Investigation on the Usage of People’s Wave Mobile Banking Application

(Applied Research)
2
 1. PROBLEM IDENTIFICATION

2.1 Management Decision Problem

With the development of the technology there is a higher competition among banks. The
banking sector has become more digitalized rather than in previous decades. To be
competitive in highly advanced market place people’s bank introduced people’s bank wave
app in 2018 by facilitating the customers to interact with mobile banking technology and
make easier their day to day lives.
Currently, People’s Bank is serving over 18 million customers from every socio-economic
background and demography. However, the number of people who are using the mobile
banking application introduced by peoples’ bank shown to be around 0.1 million. Google
Play store statistics revealed 100000+ downloads with reference to the People’s wave app.
It shows that gap that exists in between number of customers and the wave app users.
Further the date reveals number of downloads not the number of users. Thus, it can be
concluded that that there is a less tendency to use peoples’ wave app by the customers of
the respective bank. Based on the available date, The Management decision problem is;
How should the usage of Mobile Banking application (Peoples’ wave app) can be
enhanced.

2.2 Marketing Research Problem

In order to address the management decision problem, People’s Bank need to identify the
main areas that customers consider, when they are using the mobile technologies,
especially for money related activities. Following that, the investigation is needed for the
bank to identify the prevailing strengths & weaknesses of their current mobile app and they
need to take actions that enhances the strengths & develop measures overcome those
weaknesses by developing new features and functions. so that Then they can overcome
customers’ negative attitudes and to enhance the positive attitudes. Based on the
management decision problem, the marketing research problem can be developed as;
What are the reasons for the low acceptance of peoples’ wave mobile banking app?

In order to address the above research question, two possible hypotheses can be developed
as the factors affecting for the low acceptance of such mobile banking application as
Technological or Knowledge barriers and the attitudinal barriers. Even though this study is
focusing only on peoples’ wave app, lack of usage is a common problem for the all the
mobile
banking application. Thus, first two hypotheses can be developed based on categorical
barriers such as,

 Propositions 1 - Technological / Knowledge barriers has an impact of low acceptance

of online banking applications (ex: Lack of awareness regarding mobile banking
facilities)
 Propositions 2 - Attitudinal berries has an impact of low acceptance of online banking
applications (ex: Lack of trust towards mobile banking facilities)

Further the researcher needs to investigate the product barriers that has an impact on low
acceptance of Peoples’ wave app. There for another two hypotheses can be developed as;
 Propositions 3 - Technological / Knowledge barriers among target group has an
impact of low acceptance of Peoples’ wave app (ex: Lack of awareness regarding
mobile banking facilities)
 Propositions - Attitudinal berries among target group has an impact of low
acceptance of Peoples’ wave app (ex: Lack of trust towards mobile banking facilities)

Base on the above hypothesis information are needed both on category as well as the
product. Following that research objectives can be developed as below.

2.3 Research Objectives

- To understand the awareness as well as habits and practices of using online banking
facilities.
- To understand the perception and attitude towards online banking in general.
- To understand the awareness among current bank customers about benefit offered
by Peoples’ wave app
- To understand the perception and attitude towards Peoples’ wave app from those
who have engage with the app.
 2. METHODOLOGY

3.1 The Research Design & Approach

Since the study has undertaken to provide insight into customer awareness and attitude
towards people’s bank mobile wave app, an exploratory research design was used. The
study was conducted with qualitative research approach.

3.2 Date collection method

The in-depth interviews in collaboration with few projective techniques were used to gather
customer insights about people’s wave app and online banking technology under qualitative
research method. Before conducting the interviews, a recruitment questionnaire (Appendix
1) was first distributed among potential participant to get the right types of participant
together at the right time covering western, central and Sabaragamuwa provinces. This
screening questionnaire was distributed among 20 peoples Bank customers and out of that,
11 participants was qualified for the interview. Since the study deals with primary data, the
interview was planned to get customer insights about people’s wave app with a preset
discussion guide. (Please see Appendix 2 for discussion guide)

3.3 Target Population & sample

The target population is active customers of people’s bank. Sampling frame or the data
collection is mainly focused on customers currently between 25-39 years old (Generation Y
born between 1980 and 1994), who aware about people’s wave app and further, both users
and non-users of the peoples’ wave app was considered. From the screening questioner 6
non users and 5 users could be identified. Convenient Sampling under non probability
sampling technique was used.

3.4 Data Analysis

The data collected through interview was recorder in audio form with the permission of the
respondent. They were then transcribing to written document and sent each transcript to
relevant responded for the member checking in order to establish data validation. The
validated data then analyzed manually. Thematic analysis was adapted and by categorized
data under different concepts.
 3. ANALYSIS & DISCUSSION
In the analysis the participants were coded with English letters, since we have 11 participants,
they were identified as A, B, C, D, E & F, as non-users of Peoples’ wave app and G, H, I, J as
lights users & K as a heavy user of Peoples’ wave app. Information were analyzed through
information buckets as below;

1. Awareness, habits and participation with online transaction

2. Perception and attitude towards mobile banking application in general
3. Level of awareness regarding Peoples’ wave app
4. Perception and attitude towards Peoples’ wave app

4.1 Awareness, habit and participation with online

transactions Findings

Under this section three oral question were asked as; 1. If you want to make a payment to
someone what will be your most preferred method? 2. Why you prefer that method? 3. If you
do online transactions, at what kind of occasion you use it?

Based on the research finding, the most preferred payment method is cash payment (7),
second, Card payment (3), and only one person prefers online payments.

Most Prefered Payment Method

9%
27% Card
Cash
Online
64%

The underline reasons that the participants highlighted, why they prefer cash or card payment
are;

 It is more familiar and easy way of doing transaction.

 They have used to do cash payments however the technology has made payment
methods easier.
 Lack of risk involved in using cash or card payments.
Participant A revealed that - “We always have cash in our hand. Thus, making payment
through cash is easy. And also, we have used to do cash payments”

The statement of Participant B, - I’m not technological person. I’m afraid that, I may make any
mistake when using online. So, I’m comfortable with cash or card payments’’

However, people who use online modes of transaction hold completely different opinion.

Participant K mentioned that, “I’m a quite busy person. I don’t have time to visit the stores or
buy things. I instead use online transaction”

Participant I – “I do prefer cash or card payments, but I use online to check the balance”

However out of 11 participants 5 participants actively engage with online transition even
though they do not prefer it as much as cash or card payments.

The participants, who are familiar with online transaction, do online transactions at following
situations.

- When they purchase things from the online. (Dresses, Kitchen items)
- Utility bill payments (water bills, electricity bills, mobile bills and etc.)
- When they need transferring funds from one account to another quickly
- When the situation or time does not support for the cash or card payments/ emergency
situations.

Discussion - Through analyzing of above date, it is clear that, all the participant is aware
regarding the online transaction and but few people engage with them compared to those who
not. Lack of technological awareness and the lack of knowledge regarding the benefits,
perceived risk has a considerable influence on level of usage of online transaction methods.

Further people do not want to change the things what they have used to do. Specially their
payments habits. They have used to do cash or card payments even though they spend
considerable time in the internet.

Further their participation with online transaction is not genuine all the time. Sometime the
situation influences them to do online transaction even though they do not like it. Specially
when they purchase things form the online and they have no other option rather doing the
payment online. In such situation, if there are several options to select the payment method,
majority always select cash on delivery method rather pay online.
4.2 Perception and attitude towards mobile bank applications in

general Findings

Most of the participant who do online transaction has favorable attitude regarding mobile
banking application.

Participant G express his feeling that – “Mobile banking have made my transaction easy
because I take my phone with me where ever I go.”

However, people who do online transaction also have an unfavorable attitude as well. Further
to the statement made by participant J, “even though I do online transactions some mobile
app have some issues such as loading failures etc.”

The people who do not do online transaction, also have some favorable idea about mobile
banking application. But the problem is they do not have proper knowledge regarding
technology and afraid to use.

Further to the participant E, said that “that must be supportive and helping people to make
transaction more easily but I don’t have much idea about it or I’m not much familiar with it”

Participant C have very bad experiences with mobile banking application; thus, she not using
it currently. Such as they have made transaction and the amount has been deducted from the
account but the payment has not been successfully made.

Discussion

The attitude and perception are more important to the understand the customer behavior
towards a brand. In this study we identified that both users and non-users have favorable
perception on mobile banking. According to their view those are providing convenience, time
serving, innovativeness and easy transactions.

But majority haven’t proper knowledge about the mobile banking as well as the modern
technology. Out of eleven 6 are below 30 and they haven’t issue on technology but they
haven’t proper idea on banking applications. People afraid to do financial transactions
without high assurance from the bank.

What we investigate is that banks provide security to the transactions but they are not
properly communicate it with the target customer group. Same time they aren’t giving proper
knowledge about the application and its innovative services. Rather developing application
continuously,
bank need to consider about what customers expect and how this product can match with the
customers. Then need to take actions to have proper and unique place in consumers’ mind
such as communication more on important features of the app and WOM communication
through the bank outlets.

4.3 Level of awareness regarding benefit offered by Peoples’ wave app

Findings

Under this section one projective technique was used by showing the image of the Peoples’
mobile wave app asked form the responded that “What do you know about this?”

Several people in non-user group could identify Peoples wave app with the image. But few
could not. When the interviewer introduced the app to the participant the they remind what is
it.

Representing non-user group,

Participant A, B, E & F – They hold similar opinion regarding the app. Even though they
have not seen the app properly, they say that what they all know regarding the app is that it
facilitating online transactions through the mobile. Such as transferring funds, checking
balance and Nothing else. They do not use it since they afraid to use it.

But participant C, & D have used the app once and since they have some bas experience
regarding the app, they do not use it. Responded C said that “It is one of the terrible apps
that I have ever used.” And participant D said that “It’s not working properly, there is a
loading issue.”

All the participant who uses the app could identify the app and they hold some similar ideas
regarding the benefits that the app offer. Majority are light users and they said that that this an
app that can be used to checking the cash balance and do money transfers. How ever only one
heavy user was found and he hold the idea as below.

Participant K – “It’s my own personal bank. All my banking activities I do via this app. As a
businessman. This has made my life much easy”

Some participant got to know regarding the app through the bank assistance and some have
got to know it from the friends.
Discussion - Above date revealed that, participant is quite familiar with the app since they
have introduced to the app by the bank staff or friends with the facilities they offer. But those
who do not use it, either do not know how it function and the things that they can do by using
the app, or they do not use it since they have experienced some bad experiences because of
the app.

Those who used the app, use mainly to check the cash balance and fund transfers, that reflect
that even among the users there is no proper knowledge regarding the app. Thus, it is clearly
visible that the awareness regarding the app is lacing among both non user and user groups.

4.4 Perception and attitude towards people’s wave app from those who have
engaged with the app
Findings

Out of 11 participants 5 are using peoples wave application for the banking transactions and
two people are active users. All 5 participants are using peoples wave app for balance inquiry
and fund transfer between own and third-party accounts. But only two participants use the
app for utility and credit card bill payments.

Participant G revealed that – “I’m working in Colombo and my wife and daughter live in
Kandy. I installed Peoples wave app for transferring money to my wife’s account.”

The positive features and negative features of Peoples wave app are identified through the
projective techniques.

Participant K generates more positive ideas – “It is really easy to do transactions at anytime
from anywhere. No security issues with that and OTP is sending to the registered mobile
phone or e-mail. Good health qualities are high in this this application. Time saving &
energy saving is higher in this transaction. Multiple services options also good quality”

Negative features also explained by the participant G – “This app I found it like very weak
when you look at from the user-friendly fact. In consumers comparatively much time on every
task from the log in. Its password policy is totally a headache”

Then this study focused on the participants’ ideas to further development of Peoples wave
application. Users of the application were provided the valuable insights based on their
perspective.
Discussion

Most of active and knowledgeable users are happy about the features of the application and
few of participants have negative idea on mobile banking transactions. Following graphs
summarize and developed codes for the positive and negative ideas which explained by the
participants.

Positive Features Negative Features

6 6

5 5

4 4

3 3

2 2

1 1

0 0

Attribute
Attribute

Peoples Bank can highlight above mentioned areas more in their promotions and develop the
areas which mentioned in the negative features to enhance the usage of mobile banking
application.

Common recommendations of participants are;

 Providing proper knowledge and guidance to customers
 Expand the devices of use (only support to the android 4.4 & up)
 Conducting awareness campaigns
 Giving the knowledge to employees (internal marketing)

Bank can consider more on above recommendation to further develop the app as well as the
usage of the app.
the usage of the mobile banking applications.
 Appendix

1 - Recruitment Questionnaire
Please fill the basic information below

1. Name of Participant
NIC NO:
Mobile No
Date

Please tick your answer in the appropriate rows

2. Could you please tell me if you or any Peoples’ Bank Terminate

other member of your family works in Any other bank Terminate
any of these organizations? Market research firms Eligible
Any other industry Eligible

3. Would you like to attend a discussion Yes Eligible

that will last for 3 hours? No Terminate

4. Are you an Active customer of Yes Eligible

people’s bank? No Terminate

4. Do you have awareness regarding any Yes Eligible

kind of online banking activities No Terminate

6. Age Below 25 Terminate

Between 25 -39 Eligible
Above 39 Terminate

7. SEC A/B Eligible

C/D/E Terminate