EFFECT OF ELECTRONIC BANKING ON CUSTOMER SATISFACTION IN GUARANTY TRUST BANK_ MAKURDI BENUE STATE_NIGERIA

Abstract
The study examined the effect of electronic banking on customer satisfaction in Guaranty Trust Bank, Makurdi, Benue State Nigeria. The survey design was adopted for the study and questionnaire was used for data collection. The study sample is made up of 390 randomly selected customers of Guaranty Trust Bank operating in Makurdi Metropolis Benue State Nigeria. Multiple regression analysis was used to examine how the independent variables affects the dependent variable of the study. The hypotheses of the study were tested using the probability value of the regression estimates. The result of the study indicate that internet banking (ITB) and the use of automated teller machines (ATMs) have favourable effects on customer satisfaction (CUR) at Guaranty Trust Bank, Makurdi, Benue State, Nigeria, and the effects are statistically significant (p<0.05) and in accordance with a priori expectations. The result of the third specific objectives of the study indicates that usage of telephone banking (TLB) has a negative effect on customer satisfaction (CUR) in Guaranty Trust Bank, Makurdi Benue State Nigeria and the effect is not statistically significant (p>0.05). It was concluded that customers of Guaranty Trust Bank using automated teller machines and internet banking have had a positive impact on the overall level of customer satisfaction in the study area. It was recommended among others that the positive and significant effect of internet banking on customer satisfaction can be improved if the management of Guaranty Trust Bank train and employ a specialized and technical team to maintain and operate internet banking systems so as to reduce the electronic banking systems break downs.
Keywords: E-banking, Customer Satisfaction, Regression Analysis, Benue, Nigeria.
Introduction
Technology is developing rapidly in the contemporary world; such advancements (ICT) have spawned many new systems in all aspects of life, as well as the economy. Several companies in the world have recently started using internet systems to communicate and advertise. Internet systems were used for mail communications and advertisement plans in the early 20th century. Businesses are no longer able to avoid the need for electronic transactions in the 21st century (Wisdom, 2012).
Compared to traditional banking, electronic banking enables customers to perform transactions more efficiently and offers the greatest convenience. The number of Internet banking services available to customers has steadily increased for banks of all sizes, especially large banks and mutual banks (Momeni, 2013). Online banking is one of the most popular channels for conducting bank transactions due to advances in electronic banking technology. There is an increasing trend towards internationalization, mergers, takeovers, and consolidation of the banking industry, characterized by an ever-increasing number of takeovers, mergers, and takeover bids (Muhammad, Akin, & Abdul, 2015).
In today’s banking environment, banking applications are specialized software undertakings that are menu-driven and ultra-generous. Essentially all banking operations are performed through the use of these applications, which are often heavily reliant on data accumulation, storage, transfers, and processing. All banks have become increasingly concerned about electronic banking services and products used in their operations (Mutunga, 2013).