Identification of Factors that Influence the Use of Alternate Delivery Channels (ADCs) by Bank Customers in Pakistan


  • Usman Ali Warraich
  • Arifa Sami
  • Faryal Salman


ADCs, Banking Channels, E-Banking.


Alternate Delivery Channels (ADCs) have emerged as a new platform to offer banking services to its customers all across the globe. The research objective is to identify fundamental demographic factors and service delivery variables that may have significant influence over the use of ADCs by banking customers in Pakistan, with focus mainly on Karachi city; hence its results may only be generalized to urban areas of the country. This confirmatory research adopts deductive approach and employs mixed method to collect primary data from a non-probabilistic sample of 271 respondents (95% Confidence Level) using convenience sampling technique. Findings of the research concluded that customers differ in their preferences to use direct banking channels. Significant association is found between use of ADCs and demographic variables of gender, education level and income, as well as, the service delivery variables of time-savings and convenience. Although, logistic regression revealed that age, factor of cost savings and transaction security are insignificant. This research is of paramount importance for the banking industry to devise their ADCs policies and product offerings in the light of the results of this study.