A critical review of digital innovations challenges on customer satisfaction among financial institutions in Zambia: a case study of Stanbic bank Zambia, Lusaka.

Abstract

The main goal of this study was to analyse the challenges of Stanbic Bank Zambia’s digital innovation services on customer satisfaction among the bank’s customers. The study sampled 50 customers and collected data using questionnaires. A descriptive survey design was used in the study. Quantitative data collected was coded and fed into a computer statistical software SPSS to run the analyses. Descriptive data analysis entailed counts, percentages, cross-tabulations, and measures of central tendencies. Correlation analysis was used to check the relationship between dependent and independent variables. Qualitative data from the research schedule entailed the use of thematic analysis techniques. The results were interpreted and data were presented in tables for uniformity and ease of interpretation. The study found that the customers at Stanbic Bank, Zambia were indifferent about the system timeouts on digital banking platforms provided by the bank causes disruptions in service provision. The majority of the males influenced this response as the majority of females disagreed with the assertion that system timeouts cause any service disruptions. The researcher also found that network problem when reaching the digital banking platforms was a major challenge in digital banking systems especially among male customers, and this led to customer frustration and dissatisfaction. Among females, the length of time it took for reversals to be processed caused frustration and customer dissatisfaction. These challenges led many customers to feel; online banking platforms are unreliable. The study concluded that Banks need to use data and behavioural analytics to improve and iterate the customer acquisition process continuously. By identifying the friction points, where activities stall and errors occur, banks can make incremental changes to improve over time. The study recommends that to have faster processes in digital banking, there is a need by banks to invest more in robust reliable systems to reduce incidents of failed transactions and transactional errors in ATMs, Mobile banking, and POS terminals. Banks should further automate most services like loan recovery, loan disbursement and introduce queue management systems.