http://www.engineeringnews.co.za
  SEARCH
Login
R/€ = 13.11Change: 0.00
R/$ = 11.92Change: -0.05
Au 1204.85 $/ozChange: -1.22
Pt 1147.50 $/ozChange: -1.00
 
 
Note: Search is limited to the most recent 250 articles. Set date range to access earlier articles.
Where? With... When?








Start
 
End
 
 
And must exclude these words...
Close Main Search
Close Main Login
My Profile News Alerts Newsletters Logout Close Main Profile
 
Agriculture   Automotive   Chemicals   Competition Policy   Construction   Defence   Economy   Electricity   Energy   Environment   ICT   Metals   Mining   Science and Technology   Services   Trade   Transport & Logistics   Water  
What's On Press Office Tenders Suppliers Directory Research Jobs Announcements Letters Contact Us
 
 
 
RSS Feed
Article   Comments   Other News   Research   Magazine  
 
 
May 11, 2012

Big opportunity for banks to use Web to communicate, survey shows

Back
Africa|Capitec|Columinate|First National Bank|Africa|South Africa|Bank|Basic Banking Functions|Internet Banking|Internet Banking Facility|Internet Banking Offerings|Internet Banking Solution Providers|Investigated Online Banking|Online Transacting|Product|Retail Bank|Scope Internet Banking|Services|Limits
Africa||Africa||Services|
africa-company|capitec|columinate|first-national-bank|africa|south-africa|bank|basic-banking-functions|internet-banking|internet-banking-facility-industry-term|internet-banking-offerings|internet-banking-solution-providers|investigated-online-banking|online-transacting|product|retail-bank|scope-internet-banking|services|limits
© Reuse this

Banks in South Africa have a significant oppor- tunity to connect more closely with Internet banking users to facilitate communications and use of the full scope Internet banking and online transacting, says market research company Columinate cofounder and senior research specialist Henk Pretorius.

The company has released the results of its SITEsfaction survey of 1 353 users’ views of investigated online banking in South Africa.

“The survey results show that very few Internet banking customers currently use this electronic medium for more than basic banking functions and, with only 24% of users saying they use their Internet banking facility to communicate with their bank, this represents an opportunity for banks to find ways to better connect digitally with their customers,” says Pretorius.

Responses reflecting the overall satisfaction of customers with their Internet banking offerings revealed that there was room for improvement as the industry SITEisfaction score was an unexceptional 55. Against this backdrop, retail bank First National Bank (FNB) scored best on the SITEisfaction index with a score of 68.

However, while retail bank Capitec’s SITEisfaction score (70) actually trumped FNB’s, the number of Capitec customers included in the survey did not reach the mini- mum sample size to be included as a contender for the position of Internet banking SITEisfaction winner. That said, Columinate points to Capitec’s top score as a clear indicator that the bank is worth watching as a “rising star” among South Africa’s Internet banking solution providers.

“Regardless of the reasons for this reticence by customers to fully engage with their banks online, or use their Internet banking for anything more than basic functions, these issues could be limit- ing the ability of banks to capitalise on the full potential of their digital channels,” emphasises Pretorius.

In support of this deduction, he points to survey findings that a mere 28% of users say they log in to their Internet banking pages to obtain information on financial product offerings or account options. This figure drops even more when it comes to managing their bank accounts, with 27% saying they use Internet banking to apply for overdraft or withdrawal limits, 19% to issue electronic stop payment instructions, 17% to apply for a loan of any sort, and just 15% using Internet banking to manage their investment accounts online.

The research also looked at Internet Banking behaviours to contextualise the SITEisfaction scores and some interesting findings emerged. It found that basic transactional and nontransactional activities top the list of typical uses of Internet banking channels, with 88% of respondents indicating that they use Internet banking mainly for viewing balances and making bene- ficiary payments. Accessing bank statements (72%), making interaccount transfers (66%), and setting up recurring beneficiary payments (53%) were the next most popular Internet banking transactions.

Some 53% of users also indicated that they use Internet banking to buy their cellphone airtime, while a mere 5% of those surveyed make use of online share trading or foreign exchange services.

“Most users have yet to fully harness the potential of their online banking facilities,” he concludes.

Edited by: Martin Zhuwakinyu
© Reuse this Comment Guidelines (150 word limit)
 
 
 
 
 
 
 
 
Other Telecoms News
Article contains comments
Local mobile operators’ claims that rising input costs are fuelling contract price hikes are not reflected in these companies' financial statements, says a research body. ResearchICTAfrica has put together a research brief that asks whether post-paid price increases...
FREDRIK JEJDLING Sustainability becomes an important part of a business’ decision-making process
Communications technology firm Ericsson sub-Saharan Africa head Fredrik Jejdling says the company’s commitment to sustainability and corporate responsibility has been integrated into all facets of its operations, which has provided it with sustainable revenue...
More
 
 
Latest News
Chris Griffith
Updated 47 minutes ago Fuel cell electric vehicles will allow platinum mining to build its future in a truly sustainable way on the back of zero exhaust emissions and the use of the world’s endless supply of hydrogen as a fuel source, Anglo American Platinum (Amplats) CEO Chris Griffith...
Updated 1 hour 12 minutes ago Severe fuel shortages in Nigeria hit the services of Africa's largest mobile telecoms operator, MTN, on Monday and forced Guaranty Trust Bank to close its branches nationwide at lunchtime, the companies said. "Services are already degraded and some of our customers...
Illovo MD Gavin Dalgleish
Updated 1 hour 19 minutes ago Sugar producer Illovo says there is a major opportunity to alleviate South Africa’s immediate power crisis and reduce rural poverty by more fully exploiting the industry’s electricity cogeneration potential. But MD Gavin Dalgleish says this potential will only be...
More
 
 
Recent Research Reports
Steel 2015: A review of South Africa's steel sector (PDF Report)
Creamer Media’s Steel 2015 report provides an overview of the key developments in the global steel industry and particularly of South Africa’s steel sector over the past year, including details of production and consumption, as well as the country's primary carbon...
Projects in Progress 2015 - First Edition (PDF Report)
In fact, this edition of Creamer Media’s Projects in Progress 2015 supplement tracks developments taking place under the Renewable Energy Independent Power Producer Procurement Programme, which has had four bidding rounds. It appears to remain a shining light on the...
Electricity 2015: A review of South Africa's electricity sector (PDF Report)
Creamer Media’s Electricity 2015 report provides an overview of State-owned power utility Eskom and independent power producers, as well as electricity planning, transmission, distribution and the theft thereof, besides other issues.
Construction 2015: A review of South Africa’s construction sector (PDF Report)
Creamer Media’s Construction 2015 Report examines South Africa’s construction industry over the past 12 months. The report provides insight into the business environment; the key participants in the sector; local construction demand; geographic diversification;...
Liquid Fuels 2014 - A review of South Africa's Liquid Fuels sector (PDF Report)
Creamer Media’s Liquid Fuels 2014 Report examines these issues, focusing on the business environment, oil and gas exploration, the country’s feedstock supplies, the development of South Africa’s biofuels industry, fuel pricing, competition in the sector, the...
Water 2014: A review of South Africa's water sector (PDF Report)
Creamer Media’s Water 2014 report considers the aforementioned issues, not only in the South African context, but also in the African and global context, and examines the issues of water and sanitation, water quality and the demand for water, among others.
 
 
 
 
 
This Week's Magazine
While economic forecasts for the African continent are most favourable, African airlines may not be able to benefit from the expected growth in the region’s gross domestic product (GDP), International Air Transport Association VP: Africa Raphael Kuuchi has warned....
The Automotive Production and Development Programme (APDP) will need to change substantially post 2020, says Metair Investments South African operations COO Ken Lello. “We must not make tweaks. We have to change. What we are doing is not sustainable.”
Banking group Absa’s forecast is for the rand to end the year at around R13 against the dollar, weakening further to R13.50 by 2016, says Absa sectoral analyst Jacques du Toit. He warns that possible interest rate hikes in the US may see capital being pulled from...
The Dispute Resolution Centre at the Bargaining Council for the Civil Engineering Industry (BCCEI) is now open to handle party-to-party disputes. The BCCEI represents the interests of all level four to nine Construction Industry Development Board companies.
FREDRIK JEJDLING Sustainability becomes an important part of a business’ decision-making process
Communications technology firm Ericsson sub-Saharan Africa head Fredrik Jejdling says the company’s commitment to sustainability and corporate responsibility has been integrated into all facets of its operations, which has provided it with sustainable revenue...
 
 
 
 
 
 
 
 
 
Alert Close
Embed Code Close
content
Research Reports Close
Research Reports are a product of the
Research Channel Africa. Reports can be bought individually or you can gain full access to all reports as part of a Research Channel Africa subscription.
Find Out More Buy Report
 
 
Close
Engineering News
Completely Re-Engineered
Experience it now. Click here
*website to launch in a few weeks
Subscribe Now for $96 Close
Subscribe Now for $96