Adoption of Virtual Banks and Insurers

Adoption of Virtual Banks and Insurers 53 Survey Findings Trust towards virtual and traditional banks Trust lies at the core of the relationship between a financial institution and its customers. We asked respondents to compare their trust in virtual banks with traditional banks. Traditional banks in Hong Kong have been operating for decades, some for more than a century, with customers visiting their branches and offices on a regular basis. On the other hand, virtual banks do not provide customer service through branches, neither does physical interaction with its customers normally exist. Does the lack of physical interactivity have any impact on the trust level of virtual banks as opposed to traditional banks? From the results of the survey, the largest number of respondents (56.5%) totally disagree or disagree that they trust virtual banks as if they were traditional banks, while 29.8% of the respondents feel indifferent. Overall, due to their long histories and established reputations, the public still places more trust in traditional banks than newly established virtual banks. Exhibit 25 Trust towards virtual and traditional banks [1 - Totally Disagree ...... 5 - Totally Agree]