Disruptive technology and AI in the banking industry of an emerging market

Abstract

PurposeAs disruptive technologies, such as the use of artificial intelligence (AI)-enabled customer relationship management (CRM) systems, alter the processes and strategies that banks use in service delivery models, the impact of such technologies on consumer acceptance and buying behavior must continue to be examined. This research studies the impact of technology usage and acceptance of AI-enabled banking CRM systems in Nigeria on consumer buying behavior via the mediation of customer satisfaction and service quality. The study also investigates the negative impact of technology downtime, a frequent phenomenon in the emerging market, which has not, to this point, been studied on a large scale.Design/methodology/approachThe authors collect quantitative data via a face-to-face administered questionnaire from four hundred customers of ten different Nigerian banks regarding their perceptions of technology use in the banking sector.FindingsWhile the research finds that technology usage has positive and direct effects on service quality, customer satisfaction and consumer buying behavior, service quality was found not to have a significant effect on consumer buying behavior. The study also establishes that technology downtime has a moderating effect on technology usage, consumer buying behavior and customer satisfaction in the banking context.Originality/valueScant literature exists that explores the importance of culture in technology usage and acceptance, specifically in developing countries like Nigeria. This study explores the impact of technology usage along with acceptance in the Nigerian setting on Nigerian consumers and their resulting satisfaction. Technology usage has been known to impact customer satisfaction in various ways, but no study has looked specifically at how technology in the banking sector can further be of help or harm from a Nigerian perspective. This study explores the technology usage in banking sector of Nigeria and its impact on the consumer buying behaviour. No studies in our knowledge have been known to consider the role of technology downtime, a frequent phenomenon in emerging market, as a factor, which will affect the customer satisfaction and buying behavior. Thus, this study (1a) explores the negative outcomes of technology downtime on both service quality and customer satisfaction, (b) explores the moderating relationship of technology downtime on the technology usage and consumer-related outcomes.

Guest editorial: Artificial intelligence in financial services marketing

“…This special issue includes nine articles, and it is structured as follows: (1) the intersect of AI and political ideology in financial services marketing (Riedel et al , 2022; Cui, 2022), (2) financial robo-advisors (Bouhia et al , 2022; Northey et al , 2022), (3) developing AI for financial services marketing in emerging countries (Ghazwani et al , 2022; Omoge et al , 2022; Mogaji et al , 2021; Sheth et al , 2022) and (4) new theoretical and empirical approaches (Hentzen et al , 2021). Papers in each theme are subsequently discussed.…”

“…Next, Omoge et al (2022) examine the importance of culture in technology usage and acceptance, specifically in an emerging country. The results indicate that technology usage has positive and direct effects on service quality, customer satisfaction and consumer buying behavior, whilst service quality was indifferent on consumer buying behavior.…”

Customer Service Analysis, Application of Technology Applications, Product Variations on Customer Satisfaction (Study on Livin By Mandiri K CP Jayapura Business Center Products)

“…In the banking industry, bankers are paying attention to the mobile shift of their customers as smartphones, tablets and applications are increasingly being used in consumers' daily lives for work, study, entertainment, shopping. (Omoge et al, 2022) . Innovation technology contemporary this have significant impact _ profitable sector commercial , allowing banks to give more service _ good to customer (Farah et al, 2018) The application of technology applications to banking products is a transformation of existing products and made into a variety of digital media products.…”

“…Customer satisfaction is defined as the evaluation of the perceived difference between previous expectations and the actual performance of the product (Omoge et al, 2022) . Delivering high-quality services helps companies meet various requirementsfor example, the beneficial consequences of customer satisfaction include higher customer loyalty and market share, along with the ability to attract new customers and increase productivity, financial performance and profitability in the banking industry.…”

“…Though satisfaction customer studied in many context , important for understand impact use technology on satisfaction customers in emerging markets . Studies previously show that problem technology , such as website usability , can affect satisfaction customer (Omoge et al, 2022) . Researcher make conclusion : Hypothesis 3 : It is suspected that the application of technology applications has a positive effect on customer satisfaction Utilization of technology applications , product variations , customer service have a positive effect on service satisfaction (Yaseen & El Qirem, 2018) .…”