Factors affecting the adoption of ATM Cash Deposit Services. A case study of ABSA Zambia, Lusaka

Abstract

Commercial banks' investments in information technology (IT) have helped streamline operations, increase competitiveness and expand the number and quality of services offered. The automated teller machine (ATM) is arguably the world's most groundbreaking electronic innovation. ATMs according to Mwiya et al. (2017) are the most commonly used electronic delivery method for banks in Zambia. Research has indicated that investment potential, cost savings, customer satisfaction and competitiveness are the reasons for installing and expanding the existing ATM network. Despite the availability of good ATMs for depositing money, there are still long queues in front of banks during business hours as customers deposit their money at the bank counter. Therefore, the study aimed to evaluate the factors affecting the adoption of cash deposit services at ATMs. The objectives of the study were to determine the effects of perceived usefulness, perceived ease of use, effects of facilitation conditions, and effects of social influence on consumers' intentions to use cash deposit services at ATMs. To achieve the objectives, the study conducted a survey of 397 ABSA bank customers. The study used a mixed research method and employed descriptive and causal research designs. Descriptive statistics, logistic regression, and Fisher's exact test were used for data analysis. From the findings, the study revealed that: Lack of knowledge, lack of awareness, ATM usability, trust in ATMs, ATM security and ATM errors are significant factors that influence customers' use of ATMs to deposit money. Additionally, the study found that friends using the ATM to deposit money had a statistically significant effect on the use of the ATM to deposit money. Age and gender were also found to have a significant impact on the use of ATMs to deposit money. The results were statistically significant with a P value of 0.05. The study therefore recommended that: Banks should provide their customers with adequate knowledge on how to use ATMs to deposit money; Ensuring and ensuring the safety of customers when depositing funds; and to adequately inform customers about the security and reliability of ATMs when depositing money.