Consumer initial trust toward internet-only banks in France

Purpose

The purpose of this paper is to investigate internet-only banks’ (IOBs) adoption by French consumers and attempt to understand the factors that influence consumers’ initial trust in this type of service.

Design/methodology/approach

A non-probability convenience sample of potential IOBs adopters from France was used to test a structural equation model that analyzed the antecedents of initial trust and usage intentions of IOBs.

Findings

The study shows that trust is a major influencer in IOBs’ adoption in France. It has also been found that consumer familiarity with internet banking, high perceived structural assurance, perceived website quality, bank reputation and relative advantage are critical factors influencing IOBs’ initial trust formation.

Research limitations/implications

This study shows the applicability of the initial trust-building model in the context of IOBs and underlines the importance of factors such as familiarity, reputation and perceived quality in the context of online banking services in France.

Practical implications

This paper provides e-banking companies with the most important factors that contribute to build the initial trust of customers. E-banks need to focus on making themselves known and promoting their brand more effectively through advertising and advocacy.

Originality/value

This study contributes significantly to the marketing research related to consumer trust and brand reputation, as well as to the electronic banking literature. The results show the importance of initial trust in the context of services and the main factors that influence it, including a key branding variable such as reputation. The paper also focuses on the IOBs’ adoption in France, a market understudied compared to the USA, and seeks to understand the mechanisms associated with the initial formation of French consumers’ trust toward it.