Analysis of Online Banking Attitudes: Millennials vs. Older Adults

This report presents a business research skills analysis focusing on the attitudes towards online banking among millennials and older adults. The study explores the influence of demographic factors, particularly age and education, on the adoption and perception of online banking services. The research employs quantitative methods to examine the differences in banking preferences, frequency of use, and perceived benefits and drawbacks between the two age groups. Key findings indicate that millennials, who are generally between 20-35 years old, tend to embrace online banking more readily due to their familiarity with technology and perceived time-saving benefits. Older adults, however, often express concerns about security and lack of knowledge, leading to a preference for traditional banking methods. The analysis includes frequency tables and statistical interpretations to highlight these differences, ultimately aiming to understand the factors shaping online banking attitudes and behaviors across generations. The research concludes that education and age significantly impact the acceptance and usage of online banking services, with implications for the banking industry in tailoring services and addressing concerns to promote wider adoption.

BUSINESS RESEARCH SKILLS

Executive Summary
In the modern era people uses various technologies. There are various demographical factors
that affect their decision making and they change their behaviour towards using technologies.
Demographical element is considered as one of the major component that impact on daily lives
of the person to great extent. Study discusses difference in attitude towards online banking
between millennial adults and older people. Young people uses technologies easily but old
people fail to use these techniques so easily because of age, educational aspects.

Table of Contents
INTRODUCTION...........................................................................................................................1
CRITICAL ANALYSIS..................................................................................................................1
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9
APPENDIX....................................................................................................................................10

INTRODUCTION
There are various factors that influences decisions of an individual to great ext net.
Demographical element is considered as one of the major component that impact on daily lives
of the person to great extent (The Comparison of Different Age Groups on the Attitudes toward
and the Use of ICT, 2013). Development in technologies help the person in performing their
daily activities smoothly. Young people like to use advance technology in order to save their
time and money as well but old people have no knowledge about these technologies thus, they do
not prefer to use such techniques. Present study will prepare quantitative questions in order to
identify different in attitude towards online banking between millennial adults and older people.
It will analyse the data by using quantitative analyses tool.
CRITICAL ANALYSIS
Aim
“ To analyses difference in attitude towards online banking between millennial adults and older
people”.
Objectives
 To explain benefits and issues related to online banking in the modern era.
 To determine the factors that create difference in thinking towards online banking system
between adults and young people. To analyses difference in attitude towards online baking between millennial adults and
older people.
Research questions
 Explain benefits and issues related to online banking in the modern era?
 What are the factors that create difference in thinking towards online banking system
between adults and young people? What is the in attitude towards online baking between millennial adults and older people?
Hypotheses
 Education is the major factor that make changes in attitude towards online banking
between millennial adults and old people.
 Age impacts on attitude.
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As per the view of Lian and Yen, (2014) there are many young adults those who are
using internet very frequently. Millennial adults are the people those who are between age of 20-
35 year. Internet has become the major sources thorough which people are able to perform their
daily work effectively. Advancement in technologies help the persons in saving their time and
money. Banking industry has been grown well, now each banking institution offer net banking or
online banking services to the consumers so that they can make their transactions online. With
the assistance of this facilities people become able to check their balanced amount, make
financial transactions without going to bank. But still old people are here those who believe to go
to banks rather than using online banking services. They think that advancement in technologies
have created simple way but with this development issues related with security are increasing.
Hargittai and Marwick, (2016) argued that millennials adults are highly educated as compare to
old generation people. Modern education system gives deep knowledge to the learners regarding
modern technologies and their benefits. But as old people are unaware with these technologies
and unable to use these equipments well. This creates issue for them to make any financial
transaction by using online banking services.
According to Harris and et.al, (2016) there are various demographic factors that influence
the mind of the person towards using online services. One of the major element is age: old age
people have traditional thinking, they find manual transactions safe as compare to online
transactions. They think that online banking increases security risk and by this way chances of
fraud can get increased to great extent. But millennial adults believe that using online services is
safer as compare to manual transaction because it helps in keeping electronic records of each
transaction so that in future as well person can check these states. Bergström, (2015) stated that
there is no difference between attitude towards online banking between millennial adults and
older people. It is just old people have no knowledge of these technologies and facilities thus,
they do not use such features.
As per the view of Lian and Yen, (2014) young adults think for the myriad benefits that
can be gained through using these advance technologies. But old people are unable to adopt these
technologies as compare to young generations. This heterogeneity between both generation
creates difference in attitude towards online banking between old and young people.
Analysis
For young people
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Frequencies
Statistics
How old are you How often do you
use net banking
Education impact
on attitude of
person
Do you enjoy
while using net
banking
Payment method
do you apply
N Valid 100 100 100 100 100
Missing 2 2 2 2 2
Mean 2.0700 2.0700 1.4400 1.1500 2.7000
Median 2.0000 2.0000 1.0000 1.0000 3.0000
Mode 2.00 2.00 1.00 1.00 3.00
Std. Deviation .53664 .53664 .70094 .35887 .55958
Interpretation: From the above data it is found that maximum people are between age 30-35
years, they are the young adults. Mean value of responses for how often they use net banking is
2.07, value of median is 2.0 and mode is 2. Education impact on attitude of the persons is the
variable, mean value of responses is 1.44, median is 1.0 and mode is 1.
Statistics
Where do you prefer
to use online banking
Why old people do
not use online
banking
Benefit of using
online banking
Why attitude of old
people is different
from young
N Valid 100 100 100 100
Missing 2 2 2 2
Mean 2.5700 1.9700 1.9700 1.9700
Median 3.0000 2.0000 2.0000 2.0000
Mode 3.00 2.00 2.00 2.00
Std. Deviation .78180 .75819 .75819 .75819
Interpretation: From the above data it is found that benefit of using online banking is the
variable that was included in the analyses, mean value of response is 1.97, median is 2.0 and
standard deviation is .75819.
Frequency Table
How old are you
Frequency Percent Valid Percent Cumulative Percent
Valid • Between 20-30 year 11 10.8 11.0 11.0
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Between 30-35 Year 71 69.6 71.0 82.0
• More than 40 18 17.6 18.0 100.0
Total 100 98.0 100.0
Missing System 2 2.0
Total 102 100.0
Interpretation: From the above data it is found that 69.6% people have viewed that they are
between age 30-35 year. They are young ad like to use advance technologies for their banking
transactions.
How often do you use net banking
Frequency Percent Valid Percent Cumulative Percent
Valid Once in a week 11 10.8 11.0 11.0
twice in week 71 69.6 71.0 82.0
no use 18 17.6 18.0 100.0
Total 100 98.0 100.0
Missing System 2 2.0
Total 102 100.0
Interpretation: From the above data it is found that 69.6% respondents have viewed that they
use net banking twice in a week. That means they are using this online banking services
frequently.
Education impact on attitude of person
Frequency Percent Valid Percent Cumulative Percent
Valid yes 68 66.7 68.0 68.0
no 20 19.6 20.0 88.0
not sure 12 11.8 12.0 100.0
Total 100 98.0 100.0
Missing System 2 2.0
Total 102 100.0
Interpretation: From the above detail it is found that 66.7% people have viewed that yes
education impact on the attitude. If the person have good knowledge about the latest
technologies then individual feel comfortable to use these techniques. But if they are not
educated for these technologies then it impacts on their attitude to great extent.
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Do you enjoy while using net banking
Frequency Percent Valid Percent Cumulative Percent
Valid yes 85 83.3 85.0 85.0
no 15 14.7 15.0 100.0
Total 100 98.0 100.0
Missing System 2 2.0
Total 102 100.0
Interpretation: From the above study it is found that 83-3% respondents have viewed that yes
they enjoy while using net banking. It is because they are young and have knowledge about these
techniques thus, they enjoy this services of the banks.
Payment method do you apply
Frequency Percent Valid Percent Cumulative Percent
Valid manual payment 5 4.9 5.0 5.0
debit card 20 19.6 20.0 25.0
net banking 75 73.5 75.0 100.0
Total 100 98.0 100.0
Missing System 2 2.0
Total 102 100.0
Interpretation: From the above data it is found that 73.5% respondents have viewed that they
use net banking for making payments. Whenever they make any purchase or have to do any
money transactions then they use internet banking services.
Where do you prefer to use online banking
Frequency Percent Valid Percent Cumulative Percent
Valid education 13 12.7 13.0 13.0
bill payment 22 21.6 22.0 35.0
fund transfer 60 58.8 60.0 95.0
others 5 4.9 5.0 100.0
Total 100 98.0 100.0
Missing System 2 2.0
Total 102 100.0
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Interpretation: From the above data it is found that 58.8% answerers have viewed that at the
time of doing fund transfer to other accounts they usually take support of net banking services.
This helps them in making easy payment without any issue.
Why old people do not use online banking
Frequency Percent Valid Percent Cumulative
Percent
Valid poor knowledge 30 29.4 30.0 30.0
fear of using this technology 43 42.2 43.0 73.0
security fear 27 26.5 27.0 100.0
Total 100 98.0 100.0
Missing System 2 2.0
Total 102 100.0
Interpretation: From the above data it is found that 42.2% answerers have viewed that old
people have fear of using these technologies thus, they do not use such services of banks. On
other hand 29.4% respondents have said that poor knowledge is the main element due to which
old people do not use online banking.
Why attitude of old people is different from young
Frequency Percent Valid Percent Cumulative Percent
Valid poor education 30 29.4 30.0 30.0
learning issue 43 42.2 43.0 73.0
traditional thinking 27 26.5 27.0 100.0
Total 100 98.0 100.0
Missing System 2 2.0
Total 102 100.0
Interpretation: From the above data it is found that 42.2% respondents have viewed that old
people have learning issues thus, they feel uncomfortable to understand online banking services.
That is why their attitude is different from young adults.
For old people
Frequencies
Statistics
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How old are you How often do you
use net banking
Education impact
on attitude of
person
Do you enjoy
while using net
banking
Payment method
do you apply
N Valid 100 100 100 100 100
Missing 12 12 12 12 12
Mean 2.9000 2.9000 1.4400 1.8800 1.9200
Median 3.0000 3.0000 1.0000 2.0000 2.0000
Mode 3.00 3.00 1.00 2.00 1.00
Std. Deviation .38925 .38925 .70094 .32660 .82487
Interpretation: From the above data it is found that mean value of age of the respondents is 2.9,
median is 3.0 and standard deviation is 0.38925. Mean value of how often they use net banking
is 2.9, median is 3.0.
Statistics
Where do you prefer
to use online banking
Why old people do
not use online
banking
Benefit of using
online banking
Why attitude of old
people is different
from young
N Valid 100 100 100 100
Missing 12 12 12 12
Mean 2.5700 1.9700 1.9700 1.9700
Median 3.0000 2.0000 2.0000 2.0000
Mode 3.00 2.00 2.00 2.00
Std. Deviation .78180 .75819 .75819 .75819
Interpretation: From the above data it is shown that mean value of the responses for why
attitude of old people is different from young people is 1.97, median is 2.0 ad mode is 2.0. Value
of standard deviation of this variable is .75819.
Why attitude of old people is different from young
Frequency Percent Valid Percent Cumulative Percent
Valid poor education 30 26.8 30.0 30.0
learning issue 43 38.4 43.0 73.0
traditional thinking 27 24.1 27.0 100.0
Total 100 89.3 100.0
Missing System 12 10.7
Total 112 100.0
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Interpretation: From the above data it is found that 38.4% participants have viewed that their
attitude is different because of learning issue. But 26.8% answerers have viewed that poor
education is the main issue that create issue for them to use this technology.
CONCLUSION
From the above data it can be concluded that old people apply traditional methods to
make payments to others. They have fear in their mind and face learning issues as well. That is
why their attitude towards the online banking is different from millennial adults. Education is the
factor that creates difference in between both attitude towards net banking. It can be articulated
that age affect the choice of the person to great extent and influence their decision.
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REFERENCES
Books and Journals
Bergström, A., 2015. Online privacy concerns: A broad approach to understanding the concerns
of different groups for different uses. Computers in Human Behavior. 53. pp.419-426.
Hargittai, E. and Marwick, A., 2016. “What can I really do?” Explaining the privacy paradox
with online apathy. International Journal of Communication. 10. pp.21.
Harris, M. and et.al., 2016. Consumer preferences for banking technologies by age groups.
International Journal of Bank Marketing. 34(4). pp.587-602.
Lian, J. W. and Yen, D. C., 2014. Online shopping drivers and barriers for older adults: Age and
gender differences. Computers in Human Behavior. 37. pp.133-143.
Online
The Comparison of Different Age Groups on the Attitudes toward and the Use of ICT. 2013.
[Online]. Available through <https://files.eric.ed.gov/fulltext/EJ1017271.pdf>
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