Factors Affecting Users Preference To Use Electronic Banking Services In Cooperative Bank Of Oromia: The Case Of Gefersa Branch

Abstract

Electronic banking service is growing rapidly in the world; Cooperative bank of Oromia is putting its maximum exertion to adopt with technology of E-banking services.The aim of this study was to examine the factors affecting user’s preference to use E-banking service in the Cooperative bank of Oromia at Gefersa Branch. This study used descriptive and explanatory research design. To achieve this objective, the Data were collected from 395 account holder customers of the bank who were selected based on multistage sampling method. The study was employed both types of descriptive and econometric analyses. The descriptive analysis was used frequency, percentage, mean, and standard deviation. The study was used binary logistic regression analysis method to analyze the raw data which was obtained from the respondents. The findings of the study was identified that security and cost have a significant and positive impact on users preference to use e-banking service. However, education and service has significant and negative effects on the user’s preference to use electronic banking services in Cooperative Bank of Oromia. This study suggests that the bankers that are existed in cooperative bank of Oromia should give awareness about the e-banking services and they should make confident the customers about the new technology by increasing the promotion through Medias and in person too. And at the same time they should minimize the cost of using electronic banking service and increase the security of their system.