Factors affecting individual consumers' acceptance towards digibank service at Vietcombank – South Binh Duong branch: Bachelor thesis of Banking and Finance / Nguyen Thuy Trang ; supervisor Hoang Thi Thanh Hang

MINISTRY OF EDUCATION AND TRAINING THE STATE BANK OF VIETNAM

HO CHI MINH CITY UNIVERSITY OF BANKING

NGUYEN THUY TRANG

FACTORS AFFECTING INDIVIDUAL

CONSUMERS’ ACCEPTANCE TOWARDS

DIGIBANK SERVICE AT VIETCOMBANK –

SOUTH BINH DUONG BRANCH

GRADUATION THESIS

MAJOR: FINANCE – BANKING

CODE: 7340201

SUPERVISOR: Associate Professor Dr.HOANG THI THANH HANG

Ho Chi Minh City, January 2022

MINISTRY OF EDUCATION AND TRAINING THE STATE BANK OF VIETNAM

HO CHI MINH CITY UNIVERSITY OF BANKING

NGUYEN THUY TRANG

FACTORS AFFECTING INDIVIDUAL

CONSUMERS’ ACCEPTANCE TOWARDS

DIGIBANK SERVICE AT VIETCOMBANK –

SOUTH BINH DUONG BRANCH

GRADUATION THESIS

MAJOR: FINANCE – BANKING

CODE: 7340201

SUPERVISOR: Associate Professor Dr.HOANG THI THANH HANG

Ho Chi Minh City, January 2022

i

DECLARATION OF AUTHENTICITY

I hereby declare that this thesis is entirely my own work. The data and

research results are honest, in which there is no previously published content or

content made by others except for fully cited citations in the thesis.

I take responsibility for my graduation thesis.

Author

Nguyen Thuy Trang

ii

ACKNOWLEDGEMENTS

First of all, I would like to express my gratitude to the Banking University of

Ho Chi Minh City and the teachers of BUH for their support and assistance during

the graduation thesis.

At the same time, I would also like to thank Associate Professor Dr. Hoang

Thi Thanh Hang for her sharing, understanding, and considerate support to give me

useful recommendations and guidance.

In particular, best regards to my family, my friends, and classmates - those

who have helped, supported, and encouraged me during the thesis work.

During the practice of researching this subject, I encountered many

difficulties in searching and updating information so the subject was inevitably

some limitations and errors, I would like to receive the comments of the teachers

and the Board to complete this graduation thesis better.

Thank you sincerely

Author

Nguyen Thuy Trang

iii

ABSTRACT

The main purpose of this research is to investigate the key factors and

measure the level of influence of these factors on the individual consumers’

acceptance towards using Digibank service at Vietcombank – South Binh Duong

branch.

The survey has been conducted at Vietcombank – South Binh Duong branch

with 385 individual consumers, in which 350 useable responses. The research tool

is the Likert scale that was introduced by Rennis Likert. Based on Extended

Technology Acceptance Model (ETAM), the writer have identified six factors that

influence individual consumers’ acceptance towards using Digibank service:

Perceived usefulness, perceived ease of use, bank image, perceived security,

perceived cost, and attitude towards using Digibank service.

Cronbach's Alpha is used to examine scale reliability, exploratory factor

analysis was performed to extract variables, and regression analysis is used to study

and test the hypothesis and factors affecting consumers’ acceptance towards

Digibank service at Vietcombank - South Binh Duong branch.

The results of the analysis indicate that all factors significantly affect the

individual consumers’ acceptance towards using Digibank service at Vietcombank –

South Binh Duong branch. Perceived security is the most important factor

explaining adoption intention. In contrast, the factor “Bank Image” is the least

positive impact on the individual consumers’ acceptance towards using Digibank

service. The adjusted R2 coefficient = 0.819 shows that the explanation level of the

impact of independent variables on the dependent variable reaches 81.9%, the

statistical value F = 264.227 is a significant level at 1% (p-value = .000), the

multiple regression assumptions are satisfied, the model is suitable to this research.

The findings of this research provide several important and useful

implications for the digital banking service providers with the deeply strategic

insights to improve their services to gain, obtain further consumers’ acceptance at

Vietcombank - South Binh Duong branch particularly and Vietcombank system

generally.

iv

LIST OF ACRONYMS

Acronym Meaning

ETAM Extended Technology Acceptance Model

EFA Explanatory Factor Analysis

IB Internet Banking

TAM Technology Acceptance Model

TRA Theory of Reasoned Action

HCMC Ho Chi Minh City

v

LIST OF TABLES AND FIGURES

Figure 2.1. Theory of Reasoned Action Model ........................................................14

Figure 2.2. The Technology Acceptance Model (TAM) ..........................................15

Figure 2.3. Proposed Model. .....................................................................................24

Figure 4.1. Number of new consumers registered to use Digibank..........................41

Table 2.1. Affecting factors of the proposed model .................................................19

Table 4.2. Characteristics of surveyed subjects.......................................................42

Table 4.3. Cronbach's Alpha coefficient analysis result ...........................................44

Table 4.4. Sythesis of exploratory factor analysis....................................................46

Table 4.5. Rotated component matrix.......................................................................46

Table 4.6. Correlation matrix ....................................................................................48

Table 4.7. Collinearity statistics................................................................................49

Table 4.8. Linear regression model result.................................................................50

Table 4.9. Spearman correlation matrix....................................................................51

Table 4.10. Hypothesis test results............................................................................51

TABLE OF CONTENTS

LIST OF ACRONYMS............................................................................................iv

LIST OF TABLES AND FIGURES........................................................................v

CHAPTER 1. INTRODUCTION ............................................................................1

1.1. Reasons for choosing the topic ..........................................................................1

1.2. Research objective ............................................................................................3

1.2.1. Overall research objective...............................................................................3

1.2.2. Specific research objective .............................................................................4

1.3. Research question ..............................................................................................4

1.4. Research object and scope of the research.........................................................4

1.4.1. Research object ...............................................................................................4

1.4.2. Research scope ................................................................................................4

1.5. Research methodology.......................................................................................5

1.6. Research structure ..............................................................................................6

CHAPTER 2. LITERATURE REVIEW................................................................7

2.1. Introduction........................................................................................................7

2.2. Overview of Digibank service ...........................................................................7

2.2.1. Concept of digital banking..............................................................................7

2.2.2. Comparison between digital banking and e-banking:.....................................7

2.2.3. The development of digital banking in Vietnam ............................................8

2.2.4. Overview of Vietcombank and its Digibank service ......................................9

2.3. Theoretical foundation of this research............................................................14

2.3.1. Theory of Reasoned Action (TRA)...............................................................14

2.3.2. Technology Acceptance Model (TAM)........................................................14

2.4. Factors affecting consumers’ acceptance towards Digibank service ..............19

2.4.1. Attitude towards using Digibank service......................................................20

2.4.2. Perceived Usefulness....................................................................................20

2.4.3. Perceived Ease of use....................................................................................21

2.4.4. Bank Image ...................................................................................................21

2.4.5. Perceived Security ........................................................................................21

2.4.6. Perceived Cost ..............................................................................................22

2.5. Proposed model................................................................................................22

CONCLUSION CHAPTER 2.................................................................................26

CHAPTER 3. RESEARCH METHODOLOGY..................................................27

3.1. Research Process..............................................................................................27