Small-scale survey revealed the following results behind the low level of Internet Banking adoption in Azerbaijan.
Significant moderating factors influencing IB adoption in Azerbaijan are gender, age, residence, education, income, experience and, to a lesser extent, employment. Thus, young and educated members of the population with relatively high incomes comprise the largest share of IB adopters. Male Internet users are more confident in utilising a new service than females, who are mostly aware of but do not use IB. Residents of the capital Baku and other big cities are the ones who primarily adopt Internet banking, mainly due to the presence of facilitating conditions. Experience appeared to be the most encouraging moderating factor. Experienced Internet users both perceive IB useful and think that it is easy to use. Even though employment does not have any significant influence on adoption intentions, Internet users employed in the private sector are more likely to adopt IB.
Facilitating factors such as the availability of 24/7 Internet at home and easy access to the Internet at work highly encourage Internet users to utilise IB. Less-developed countries obviously fall behind developed and emerging economies in IB adoption rates, and this is mainly due to poor infrastructure and the low IT education level of the population. In contrast, people of developed countries enjoy the easy access, high level of awareness and quality online services provided by their banks. In fact, factors such as poor infrastructure, overvalued prices for Internet service, insufficient knowledge and technology utilization skills, and others limit the number of Azerbaijani IB users.
The impact of system quality to an intention to adopt IB has proven to be crucial. Most of non-adopters reported their discontent with the technical qualities of the web and mobile banking applications that they once used. Respondents feel dissatisfied with the limited ability to customise the mobile apps and web pages to their own needs. So, the low system quality is another reason of low IB adoption in Azerbaijan.
Social influence has a positive impact on adoption intentions. Most of the IB adopters indicated that people surrounding them (e.g. family, friends, colleagues, etc.) both use IB banking facilities and recommend that they use them. Therefore, people with no active IB users around are naturally discouraged to adopt it. In fact, social influence is an important factor, especially in Azerbaijan, where the social ties are strong.
Azerbaijani culture can be a barrier to the adoption of such an innovation. For instance, “cash-carry” habits and a preference for face-to-face interaction discourage Azerbaijani Internet users from adopting IB. Results show that Internet users who prefer conducting transactions with cash and solving their banking issues by visiting the nearest branch are less likely to adopt Internet banking. This is mainly due to their technology and innovation experience as well as a lack of trust regarding online transactions repels them from the idea of trying and using Internet banking.