An analysis of user’s perceptions on factors determining mobile banking adoption in Tanzania

The main objective of this study was to analyse user’s perceptions on factors for mobile banking adoption in Tanzania. A survey based on clusters was conducted within Dar es salaam Universities, colleges, workplaces and residential areas within the city to collect data from sample of 120. Descriptive statistics was employed in this study in examination of user’s perception and adoption of mobile banking in Tanzania. The study revealed that mobile banking adoption is strongly affected by perceived ease of use, perceived credibility, perceived transaction cost and perceived usefulness however, perceived credibility was the least factor towards adoption compared to the remaining three factors. Ease to learn and flexibility of the services were found to be very important elements in perceived ease of use while safety and privacy were the dominating elements of credibility perception to mobile banking adoption. However, time serving and less travelling costs towards the service were the important elements to cost perception in mobile banking adoption while quick and convenience were the dominant elements of perceived usefulness of mobile banking adoption. The above findings lead to the following recommendations. Banks should provide education and improve conditions on safety and security, mobile phone companies should design and sell handsets that are easy to learn and flexible to support mobile banking transactions while telecommunication companies should design services that will serve time and be accessible easily to avoid travelling costs to reach the service. The government should support and develop sustainable infrastructure that will support mobile banking adoption as customers perceived it quick and convenient system and this will simplify government revenue collection of taxes and other utility bills and boost the collections.