Abstract:
This study presents what effects electronic banking ha on customer satisfaction in comparing with
traditional brick and mortar banking service, its relationship with that of age, occupation an
occupation, its effects on branch visits, the level of customer understanding about electronic
banking and the opportunities and challenges of electronic banking. The paper tried to see all the
above among 402 properly filled and returned questionnaires of electronic banking customers in
the Embu Family Bank. The study used tables, percentages, chi-square independency test to see
the relationship between demographic characteristics and electronic banking, independency test to
see the visits of branches before and after electronic banking by customers is significant or not and
regression analysis test has been conducted to explain the variables which determine customers
satisfaction in electronic banking. The results of the study implied that majority of users of
electronic banking are young, educated, salaried and students, business men and women are not
actively using the service of electronic banking and there is also a relationship between electronic
banking and demographic characteristics, electronic banking currently provided for saving and
current account holders only, electronic banking has improved customer satisfaction, reduced
frequency of bank hall for banking services, reduced waiting time for customers, there are
customers who don’t know the fee charged for being electronic banking users, the bank customers’
satisfaction increased after being electronic banking users, enabled customers to control their
account movements and there is high opportunity to expand electronic banking service in Embu
