Antecedents of Customer Satisfaction In Internet Banking: Technology Acceptance Model (TAM) Redefined

In the banking sector, various electronic delivery channels are increasingly used for delivering products and services for the convenience of customers at low cost. Internet banking (IB) is one among them. IB is a product of e-commerce in the field of banking and financial services. The present study has been carried out to use the Technology Acceptance Model (TAM) from the Information Technology (IT) literature to investigate the effect of TAM variables on customer satisfaction in the internet-banking context. The model was constructed by incorporating Perceived Risk (PR) to the twin traditional TAM constructs, Perceived Ease of Use (PEOU) and Perceived Usefulness (PU). The model has been empirically validated using 406 IB users selected from the state of Kerala, India. It is found that the constructs PEOU and PU have positive effect on customer satisfaction and PR has negative effect on customer satisfaction. A profile analysis of the respondents revealed that young males, well-educated employees with a moderately high level of monthly income are the major users of IB in Kerala.