The strategy of virtual banking adoption in the digital economy

Abstract

Most traditional banks offer digital services, promoting cashless payments. Digital-only banks, operating solely through mobile apps, are a growing trend. These virtual banks have no physical branches and reshape individuals’ financial habits (Windasari et al., 2022). This study aims to explore virtual banking adoption in Thailand, using a qualitative approach. In-depth interviews with ten informants were conducted through purposive sampling. Data analysis involved content analysis and NVivo. The findings reveal Thailand as a recent adopter of virtual banks, driven by technology firms meeting regional demand. Virtual banks aim to enhance financial inclusion through improved accessibility and cutting-edge online experiences, emphasising simplicity, personalization, and client focus. However, technological advancements may deepen financial exclusion for those unable to access or utilise technology, creating unbanked or underbanked segments. To address this, banks must prioritise user-friendly digital platforms; ensuring customers can access services anytime, anywhere, like branchless banking. In regard to further research, it is recommended that researchers study ethical and policy issues related to virtual banking. In addition, quantitative research, such as an online questionnaire, should be considered to explain the relationship phenomenon in a large group in general.