Adoption of Mobile Banking in Saudi Arabia : An Emprical Evaluation Study

Abstract

This study explores the adoption of mobile banking practices in Saudi Arabia. It focuses on the existence of sufficient infrastructure, and the possible challenges that m-banking services may face. Also, discovers the potential opportunities in the country. A sample of banks in Saudi Arabia was surveyed via questionnaire, with a particular focus on the staff in the related IT departments. The findings demonstrate that although m-banking is believed to be important, there is a general lack of awareness, and it is still not widely accepted by the public. M-banking services provided should be easier to use and offer more security to its users. Furthermore, findings reveal that cooperation among the concerned parties is currently not extensive. From this, the researcher recommends that governing regulations and policies should be properly identified and put in place, and proposes that banking decision-makers in Saudi Arabia should reevaluate their bank's strategic plans.

Consumer use of mobile banking (M-Banking) in Saudi Arabia: Towards an integrated model

“…However, in relation to the issue of service quality, the EY GCC Digital Banking Report (2015) did not mention deficiencies relating to service quality. In another study, Alkhaldi (2016) indicated that the lack of a proper infrastructure has hampered the Saudi adoption of M-Banking on a wider scale. As such, insufficient networks in the Saudi countryside, the low rate of mobile diffusion to the banking sector, the modest mobile usage for distinctive bank services, and the insufficiency of necessary legal regulations, which aim to raise the service quality of M-Banking, constitute objective parameters that limit proper espousal of M-Banking in Saudi Arabia.…”

“…From the aforementioned findings of Alkhaldi (2016), it can be seen that the study focused on service quality and system quality without focusing on issues related to information quality. Within this study, independent variables are service quality, information quality, system quality, performance expectancy, effort expectancy, hedonic motivation, social influence, price value, habit, and facilitating conditions, and the aforementioned variables impact on use (the dependent variable).…”

“…M-Banking is an application of m-commerce delivered by financial institutions or banks that permits its users to perform financial transactions remotely by adopting a mobile device like Personal Digital Assistants (PDA), mobile phone or smartphone (Al-Jabri and Sohail, 2012). This service is implemented to make payments such as checking banking accounts, making transactions, and transferring money (Alkhaldi, 2016;Arcand et al, 2017;Slade et al, 2015aSlade et al, , 2015b. M-Banking is unique as it has different yet advanced levels of system quality, information quality, and service quality when compared with previous e-banking services such as computers, kiosks, and laptops (Tam and Oliveira, 2017).…”

An integrated model for m-banking adoption in Saudi Arabia

“…Alabdan, 2017;Al-Ghaith et al, 2010;Al-Malkawi et al, 2016;Al-Somali et al, 2009;Awan et al, 2016) and m-banking in particular (i.e. Al-Husein and Sadi, 2015; Al-Jabri and Sohail, 2012, Alkhaldi, 2016Al-Otaibi et al, 2018;Alsheikh and Bojei, 2014;Hidayat-ur-Rehman, 2014).…”

“…In addition, this study added perceived security and perceived privacy to the conceptual model due to their substantial roles in sensitive technological services that are related to financial dealings such as m-banking (e.g. Alabdan, 2017;Alkhaldi, 2016;Casalo et al, 2007;Finn et al, 2013;Khasawneh et al, 2018;Linck et al, 2006;Mashhour and Saleh, 2015).…”