A Conceptual Study on Customers Adoption of IMobile App Technology In

ICICI Bank

Submitted by,

Mrs.Priti Jeevan, Sr.Asst. professor

Srinivas Institute of Management Studies
Pandeshwar, Mangalore-1
Ph no. 9535583800, E mail: [email protected]

A conceptual study on customer adoption 28th May 2015 National conference on

of IMobile App technology in ICICI bank ISBN: 978-93- Recent trends in
83241-99-6 Management, K.S. School
of Engineering and
Management, Bengaluru

ABSTRACT:
Technology revolution is enhanced in everywhere of the world. It is more power based and
essential aspects in each and every sector of an industry. Technologies are more adoptable and
favorable to the customers. Technologies in the banking sectors are developed at the peak. Over
the years, banks are not developed in the level of technology therefore customers waiting time
has increased for a long time for their requirements. There were in large queuing for their fund
transfer payment of bill and deposited for amount and cheque.

After the modernization the payment system turned completely. Implementation of recent
technology in the banking, electronic devices are making the job of cash payment as well as non-
cash payments easy and efficient. Phenomenal advancement in computer and telecommunication
technologies and their fusion has changed the whole mechanism of fund transfer and settlement
process into fast and automated with updated systems.

Today, the arrivals of multichannel smart phones and Tablets made the revolution in banking.
Banks have adopted wireless and mobile technology into their day to day life offering the
customers the right to pay bills, planning payments whenever needed, receiving updates for the
various marketing efforts of the bank to allow more personal and close relationships. This paper

Electronic copy available at: https://ssrn.com/abstract=2960056

examines consumer adoption model of a new electronic payment service and the factors
influencing the adoption of mobile banking in India. ICICI Bank recently initiated iMobile
applications which give large number of technology services to the customer’s advantages. ICICI
Bank's mobile banking application can be downloaded on the mobile phone. With iMobile it’s
easy to check the account balance, transfer funds, pay utility bills, and recharge the mobile
phone, DTH connection, broadband, book movie tickets and many more. The iMobile app for
Windows platform is compatible with Windows 8 and above.
Key words: Technology, iMobile, Mobile Banking and customers.

INTRODUCTION:
At present, the large number of diversified Smartphone’s and tablets adopt systematic mobile
banking applications due to the speedy development in wireless technology. It is also a fact that
at present mobile communications is not considered as luxury as it has reached the wide area of
the society. Further, the banking institutions, mobile network operators, and mobile payment
service promoters (MPSP) come up with various kinds of technologies and facilities to expand
their network. Hence, mobile banking have created a platform to expand commercial transactions
in a very easy manner and have created a wide array of business opportunities through the
expansion of wireless communication. These developments facilitate fund transactions and bill
payment, trading, and purchasing of goods and services without much effort. As a result of this,
mobile phone has become a very vital in day to day life of banking customers.

The banking companies such as ICICI, SBI, IDBI, Federal Bank etc introduced their mobile
banking apps and software which are also protected with the passwords. ICICI bank recently
introduced the high standard application as iMobile app.

iMobile provides couple of facility to their customer satisfaction and also this implementation is
more beneficial to the bank. With iMobile its easy for customers to view their own account
details and available balances, Mini statement, detailed statement of account, credit card details
and summary, loan details and summary, demat holding quantity and holding value, fund transfer
within own ICICI bank to other ICICI bank, other bank account using NEFT, and IMPS, bill
payment facility to Air ticket booking, movie ticket booking, mobile recharge, shopping, and

Electronic copy available at: https://ssrn.com/abstract=2960056

order a new cheque book ordering, checking cheque status, and stop a cheque. The ICICI bank
also gets some benefits such as reduction in the work task of employees and it saves time. It
reduces the use of electronic items in the bank and controls the inflow of customers in the bank.

LITERATURE REVIEW:
Adoption of Internet banking as well as electronic banking has received research attention in
recent years. Consumers using these services have been focus in a large sense of current
research, nevertheless customer behavior in mobile banking context have remained rather
uncharted territory. Mobile Banking builds a cornerstone for mobile commerce (Tiwari et al.,
2006). This paper studies the concept of mobile banking and mobile payment which helps the
country to develop (Donner Jonathan, 2007). In today’s business, technology has been on the
prime indicators of growth and competitiveness. The banking industry today is in the industry of
its revolution (Sharma Archana, 2011). Mobile banking needs understanding of mobile functions
properly for successful transaction in banking (Son-Yu Chian, 2012). Mobile banking has
emerged as new alternative way of banking which is more convenient and user-friendly than
traditional form of banking.

This paper titled “A Conceptual Study on Customers Adoption of IMobile App Technology In
ICICI Bank” studies the various factors which influence the customers towards using mobile
services. This conceptual study aims to focus innovative changes in the mobile banking platform
towards the implementation of creative ideas to develop new applications and software to
upgrade the mobile banking. This paper also targets the iMobile apps of ICICI bank. Ensuring
security and confidentiality are the fundamental prerequisites before any banking activity
involving sensitive information can take place.

OBJECTIVES OF THE STUDY:

This conceptual study plans to switch the gap of research favourable reception of mobile banking
the consumers. The objectives of the study are to:
 Focus on the adoption of ICICI bank iMobile banking service by consumers.
  Identify possible factors influencing the adoption and usage of iMobile and understand
the problem relating to mobile banking by customers in ICICI bank.
 Focus the study on mobile banking in ICICI with customers satisfaction

The individual characteristics of ICICI bank iMobile banking users are the important
determinants in the adoption decisions. This finding would give a suitable channel to reach the
information in the mind of customers. It makes the financial services industry with a brief
knowledge about understanding of customer perception of iMobile banking of ICICI bank
services and helps in planning the marketing strategies and promotion approaches for mobile
banking service in the future. It would also try to suggest why people are not currently using
mobile banking and try to suggest how to overcome this problem and increase the acceptance
levels.

CASE STUDY OF IMOBILE APP:

Technology makes new face to the banking institution through iMobile banking. The bank
branch is not focused the promotion of mobile banking. But, bank should give valuable
awareness to the customer about the security and safety side iMobile banking App or Mobile
banking it can make large number of customer involvement. ICICI bank has introduced this
application change the banking process in innovative way. iMobile App was introduced 5years
back. One decade before ICICI bank was started the mobile banking technology. At that stage,
the customers are afraid to use this technology because of lack of safety and security. After the
introduction of iMobile App through changes entire process of mobile banking technologies.
Over two years, iMobile used by large number of customer for payment of bills, balance
checking, issue of new check books. iMobile App is used more by youth people and business
class people. The common people are not getting the detailed information of iMobile App. The
bank branches are not fully focused to provide this information to the mind of customers. But
bank provide the promotional activities through sending SMS to existing banking customers and
also give the mobile banking form attached with the new application form of new account. But
the customers are not getting the detailed information iMobile from bank branches; therefore
large numbers of customers are unaware about the iMobile application facility of mobile
banking. But bank website gives detail description Mobile banking and all entire software up
gradation on their webpage. But large numbers of Common customers are not check the up
gradation from the bank.

Further, there is another one problem the customers afraid about security and safety of fund
transaction. The hackers and fraud can’t hack iMobile service because of bank provide huge
potential to their Safety and security department they continuous monitoring in to system
administration. The bank is using Grid card authentication and data encryption on it. The bank
does not give identifiable information through SMS and Alert to the customers’ phone.

Bank gives awareness programmes to the customer about iMobile App and mobile banking.
The customer will start to trust the bank well and they make stable transaction through mobile
banking. It reduces the bank cost and also customer save their valuable time with safety and
securable mobile transactions. Mobile banking will conquer all banking transactions with the
customers fingertip and it should change the entire banking process through paperless banking.
And it will make digitalization of banking.

CUSTOMER ADOPTION OF iMobile App BANKING IN ICICI:

In India, the banking system and situation are entirely different from the foreign banks in
International Market. The situations and technological approach in ICICI bank are quite different
from the other banking institutions in India. ICICI bank focuses their internal process and
consolidate IT platforms across functionalities to use technology as an effective strategic tool.
Over the last 2 decades come up with changes nature of services and technological advancement
offered by ICICI banks.

Financial activities and services are generally complex in nature and need a lots reliability and
awareness for the customers to use these technologies. ICICI bank has changed paper based
banking solutions provider to the innovative technological advancement like electronic banking,
Online banking, and mobile banking. Most of these all customers have not accepted the up
gradation. As of today’s ICICI banking procedure and functions has redefined itself as customer
centric, it more important that the customer is happy with the services being provided. These
matters are dependent upon ICICI bank where they have introduced large number of
technological advancement in banking. However, the bank focused on to the mobile banking and
they introduced different mobile banking facility for the customers such as SMS banking, M-
pesaAircel ICICI bank mobile money etc. In fact, the banks recently introduce the iMobile App
for the customer’s desirable manner. The customer can download iMobile via GPRS. iMobile
app download from the customers’ mobile application folder. In Android phone I mobile App
will also be prompted to set a 4-digit Login PIN. This PIN will be required each time you login
to iMobile application in the future. ICICI suggest the customer to choose a PIN different from
your other PINs. In windows enabled Phones and tablets Login using your Internet Banking User
ID and password. But the customer authenticates the account for use. First time users are
required to complete a one-time grid card authentication.

The application will fetch grid values as given on the back of the Debit card of your chosen bank
account. Each time the customer starts the application, it will ask for the PIN chosen by the
customer. Also, for all financial transactions, it will ask for a grid card authentication.
At ICICI Bank, greater care is done to safeguard the assets of customers and protect customers’
money. ICICI banking safeguards the employee 2048 bit secure socket layer and entrusted with
digital certificate in banking iMobile provide large number of services to the customers. One
decade earlier the acceptance and adoption rates was lower even in the case of educated
customers. The reason was that the customers are not sure about detailed idea about mobile
banking in ICICI bank. Therefore, the customer find it very complex to do financial activities in
online banking and mobile banking with respect to safety and security and about fraud, email
phishing etc. At Present, customers are listening to the features of ICICI mobile banking and
they started to trust the mobile banking. But, all customers have not welcomed it. Largely in the
sense youth are using the mobile banking facility and business class people also using the
features. But large numbers of common people are not using these mobile banking facilities in a
wide sense, because they are not easily capable to accept the changes in the appropriate system
because of lack of trust and awareness.

The ICICI bank provides Bill pay in iMobile. But it is only a channel to transfer the payment.
But, it Does not have “payment reminder” in the iMobile App. if the ICICI ensure to give mobile
banking “reminder settings”. iMobile App add “reminder settings software” the people need
 not be remember the payment day and time. The iMobile app reminder to the customer about the
bill payment day and time. IMobile App add this service facility in the iMobileApp . The
customer can register their monthly electricity bill, water bill, all other monthly payment , yearly
tax bill and others with the help of these App And the bank directly send a payment link with
Yes/no payment option to make the payment either or not from iMoble App .

iMobile BANKING SERVICES OF ICICI BANK:

ICICI iMobile

mShop
Bank Account
 Prepaid Mobile
 Fund Transfer
Recharge
 IMPS
 Movie Ticketing
 Balance Enquiry
 Last 5 Transactions  Air Ticketing
 Cheque Book Request  DTH Recharge
 Stop Cheque Request
 Cheque Status Enquiry
 Open a Fixed Deposit
 Open Recurring Deposit

Credit Card
Bill Pay
 Balance Details
Customers
 Last Payment Details  Bill Payment
 Payment Due Details  Bill Presentment
 Quick Pay

Loan Account

 Provisional IT Certificate
 Final IT Certificate
 Rescheduled letter
 Loan Agreement Copy
 Reset Letter
 Loan Outstanding
 iServices

 Locate us
Demat Account  Show Payments
made
 Holding Enquiry
 Apply now
 Transaction Status  Services Request
 Bill Enquiry Tracker
FACTORS INFLUENCING iMobile App Bank in ICICI
ISIN Enquiry
 Total stock holding value
Secure and safety transactions:
iMobile employs advanced encryption technologies making it safe and secure as Internet
Banking. No sensitive information is stored the mobile handset. No one is able to access the
account information without knowing the unique USER ID and Password. Only limited
information such as account numbers, and nicknames of the payees and billers are stored locally
on the mobile device. All other account-related data resides at ICICI Bank just as with Internet
Banking. SMS texts or alerts from ICICI Bank. It never includes any personally identifiable
information, such as your full account number, email address or mobile number. The user id and
password will never be included in any of the text messages or alerts that are received from the
Bank. Grid Card Authentication Facility is essential. All financial transactions are accepted after
entering the grid values on the reverse of your debit card for a final confirmation
Service at customer convenience:
iMobile, secure Mobile Banking application, offers a wide range of banking and informational
services to take care of customers banking needs conveniently from your mobile. iMobile is
available for Android, i0S 3.0, Windows and iPad users .
iMobile Banking available at single fingertips of customers:
iMobile offers to the customers ease and convenience of conducting transactions in an
environment that is most comfortable Banking fund transactions. iMobile is easy to view their
own all account details and available balances, Mini statement, detailed statement of account,
credit card details and summary, loan details and summary, demat holding quantity and holding
value, fund transfer within own ICICI bank to other ICICI bank, other bank account using NEFT,
and IMPS, bill payment facility to Air ticket booking, movie ticket booking, mobile recharge,
shopping, and order a new cheque book ordering, checking cheque status, and stop a cheque.
Bills payment at anytime and anywhere:
With iMobile the customers can pay bills without having to stand in queues. The customers can
choose from any bill payment option from bills presentment, bill pay and quick pay. Therefore it
makes an impact on customer to use this facility and to retain the customer in mobile banking
facility.

Service at customer convenience:

Avail banking services from the comfort of your home. You can locate an ATM, stop or check
status of your cheque, order a cheque book, track your service requests from immobile enabled
phone to get all facility from your single touch in to the phone.

SATISFACTION OF MOBILE BANKING CUSTOMER:

Mobile banking is considered to be one of the most value added services in banking. Facilities
provided by mobile baking services have helped financial institutions to reduce traditional face
to face banking transactions through automated services where ever possible. Furthermore,
when mobile phones become more popular, it is expected that whatever the banking transactions
that has been done through online fixed terminals should be migrated to mobile based
technologies.
(Conceptual model)

Usefulness

Ease of use

Customer
satisfaction Relative Advantage
mobile banking
services
Perception of risk

Users lifestyles and

current needs
Usefulness of mobile banking
When considering the technology link to the product, the ease of use of it has always been very
critical issues in customer satisfaction. When comparing mobile banking with internet banking
and ATM, it could be seen that the mobile handsets as a device which has a great effect though it
is relatively small and complex. When a customer finds that any system is easy to study, it
creates a positive impact towards the customer and arrivals new software applications to improve
the growth.

Ease of Use
Mobile handsets are a device which has a great effect though it is relatively small and complex.
When a customer finds that any system is easy to study, it creates a positive impact towards the
customer and it will lead to his/her satisfaction. Customer should be able to understand very
simply the benefit of mobile banking over its predecessors. All these lead to customer
satisfaction.

Relative Advantage
When making the customer satisfaction there is a higher risk which plays a main role in offering
services to them. When it comes to taking the risk it is very low where the willingness to use
and satisfaction is at the highest. Risk and intention use mobile banking always to their
satisfaction.

Perception of Risk
New technologies and linked to service makes mobile banking goes with their lifestyle and with
their current needs. Factors such as acceptance of society, self-respect, high quality admiration
from the society will affect the users’ satisfaction.

Customer’s lifestyle and current needs

Customer lifestyles and needs changed through changing in the field of technologies in mobile
banking Apps and software make new facilities services from mobile banking it gives customer
satisfaction. ICICI Bank introduced SMS banking, M-pesa & Mobile money to identify the
current needs and lifestyles.

CONCLUSION AND FUTURE DIRECTIONS:

Technology is most essential to every organization. Technologies upgrade the organizational
development through effective and proper manner. At present, in banks technology change the
systems and function with the easy usage of banking fund transactions and payment of bills in a
safe and easy manner. It makes the customer to take their privacy in banking activities with the
help of innovative Technological solutions. Innovative technologies are upgrade in each and
every second towards the changes in customer characteristics and requirement for the effective
solutions in business. Therefore, it will improve entire system. The upgrade technologies give
easy, secure and safety and also more beneficial to the organizations.

REFERENCES

 Books
Priciple and Practises of Banking 2nd edition Originally prepared by A . M Arundekar, O P
Agarwal, DronkarNath, Ps Khandelwal under the guidance of T. S Radhkrishnan.

 Website
http://www.ijsrp.org/research_paper_feb2012/ijsrp-feb-2012-60.pdf

http://www.managementparadise.com/pramitsingh30/documents/19368/project-report-on
mobile-banking-awareness/

http://www.arraydev.com/commerce/JIBC/0306-04.htm

http://ijcit.com/archives/volume3/issue3/Paper030311.pdf

www.icicibank.com

Mobile banking Wikipedia

www.igiglobal.com

www.booksgoogle.coin

 Article and journal

Tiwari et al., 2006
Sharma Archana, 2011
Son-Yu Chian, 2012
Donner, Jonathan. (2007)