Effects of branchless banking on customer retention in Zambia: A case study of standard chartered bank

Nambeye, Precious and Haabazoka, Lubinda (2025) Effects of branchless banking on customer retention in Zambia: A case study of standard chartered bank. World Journal of Advanced Research and Reviews, 26 (1). pp. 772-784. ISSN 2581-9615

In 2020, Standard Chartered Bank (SCB) Zambia implemented a branchless banking strategy to promote digital banking. However, this led to the loss of some customers. This study examines the impact of branchless banking on customer retention, focusing on mobile banking, ATM banking, internet banking, and agent banking. This study followed a pragmatist research paradigm and employed a mixed-method approach which utilized both primary and secondary data. The study targeted SCB employees and customers, using stratified sampling method. Quantitative data was analyzed using descriptive statistics, regression and correlation analysis while qualitative data was analyzed thematically. The findings reveal that digital banking services significantly influence customer retention, especially among younger and well-educated customers. Mobile banking emerged as the most frequently used service, reflecting its convenience and accessibility. The results also revealed a significant positive impact of branchless banking methods on customer retention. The study concluded that while branchless banking positively impacts customer retention, it is essential to cater to diverse customer preferences and maximize customer satisfaction and loyalty. Based on the results, the recommendation is that there is need to further expand the mobile banking services, strengthening agent banking networks, enhancing customer education and support, leveraging data analytics, and improving security measures.