Assessment of factors influencing usage of mobile banking services in Tanzania

This study assessed the key factors that influence consumer acceptance and use of mobile banking services in Tanzania. This was triggered by the low level of use of mobile banking services despite tremendous growth in mobile phone usage and mobile money transfer in Tanzania. The study was led by Technology Acceptance Model (TAM ) extended in include other variables, namely customer awareness, perceived risk and transaction cost. Data were analyzed based on factors analysis using SPSS data analysis software. The study found that consumer awareness of mobile banking services is essential in promoting the acceptance and use of mobile banking. While the explicit essence of the consumer`s relationship is to get useful and efficient service, awareness on how beneficial mobile banking is to each targeted market segment among existing banking customers is also an essential aspect. Consumer awareness will allow existing banking customer who are yet to adopt mobile banking to feel the importance of the services offered by mobile banking and those who are yet join the banking services to do so. In view of that, among the measures that are suggested to be undertaken aggressively by financial service a provider is advertisers is advertising and promotion. With the right messaging and branding through advertising and promotion activities, customers will be motivated to use mobile banking . at policy level, this calls for the Government to Implement a national financial education policy strategy which will among others promote public awareness on the benefits of formal financial services including the mobile banking.