Digital innovation in the banking industry

Abstract

Research Purpose: The objectives of this research revolve around the aim of observing and identifying consumer perspectives of digital innovation in the banking industry in Malta. The effect of new innovations in the banking industry on the Maltese banking consumer was analysed. The researcher also investigated the relationship between digital banking and traditional forms of banking in Malta. Research Methodology: In order to fulfil these objectives, a quantitative research methodology was applied. For this, a sample size of 384 persons was needed. The data collection was carried out through a self-completed online questionnaire through Google Forms which was shared on different strategic pages on social media. The data analysis was conducted by using SPSS. Research Results: One of the highlights from the findings was that Maltese banking consumers who are interested in using the online channel as well as the mobile channel would still more likely not change their primary bank for superior digital banking platforms. This hints at the idea that brand loyalty is very high for Maltese banking institutions. Practical Implications: Through this research, the banking industry in Malta can seek how to improve the consumer journey as well as satisfaction with the overall quality of primary banks. The banking industry is constantly progressing, and the next step is for the digitisation of its channels. Social Implications: The social implications of this research are based on customer satisfaction and consumer perspectives when discussing technology and innovation in everyday life through the banking industry. Research Originality: The unique value proposition of this research is precisely because major banking institutions in Malta are upping their game, especially in the digital forefront. Furthermore, there was little to no available literature regarding the matter for the local market. Limitations and Further Research: Limitations of this research included resource constraints, availability of information, the truthfulness of responses, and the COVID-19 pandemic. An endless array of further research stems from this dissertation as it may serve as a base for studies regarding brand loyalty in relation to the banking industry, third-party Electronic Money Institutions, full digitisation of banking institutions, and much more.