Privacy and Personalization in Continued Usage Intention of Mobile Banking: An Integrative Perspective

Over the last decade, bank industry has made a significant investment on mobile banking (MB) as an innovative tool with an expectation that MB services increase customer satisfaction. While the focus has been increasingly on MB adoption, banking research shows more value is generated with frequent and continued usage of MB services, an area that has been given little attention. This study integrates privacy and personalization into TAM theoretical model to address this gap. SEM analysis of a sample of 486 MB customers from a US local bank reveals that perceived usefulness and perceived ease of use are significant predictors of satisfaction, while satisfaction can determine continued usage intention of MB. However, the interaction effect shows statistical significance for privacy, but not for personalization. Limitations and implications for academia and industry are discussed.