Factor Affecting Intention to Use Digital Banking: A Research in Indonesia

The evolution of information technology, societal demands on an application’s operating system, and the increasing specifications and sophistication of smartphones necessitate banks modifying their mobile banking applications. The transformation of mobile banking to digital banking conducted by banks has prompted users to reevaluate their preferences. Digital banking is a contemporary type of banking – a new type of digital enterprise. It encompasses all facets of a conventional bank. Through digital technology, it is converted into an application. This study employed the statistical technique of Structural Equation Modeling (SEM) with SMART PLS as an instrument. Using Google Forms, data from 449 respondents were gathered online, but only 364 of the responses were valid. The respondents are digital banking customers from Jakarta, Bogor, Tangerang, Bekasi, Depok, and other cities in Indonesia. This research uses the Purposive Sampling method; data was collected in November 2022. One of the eleven hypotheses regarding the influence of digital banking on user intent is insignificant. This research’s implication contributes to determining the most effective communication and strategy so that more users with greater benefits can utilize digital banking.