The Impact of Digital Transformation on Banking Services and Customer Experience : a study of the Nepalese banking sector

Abstract

The present study analyzes the impact of digital transformation on banking services and customer experience in the Nepalese banking sector. The study examines how digital technologies impact banking operations regarding service quality and user experience, and it investigates the extent of customer adoption and behaviour patterns regarding digitalization. It also explores how these affect service delivery, customer satisfaction and the challenges banks and customers encounter.

This study uses a mixed research approach, using qualitative and quantitative methods with interviews and survey questionnaires as the data collection methods. The emergence of cloud computing, artificial intelligence, mobile banking, internet banking, and blockchain technology has also revolutionized the global banking landscape.

Despite some initiation of digital services by Nepalese banks, the issues of insufficient infrastructure, regulatory constraints, and digital illiteracy preclude complete digital integration. The research also explores how digital transformation can enhance operational efficiency and customer experience while providing recommendations to remove barriers and promote the adoption of digital banking in Nepal.

The study findings of the data collected through quantitative and qualitative methods have been analyzed separately, followed by the integrated comparison of both. The study findings would aid banks, policymakers, and stakeholders adapt to digital migration to promote the country's financial inclusion and economic development agenda.