Link between the expectations of retail banking customer and electronic banking solutions

Asian banks are continuing to introduce innovative electronic banking solutions to their customers as a means of increasing accessibility of banking services and service levels and also offering multiple financial benefits. However, the question is, can banks rely on the strategy of providing innovative electronic banking solutions to increase their customer base? This study was conducted to identify the level of acceptance of electronic banking solutions as a replacement to traditional branch banking. A survey was conducted and data was collected from a sample of 404 banking customers living in the Western province of Sri Lanka. Results of the study reveal that retail banking customers expect banks to provide high service levels through traditional branch-based banking in comparison to electronic services; i.e., banking customers do not feel that a bank branch could be replaced by electronic-based solutions per se.