An evaluation of the factors affecting the adoption of mobile banking in Kampala : A case study of Centenary Bank Kampala Branch
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The purpose of the study was to assess the role of mobile banking towards enhancing financial inclusion, a case study of centenary bank Kampala branch. The objectives of the sturdy were to establish influence of age, education and income level on the extent of adoption of mobile banking and to determine the challenges bank customers face in the mobile banking adoption process. The research methodology for the study was descriptive cross-sectional research design. The sample size was 80 respondents and simple random sampling and purposive technique was applied in selecting the respondents who were included in the sample. The researcher used questionnaires to collect data and data was analyzed using descriptive statistics and chi-square. The study revealed that age, level of education and income level of an individual influences his/her adoption of mobile banking services (Since the P-Value was less than the critical value (0.05)), but whereas cost of operating mobile banking services does not influence individuals’ adoption of mobile banking (p-value (0.197) was greater than critical value (0.05)). Study findings further revealed that most people (36.25%) adopt use of mobile banking in ages of 25-34, majority (73.75%) of people who have attained education are more likely to adopt mobile banking and most people (42.5%) with high levels of income are also most likely to adopt mobile banking services. From the study, most of the respondents used mobile banking for purchasing airtime (45.0%) and (41.3%) were influenced by family/friends to enroll on mobile banking. The study recommended that the management of these banks and other service providers re-evaluate their mobile banking services and embark on a fact finding the services their customers would like to have access to via mobile banking and also recommended that service providers address the challenges highlighted so as to give customers a worthwhile experience when taking up this innovation because the benefits of mobile banking are yet to be fully explored beyond convenience. The study concludes that most customers sign up for mobile banking because of the convenience it offers and the study further concluded that the factors which were being measured in this research had a significant impact in influencing adoption decisions.