Mobile financial services (MFS) and digital inclusion – a study on customers’ retention and perceptions

Purpose - Mobile financial service (MFS) is a fast-growing industry in the emerging markets of Asia, Africa and the Middle East. It provides benefits to economically marginalised people who are excluded by formal financial channels. While many people tend to use MFSs, several others do not. Therefore, the purpose of this study is to explore customer loyalty with a specific focus on understanding the user behaviour of MFSs in Bangladesh. Design/methodology/approach - The authors conducted 12 in-depth personal interviews with various types of users from the urban area of Bangladesh to comprehend their perceptions about the use of MFS. Thematic analysis was used to analyse the interviews and understand the behavioural patterns of the respondents. Findings - The authors found a gap between the registered users and active users of MFS and found some interesting factors leading to this phenomenon. These are dependency, lack of basic digital literacy, lack of perceived usefulness, lack of perceived ease of use, security concerns and transaction costs. The present study also suggested that if employers make it mandatory for employees to get their salaries through MFS, it will increase the number of active users. In addition, this study extensively focused on the behavioural patterns of women using MFS. Practical implications - The study’s key practical implication is that MFS providers investments towards adding new features result in improved relationships with users and retain them in the market. Originality/value - Some of these factors have not been previously documented in the literature. For example, female dependency on their male counterparts while using MFS is an interesting issue that needs to be minimised, as suggested by the present research findings.