EFFECT OF ELECTRONIC BANKING ON CUSTOMER SATISFACTION IN NEPALESE COMMERCIAL BANKS

Abstract

The main purpose of the study is to investigate effect of electronic banking on customer satisfaction in Nepalese commercial banks. The study is used descriptive and casual research design. This study used descriptive statistic, correlation analysis and regression analysis to analyze the data. The study shows that the Nepalese commercial banks offer electronic funds transfers, automated teller machines, mobile banking, and online banking services. The vast majority of respondents concurred that the satisfaction of banking clients is much impacted by mobile and ATM banking, and they also felt that their own satisfaction was high. The correlation analysis reveals that internet banking has significant positive relationship with customer satisfaction. At the same time, mobile banking has significant positive relationship with customer satisfaction. Further, ATM banking has significant positive association with customer satisfaction. Finally, electronic fund transfer has significant positive relationship with customer satisfaction. The regression result concluded that automated internet banking, mobile banking, automated teller machine and electronic fund transfer had significant positive impact on customers satisfaction in banking industry of Kathmandu Valley. Therefore, this study concluded that the effect of electronic banking on customer satisfaction is significant.