Browse > Article
http://dx.doi.org/10.13106/jafeb.2020.vol7.no11.789

The Effect of Covid-19 Pandemic on the Adoption of Internet Banking in Indonesia: Islamic Bank and Conventional Bank  

SUDARSONO, Heri (Department of Economics, Faculty of Business and Economics, Universitas Islam Indonesia)
NUGROHOWATI, Rindang Nuri Isnaini (Department of Economics, Faculty of Business and Economics, Universitas Islam Indonesia)
TUMEWANG, Yunice Karina (Department of Accounting, Faculty of Business and Economics, Universitas Islam Indonesia)
Publication Information
The Journal of Asian Finance, Economics and Business / v.7, no.11, 2020 , pp. 789-800 More about this Journal
Abstract
This study aims to examine the effect of perceived usefulness (PU), perceived ease of use (PEU), trust (TR), subjective norm (SN), and attitude (AT) on customer's Intention to Adopt Internet Banking (IAIB) at Islamic banks and conventional banks before and during the Covid-19 pandemic in Indonesia. The research model is based on the Theory of Planned Behavior (TPB) and the Technology Acceptance Model (TAM). This study involves 213 respondents for Islamic banks and 410 respondents for conventional banks from 25 provinces in Indonesia. Data was analyzed using partial least square (PLS) regression with the Structural Equation Model (SEM) method. The result of data analysis confirms several hypotheses taken from the literature. The results before the Covid-19 pandemic showed that AT and SN influence IAIB in Islamic banks. Whereas in conventional banks, AT, PU, SN, and TR influence IAIB. While during the Covid-19 pandemic, it shows that the AT, PU, IB, SN, and customer TR influence IAIB in Islamic banks and conventional banks. From the analysis, it was found that the PEU variable did not have a significant effect on the intention of customers of Islamic banks and conventional banks to use Internet banking.
Keywords
Internet Banking; Islamic Bank; Conventional Bank; Technology Acceptance Model; Theory Planned Behavior;
Citations & Related Records
Times Cited By KSCI : 4  (Citation Analysis)
연도 인용수 순위
1 Gefen, D., Karahanna, E., & Straub, D. W. (2015). Trust and tam in online shopping: an integrated model. Statewide Agricultural Land Use Baseline, 1(1), 51-90. https://doi.org/10.1017/CBO9781107415324.004
2 Giovanis, A. N., Binioris, S., & Polychronopoulos, G. (2012). An extension of TAM model with IDT and security/privacy risk in the adoption of Internet banking services in Greece. EuroMed Journal of Business, 7(1), 24-53. https://doi.org/10.1108/14502191211225365   DOI
3 Hair, J., Anderson, R., Tatham, R., & Black, W. (1994). Multivariate Data Analysis with Readings. Englewood Cliffs, NJ: Prentice-Hall.
4 Abbad, M. M. (2013). E-banking in Jordan. Behaviour and Information Technology, 32(7), 681-694. https://doi.org/10.1080/0144929X.2011.586725   DOI
5 Alalwan, A. A., Dwivedi, Y. K., Rana, N. P., & Algharabat, R. (2018). Examining factors influencing Jordanian customers' intentions and adoption of Internet banking: Extending UTAUT2 with risk. Journal of Retailing and Consumer Services, 40(2017), 125-138. https://doi.org/10.1016/j.jretconser.2017.08.026   DOI
6 Kalaiarasi, H., & Srividya, V. (2013). An investigation on online banking adoption. International Journal of Business Innovation and Research, 7(1), 99-112. https://doi.org/10.1504/IJBIR.2013.050558   DOI
7 Henseler, J., Dijkstra, T. K., Sarstedt, M., Ringle, C. M., Diamantopoulos, A., Straub, D. W., Ketchen, D. J., Hair, J. F., Hult, G. T. M., & Calantone, R. J. (2014). Common beliefs and reality about PLS: Comments on Ronkko and Evermann (2013). Organizational Research Methods, 17(2), 182-209. https://doi.org/10.1177/1094428114526928   DOI
8 Heryani, I. I. P., Simanjuntak, M., & Maulana, A. (2020). Behavioral usage of internet banking as financial transaction tool. Journal Aplikasi Bisnis Dan Manajemen, 6(1), 86-95. https://doi.org/10.17358/jabm.6.1.86
9 Hu, L., & Bentler, P. M. (1998). Fit indices in covariance structure modeling: Sensitivity to underparameterized model misspecification. Psychological Methods, 3(4), 424-453. https://doi.org/10.1037//1082-989x.3.4.424   DOI
10 Kaleem, A., & Ahmad, S. (2010). Bankers perception towards Bai Salam method for agriculture financing in Pakistan. Journal of Financial Services Marketing, 15(3), 215-227. https://doi.org/10.1057/fsm.2010.18   DOI
11 Usman, H. (2015). Customers trust on Islamic Banks in Indonesia. Journal of Asian Finance, Economics and Business, 2(1), 5-13. https://doi.org/10.13106/jafeb.2015.vol2.no1.5.   DOI
12 Sitorus, H. M., Govindaraju, R., I, I., Wiratmadja, & Sudirman, I. (2017). Examining the role of usability, compatibility and social influence in mobile banking adoption in Indonesia. Journal of Chemical Information and Modeling, 53(9), 1689-1699. https://doi.org/10.1017/CBO9781107415324.004
13 Tabash, M. I., Albugami, M. A., Salim, M., & Akhtar, A. (2019). Service quality dimensions of E-retailing of Islamic banks and its impact on customer satisfaction: An empirical investigation of Kingdom of Saudi Arabia. Journal of Asian Finance, Economics and Business, 6(3), 225-234. https://doi.org/10.13106/jafeb.2019.vol6.no3.225   DOI
14 Taib, F. M., Ramayah, T., & Abdul Razak, D. (2008). Factors influencing intention to use diminishing partnership home financing. International Journal of Islamic and Middle Eastern Finance and Management, 1(3), 235-248. https://doi.org/10.1108/17538390810901168   DOI
15 Yuan, S., Liu, Y., Yao, R., & Liu, J. (2016). An investigation of users' continuance intention towards mobile banking in China. Information Development, 32(1), 20-34. https://doi.org/10.1177/0266666914522140   DOI
16 Varaprasad, G., Sridharan, R., & Unnithan, A. B. (2013). Internet banking adoption in a developing country: An empirical study. International Journal of Services and Operations Management, 14(1), 54-66. https://doi.org/10.1504/IJSOM.2013.050561   DOI
17 Vukovic, M., Pivac, S., & Kundid, D. (2019). Technology acceptance model for the Internet banking acceptance in split. Business Systems Research, 10(2), 124-140. https://doi.org/10.2478/bsrj-2019-022   DOI
18 We are Social. (2020), Digital in 2020. Retrieved from https://datareportal.com/reports/digital-2020-indonesia.
19 Yudha, H. N., Prof, J., & Sh, S. (2015). Analysis Of The Effect Of Bank Customer Perception On The Internet Banking Adoption. Diponegoro Journal of Accounting, 4(4), 1-15.
20 Aldas-Manzano, J., Lassala-Navarre, C., Ruiz-Mafe, C., & Sanz-Blas, S. (2009). Key drivers of Internet banking services use. Online Information Review, 33(4), 672-695. https://doi.org/10.1108/14684520910985675   DOI
21 Altin Gumussoy, C. (2016). Usability guideline for banking software design. Computers in Human Behavior, 62, 277-285. https://doi.org/10.1016/j.chb.2016.04.001   DOI
22 Asni, K., Nasir, N., Yunus, M., & Darsono, N. (2019). Analysis on Internet banking services in Indonesia: Impact of customer value to converting intention. Proceedings of the 1st Aceh Global Conference (AGC 2018), (pp.498-505). 17-18 October 2018, Banda Aceh, Indonesia. https://doi.org/10.2991/agc-18.2019.73
23 Baber, H. (2019). E-SERVQUAL and its impact on the performance of Islamic banks in Malaysia from the customer's perspective. Journal of Asian Finance, Economics and Business, 6(1), 169-175. https://doi.org/10.13106/jafeb.2019.vol6.no1.169   DOI
24 Bashir, I., & Madhavaiah, C. (2014). Determinants of young consumers' intention to use Internet banking services in India. Vision: The Journal of Business Perspective, 18(3), 153-163. https://doi.org/10.1177/0972262914538369   DOI
25 Kesharwani, A., & Tripathy, T. (2012). Dimensionality of perceived risk and its impact on internet banking adoption: An empirical investigation. Services Marketing Quarterly, 33(2), 177-193. https://doi.org/10.1080/15332969.2012.662461   DOI
26 Kaur, A., & Malik, G. (2019). Examining factors influencing Indian customers' intentions and adoption of Internet banking: Extending TAM with electronic service quality. Innovative Marketing, 15(2), 42-57. https://doi.org/10.21511/im.15(2).2019.04   DOI
27 Berthon, P. R., Pitt, L. F., Plangger, K., & Shapiro, D. (2012). Marketing meets Web 2.0, social media, and creative consumers: Implications for international marketing strategy. Business Horizons, 55(3), 261-271. https://doi.org/10.1016/j.bushor.2012.01.007   DOI
28 Bhatt, R. (2011). Theory of planned behavior: A perspective in India's internet banking. International Journal of Management and Tourism, 19(2), 12-26.
29 Chan, K. H. (2001). Understanding adoption and continual usage behaviour towards Internet banking services in Hong Kong. Master thesis, Lingnan University, Hong Kong. Retrieved from https://commons.ln.edu.hk/cds_etd/5/
30 Chau, V. S., & Ngai, L. W. L. C. (2010). The youth market for Internet banking services: Perceptions, attitude and behaviour. Journal of Services Marketing, 24(1), 42-60. https://doi.org/10.1108/08876041011017880   DOI
31 Kholid, M. N. (2019). Determinants of intention to use Islamic mobile banking: Evidence from millennial generation. Jurnal Ekonomi & Keuangan Islam, 5(2), 53-62. https://doi.org/10.20885/jeki.vol5.iss2.art2   DOI
32 Lada, S., Harvey Tanakinjal, G., & Amin, H. (2009). Predicting intention to choose halal products using theory of reasoned action. International Journal of Islamic and Middle Eastern Finance and Management, 2(1), 66-76. https://doi.org/10.1108/17538390910946276   DOI
33 Lech, P. (2012). Information gathering during enterprise system selection: Insight from practice. Industrial Management and Data Systems, 112(6), 964-981. https://doi.org/10.1108/02635571211238545   DOI
34 Liao, C. H., Tsou, C. W., & Huang, M. F. (2007). Factors influencing the usage of 3G mobile services in Taiwan. Online Information Review, 31(6), 759-774. https://doi.org/10.1108/14684520710841757   DOI
35 Lomoller, J. B. (1989). Latent Variable Path Modeling with Partial Least Squares. In: Physica: Heidelberg.
36 Makanyeza, C., & Chikazhe, L. (2017). Mediators of the relationship between service quality and customer loyalty: Evidence from the banking sector in Zimbabwe. International Journal of Bank Marketing, 35(3), 540-556. https://doi.org/10.1108/IJBM-11-2016-0164   DOI
37 Martins, C., Oliveira, T., & Popovic, A. (2014). Understanding the Internet banking adoption: A unified theory of acceptance and use of technology and perceived risk application. International Journal of Information Management, 34(1), 1-13. https://doi.org/10.1016/j.ijinfomgt.2013.06.002   DOI
38 Chiou, J. S., & Shen, C. C. (2012). The antecedents of online financial service adoption: The impact of physical banking services on Internet banking acceptance. Behaviour and Information Technology, 31(9), 859-871. https://doi.org/10.1080/0144929X.2010.549509   DOI
39 Chen, Q. L., & Zhou, Z. H. (2016). Unusual formations of superoxo heptaoxomolybdates from peroxo molybdates. Inorganic Chemistry Communications, 67(3), 95-98. https://doi.org/10.1016/j.inoche.2016.03.015   DOI
40 Chin, W. W. (1998). The partial least squares approach for structural equation modeling. In: G. A. Marcoulides (Ed.), Modern methods for business research (pp. 295-336). Mahwah, NJ: Lawrence Erlbaum Associates.
41 Fatimah, E. O., & Suyanto, A. (2016). Analysis factors of using Internet banking in Indonesia. Management and Organizational Studies, 3(2), 10-15. https://doi.org/10.5430/mos.v3n2p10
42 Davis, F. D., Bagozzi, R. P., & Warshaw, P. R. (1989). User acceptance of computer technology: A comparison of two theoretical models. Management Science, 35(8), 982-1003. https://doi.org/10.1287/mnsc.35.8.982   DOI
43 Dijkstra, T. K., & Henseler, J. (2015). Consistent and asymptotically normal PLS estimators for linear structural equations. Computational Statistics and Data Analysis, 81, 10-23. https://doi.org/10.1016/j.csda.2014.07.008   DOI
44 Dwivedi, Y., & Irani, Z. (2009). Understanding the adopters and non-adopters of broadband. Communications of the ACM, 52(1), 122-125. https://doi.org/10.1145/1435417.1435445   DOI
45 Fishbein, M., & Ajzen, I. (1975). Belief, attitude, intention, and behavior: An introduction to theory and research. Boston, MA: Addison-Wesley.
46 Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39. https://doi.org/10.2307/3151312   DOI
47 Rahi, S., & Abd-Ghani, M. (2016). Customer's perception of public relation in e-commerce and its impact on e-loyalty with brand image and switching cost. Journal of Internet Banking and Commerce, 21(3).
48 Meuter, M. L., Bitner, M. J., Ostrom, A. L., & Brown, S. W. (2005). Choosing among alternative service delivery modes: An investigation of customer trial of self-service technologies. Journal of Marketing, 69(2), 61-83. https://doi.org/10.1509/jmkg.69.2.61.60759   DOI
49 Morgan, R. M., & Hunt, S. D. (1994). The commitment-trust theory of relationship marketing. Journal of Marketing, 58(3), 20. https://doi.org/10.2307/1252308   DOI
50 Rahi, S., & Abd-Ghani, M. (2019). Integration of expectation confirmation theory and self-determination theory in Internet banking continuance intention. Journal of Science and Technology Policy Management, 10(3), 533-550. https://doi.org/10.1108/JSTPM-06-2018-0057   DOI
51 Ringle, C. M., Wende, S., & Becker, J. . (2015). SmartPLS 3. SmartPLS GmbH.
52 Ronny. (2018). Customer participation in the creation and implementation of the service for Internet banking. Journal of Economics, Business & Accountancy Ventura, 20(3), 309-317. https://doi.org/10.14414/jebav.v20i3.763
53 Shahzad, F., Xiu, G. Y., & Shahbaz, M. (2017). Organizational culture and innovation performance in Pakistan's software industry. Technology in Society, 51, 66-73. https://doi.org/10.1016/j.techsoc.2017.08.002   DOI
54 Simintiras, A. C., Dwivedi, Y. K., & Rana, N. P. (2014). Can marketing strategies enhance the adoption of electronic government initiatives? International Journal of Electronic Government Research, 10(2), 1-7. https://doi.org/10.4018/ijegr.2014040101   DOI
55 Sharma, R., Singh, G., & Sharma, S. (2020). Modelling Internet banking adoption in Fiji: A developing country perspective. International Journal of Information Management, 53(June 2019), 102116. https://doi.org/10.1016/j.ijinfomgt.2020.102116   DOI