Internet Banking Adoption in Sweden : An exploratory case study of Internet banking adoption among senior citizens

Sammanfattning: The development of technology over the recent years has led to tremendous changes in the finance and banking industry. One of the self-service technologies (SSTs) that has triggered a revolutionary impact is Internet banking. The majority of Internet banking users are adults and youths, as these target groups have risen with the emergence of this service. Hence, many seniors have been excluded to adopt Internet banking services since they have not grown up with these new technologies. This is a problem since the senior population of Sweden is increasing and so are the technological improvements at an even greater speed. Most of the previous research on the subject of Internet banking adoption has been tested with models such as: Theory of Reasoned Action (TRA), Theory of Planned Behavior (TPB) and Technological Acceptance Model (TAM). However, Internet banking adoption of seniors has not been examined before in the context of Sweden, or in Umeå. The authors believed that there is a research gap in this area which can be further investigated. The purpose of this study is to develop an understanding of what factors influence the elders’ adoption of Internet banking. In order to do so, data will be collected through qualitative interviews to members of senior associations in Umeå. The determinants for Internet banking usage based on the TAM are perceived usefulness (PU) and perceived ease-of-use (PEOU) while the TPB is more related to behavioral factors. These elements of theories will establish the groundwork for the empirical results, as this study will be accomplished with an inductive approach. Based from previous research, education and technological behavior proved to be significant factors on the adoption of the service and were added to model. The authors extended the TAM by developing the Internet Banking Acceptance Model (IBAM), which is a more suitable to explain the seniors’ adoption of Internet banking. The findings of the research showed that most of the seniors’ lacked education in Internet banking and their technological behavior affected their willingness to adopt IT services. The seniors should also be more open to new technologies, in this case, Internet banking instead of relying on external assistance. With this research the authors have realized there is a gap in Internet banking adoption, and that is, the seniors. They have demonstrated an interest in the service if provided with proper education and training either by the banks or relatives. The banks should look into this aspect because it would make the bank errands more practical for the seniors and cut down costs for the banks.