Cell Phone Banking Adoption in South Africa – Discussion

Overall, results suggest an increase in the rate of CB adoption among South African banking consumers. Some 43 per cent of the respondents indicated that they used their cell phones to access their bank accounts (Table 6). While the figure is almost half of those who own mobile phones, it is still a much better position compared to about 10 years ago, which was about 6 per cent. Since then, the technology supporting CB has improved and overall makes it easier for banking clients to access their accounts. Also, affordable Smartphone pricing coupled with availability of mobile services in local languages and a reliable network infrastructure United Nations Children’s Fund are contributing promoting cell phones and cell phone banking’s ease of use.
In the recent past, there has also been an increase in the usage of mobile devices including cell phones to access social networking sites (SNSs) like Twitter and Facebook. Accordingly, SNS usage improves cell phone experience and self-efficacy. With improved usage of cell phones, consumers are more likely to appreciate the relative advantage of cellular phones. It can also be assumed that perceptions of risk can also be managed with regular and frequent cell phone usage in different settings. Thus, these areas should be the focus of bank marketers’ efforts to promote the uptake of cell phone banking. Thus promoting the awareness of cell phone banking through demonstrations will likely promote adoption. These trials and demonstrations can be conducted by bank employees within the branch. Therein, the consultants can clarify and answer questions for customers directly. Through these demonstrations, the perceptions of risk are likely to be mitigated.
Seven predictor variables were tested; only two provided statistically significant results relating to adoption. These results, suggesting that relative advantage and complexity are most important predictors seem satisfactory. This is because the literature consistently illustrates that three predictors (relative advantage, complexity, and compatibility) have been shown to influence adoption. Given that this research conforms to two of the ‘big three’ is exciting. The reason why compatibility might have not been a significant predictor could be the fact that the sample was mostly of mature customers (63 per cent of whom are 30 year or older), who might not use cell phones as much as a younger consumers.

Table 6. Cell phone and cell phone banking statistics

Cell phone ownership & CB trial Count Percentage
Cell phone ownership
Yes 120 97
No 4 3
Intentions to use Cell phone banking
Yes 30 24
No 26 21
Uncertain 68 55
Users of cell phone banking
Yes 53 43
No 69 47