overall internet banking service quality and customer satisfaction in Vietnam.
The study employed the convenience sampling method, which involves selecting participants based on easy accessibility and proximity to the researchers This non-random sampling technique allows investigators to conveniently meet and gather data from readily available subjects However, it is important to note that convenience sampling has limitations in terms of representativeness, as it may not accurately reflect the broader population.
Non-random sample selection is entirely dependent on the researcher's experience and understanding of the overall context, which can introduce subjectivity into the results As a result, the ability to select participants isn't always equal, potentially affecting the accuracy and reliability of the findings Proper sampling methods are essential to ensure objectivity and improve the validity of research outcomes.
This study employs various data analysis methods, including demographic analysis, statistical tests, and hypothesis testing, to achieve its research objectives Initially, descriptive analysis will present respondents' demographics, followed by reliability assessment using Cronbach’s alpha and exploratory factor analysis (EFA) to validate the measurement model Finally, multiple linear regression (MLR) will be conducted to test the proposed hypotheses, ensuring a comprehensive understanding of the data and key findings.
Thesis structure
This thesis is structured into five chapters, beginning with an introduction to the study The second chapter reviews relevant literature and presents the research hypothesis The third chapter details the research methodology used to gather and analyze data The fourth chapter discusses the study's results, along with any limitations encountered Finally, the conclusion summarizes the key findings and implications of the research.
This chapter highlights the advantages of internet banking services and examines their current status in Vietnam, emphasizing how these factors influence customer satisfaction It also identifies the key research problem, outlines the study's objectives, and underscores the significance of exploring these trends to enhance banking experiences in Vietnam.
Chapter 2 presents the theoretical foundation of the research, is all about presenting previous research done on the stream of studies related to customer satisfaction on internet banking service Including the definition and related problem overall internet banking service quality, customer satisfaction and online information system quality dimensions From that, the hypothesis are proposed for research model This chapter is concentrates on explaining each variable in the model, and reasons for choosing them to be include in the research model
Chapter 3 introduces research methodology Research method describes the way of establishment of the measures and conducting the survey This part includes two steps, qualitative research to modify draft measurement scale and quantitative research to analyse the data collected to test the research hypothesis proposed in chapter 2 tot nghiep do wn load thyj uyi pl aluan van full moi nhat z z vbhtj mk gmail.com Luan van retey thac si cdeg jg hg
• Chapter 4 – Results of Data Analysis and Discussion
Chapter 4 translates data collected from survey, analyses data as well as discusses the result finding in connection with research model Accordingly, the research hypothesis are tested This chapter explains the empirical part of the study This part discusses the method for collecting data used to test the hypothesis, and it analyses the data received, its reliability and multiple regression
Chapter 5 presents the research findings, highlighting the exploratory insights and their relevance to real-world conditions It emphasizes the practical applications derived from the study and offers conclusions based on the results Additionally, this chapter discusses important implications for future research and acknowledges the study's limitations, providing a comprehensive overview of the research outcomes.
Lastly, the limitations are recognized to direct for further research in the future
References and appendixes are included in the end of thesis
This thesis introduces the research background and highlights the significance of internet banking in today's financial landscape It clearly defines the problem statement by focusing on the usage of internet banking services in Vietnam The study targets customers who utilize internet banking, aiming to understand their experiences and preferences Due to constraints in time and budget, the research conducted a targeted survey to gather relevant data efficiently.
300 customers of some banks in HCMC Finally, this chapter discussed on the research methodology
The most important thing to remember is that the banks need to provide customers with high quality services to survive in the highly competitive internet banking industry
This is a fact acknowledged all over the world, and not the least in Ho Chi Minh City where internet usage in general are very popular
This research highlights the importance of overall internet banking service quality in satisfying customers It emphasizes that bank managers should focus on key dimensions of online information system quality to effectively develop and enhance internet banking services Prioritizing these aspects can lead to greater customer satisfaction and improved service delivery.
LITERATURE REVIEW and THEORETICAL MODEL
This chapter provides a theoretical foundation on the dimensions of online information system quality, overall internet banking service quality, and customer satisfaction These concepts underpin the development of the conceptual research model and the formulation of hypotheses The study aims to examine how various online information system quality dimensions influence overall internet banking service quality and customer satisfaction, highlighting their critical role in enhancing banking experiences.
2.1.1 Definition of online information system quality
The Internet is an innovative information technology platform, with most commercial websites functioning as well-structured information systems The quality of these systems can be categorized into system quality and information quality System quality pertains to the development caliber of the software, ensuring reliable and efficient functionality, while information quality focuses on the accuracy, timeliness, currency, and reliability of the content provided Understanding these distinctions is essential for evaluating the overall effectiveness of web-based information systems.
2.1.2 Dimensions of online information system quality
When a customer accesses a Web site, the Web site can be considered as an information system and the customer as an end-user of the information system The
Internet-based data processing represents a peak example of end-user computing, where users rarely interact directly with web operations teams To measure end-user satisfaction, Doll and Torkzadeh (1988) identified five key quality dimensions: content, accuracy, format, ease of use, and timeliness Additionally, Zeithaml et al (2002) highlighted important online system quality factors such as ease of navigation, flexibility, efficiency, site aesthetics, and security, which significantly impact user experience and satisfaction.
Online information system quality was operationalised with six dimensions (ease of use, accuracy, security/privacy, contents, timeliness, and aesthetics) from the work of Jun and Cai (2001)
Besides the main studies which mentioned, having others study research about the measurements of service quality related to Internet banking website such as:
Yoo and Donthu (2001) developed the SITEQUAL measurement instrument, which assesses four key dimensions: ease of use, aesthetic design, processing speed, and overall user satisfaction This comprehensive tool helps evaluate website quality effectively, ensuring optimal user experience and improved online engagement Incorporating SITEQUAL into website assessments can enhance usability, boost user satisfaction, and drive better digital performance.
15 security As for Internet banking, Sathye (1999), with respect to the adoption of Internet banking by Australian consumers, found that two factors such as "difficulty in use" and
"security concern" are important reasons that customers do not want to use the service
Research by Jayawardhena and Foley (2000) emphasizes that key features of Internet banking websites—such as download speed, content quality, design, interactivity, navigation, and security—are essential for enhancing customer satisfaction Cox and Dale (2001) identified four critical website quality factors: ease of use, customer confidence, online resources, and relationship services, all of which contribute to building trust and loyalty Additionally, Santos (2003) highlighted five dimensions of online system quality, including ease of use, appearance, linkage, structure and layout, and content, collectively referred to as incubative dimensions that impact user experience Optimizing these elements is vital for delivering a secure, user-friendly, and engaging online banking experience that fosters customer trust and loyalty.
On the basis of a comprehensive review and synthesis of the extant literature on E- SERVQUAL, Zeithaml et al (2002) detailed five broad sets of criteria as relevant to E-
SERVQUAL perceptions: (a) information availability and content, (b) ease of use or usability, (c) privacy/security, (d) graphic style, and (e) reliability/fulfillment
Research on online information system quality in Internet banking highlights various factors influencing system performance However, these factors generally align with those identified by Jun and Cai (2001), emphasizing the consistent importance of key determinants in ensuring effective online banking experiences.
(2001), the thesic decided focus on six dimensions (ease of use, accuracy, security, contents, timeliness, and aesthetics) of Online information system quality
2.2 Overall internet banking service quality
The main purpose of running a business is to pursue a better goal and higher profits
Service quality, a crucial factor influenced by both Internet marketing and traditional service quality theories, determines the success or failure of e-commerce (Yang, 2001) In the context of online shopping, e-service quality refers to consumers' overall assessment of the excellence and reliability of digital service offerings in the virtual marketplace.
A well-designed internet banking website enhances user experience by encouraging consumers to access the platform for various financial transactions Such a site not only provides added value but also increases customer engagement, leading to higher profits and contributions for the bank Effective website design is crucial in attracting and retaining customers, ultimately supporting the bank's growth and success.
Improved internet banking service quality significantly increases customer satisfaction By offering reliable and efficient online banking, banks gain a competitive advantage in the financial industry Additionally, high-quality internet banking enhances the relationship between banks and their customers while helping to reduce operational costs.
According to Parasuraman, Berry, and Zeithaml (1985), perceived service quality arises from consumers comparing their expectations of the service with their actual experiences This perception is shaped by how well the service delivery aligns with what customers believe the service should be Understanding this comparison is essential for businesses aiming to improve customer satisfaction and enhance service quality.
Service quality is defined as the gap between customers' expectations before a service encounter and their perceptions of the actual service received, according to Asubonteng et al (1996) Gefan (2002) describes service quality as the subjective comparison customers make between the desired service and the actual service delivered Ensuring high service quality involves meeting or exceeding customer expectations through consistent and satisfactory service performance.
In a long period, many researchers have tried to define and measure service quality
Lehtinen and Lehtinen (1982) emphasized that service quality should be assessed based on two key aspects: the service delivery process and the outcome of the service Similarly, Gronroos (1984) identified two essential components of quality service: the technical quality of the service itself and the functional quality related to the service delivery process.
(1) technique quality, that's what the customer received and (2) functional quality, show that how services are provide
Parasuraman et al (1988, 1991) significantly contributed to the understanding of service quality, defining it as the "difference between consumer expectations and their perception of the service received." They developed and validated the SERVQUAL scale through both qualitative and quantitative research, which measures five key components of service quality: reliability, responsiveness, assurance, tangibles, and empathy The SERVQUAL scale, comprising 22 variables, has been widely adapted and tested across various service industries, making it a crucial tool for assessing service quality.
(1) tangibles, which pertain to the physical facilities, equipment, personnel and communication materials;
Reliability is a key quality that refers to the ability to consistently perform promised services dependably and accurately It ensures that users can trust the system or service to function correctly every time, enhancing overall user satisfaction and confidence Building reliability involves implementing robust processes and quality controls to deliver consistent performance and meet user expectations.
(3) responsiveness, which refers to the willingness of service providers to help customers and provide prompt service;
(4) assurance, which relates to the knowledge and courtesy of employees and their ability to convey trust and confidence; and
(5) empathy, which refers to the provision of caring and individualised attention to customers
Parasuraman (1991) confirmed that the SERVQUAL is the complete measurement about service quality It’s worth, reliability and may be applied for every different type
2.2.2 Overall internet banking service quality concept
Internet banking could be conceptualized within the context of electronic banking
Electronic banking, as defined by Daniel (1999), refers to the delivery of banking services and information to customers through various digital platforms accessible via devices such as personal computers, mobile phones, telephones, and digital televisions It includes different categories like PC banking, Internet banking, TV-based banking, and telephone banking, forming a comprehensive multi-channel distribution system Internet banking specifically allows customers to access their bank accounts securely via the internet using web browsers on PCs or mobile devices, providing convenient and accessible banking services online.
Many past studies have developed various models for understanding relevant service quality dimensions relevant to internet banking The empirical work of (Ho and
RESEARCH METHODOLOGY
This methodology chapter outlines the sampling technique selected for the study, details the data collection process, and describes the statistical methods employed for data analysis It also discusses the measures taken to ensure the reliability and validity of the research, ensuring the study’s findings are accurate and credible.
Qualitative research is ideal for discovery, exploring new areas, and developing hypotheses It is particularly useful for supplementing, validating, explaining, illuminating, or reinterpreting quantitative data collected from the same setting According to Amaratunga et al (2002), qualitative data provides valuable insights that enhance understanding and support comprehensive analysis in research.
Quantitative research approach is based on the development of testable hypothesis and theory which can be generalized across settings Quantitative research is defined as
“a systematic investigation of social phenomenon via statistical, mathematical or computational techniques” (Given, 2008, p.16)
This study employs a mixed-methods approach, combining qualitative and quantitative research to ensure comprehensive insights into online information system usage Initially, qualitative research clarifies core concepts and interprets measurement scales within the context of internet banking from the customer's perspective A questionnaire was developed based on prior research and refined through pilot testing, which assessed the clarity and relevance of questions The pilot test helped identify and modify key items, ensuring the measurement scales were accurate and effective for the main quantitative survey This methodology enhances the validity and reliability of findings related to customer experiences with online banking services.
3.2.1 Measurement of online information systems quality dimensions 3.2.1.1 Measurement of aesthetic
Threeitemsweretakentomeasure“ aesthetic”based on Jun and Cai (2001), Michel et al (2008 ), Cao (2005) Measurement scaleof the web’s aesthetic are:
Website was designed to help you identify almost internet banking services
Website’s interface is spectacular, attractive AES2
Simple designment of website help you make transactions quickly
Thisscalefocusedonthecustomer’semotiononperformance of internet banking’s
Result tot nghiep do wn load thyj uyi pl aluan van full moi nhat z z vbhtj mk gmail.com Luan van retey thac si cdeg jg hg
31 website The performance of website including: interface of website, images and symbols, arrangemet images and symbols, conduct for using
Thereitemsweretakentomeasure“timeliness”basedon Cao (2005); Doll and Torkzadeh (1988), Jun and Cai (2001), Michel et al.(2008), (Goi, 2005) Measurement scaleofthe timeliness:
Time to fix the error transactions which happen quickly
Time to log in internet banking is short TIM2 Time to get result of transaction is short TIM3
This timeline of customer internet banking usage highlights three key aspects of service performance: the time taken to resolve error transactions, the duration required to log in successfully, and the speed at which users receive transaction results These metrics collectively reflect the overall efficiency and timeliness of the internet banking service, emphasizing the importance of quick response times in enhancing customer satisfaction Optimizing these performance indicators can lead to improved user experience and increased trust in digital banking platforms.
Fouritemsweretakentomeasure “content” based on Cao (2005); Doll and Torkzadeh
(1988), Jun and Cai (2001), Michel et al.(2008 ), Measurement scale of the content was below:
Website show all information about services of internet banking clearly and easy to understand
You can interrogate all your personal information and transaction information on website
Functions of website satisfied almosts your needs CON3 New services of internet banking were updated on website regularly
This article focuses on the information available on websites related to internet bans and restrictions It emphasizes the importance of accessing accurate and up-to-date resources for academic projects, such as thesis submissions and research documents Ensuring reliable online sources is crucial for completing assignments and staying informed about the latest developments Additionally, the content highlights the need for secure communication channels, like email, for submitting and discussing academic work effectively.
Our internet banking service enables customers to access comprehensive information about their personal accounts and financial transactions at any time, free of charge Customers can conveniently find details about account balances, transaction history, and banking services online, ensuring a seamless and secure banking experience.
3.2.1.4 Measurement of ease of use
Fouritemsweretaken to measure “ease of use” based on the study of Doll and Torkzadeh (1988); Jun and Cai (2001);Michel et al.(2008) Measurement scale of the ease of use was below:
Table 3.4: Measurementof ease of use
You can use services of internet banking by many ways such as: website or on mobile phone
It’s easy step to log in to internet banking website USE2 It’s simple to be supplied internet banking services by the banks USE3
It’s easy to identify and track utilities of internet banking services
Internet banking convenience is a key factor that encourages customers to adopt and use online banking services The easier and more user-friendly the online banking platform, the greater the likelihood of increased customer engagement Enhancing the usability of internet banking features directly boosts customer satisfaction and promotes its widespread adoption Therefore, providing a seamless and convenient internet banking experience is crucial for banks aiming to expand their digital customer base.
Threeitemsweretakentomeasure “security” based on Jun and Cai (2001); Michel et al.(2008 ) Measurement scale of the security was below:
You feel trust when transaction via internet banking d SEC1 The internet banking services which you have beeing using, supplied many layers of security when you handling a financial transaction
Your pesonal information and financial information are highly secured when you using internet banking services
This scale evaluates the safety of internet banking, providing users with an accurate measure of security risks associated with online financial transactions Ensuring high security in internet banking is essential to protect sensitive personal and financial data from potential cyber threats By assessing various security features, this tool helps users make informed decisions and enhances their confidence in conducting secure online banking activities.
Customer information security is a top priority for banks, as they are responsible for safeguarding sensitive data If a bank's negligence leads to the disclosure of customer information, the bank must be held accountable for any resulting losses, emphasizing the critical importance of robust data protection measures in banking operations.
Threeitemsweretakentomeasure “accuracy” based on thestudyof Doll and Torkzadeh (1988); Michel et al.(2008); Goi (2005); Cao (2005) Measurement scale of the accuracy was below:
At your using process, it’s rarely to happen problem and mistake of transmission
Your transactions are handled accurately ACC2
Your personnal informations and transaction informations are showed particularly and accurately
Thisscale measures the accuracy in processing information of information technology system which controls activities of internet banking services
3.2.2 Measurement of overall internet banking service quality:
The measure “Overall internet banking service quality”werebasedonthestudyof Jun and Cai (2001);Michel et al.(2008); Yang et al.(2004)
Table 3.7: Measurementof overall internet banking service quality
Quality of internet banking services is very high
Nowaday, the services of internet banking satisfy your needs
The bank’s online supports help you avoid risks when the transaction problem happen to internet banking system
Customer satisfaction with internet banking is a crucial measure that reflects users' experiences and overall approval of online banking services Understanding these satisfaction levels helps financial institutions improve their digital platforms, enhance user experience, and foster customer loyalty Regular assessment of internet banking satisfaction can identify areas for improvement, ensuring the delivery of user-friendly, secure, and efficient online banking solutions This focus on customer feedback supports the continuous development of internet banking services that meet the evolving needs and expectations of users.
Michel et al.(2008), Yang et al.(2004)
You are satisfied with internet banking services which you using
You prefer to use internet banking services to use direct transactions at the bank
You are going to use internet banking services in the future
Overall satisfaction with internet banking service quality was assessed by asking respondents to rate their level of satisfaction The survey utilized a Likert scale, with options ranging from Strongly Disagree (1), Disagree (2), Neutral (3), ensuring a clear measurement of customer perceptions This approach helps identify areas for improvement and enhances understanding of user experiences with internet banking services.
The survey questionnaire was developed based on established research to ensure a scientific foundation for the study It consisted of two sections: the first collected respondents’ personal data, including gender, age, education, income, and marital status The second section focused on measuring six dimensions of online information system quality through 20 items, along with three items to assess overall internet banking service quality and three items to evaluate customer satisfaction.
The questionnaire was designed based on independent back-translation method
An independent back-translation involves translating the original instrument from its source language into a second language, then having a separate translator, unfamiliar with the instrument, translate it back into the original language (Geisinger, 1994) In this study, the original questionnaire is in English, and the research is conducted in Vietnam, requiring bilingual translation between English and Vietnamese The process requires a skilled translator fluent in both languages and knowledgeable about the financial and banking sectors to ensure accuracy and cultural relevance Initially, the author translates the English questionnaire into Vietnamese, following the principles of independent back-translation to maintain the instrument's integrity across languages.
The article discusses the translation process from Vietnamese to English, highlighting the importance of accurate and coherent conversion It emphasizes that the original Vietnamese content is carefully translated to preserve its meaning, ensuring clarity and authenticity in the English version The content also touches on the availability of the latest thesis downloads, encouraging readers to access academic resources through designated email contacts for up-to-date research materials.
35 which done by the other person is same as, the questionnaire is accepted And it is draft questionnaire
The main purpose of pilot study is to test the questionnaire on a small sample of respondents by trying to identify and excluding potential problems (Malhotra, 2004)
According to Malhotra (2004), the sample size of pilot study is small, which is around
A pilot study was conducted prior to the main survey to ensure the questionnaire's effectiveness The test involved distributing the questionnaire to 15 randomly selected internet banking users from a bank in Ho Chi Minh City Four completed questionnaires were excluded due to incomplete data, allowing for necessary adjustments to improve clarity and accuracy for the main data collection.
The purpose of this pilot test was to check the wording of the questionnaire as well as exam whether there were some unclear questions that cause misunderstanding
Fortunately, the survey questions was found to easily understand Almost no change about the wording and no questions were eliminated so we got the final questionnaire
Statistical data can be categorized as two parts: primary data and secondary data
ANALYSIS RESULT
This chapter presents the key findings of the study, including sample demographics, statistical analyses, hypothesis testing, and insights related to the research objectives The section begins with a descriptive analysis to outline respondents' demographics, followed by reliability assessment using Cronbach’s alpha and model validation through exploratory factor analysis (EFA) Finally, multiple linear regression (MLR) analysis is conducted to test hypotheses and draw meaningful conclusions from the data.
A total of 250 questionnaires were distributed to respondents, of which 207 valid responses were received for analysis The collected data were processed using SPSS Version 16.0 software The demographic characteristics and customer ranges of the sample are detailed in Table 4.1.
Gender: the gender demographics of the respondents were also considered Based on table 4.1 about gender division, the percentage of male (52.2 percent) was higher than female (47.8 percent)
Age: based on table 4.1 about age division, the percentage of age from 26 - 35 years old was highest (43.5%), next was 18-25 years old
Career: the percentage of Officers is the highest (39.1%) and next to Student
Among the 207 respondents, 46.4% (96 individuals) have a monthly income between 5 and less than 10 million VND, while 35.7% (74 individuals) earn less than 5 million VND per month.
Table 4.1: Demographic Characteristics of the Study
This study utilized Cronbach’s Alpha to assess the internal consistency and reliability of the group items Typically, an alpha of 0.7 is considered the minimum acceptable threshold for reliability, although lower coefficients may be acceptable depending on the research objectives (Hair et al., 2006) According to Nunnally and Bernstein (1994), a measurement is deemed valid and reliable when its Cronbach’s Alpha exceeds 0.6, ensuring the consistency of the measurement instrument.
0.3 for item-total correlation was applied to delete item(s) that did not meet this criterion
As a result, showed in the Appendix 3, measurement scales of online Information system quality dimensions were high The lowest range of Cronbach’s alpha for online
The quality of information system scales demonstrated a Cronbach’s alpha of 0.739 for the "Contents" dimension, indicating acceptable internal consistency, while the "Timeliness" dimension achieved the highest reliability with a Cronbach’s alpha of 0.885 These findings suggest that the measurement instruments used to assess information system quality are both reliable and valid, with particular strength in evaluating timeliness Ensuring high-quality information system dimensions is vital for accurate assessment and improvement, which can enhance overall system performance and user satisfaction.
Contents, Ease of use, Security, Accuracy are 0.786; 0.885; 0.739; 0.857; 0.852; 0.823 respectively Moreover, all item-total correlation were high, almost of these coefficients were higher than 0.3, except variable CON3 = 0.251 of Contents dimension And
Upon removing CON3, Cronbach’s alpha for the Contents scale increased from 0.739 to 0.860, indicating improved internal consistency All items except CON3 demonstrate reliability and are acceptable for use in exploratory factor analysis, ensuring the scale's overall robustness.
The study found that Cronbach’s alpha for Overall Internet Banking Service Quality was 0.710, and for Customer Satisfaction, it was 0.764, indicating good internal consistency Both values exceeded the acceptable threshold of 0.60, demonstrating the reliability of the measurement scales used in assessing internet banking service quality and customer satisfaction.
Principal components analysis using the varimax rotation method maximizes variance on new axes, simplifying the interpretation by reducing the number of variables with high factor loadings on the same factor This technique enhances clarity and interpretability of the data structure, as supported by Trong and Ngoc (2008).
The Kaiser-Meyer-Olkin (KMO) measure assesses the sampling adequacy by determining whether partial correlations among variables are sufficiently small, with values ranging from 0.50 to 1 indicating that Exploratory Factor Analysis (EFA) is appropriate Additionally, Bartlett's test of sphericity evaluates whether the correlation matrix significantly differs from an identity matrix, with a p-value less than the chosen significance level confirming that factor analysis can be effectively conducted on the dataset.
0.05, it means that the variables have correlation together and the application of EFA is suitable (Hair et al., 1998)
According to Hair et al (1998), factor loadings greater than 0.3 indicate practical significance, with loadings above 0.4 considered important, and those exceeding 0.5 reflecting real-world significance They also recommend that when selecting factor loadings over 0.3, a minimum sample size of 350 is advisable to ensure reliable results.
In this study, a factor loading threshold of >0.55 was applied, with loadings >0.75 considered ideal for a sample size of approximately 50 Given the sample size of 207 variables, items with factor loadings below 0.5 were removed to ensure the robustness and validity of the results. -Enhance your research precision by applying optimal factor loading thresholds—discover smarter data analysis [Learn more](https://pollinations.ai/redirect/draftalpha)
4.3.1 Testing measurement scales of online information system quality
After testing measurement scale by Cronbach’s alpha, CON3 was eliminated,
19 variables retained of online information system quality scales were put into EFA
The initial EFA results indicated the Kaiser-Meyer-Olkin (KMO) measure was satisfactory, confirming the adequacy of the data for factor analysis This demonstrates that the dataset is suitable for further statistical procedures Ensuring a high KMO value is essential for reliable factor extraction and valid research findings.
43 sampling adequacy suggested that the sample was factorable (KMO=0.814) and significant value p