Linking trust to use intention for technology‐enabled bank channels: The role of trusting intentions

The present research is an attempt to better understand the role of trust in the adoption of technology‐based service channels, namely Internet and phone banking. The study conceptualizes and measures trust, distinguishing the cognitive and affective component of trust (the trusting beliefs), the behavioral component of trust (trusting intentions), and the purchase behavior (intention to use), suggesting a mediating role of trusting intentions. Then it tests a model that combines the effect of trusting beliefs and trusting intentions together with the Technology Acceptance Model variables, privacy, and security as well as individual characteristics. Results from 762 retail bank customers revealed a strong mediating role of trusting intention on the intention to use and similar patterns of relationship for the two technology‐based bank channels. Several implications for managers and further research are discussed. © 2010 Wiley Periodicals, Inc.     

The effect of trust,channel technology,and transaction type on the adoption of self-service bank channels

Few studies have examined customers' beliefs and intentions across different self-service technology channels and different intended uses of these channels. The present work integrates (a) technology acceptance variables (b) trusting beliefs and trusting intention as two distinct constructs, (c) level of customers' information about the channel, in order to test their effect on use intention for two channels, Internet and phone banking, and three banking transactions. Findings from a sample of 762 bank customers reveal that patterns of adoption are quite similar for the two channels but differ across transactions. Furthermore, the trusting intention has a strong mediating role between trusting beliefs and technology-acceptance variables on one hand, and intention to use these channels on the other hand. Several implications for developing intention to use technology-based channels are discussed.     

Core service versus relational benefits: what matters most?

Services literature has extensively examined the effects of core service and relational benefits on behavioral outcomes arguing that both components, studied separately, contribute significantly to customer satisfaction and loyalty. However, an integrative examination of the relative importance of both core service and relational benefits is missing. This study examines the combined impact of an extended typology of core service and relational benefits on satisfaction and relational outcomes. One qualitative and one quantitative study are conducted within a banking context. Findings confirm a more extensive typology of relational benefits and reveal that competence (part of the trust benefit) and convenience significantly affect satisfaction; however, when core service is introduced to the model, the effect of relational benefits ceases to be significant. Several future research opportunities for an integrated service benefits approach are identified; and implications for managers on how to allocate their efforts across the various types of service benefits are discussed.     

Does trust in the bank build trust in its technology-based channels?

Trust appears as an important factor for the adoption of technology-based distribution channels. This paper investigates the construct of trust and its antecedents in the context of technology-based distribution channels, such as ATMs, the internet and phone banking. Specifically, it tests the role of trust in the bank in building trust in these channels. It reports findings from a retail bank customer survey, which revealed two dimensions of trust, affective and cognitive trust, and the significant role of three variables in forming trust in these channels: trust in the company, reputation of the company and disposition to trust. Implications of further research on understanding the antecedents of trust towards channels as well as managerial recommendations on how to build such trust are discussed.     

Forecast encompassing tests for the expected shortfall

We introduce new forecast encompassing tests for the risk measure Expected Shortfall (ES). The ES has received much attention since its introduction into the Basel III Accords, which stipulate its use as the primary market risk measure for international banking regulation. We utilize joint loss functions for the pair ES and Value at Risk to set up three ES encompassing test variants. The tests are built on an asymptotic theory that is robust to misspecifications. We investigate the finite sample properties of the tests in an extensive simulation study. Finally, we use the encompassing tests to illustrate the potential of forecast combination methods for different financial assets.