Discovering the adoption factors of internet banking usage among banking customers in Kota Kinabalu / Husinah Basari

Internet is a powerful tool used in various field. In banking sector, Internet is use as a medium of interaction between banks and their customers. The usage of Internet is not stop there. On 2000, the banking sector in Malaysia revolutionized with the introduction of a new channel which is online banking or also known as Internet banking. Internet banking is one of the technologies which are getting recognition around the globe. It has grown tremendously over the past several years and will continue to grow as financial institutions continue to strive to allow customers to complete fund transfers, pay bills, access account information or manage their account online. This innovation seems to be accepted by many banking customers around the world despite some disadvantage such as security, trust and fraud. For Malaysia market itself, the Internet bankers shown to be increased to 8.7 millions on second quarter of 2010. A total of 115 respondents are involved in this study. And the problems analyzed include factors influencing the adoption of Internet banking as suggested by previous researchers such as TAM, DOI and privacy and security. As well as demographic profile, users' attitude and behaviors towards Internet and Internet banking. The findings based on three main different independent variables; security and privacy, Technology Acceptance Model which consists of perceived usefulness and perceived ease of use and Diffusion of Innovation characteristics. It showed that all the variables are influenced consumers' Internet banking adoption except for complexity, trialability, security and privacy factors. The recommendations from researcher also presented based on the findings in this research.