A TRAINING REPORT

ON
MOBILE BANKING WITH SPECIAL REFERENCE
TO SBI BANK
Submitted to:
Satyug Darshan Institute of Engineering and Technology
By:
SONAL KALRA
Batch 2015 – 2018
In Partial Fulfillment of
Bachelor Of Business Administration (IIFSB)
MAHARSHI DAYANAND UNIVERSITY
ROHTAK (HARYANA)
(November, 2017)

Satyug Darshan Institute of Engineering and Technology

Bhupani Lalpur Road, Village Bhupani
Faridabad - 121002, NCR, Haryana, India
 TABLE OF CONTENTS

CHAPTER -1 INTRODUCTION

CHAPTER-2 COMPANY PROFILE

CHAPTER-3 REVIEW OF LITERATURE

CHAPTER- 4 RESEARCH METHODOLOGY

CHAPTER-5 DATA ANALYSIS & INTERPRETATION

CHAPTER-6 FINDINGS & RECOMMENDATIONS

CHAPTER- 7 CONCLUSION

CHAPTER-8 BIBLIOGRAPHY

CHAPTER-9 QUESTIONNAIRE
 DECLARATION

I, Ms. SONAL KALRA hereby declare that this training report titled “Mobile
banking with special reference to SBI bank” is the record of authentic work
carried out by me during the period from _2016____ to 2017_____ and has not
been submitted to any other University or Institute for the award of any degree /
diploma etc.

(Signature)
SONAL KALRA

Date:
COMPANY CERTIFICATE
 BONAFIDE CERTIFICATE

This is to certify that Ms. SONAL KALRA of Satyug Darshan Institute of Engineering and
Technology has successfully completed the project work titled (MOBILE BANKING WITH
SPECIAL REFERENCE TO SBI BANK) in partial fulfillment of requirement for the
completion of Bachelor in Business Administration (BBA-IIFSB) course as prescribed by the
Maharshi Dayanand University, Rohtak, (HARYANA).

This project report is the record of authentic work carried out by him/her during the period from
_____ to _____. He / She has worked under my guidance.

(Signature)

(MRS. SNEHA SHARMA)

Assistant Professor, BBA Department

Project Guide (Internal)

Date:

Counter signed by
 ACKNOWLEDGEMENT

Firstly I would like to thank our college to give an opportunity to do such an innovative project
in my Fifth Semester.

I would like to extend my sincere gratitude and appreciation to my project guide Ms. SNEHA
SHARMA who initiated me into the study of Mobile Banking with special reference to SBI
bank. It has indeed been a great experience working under her during the course of project for
her invaluable advice and guidance provided throughout this project.

Last but not the least; I would like to thank all those who directly or indirectly helped me in
giving the final touchup to the project.
 CHAPTER-1

INTRODUCTION
The last time that technology had a major impact in helping banks service their customers was
with the introduction of the Internet banking. Internet Banking helped give the customer's
anytime access to their banks. Customer's could check out their account details, get their bank
statements, perform transactions like transferring money to other accounts and pay their bills
sitting in the comfort of their homes and offices.

However the biggest limitation of Internet banking is the requirement of a PC with an Internet
connection, not a big obstacle if we look at the US and the European countries, but definitely a
big barrier if we consider most of the developing countries of Asia like China and India. Mobile
banking addresses this fundamental limitation of Internet Banking, as it reduces the customer
requirement to just a mobile phone. Mobile usage has seen an explosive growth in most of the
Asian economies like India, China and Korea. In fact Korea boasts about a 70% mobile
penetration rate and with its tech-savvy populace has seen one of the most aggressive rollouts of
mobile banking services.

Still, the main reason that Mobile Banking scores over Internet Banking is that it enables
'Anywhere Banking'. Customers now don't need access to a computer terminal to access their
banks, they can now do so on the go - when they are waiting for their bus to work, when they are
traveling or when they are waiting for their orders to come through in a restaurant.

The scales at which Mobile banking has the potential to grow can be gauged by looking at the
pace users are getting mobile in these big Asian economies. According to the Cellular Operators'
Association of India (COAI) the mobile subscriber base in India hit 40.6 million in the August
2004. In September 2004 it added about 1.85 million more. The explosion as most analysts say,
is yet to come as India has about one of the biggest untapped markets. China, which already
witnessed the mobile boom, is expected to have about 300 million mobile users by the end of
2004. South Korea is targeted to reach about 42 million mobile users by the end of 2005. All
three of these countries have seen gradual roll-out of mobile banking services, the most
aggressive being Korea which is now witnessing the roll-out of some of the most advanced
services like using mobile phones to pay bills in shops and restaurants.
Mobile banking services

Banks offering mobile access are mostly supporting some or all of the following services:

1. Account Balance Inquiry

2. Account Statement Inquiries.

3. Cheque Status Inquiry.

4. Cheque Book Requests.

5. Fund Transfer between Accounts.

6. Credit/Debit Alerts.

7. Minimum Balance Alerts.

8. Bill Payment Alerts.

9. Bill Payment.

10. Recent Transaction History Requests.

The above services are the basic services provided by a bank. However, a more systematic and
thorough look at a proper banking operation providing such services could classify them in a
more opt and dignified manner as shown below:

Account Information

1. Mini-statements and checking of account history

2. Alerts on account activity or passing of set thresholds

3. Monitoring of term deposits

4. Access to loan statements

5. Access to card statements

6. Mutual funds / equity statements

7. Insurance policy management

8. Pension plan management

9. Status on cheque, stop payment on cheque

Payments & Transfers

1. Domestic and international fund transfers

2. Micro-payment handling

3. Mobile recharging

4. Commercial payment processing

5. Bill payment processing

6. Peer to Peer payments

Investments

1. Portfolio management services

2. Real-time stock quotes

3. Personalized alerts and notifications on security prices

Support

1. Status of requests for credit, including mortgage approval, and insurance coverage

2. Check (cheque) book and card requests

3. Exchange of data messages and email, including complaint submission and tracking

4. ATM location

Content Services

1. General information such as weather updates, news

2. Loyalty-related offers

3. Location-based services

One way to classify these services depending on the originator of a service session is the
'Push/Pull' nature. 'Push' is when the bank sends out information based upon an agreed set of
rules, for example your banks sends out an alert when your account balance goes below a
threshold level. 'Pull' is when the customer explicitly requests a service or information from the
bank, so a request for your last five transaction statement is a Pull based offering.

PUSH BASED PULL BASED

TRANSACTION BASED • Fund Transfer

• Bill Payment
• Other financial services like
share trading.

INQUIRY BASED • Credit/Debit Alerts. • Account Balance Inquiry

• Minimum Balance Alerts • Account Statement Inquiry.
• Bill Payment Alerts • Cheque Status Inquiry.
• Cheque Book Requests.
• Recent Transaction History.

The Value of mobile banking

Despite mobile phones being much more prevalent than PCs, there are more services available in
the marketplace for Internet commerce rather than mobile commerce or M-commerce. It is
interesting to note this phenomenon, as one would assume a marketer's interest in tapping a
device that is always with the customer. While one almost always carries a mobile phone, one
does not carry one's PC or laptop. The adoption of mobile technology is still slow while web
technology is being used by people to offer more convenient customer services. The same is true
for banking services. Banks need to look for multiple and alternate channels to engage the
customer by providing him/her with value added services. Banks also need to look for innovative
means of reducing transaction costs as the per- customer transactions have increased, as banks
are providing multiple services under one roof. Mobile technologies could come to the rescue of
financial services in such a scenario. SMSs based through a web interface could be one such
service. A web interface allows you to communicate instantly with individuals or groups via bulk
text messaging. One could send SMSs to one's groups through a mobile phone. Yet another way
of improving customer service could be to inform customers better. Credit card fraud is one such
area. A bank could, through the use of mobile technology, inform owners each time purchases
above a certain value have been made on their card. This way the owner is always informed
when their card is used, and how much money was taken for each transaction.

Similarly, the bank could remind customers of outstanding loan repayment dates, dates for the
payment of monthly installments or simply tell them that a bill has been presented and is up for
payment. The customers can then check their balance on the phone and authorise the required
amounts for payment.

The customers can also request for additional information. They can automatically view deposits
and withdrawals as they occur and also pre- schedule payments to be made or cheques to be
issued. Similarly, one could also request for services like stop cheque or issue of a chequebook
over one's mobile phone.

There a number of reasons that should persuade banks in favour of mobile phones. They are set
to become a crucial part of the total banking services experience for the customers. Also, they
have the potential to bring down costs for the bank itself. Through mobile messaging and other
such interfaces, banks provide value added services to the customer at marginal costs.

Such messages also bear the virtue of being targeted and personal making the services offered
more effective. They will also carry better results on account of better customer profiling.

Yet another benefit is the anywhere/anytime characteristics of mobile services. A mobile is

almost always with the customer. As such it can be used over a vast geographical area. The
customer does not have to visit the bank ATM or a branch to avail of the bank's services.
Research indicates that the number of footfalls at a bank's branch has fallen down drastically
after the installation of ATMs. As such with mobile services, a bank will need to hire even fewer
employees, as people will no longer need to visit bank branches apart from certain occasions.

With Indian telecom operators working on offering services like money transaction over a
mobile, it may soon be possible for a bank to offer phone based credit systems. This will make
credit cards redundant and also aid in checking credit card fraud apart from offering enhanced
customer convenience. The use of mobile technologies is thus a win-win proposition for both the
banks and the bank's customers. Such services are highly personal in nature and are effective
because of the same.

The banks add to this personalized communication through the process of automation. For
instance, if the customer asks for his account or card balance after conducting a transaction, the
installed software can send him an automated reply informing of the same. These automated
replies thus save the bank the need to hire additional employees for servicing customer needs.

Mobile Banking In India

"The account that travels with you". This is needed in today's fast business environment with
unending deadlines for fulfillment and loads of appointments to need and meetings to attend.
With mobile banking facilities, one can bank from anywhere, at anytime and in any condition or
anyhow. The system is either through SMS or through WAP.

Mobile Banking is the hottest area of development in the banking sector and is expected to
replace the credit/debit card system in future. In past two years, mobile banking users has
increased three times if we compare the use of either debit card or credit card. Moreover 85-90%
mobile users do not own credit cards.

Mobile banking uses the same infrastructure like the ATM solution. But it is extremely easy and
inexpensive to implement. It reduces the cost of operation for bankers in comparison to the use
of ATMs.

Using compact HTML and WAP technologies, the following operations can be conducted
through advanced mobile phones which can is further viewed on channels such as the Internet
via the Channel Manager.
* Bill payments

* Fund transfers

* Check balances

* Any many more which is also available in SMS Banking

In countries like Korea, two SIM Card is used in mobile phones. One for the telephonic purpose
and the other for banking. Bank account data is encrypted on a smart-card chip. About 3.3
million transactions were reported by Bank of Korea in 2004.

Indians receptive to mobile banking

One of every three Indians with a bank account is ready to switch to another bank on being
offered free mobile banking, states an Asia Pacific survey on mobile banking opportunities.

The survey found Indian users to be more aware of mobile banking than those in other countries.
The report titled, 'Mobile Opportunities for the Financial Sector' was conducted in five countries.

It was commissioned by Sybase 365, a subsidiary of Sybase, along with BDM Intelligence-a
custom market research firm in Asia. It surveyed 1,818 mobile users.

The survey states that 81 per cent of Indian respondents are aware they can check bank balance
on a mobile phone, while 49 per cent have used these services in the last three months-the
highest amongst the five countries surveyed in the region.

The survey found out that consumers in India (71 per cent ) are more aware when compared to
their counter parts in the other regions on the offerings their bank provides on mobile phones.
Almost a half of the Indian respondents checked their bank balance on their mobile phone and 54
per cent via the Internet.

The biggest concern among the Indian user while accessing details through mobile phones is
security. In line with this, they accounted for the largest percentage of survey respondents
expressing an interest in the ability to report potentially fraudulent transactions and to freeze
cards via their mobile phones (67 per cent for both). Indian respondents were also the most
willing to pay for these services. Kaustuv Ghosh, country manager Sybase 365 India said,
"Indian banks needed a comprehensive view of mobile service deployment and its benefit to
customer and operational expenditure alike. The survey reveals a growing culture of financial
awareness as customers are becoming increasingly vigilant when it comes to their money."

Advantages and Benefits of Mobile Banking

The biggest advantage that mobile banking offer to banks is that it drastically cuts down the costs
of providing service to the customers.

For example an average teller or phone transaction costs about Rs.2.36 each, whereas an
electronic transaction costs only about Rs.0.10 each. Additionally, this new channel gives the
bank ability to cross-sell up-sell their other complex banking products and services such as
vehicle loans, credit cards etc.

For service providers, Mobile banking offers the next surest way to achieve growth. Countries
like Korea where mobile penetration is nearing saturation; mobile banking is helping service
providers increase revenues from the now static subscriber base.

Also service providers are increasingly using the complexity of their supported mobile banking
services to attract new customers and retain old ones.

Mobile banking solutions offer a full range of benefits for financial institutions, ranging from
reduced customer support costs to improved customer satisfaction and retention as well as
revenue growth.

Customer ROI studies has shown that Mobile Aware can reduce the cost of simple query
resolutions or transactions by up to 95%. Added to that is a more satisfied customer base that is
no longer faced with the frustrations of dealing with IVR systems, or waiting in line for the next
available customer service representative.

Offering innovative, personalized mobile services can also assist banks to attract and retain
customers. Mobile banking offers financial institutions the opportunity to target and acquire new
customer segments that value mobility and real-time control of their finances, leading to
increased customer growth and revenue.
 CHAPTER – 2

COMPANY PROFILE
State Bank of India (SBI) is an Indian multinational, public sector banking and financial
services company. It is a government-owned corporation with its headquarters in Mumbai,
Maharashtra. On 1st April, 2017, State Bank of India, which is India's largest Bank merged with
five of its Associate Banks (State Bank of Bikaner & Jaipur, State Bank of Hyderabad, State
Bank of Mysore, State Bank of Patiala and State Bank of Travancore) and Bharatiya Mahila
Bank with itself. This is the first ever large scale consolidation in the Indian Banking Industry.
With the merger, State Bank of India will enter the league of top 50 global banks with a balance
sheet size of ₹33 trillion, 278,000 employees, 420 million customers, and more than 24,000
branches and 59,000 ATMs. SBI's market share will increase to 22 percent from 17 per cent.] It
has 198 offices in 37 countries; 301 correspondents in 72 countries.] The company is ranked
232nd on the Fortune Global 500list of the world's biggest corporations as of 2016.[7]

The bank traces its ancestry to British India, through the Imperial Bank of India, to the founding,
in 1806, of the Bank of Calcutta, making it the oldest commercial bank in the Indian
subcontinent. Bank of Madras merged into the other two "presidency banks" in British
India, Bank of Calcutta and Bank of Bombay, to form the Imperial Bank of India, which in turn
became the State Bank of India in 1955.[8] Government of India owned the Imperial Bank of
India in 1955, with Reserve Bank of India (India's Central Bank) taking a 60% stake, and
renamed it the State Bank of India. In 2008, the government took over the stake held by the
Reserve Bank of India.

State Bank of India has 20% market share in deposits and loans among Indian commercial
banks.[9]

Employees
State Bank Learning Centre

SBI is one of the largest employers in the country with 209,567 employees as on 31 March 2017,
out of which there were 23% female employees and 3,179 (1.5%) employees with disabilities.
On the same date, SBI had 37,875 Scheduled Castes (18%), 17,069 Scheduled Tribes (8.1%) and
39,709 Other Backward Classes (18.9%) employees. The percentage of Officers, Associates and
Sub-staff was 38.6%, 44.3% and 16.9% respectively on the same date. Around 13,000
employees have joined the Bank in FY 2016-17. Each employee contributed a net profit
of ₹511,000 (US$8,000) during FY 2016-17. SBI provides a range of banking products through
its network of branches in India and overseas, including products aimed at non-resident
Indians (NRIs). SBI has 14 regional hubs and 57 Zonal Offices that are located at important
cities throughout India.

Domestic presence

SBI has 18,354 branches in India.In the financial year 2012–13, its revenue was ₹2.005
trillion (US$31 billion), out of which domestic operations contributed to 95.35% of revenue.
Similarly, domestic operations contributed to 88.37% of total profits for the same financial year.

Under the Pradhan Mantri Jan Dhan Yojana of financial inclusion launched by Government in
August 2014, SBI held 11,300 camps and opened over 3 million accounts by September, which
included 2.1 million accounts in rural areas and 1.57 million accounts in urban areas.

International presence
The Israeli branch of the State Bank of India located in Ramat Gan

As of 2014–15, the bank had 191 overseas offices spread over 36 countries having the largest
presence in foreign markets among Indian banks.[16] It has branches in Singapore,
Moscow, Colombo, Dhaka, Frankfurt, Hong Kong, Tehran, Johannesburg, London, Los Angeles,
Male in the Maldives, Muscat, Dubai, New York, Osaka, Sydney, and Tokyo. It has offshore
banking units in the Bahamas and Bahrain, and representative offices in Myanmar, Bhutan
and Cape Town. SBI has 7 retail banking branches in Singapore.

The Canadian subsidiary SBI Canada Bank (previously State Bank of India (Canada)) also dates
to 1982. It has six branches, four in the Toronto area and two in the Vancouver area. SBI
operates several foreign subsidiaries or affiliates. In 1989, SBI established an offshore bank:
State Bank of India International (Mauritius) Ltd in Mauritius. SBI International (Mauritius) Ltd
amalgamated with The Indian Ocean International Bank, which has been doing retail banking
business in Mauritius since 1979 with the new name, SBI (Mauritius) Ltd. Today, SBI
(Mauritius) Ltd is having fully integrated 14 branches- 13 Retail Branches covering major cities
and town of Mauritius, including Rodrigues, and 1 Global Business Branch at Ebene in
Mauritius. Apart from Branch Banking, customers also have the convenience of 24x7 ATM
Banking at 18 ATMs across the country. Bank also has a 24x7 robust Internet Banking Channel
enabling customers to work from their homes and offices.

State Bank of India Branch at Jaffna, Sri Lanka

SBI Sri Lanka now has three branches located in Colombo, Kandy and Jaffna. The Jaffna branch
was opened on 9 September 2013. SBI Sri Lanka, the oldest bank in Sri Lanka, celebrated its
150th year in Sri Lanka on 1 July 2014.

State Bank of India (S.B.I.) Branch at Tsim Sha Tsui, Hong Kong

In 1982, the bank established a subsidiary, State Bank of India, which now has ten branches—
nine branches in the state of California and one in Washington, D.C. The 10th branch was
opened in Fremont, California on 28 March 2011. The other eight branches in California are
located in Los Angeles, Artesia, San Jose, Canoga Park, Fresno, San Diego, Tustin and
Bakersfield.

In Nigeria, SBI operates as INMB Bank. This bank began in 1981 as the Indo–Nigerian
Merchant Bank and received permission in 2002 to commence retail banking. It now has five
branches in Nigeria.

In Nepal, SBI owns 49% of SBI Nepal (State Bank in Nepal) share with Nepal Government
owing the rest and SBI NEPAL has branches throughout the country in each and every city as
banking has become the major part of daily life for Nepalese people. In Moscow, SBI owns 60%
of Commercial Bank of India, with Canara Bank owning the rest. In Indonesia, it owns 76% of
PT Bank Indo Monex. The State Bank of India already has a branch in Shanghai and plans to
open one in Tianjin.

In Kenya, State Bank of India owns 76% of Giro Commercial Bank, which it acquired for US$8
million in October 2005. In January 2016, SBI opened its first branch in Seoul, South Korea
following the continuous and significant increase in trade due to the Comprehensive Economic
Partnership Agreement signed between New Delhi and Seoul in 2009.

MOBILE BANKING

State Bank FreedoM - • Your Mobile Your Bank

Away from home, balance enquiries can be made and/or money sent to the loved ones or bills
can be paid anytime 24x7!!! That is what State Bank FreedoM offers -convenient, simple,
secure, anytime and anywhere banking.
 1. Mobile Banking Service over Application/ Wireless Application Protocol (WAP)
The service is available on java enabled /Android mobile phones (with or without GPRS) /i-
phones where the user is required to download the application on to the mobile handset. The
service can also be availed via WAP on all phones (java/non java) with GPRS connection.
The following functionalities are available:
 Funds transfer (within and outside the bank)
 Immediate Payment Services (IMPS)
 Enquiry services (Balance enquiry/ Mini statement)
 Cheque book request
 Demat Enquiry Service
 Bill Payment (Utility bills, credit cards, Insurance premium), Donations, Subscriptions
 Mobile /DTH Top up
 M Commerce (Merchant payments, SBI life insurance premium)
Business Rules
 All Current/ Savings Bank Account holders in P segment and Current accountholders in SME
segment are eligible.
 Transaction limit per customer per day is Rs.50,000/- with a calendar month limit of
Rs.2,50,000/-
 All customers can avail the Service irrespective of their telecom service provider.
 The Service is free of charge. SMS/GPRS cost will be borne by the customer.
2. Mobile Banking Service over SMS:
The service is available on all phones. You can send keywords as SMS to 9223440000. Click
here for the list of keywords. Ordinary SMS charges are applicable.
The following functionalities are available:
 Enquiry Services (Balance Enquiry/Mini Statement)
 Prepaid Mobile / MobiCash wallet Top up
 DTH Recharge
 IMPS Fund transfer – (Mobile number & MMID and Account Number & IFS Code)
 Change MPIN
 IMPS Merchant payments
 Business Rules
 All Current/ Savings Bank Account holders in P segment and Current accountholders in SME
segment are eligible.
 Transaction limit per customer per day is Rs.1,000/- with a calendar month limit of Rs.5,000/- .
However, customers desiring to transact up to Rs.5000/- per day or Rs25,000/- per month may
do so after obtaining an One Time Password (OTP)
 Service available over all telecom service providers.
 The Service is free of charge. SMS cost will be borne by the customer.
 As a precaution, Customers are requested to delete all the messages sent to the number
9223440000, once the response for their request has been received.
3. Mobile Banking Service over USSD (Unstructured Supplementary Service Data)
The service is available on all phones except CDMA phones. Downloading of application is not
required. Subscribers
The following functionalities are available:
 Enquiry Services (Balance Enquiry/Mini Statement)
 Mobile Top up
 Funds Transfer (within Bank)
Business Rules
 All Current/ Savings Bank Account holders in P segment and Current accountholders in SME
segment are eligible.
 Transaction limit per customer per day is Rs.1,000/- with a calendar month limit of Rs.5,000/-
 The Service is available for subscribers of select telecom operators only.
 The Service is free of charge. USSD session charges will be borne by the customer.
 The service is session based and requires a response from the user within a reasonable time.
 Cash Back Scheme for Promotion of Bill payments
 Download Mobile Banking Application
 Guide to using Bluetooth / data cable
 Registration Process
o Registration process for Application based service
o Registration process for WAP based service
o Registration process for USSD based service
o Registration process for SMS Banking
 Mobile Banking Services Registration Form
 Terms & Conditions of Mobile Banking Services
 User-Manual for MBS over Application & WAP
 User-Manual for MBS over USSD.
 FAQs on MBS over Application & WAP
 FAQs on MBS over USSD.
 FAQs on IMPS.
 State wise List of Billers
 Use Mobile Banking to Pay for Goods Purchased over Internet
 User-Manual for SMS Banking
 Key Words For SMS Banking
 Mobile Banking Service For SME Customers
 Downloading of applications for Windows Mobile
Security Tips:
 Maintain secrecy of MPIN
 Download authorised mobile banking software from www.sbi.co.in
 Ensure privacy when entering MPIN
 Lock mobile with password when not in use
 Logout from mobile banking application after the transaction is over
 Deregister from mobile banking service immediately, if mobile / SIM is lost
 Do not disclose user ID, MPIN, account/customer number etc. to others
 Do not click on links in emails/SMS to access your account
 State Bank Rewardz for Mobile Banking
MOBILE BANKING SERVICES

State Bank App Kart is a smartphone application containing all the mobile applications of State
Bank Group. This gives the users a seamless User Interface for installing, opening or upgrading
mobile applications of State Bank Group. It also ensures that customers download genuine State
Bank applications and not any spurious apps from respective app store.
 FEATURES

 List all SBI Apps

 Based on category(Retail/Corporate/Associate Banks) load SBI Apps
 Download Application
 Open Application
 Update Application
 App Description

FUNCTIONALITIES

List all SBI Apps It will list all the State Bank mobile applications

Category Selection Based on Category Selection (retail/corporate/associate banks) app will list the related
State Bank mobile applications

Download App will navigate into respective app store to download the selected app
Application

Open Application If SBI application installed in the device, “Open” button will be enabled for that app in the list,
on click of “Open”
Appkart application will launch the selected app,
on top of “Open” button Current App version will be displayed

Update Application If update available for the app “Update” button will be enabled in the list,
on click of “Update” App will navigate into
respective app store to update the selected app, on top of “Update” button
Update App version will be displayed

App Description Short description will be displayed for each app in the list, on click of it long description
will displayed in popup
 CHAPTER-3

REVIEW OF LITERATURE
The following section reviews prior literature on this topic and the comprehensive list of
references presented in this review paper will provide a framework for the young m-banking
literature to researchers interested in Mobile banking and help stimulate further interest.

According to Vinayagamoorthy and Sankar (2012), Mobile banking can perform various
functions like checking of account history, mini statement, access to card statements, SMS alert,
checking of balance etc. with the help of mobile phones. Banks are continuously trying to
increase their base by updating technology and by trying to reach every customer. Even the rural
customers can get easy access to Mobile banking whenever required.

During January 2008, ICICI bank started the first mobile services in India (Mr. V.
Vaidyanathan, 2008) and SMS alerts started in 2005-06 (Alpesh Patel, 2013). Almost 16.5per
cent of wireless mobile phone subscribers are using the Internet over their mobile phones.
(Alpesh Patel, 2013).

According to Chugh (2014), The RBI operative guidelines indicate that only those banks which
are licensed and supervised in India and have a physical presence in India will be permitted to
offer Mobile banking services. The following section contains a list of studies conducted in the
area of Mobile banking both worldwide and in India. The reviews are presented in a
chronological order.

REVIEW OF MOBILE BANKING STUDIES WORLDWIDE

According to Delvin (1995), customers literally have very limited time for activities like
visiting a bank and want a higher degree of accessibility and convenience.

According to Nsoui Saleh M. and Schaechter Andrea (2002), Even though customers benefit a
lot through electronic banking, there are lots of risks such a regulatory risk, reputational risk and
operational risk. Liao and Cheung (2002) found that individual expectations regarding
accuracy, security, network speed, user-friendliness, and user involvement and convenience were
the most important quality attributes in the perceived usefulness of Internet-based e-retail
banking.
Kolodinsky, Hogarth & Hilgert (2004) in their study suggested that relative advantage,
simplicity, compatibility, risk tolerance, observability and product involvement are associated
with adoption in Mobile banking.

A Research by Laforet and Li (2005) on consumer attitude and adoption of Mobile banking
showed there are several factors that affects and influences the consumer’s attitude towards
online banking. They are person’s demography, individual acceptance of new technology,
motivation and behavior towards different banking technologies. It has been found that prior
experience of computer and new technology also influences consumer’s attitudes toward online
banking.

According to Mavri and Ioannou (2006), the critical factors that affect an individual’s decision
to use or not to use online services are age, the difficulties of using the Internet, fear of changes
in banking sector due to technological development and lack of awareness and information about
products and services provided to customers through electronic delivery channels. Factors such
as cost of using the Internet and speed of transactions have little impact on an individual’s final
decision.

Amin, Hamid, Tanakinjal and Lada (2006) in their study analyzed the adoption usage of
Mobile banking of the students’ future willingness to use Mobile banking. 250 Questionnaires
were administered in two universities. Quota sampling technique was used to select the
respondents. The results indicate that attitude and expectation were the factors which are useful
to predict the willingness of the under graduate students to adopt Mobile banking in the future.

A study carried out in Newzealand by Gan, Clemes, Limsogunchai & Weng (2006) indicates
that perceived risk factors, the service quality, user input factors, education and employment
were the determinants of consumers’ choice of electronic banking and non-electronic banking
channels. According to Benamati and Serva (2007), the electronic banking adoption forces
consumers to consider concerns about password integrity, privacy, data encryption, hacking and
the protection of personal information.

According to Clark (2008), mobile phone as a channel is capable of giving customers more low
cost service options such as access to banking information, funds and making payments.
Comninos (2008) recommended that consumers will only transact electronically (Online/Mobile
banking) if there is security and convenience.

Yang A. S. (2009) in his empirical study investigated the factors associated with adopting and
resisting Mobile banking technologies in Taiwan. Three hundred (300) students were selected for
the purpose of the study using the stratified sampling technique. The primary factors associated
with resistance included concerns over system configuration security and basic fees for Mobile
banking web connections. The research found out that security and cost of connection to the
internet was a hindrance to the adoption of Mobile banking facilities among students in Taiwan.

Riquelme and Rios (2010) examined the factors that could influence the adoption of Mobile
banking usage among the current users of internet banking facilities using gender as a variable.
Respondents were selected using purposive sampling technique and analysis was done using the
regression model. Findings suggest that social risk, social influence and perceived usefulness are
the most important factors that influence consumer intention to use and adopt Mobile banking
facilities among male and the influence on each factors also differs among male users.

Lin H. F. (2011) in his research model examined the effect of knowledge based trust and
innovation attributes on behavioral intention and attitude about continuing to use or adopting
Mobile banking across repeat and potential customers. He conducted a survey on 368
participants out of which 191 were repeat customers and 177 were potential customers.
Structural equation modeling approach was used to investigate the research model and the
findings indicate that ease of use, perceived relative advantage, compatibility, integrity and
competence significantly influences attitude and this in turn leads to behavioral intention to
adopt (or continue-to-use) Mobile banking. Further, by using multi-group analysis with t-
statistics, the results found that the experiences of attitude toward Mobile banking differ between
potential and repeat customers.

Daud, Norzaidi, Ezalin and Maria (2011) in their study examined the factors that influence the
adoption of Mobile banking in Malaysia using extended Technology Acceptance Model (TAM).
The proposed model was empirically evaluated using the survey technique and data was
collected from 300 banking users with reference to their perceptions of Mobile banking. The
findings suggest that this model can predict consumer intention to use Mobile banking.
Specifically, perceived credibility, perceived usefulness and awareness about Mobile banking
have significant effect on user's attitude thus influence the intention toward Mobile banking.

Rangan, V. Kasturi and Lee, Katharine L., (2012) in their paper have described a case in
detail the workings of two Mobile banking operators in M-PESA in Kenya and WIZZIT in South
Africa. It explores the market for the unbanked and raises questions regarding the portability of
the model to other countries and settings.

Cudjoe, Anim, and Nyanyofio (2015) in their study examined the determinants of Mobile
banking adoption among bank customers in Ghana, with specific emphasis on Access Bank. He
investigated 150 customers of access bank to find out the determinants of Mobile banking
adoption in the Ghanaian banking industry. The results indicate that each factor measured had
some level of significant effect on consumer intention to adopt and use Mobile banking services
provided by Access Bank. Further perceived credibility and perceived financial cost were the
major factors that formed a negative behavioral pattern towards Mobile banking of Ghanaians. It
also found that perceived financial cost and perceived credibility have a stronger effect on
consumer intention to use and adopt Mobile banking service than perceived ease of use and
perceived usefulness.

REVIEW OF MOBILE BANKING STUDIES IN INDIA

Roger’s (1995) innovation diffusion model which has used attributes like compatibility,
complexity, relative advantage has been used in their study. The findings indicate that
compatibility, relative advantage, ease of use has a significant effect on attitude to adopt Mobile
banking services. An important suggestion made by them is to reduce complexity to increase
mobile adopters. The customers will have a positive belief about the relative advantage of
Mobile banking only if they have a favourable attitude towards adopting Mobile banking
services. According to Rao & Prathima (2003), ` Indian banks offering m-banking services still
have a long way to go but there is huge potential of Mobile banking in India.

Benamati, J.S. and Serva, M.A. (2007) in their study have suggested that banks can study the
profile of the customers to understand and identify who are the real customers. This will aid in
understanding the factors that influence their purchasing behavior and the challenges faced by
them during online transactions. Some of the determinants of consumer adoption of Mobile
banking are individual acceptance of new innovation or technology, motivation, demographic
profile, issues of hacking, the integrity of the password been used, data encryption and personal
protection of information. They have also said that previous experience in related technology is
another important factor that influences customers in developed countries.

According to Chaipoopirutana, Combs, Chatchawanwan and Vij (2009); Lin (2010) there
are many challenges faced by the Indian banks like increasing the Mobile banking user database
like Handset operability, Security, Scalability, Application Distribution etc. This innovative
technology is very complex to accept and adopt and researches carried out indicate that these
services should be made user friendly as the Indian population is not very well versed with this
upcoming technology. They have also claimed that embracing of Mobile banking is ‘complex’ as
it has the negative relation with intention to adopt Mobile banking.

Sharma and Singh (2009) in their study have found that Indian Mobile banking users are
specifically more concerned about security issues like financial frauds, misuse of account ,ease
of use, difficulty in recollecting the codes and passwords for different transactions, software
installations and updates.

Further Vyas (2009) predicts great Mobile banking potential in Indian banks as Indian banks
will aim to target online banking users without regular access to internet but are very likely to
own mobile devices. This report of Vital Analytics recommended huge potential of Mobile
banking in India, as the study found that checking account balance is the most frequently cited
reason by urban Indian customers’ for using Mobile banking. This report has found that 40
million Urban Indians used their mobile phones to access their bank account balances followed
by accessing last three transactions.

Financial cost is an important attribute according to Singh, Srivastava, and Srivastav (2010) as
it has a negative effect on the intention to use Mobile banking. According to Astha (2010),
Mobile banking is a new invention for untapped demand of the customers especially for the
economically weaker section. They have suggested for Mobile banking regulation to avoid risks
as regulation will reduce the risk level. Mobile banking is a part of new banking dimension i.e.
branchless banking to make any bank digital which has great potential to extend the distribution
of financial services to people who are not reached by traditional bank branch network.
Sadi and Noordin (2011) have studied cost as an attribute and they found out that perceived cost
has negative relation with the intention to adopt Mobile banking services. This study
recommends that pricing and creative promotional strategies, including cost reduction should be
executed to attract more price-conscious customers.

Sudhakar A. M., Suryanarayana, (2011) in their study have said that common man's life has
gone through a sea change due to mobile penetration which has in turn put a major thrust on
Banking service sector of India. The status of Mobile banking in India and other countries with
emphasis on data standards and security and its implication on banking sector has been discussed
in detail. Further they have also said that a revolutionary approach to banking transactions is
witnessed with the launch of Mobile banking services that has created a strong connectivity
between the banks and the customers in terms of minimal time and transaction cost.

V. Raja, Joe A. (2012) in their paper explored the various levels of internet banking services of
banks using the secondary data. A comparison is made among the traditional banking systems
with net banking. This paper has listed out the different security measures adopted by different
banks.

Samudra and Phadtare (2012) in their study used the UTUAT model to examine the adoption
of Mobile banking services in Pune city and have suggested that Mobile banking services
should be promoted to middle level managers whose salaries are in the range of 1-6 lacs and the
age group is 25-30. The reason cited in their study is; this is the most active age groups of 3G
mobile. They have used five factors of UTUAT model to study the adoption of Mobile banking
such as Effort expectancy, Performance expectancy, facilitating conditions, Social Influence, and
Voluntariness. Facilitating conditions is also another major factor that influences Mbanking
adoption in this study.

Prerna and Preeti (2012) in their study explored the barriers in adoption of Mobile banking
services in Indore city. They further focused on preferred services by the Mobile banking
customers and influence of demographic variable on Mobile banking service adoption. The study
adopted cross section descriptive design and data collected was subject to frequency analysis,
Product moment correlation and One way Kolmogorov-Smirnov test. Findings suggest that the
major barrier in adopting Mobile banking services is customers’ security concern. As far as
preferred services are concerned checking the account balance is the most used service.

Goyal, Pandey and Batra (2012) in their study evaluated perceptions and opinions of urban
Mobile banking users. A cross sectional descriptive design was adopted with ad-hoc quota
sampling for this purpose and sample comprised of 50 Mobile banking users and 50 non-users of
Ghaziabad city, India. Findings indicate that ‘mobile handset operability’ is an important issue in
Mobile banking, due to availability of various handset models (supporting different type of
technology) in the market.

According to Kuchara Varsha (2012) Convenience, security, easy to maintain banking

transaction, curiosity, better rate and low service charges are major factors responsible for
internet banking. The study found out that 50 per cent of respondents agreed that internet
banking is convenient and is definitely a flexible way of banking and has various transaction
related benefits.

Devadevan (2013), in his study identifies the mindset and analyses the security issues in Mobile
banking among the banking customers in India. Primary data was collected from 65 respondents
using online questionnaire in this study. Secondary data was also used from the website of
Telecom Regulatory Authority of India (TRAI). The findings indicate that most of the
respondents are using online banking facility from their respective banks. However around 25per
cent of customers are using Mobile banking and remaining 75per cent are not. The majority of
the online banking users are comfortable without using the Mobile banking facility and they are
also interested to test the facility. The rapid technology development in Mobile technology like
2G, 3G, and 4G has become major challenges for banks and it was found that customers also feel
there are chances of misuse in Mobile banking due to mobile handset theft.

Nitin, Vikas and Nancy (2014) explored the factors that influence the adoption behaviour of
Mobile banking services by Indian consumers. This study also discusses the various steps that
Mobile banking providers should take to increase their Mobile banking services user’s database.
The study found that trust, perceived ease of use and perceived cost are some of the important
factors that influence the adoption behavior of Mobile banking services by Indian consumers.
The study further suggested that banks should create awareness about the Mobile banking
services through Advertisements, Pamphlets, Demo Fares, and Campaigning etc. to create
interest among them. The study also found that customers will adopt Mobile banking if they
understand and find it easy to use.

Singh Shamser (2014) examined the adoption and impact of Mobile banking on customers of
different banks located in Delhi. A survey opinion of 200 customers was conducted. ANOVA
and Factor Analysis have been used and there were five factors identified; Security/Privacy,
Reliability, Efficiency, and Responsiveness on the basis of understanding of customer’s
perception regarding Mobile banking. Results indicate that the demographic factors can have
significant impact on the customer perception.
 CHAPTER-4

RESEARCH METHODOLOGY
OBJECTIVES

 To study the conceptual model of mobile banking in SBI bank.

 To study mobile banking services.

 To study the solution for mobile banking done by SBI bank.

 To study mobile banking through the customers.

 To study brief global scenario of the current state of mobile banking.

 To study the advantages and disadvantages of mobile banking.

 To study the barriers in using Mobile banking services.

 To study the perceived utility of various Mobile banking services.

 To study the influence of demographic variables on Mobile banking usage.

 To study that why customers are not aware about these mobile banking facilities.
SCOPE OF THE STUDY

 The study of acceptance and satisfaction of various mobile Banking services in other
regions of India would give better picture of mobile Banking adoption at National level.
 A study can also be undertaken on mobile Banking adoption among public sector,
private sector and foreign banks offering mobile Banking services in India through SBI
bank.
 Mobile compatibility

 Mindset about Mobile Banking acceptance

 Comfort level with existing system

 Availability of Facilities

 Security issues

 Willingness to adopt mobile banking service

 The study of acceptance and satisfaction of various mobile Banking services in other
regions of India would give better picture of mobile Banking adoption at National level.
 A study can also be undertaken on mobile Banking adoption among public sector,
private sector and foreign banks offering mobile Banking services in India through SBI
bank.
Research Methodology

Research methodology is a methodology for collecting all sorts of information & data pertaining
to the subject in question. The objective is to examine all the issues involved & conduct
situational analysis. The methodology includes the overall research design, sampling procedure
& fieldwork done & finally the analysis procedure. The methodology used in the study
consistent of sample survey using both primary & secondary data. The primary data has been
collected with the help of questionnaire as well as personal observation book, magazine; journals
have been referred for secondary data. The questionnaire has been drafted & presented by the
researcher himself.

 Sample Size:

Sample of 100 people was taken into study, and their data was collected.

 Sampling Technique:
To study the Project, a Simple Sampling technique is used.

 Data Collection:
Collection of data is done by Secondary Data & through Questionnaire

i.e., Primary data was collected through Questionnaire.

 Data Analysis:

After data collection, I analyzed customer’s views, ideas and opinions related to the mobile
banking .

 Data Interpretation:

Interpretation of data is done by using statistical tool i.e Bar graphs, and also using quantitative
techniques (by using these techniques) accurate information is obtained.
  Classification & tabulation of data:

The data thus collected were classified according to the categories, counting sheets & the
summary tables were prepared. The resultant tables were one dimensional, two dimensional.

COLLECTION OF DATA:-

 The data can be collected from primary and secondary sources. The basic
premises of my study is primary data .Convenient sample that was
representative of the target market was chosen, the respondents were
contacted personally and the instrument used for collecting data is
questionnaire.

Statistical Data can be classified into two categories:-

 1) Primary Sources
 2) Secondary Sources

Primary Data:-

 Primary data is collected by using the questionnaire method.

Secondary Data:-

 The Main sources of Secondary data are combination of information from

the internet and books of the related topic.
LIMITATIONS

 Mobile banking users are at risk of receiving fake and scams.

 The loss of a person’s mobile devise often means that criminals can gain access to your
mobile banking PIN and other sensitive information.

 Modern mobile devices like Smart-phone and tablets are better suited for mobile banking
than old models of mobile phones and devices.

 Regular users of mobile banking over time can accumulate significant charges from their
banks.
 CHAPTER-5

DATA ANALYSIS AND INTERPRETATION

 1. Gender of Respondents:

TABLE 1 : Gender of Respondents.

MALE 62%

FEMALE 38%

FIGURE 1: Gender of Respondents

70%

60%

50%

40%

Series1
30%

20%

10%

0%
male female

INTERPRETATION –

Out of the total respondents (100 respondents), 38% were female and 62% were male because
males are more used to mobile services as they are more into the working field than females.This
is shown in Table 1 and Figure 1.
 2. Age of respondents:

TABLE 2: Age of Respondents.

Below 30yrs 38%

30 – 40yrs 24%

40 – 50yrs 22%

Above 50yrs 16%

FIGURE 2: Age of Respondents

Below 30yrs
16%

38% 30 – 40yrs

22%
40 – 50yrs

24% Above 50yrs

INTERPRETATION-

Out of the 100 respondents, 38% were below the age of 30, 24% were between 30-40 years,
22% were between 40-50 years and 16% were above 40 years because below the age of 30 use
more mobile facilities as mobile services are more easier to use. This is shown in Table 2 and
Figure 2.
 3. Educational Qualification of Respondents:

TABLE 3: Educational Qualification of Respondents

High School 11%

Higher Secondary School 25%

Illiterate 0%

Graduate and Above 64%

FIGURE 3: Educational Qualification of Respondents.

Chart Title

0.8
0.6
0.4 64%
0.2 25%
11% 0%
0
1 2 3 4 5 6 7 8

Series1 Series2

INTERPRETATION

Out of the total respondents, 11% studied High School, 25% studied Higher Secondary School,
0% Illiterate and 64% had graduated from college/university. This is shown in Table 4 and
Figure 4.
4. Income of Respondents:

TABLE 4: Income of Respondents

Less than 15,000 35%

15,000 – 20,000 14%

20,000 – 30,000 26%

Above 30,000 25%

FIGURE4: Income of Respondents.

40% 35%
35%
30% 26% 25%
25%
20%
14%
15%
10%
5%
0%
Less than 15,000 – 20,000 – Above
15,000 20,000 30,000 30,000

Series1

INTERPRETATION

Out of the total respondents, 35% income was less than Rs 15, 000, 14% income was
between Rs 15, 000 – 20, 000, 26% income was between Rs 20, 000 – 30, 000 and 25%
income was above Rs 30, 000. This is shown in Table 5 and Figure 5.
5 . Occupation of Respondents:
TABLE : 5 occupations of respondents

Business 23%

Self Employed 24%

Employee 26%

Private Company 10%

Student 17%

FIGURE 5: Occupations of respondents

0.3
26%
24%
0.25 23%

0.2 17%

0.15
10%
0.1

0.05

0
1 2 3 4 5 6 7 8 9 10

INTERPRETATION

Out of the total respondents, 23% were Business Workers, 24% Self Employed, 26%
Government Employee, 10% working in Private Companies and 17% Student. This is shown in
Table 6 and Figure.
6. Most important reasons for choosing SBI bank.

TABLE – 6 Reasons for choosing SBI bank

Traditional account 17%

Brand name 10%
Service 24%
ATM 10%
Net banking 6%
Location 30%
Others 3%

FIGURE 6 : Reasons for choosing SBI bank

3%
17%
Traditional account
Brand name
30%
Service
10%
ATM
Net banking
Location
6%
24% Others
10%

INTERPRETATION

When the question was asked what is the most important reason for choosing SBI bank then
30% said because the location is near by them , 24% said because of the services . 17% choose
because of the traditional account , 10% choose because of the brand name . 10% choose
because of ATM , 6% for net banking, 3% for any other reason.
7. Barriers of respondents

TABLE 7 : Barriers of respondents

Security 21%

Insufficient Operating Guidance 17%

Network Problems 40%

Cost of Transaction 13%

Difficulty in handling mobile phone 9%

FIGURE 7 : Barriers of respondents

BARRIERS OF RESPONENTS
0.5
PERCENTAGE

0.4
0.3
0.2
0.1
0
Insufficient Operating Guidance Difficulty in handling mobile phone

INTERPRETATION

Out of the total respondents, 17% have problems in Insufficient Operating Guidance, 40% have
problems in Network Problems, 13% have problems in Cost of Transaction and 9% have
problems in Difficulty in Handling Mobile Phone. This is shown in Table 8 and Figure 8.
 8. PERCEIVED UTILITY OF RESPONDENTS

TABLE – 8 Perceived utility of respondents

To check balance 28
To review recent transaction 7
Alert on account activity 10
For funds Transfer 19
For mobile Recharging 15
Access to loan statements 2
Managing loan a/c 1
Online shopping 12
For payments of bills 6

FIGURE 8 : Perceived utility of respondents

Respondents
28
30
25 19
20 15
15 10 12
10 7 6
5 2 1
0

INTERPRETATION

Out of the total respondents, 28% used mobile banking to check balance, 7% used it to
review recent transaction, 10% used it for alert on account activity, 19% used it for funds
transferring, 15% used it for mobile recharging, 2% used it for accessing to loan statements,
1% used it for managing loan account, 12% used it for online shopping and 6% used it for
payments of bills. This is shown in Table 9 and Figure 9.
 9. SBI mobile banking facilities are liked by how many respondents.
TABLE 9 - Mobile banking facilities

Yes 26%

No 74%

FIGURE 9 : Mobile banking facilities shared

26%

Yes
No

74%

INTERPRETATION

From graph no. 1 we can revealed that private banks has highest share in terms of mobile
banking. Private sector banks accounts 71 per cent share followed by Public sector banks (26%)
and foreign banks (3%). This shows that private sector banks are taking various initiatives to
increase the number of transactions.
 10. .Preferred banking mode

TABLE 10 - preferred banking mode

Smart phones apps

48
Mobile banking websites
43
SMS
9

FIGURE 10: Preferred banking mode

PERFREED BANKING MODE

Smart phones apps
9%
Mobile banking websites
48%
43% SMS

INTERPRETATION

This graph shows the various banking mode which were preferred by customers. The
smartphone apps were mainly used by various customers which accounts to 64 per cent. Mobile
banking websites and SMS/ text messaging accounts for 57 per cent and 12 per cent. Consumers
tend to prefer smartphone apps over mobile banking Web sites to access their accounts and a
small percentage of consumers prefer text banking.
 11 . Responses on the services cost charges

TABLE 11 - responses on the services cost charges

Percentage
Affordable 33
Costly 19
Normal 35
Not affordable 13

FIGURE 11 : responses on the services

40

35

30

25

20
33 35
15

10 19
13
5

0
Affordable Costly Normal Not affordable

INTERPRETATION

Respondents who were aware of the service cost charges,33% respondents seems to afford the
cost,19% the service was costly for them, 35% could find the service cost just normal while 13%
could not afford the service cost charges most people have never been able to go into a bank
because of the minimum deposits to be so high. It can be the first step into the formal financial
system for low-income mobile phone operators to connect their payment customers to
Opportunity.
 12. Respondents view on how often they are using the mobile services

TABLE 12 - Often use mobile services

every after 3 days

13
Everyday
24
every month
41
every week
22

FIGURE 12: Use of mobile services

60
RESPONENTS

40
20
0
every after 3 daysEveryday every month every week

INTERPRETATION

From the field, 13% of respondents were using the service in every after 3 days,24% almost
every day they were using their phone to acquire financial services via their mobile phone,41%
were using the service every month, 22% every week. The citizen, 2011 asserts that, mobile
money service providers have taken steps to make these services more accessible and convenient
where customers could now use to access financial services.
 13. Respondents views on the use of the technology

Table 13 - views on the use of technology

easy to use 20

Simple 15

Simple ,easy to use 42

Simple ,easy to use ,need for training 12

usage

Simple ,need for usage training 11

FIGURE 13 – views on use of technology

Simple ,need
for usage
Simple ,easy to training
use ,need for 11% easy to use
training usage 20%
12%
Simple
Simple ,easy to 15%
use
42%

INTERPRETATION

Among those who were registered with M-Banking services,20% could find the technology just
easy to use,15% it was simple, 42% it was simple and easy to use, on the other hand another 12%
were simple, easy to use although needed for training usage while11% was just simple but still
need for usage training. The main reason cited for not using m-money was a lack of knowledge
about how to use it. At the same time, respondents expressed interest in learning more about it.
 14. Mobile banking is more convenient or not ?
Table 14- Mobile banking convenient or not

Good 50%
Satisfied 30%
Poor 5%
Not satisfied 15%

FIGURE 14 – Mobile banking convenience

15%

5% Good
Satisfied
50%
Poor
Not satisfied
30%

INTERPRETATION

50% of customers are finding mobile banking more convenient , 30% are satisfied , 5% are
finding it poor and 15% are not satisfied from the mobile banking facilities . those who are
finding it good they know how to use it because its their necessity to be in the cashless economy
because nowadays everyone finding it more easier .
 15. Reasons for not using mobile banking facilities ?

TABLE 15 – not using mobile banking facilities

Not aware about the services 30%

Not secure 50%

Other reasons 20%

FIGURE 15 – Reasons for not using mobile banking

20%
30%

50%

INTERPRETATION

30% of the customers are not aware about the mobile banking facilities , 50% don’t feel it
secure to use the mobile banking facilities and 20% have their other reasons not to use these
mobile banking facilities.
 Chapter -6

FINDINGS AND RECOMMENDATIONS

FINDINGS:

1. Security: With regard to security dimension, State bank of India, which reveals that their
opinion on security aspect is above average level. With the security concern these two categories
respondents are happy with their bank provisions.

2. Usability: The average opinion score of State bank of India on usability dimension is more
or less unanimous.

3. Services flexibility: The student category customers and private employees are more
optimistic in the aspect of service flexibility followed by government employees and self
employees and the difference in these scores are statistically significant.

4. Services support: The ANOVA test value and its corresponding significant Pvalue reveals
that there is a significant difference in the opinion of the respondents on services support among
the mentioned age categories. The age category in between thirty five to forty years opined more
optimistically than the remaining categories.

5. Internet Banking: The average opinion score of State Bank of India is statistically greater
than the remaining banks at five percent level, i.e., the employees who are working in this bank
opined more positively than the remaining banks on the dimension of Internet or Telephone
Bank.

6. Mobile Banking: For the dimension Mobile Banking, the employees of State Bank of India
are more satisfied working in the State Bank Of India .

7. Affordable : The mobile banking which are provided by State Bank Of India are more
affordable than the others bank.
RECOMMENDATIONS:

In the backdrop of above reviewed literature, it is evident that Mobile banking is evolving
rapidly in India and worldwide and is a new era in banking, in which banks are spending
considerable amount of money to make it available to their users. The review has outlined
diverse findings of studies and has clearly reflected the mindset of the customers which can be
used to understand the customers’ expectations and customize services accordingly.

From the review it can be observed that the studies on Mobile banking have failed to address the
use of m-banking applications via smart phones or tablets and its drawback. So studies can be
carried out in this direction. Moreover the customers ‘feelings, complaints and the feedback have
to be considered by banks before they take decisions on services. In addition to this, Mobile
banking service provider should consciously take measures to increase the awareness about the
Mobile banking services and reach out to remote villages with local language services and
customer friendly banking software to reduce complexity.

Banks can also aggressively advertise their internet banking services to the consumers to help
them relate it to their values, beliefs and experiences of the adopters. These measures will
increase Mobile banking penetration which will further reduce the cost of banks. The process of
M-PIN generation need to be simplified to make transactions simplified and reduce barriers to
entry. The Mobile apps that allow the holders of crypto currencies to perform transactions have
been poorly understood by the public. So the banks should educate the customers in this
direction as they may prove to be the true future of Mobile banking.

It is clearly evident from the reviews that there are numerous challenges but to overcome these
challenges a multi-pronged approach with concentrated involvement of all stakeholders is
necessary. By harnessing the potential of mobile technology, large sections of the untapped
segment can be empowered to become financially inclusive through the use of Mobile banking
services. Going forward, mobile phone will in due course grow into a full-fledged virtual bank
branch and ATM and with a matured ecosystem and an effective agent network transform the
landscape of banking services in India.
 Chapter 7

CONCLUSION
CONCLUSION

With the rapid development of transport and communication, people and services are coming
together as if they were just around the corner. If this is the case for many services, then why
should the banking industry lag behind?

Internet banking, phone banking, e- banking and now mobile banking all enable the bank to be
better connected with the customer and vice versa. A customer who is provided with a variety of
additional services feels appreciated and is more likely to be loyal to that bank, which is always a
good sign for a bank. In the end mobile banking not only helps a bank to reduce costs but also
helps it to retain its valuable customers. And as far as customers are concerned, this facility
enables the customer to bank anywhere, at anytime and in any condition, definitely a boon if a
customer is stuck in the middle of nowhere and requires banking services as soon as possible.
Thus mobile banking helps both, the customer as well as the bank, to lighten the burden of
today’s world and to save time, money and energy which is greatly required and appreciated. In a
competitive world where everyone is waiting to out do the other, a helping hand, in whatever
forms and from whatever source, is definitely god sent and should not go unrecognized.

Mobile technology is transforming the banking industry in worldwide by providing convenience

to banking customers and offering new services to the unbanked customers in emerging market
of India. M-banking is rapidly growing in finance sector for the transactions and payment
settlement. For this all stakeholders like Regulators, Govt , telecom service providers and
mobile device manufactures need to make efforts so that penetration of mobile banking reaches
from high-end to low- end users and from metros to the middle towns and rural areas. The
limitation of this study is that it focused only on the latest trends of m-banking transactions and
apps only, not considered the other m-banking modes like SMS, m-wallet, m-pesa. Some authors
also described the issue of security on m-banking. The regulatory body RBI now taking more
and more innovative steps and provide various guidelines to banks for protection of customer
account security on mobile website and applications. Inclusion of non-banking population in
financial main stream will benefit all. There is also need to generate awareness about the mobile
banking so that more and more people use it for their benefit
 CHAPTER – 8

BIBLIOGRAPHY
REFERENCES

Alpesh Patel. (2013). M-Banking and M-Payments: The Next Frontier. Delhi: Deloitte

Devadevan. (2013). Mobile banking in India – Issues and Challenges. International Journal of
Emerging Technology and Advanced Engineering, Volume 3, Issue 6.

Benbasat, I.; Barki, H, (2007): Journal of the Association of Information Systems

Sanaz Zarrin Kafsh (2015), “Developing Consumer Adoption Model on Mobile Banking in
Canada”, Ottawa, Canada.

URL’S

www.google.co.in

www.slideshare.com

www.wikipedia.com

www.sbi.co.in

http://timesofindia.indiatimes.com/business/india-business/SBI-has-50-share-imobile-
banking/articleshow/42477088.cms

MAGAZINES / NEWSPAPERS

The business world

The financial express

The economic times

 CHAPTER – 9

QUESTIONNAIRE
1. Name:

2. Name of the Bank:

3. Gender:

 Male
 Female

4. Age:

 15-25
 26 - 30 years
 31 – 40 years
 41 – 50 years
 51 – 60 years
 above 60 years

5. Education:

 Illiterate
 High school
 Intermediate
 Degree
 Master’s Degree
 Others (please specify)_______________

6. Profession:

 Govt Employee
 Private Employee
 Business
 Self-Employee
 Student
 House Wife
  Others (please specify) ____________

7. Monthly Income:

 Up to 10,000
 10,000- 15,000
 15,001-20,000
 20,001-25,000
 25,001-30,000
 30,001 – And above

8. Status of usage:

 Less than 1 year

 1 – 5 years
 5 – 10 years
 10 – 15 yeas
 above 15 years

9. Which factor promotes you to use the new techniques in banking? (Tick all that are
applicable)

 Reduced time of transactions

 Cost effectiveness
 Ease of use
 Technology savvy

10. Do you think mobile banking would make banking more convenient for you?

 Very
 Somewhat
 Not at all
 Not secure

11. Do you perceive mobile banking as secure?

  Very
 Somewhat
 Not at all
 Not secure

12. Reason for using Mobile Banking services offered by Bank?

 Services are safe

 Mobile Banking provides anywhere bill payment Options
 Mobile Banking Provides Stop Payment for Cheques
 Mobile Banking Money Transfer Facility

13. Reasons for Not Using Mobile Banking Services offered by Bank?

 Not Aware about the services

 Don’t thinks Mobile Banking Services are secure
 Other reasons

14. What do you think about the Balance Enquiry Facility Provided by Mobile Banking
System?

 Good
 Average
 Poor

15. What do you think about the bill payment services offered by Bank through Mobile
Banking System?

 Good
 Average
 Poor