Abstract
There has been limited studies from a Southern African perspective investigating factors that affect the adoption of e-banking specific to small and medium enterprises (SMEs) in co-joined developing African economies. To date, little is known about SME uptake of e-banking in the Southern African common monetary area (CMA), comprising South Africa, Lesotho, Namibia, and eSwatini. This knowledge gap is problematic for banks in providing SME support for the transition to e-banking, given the current move by banks toward embracing digital strategies. This study focused on a single bank with a large footprint in the CMA, intending to add to the body of academic knowledge regarding the adoption of e-banking services by SMEs.
A 2-stage sequential mixed-methods approach was used where first a qualitative interview process was undertaken to help identify and propose variables acting within the relationship of SMEs and bank. These variables were then used to adapt the UTAUT survey instrument for the context of this research. Phase one (qualitative) consisted of the researcher engaging in one-on-one, semi-structured, open-ended qualitative interviews which were conducted with purposefully selected bank X staff in each country of the CMA using the literature reviewed to identify themes relevant to the proposed conceptual model. Phase two (quantitative) consisted of a pilot survey of 25 completed responses across the four CMA countries to help determine the efficiency of the future survey. Following the pilot survey, the relevant changes were made and the full survey was concluded with 289 valid responses which were analysed using various descriptive statistics while inferential statistical analysis was undertaken to infer properties from the sample to the CMA SME population testing hypotheses proposed from the conceptual model (phase one output).
This study introduces a framework aimed at facilitating the adoption of e-banking. This framework can assist banking stakeholders, both within the CMA and in other collectivist societies beyond it, in generating value. It may also prompt a reassessment of existing regulatory frameworks to better support sector innovation. As a result, this could enhance the profitability and sustainability of SMEs by encouraging their use of e-banking services and available financial products to expand business opportunities. Banks should consider leveraging social influencers, designing products tailored to promote and facilitate e-banking, and securing the support of key stakeholders.