The COVID-19 Pandemic, the Digital Transformation, and the Banking System: Empirical Evidence in Greece

Abstract

The coronavirus pandemic resulted in an exponential increase in the use of e-banking and resulted in the establishment of telework in the banking sector. This chapter attempts to capture the impact digital transformation had on the Greek banking system during the COVID-19 pandemic, comparing the views and attitudes of bank employees and bank customers. Based on the relevant technology acceptance model (TAM) literature, a questionnaire was appropriately structured to provide awareness, satisfaction, trust, and quality evidence. The regression analysis results obtained were critically evaluated against existing previous literature, focusing on the statistical differences observed between bank employees and bank customers.

1. Introduction

The relentless evolution of technology has initiated a profound transformation in the banking sector over several decades, with a particular emphasis on the integration of computers. This metamorphosis, characterized by an unwavering commitment to adopting technological innovations, has positioned the banking industry as a pioneer in harnessing the power of digital advancements. However, the recent global upheaval induced by the coronavirus pandemic has precipitated an unprecedented surge in electronic banking, e-commerce, and telecommuting, thereby imposing substantial challenges on banking professionals who found themselves navigating an unanticipated shift without adequate preparation or resources.

This academic paper seeks to comprehensively analyze the repercussions of this ongoing digital transformation within the banking system over the past 2 years, delving into its impact on both employees and customers in Greece. To achieve this, the study adopts the technology acceptance model (TAM), recognized in international literature as the most suitable framework for elucidating the factors influencing the adoption of innovative technological applications. A meticulously structured questionnaire, derived from TAM, serves as the primary instrument for collecting data, with subsequent regression analysis forming the basis for investigating the identified variables.

In recognition of the profound changes brought about by the pandemic, special questions probing the effects of quarantine on the habits of both employees and customers have been incorporated into the research framework. The empirical analysis endeavors to draw comparisons between the perspectives and attitudes of bank employees and customers, with the aim of discerning statistically significant differences.

The paper unfolds in a structured manner, commencing with a comprehensive literature review on electronic banking and its recent developments. Following this, the practices implemented by Greece’s four major systemic banks during the pandemic are elucidated, shedding light on measures taken to safeguard the well-being of employees and customers. The subsequent section outlines the research methodology, delineating the construction of the questionnaire and specifying the research questions guiding the empirical investigation. The ensuing presentation of empirical analysis results employs both descriptive and inductive statistical methods, offering a nuanced understanding of the observed trends. Finally, the paper concludes with insights derived from the empirical analysis, providing valuable reflections on the enduring impact of digital transformation on the banking landscape amidst the challenging backdrop of the COVID-19 pandemic.

2. Literature review

2.1 Customer satisfaction

The conceptualization of customer satisfaction has been a subject of scholarly discourse since its introduction by [1] in 1965, leading to a lack of consensus among researchers regarding its precise definition. Divergent perspectives persist, with some scholars viewing satisfaction as a dynamic process [2] while others consider it an ultimate outcome [3]. Against the backdrop of burgeoning economic activity, the field of customer satisfaction research has witnessed significant expansion, with a growing emphasis on understanding its mechanisms and the various factors influencing it.

Despite variations in the conceptualization of customer satisfaction within the literature, common threads can be identified across different definitions. Drawing on the English dictionary of economics, customer satisfaction is commonly understood as the extent to which a company’s goods or services meet the expectations of consumers, as evidenced by repeat patronage. This relatively recent definition has evolved over time, reflecting diverse perspectives offered by researchers at different junctures.

The author [4] proposed an insightful perspective, characterizing consumer satisfaction as the disparity between anticipated and perceived product performance. They argued that consumer expectations are shaped by predictions of future performance, a sentiment echoed by the author in [5]. This dynamic interplay between expectations and actual performance forms a critical aspect of understanding and measuring customer satisfaction.

Acknowledging its pivotal role in shaping perceptions of shopping, consumption, and product or service usage experiences, customer satisfaction holds significant implications for long-term consumer relationships. The author [6] contributed a nuanced definition, portraying customer satisfaction as the perception that a product or service, or its attributes, engenders a pleasurable sense of fulfillment associated with consumption. This perspective extends to encompass levels of both under-fulfillment and over-fulfillment, a notion articulated by the author in [7].

2.2 Electronic banking

The integration of technological innovations into the banking sector commenced in the 1980s and continues to shape the industry’s landscape [8]. Initially, the term “electronic banking” referred to banking services facilitated through terminals or computers connected via telephone lines. Notably, the inception of online banking in 1981 in New York marked a significant milestone, with major banks such as Chase Manhattan, Citibank, Manufacturers Hanover, and Chemical pioneering online services through the videography system. However, this system faced challenges in France, leading to the initial setback of online banking services [8].

The evolution of electronic banking persisted, and in 1983, the Central Bank of Scotland introduced “Homelink,” an online banking service utilizing television and telephone channels for financial transactions and bill payments [9]. The subsequent emergence of the first online banking website by Stanford Credit Union in 1995 and the introduction of online accounts by Presidential Savings Bank in the same year marked pivotal moments in the digital transformation of the banking sector. The 1990s witnessed a surge in banks and financial institutions incorporating online banking services into their offerings. The Federal Financial Institutions Examination Board further delineated rules and regulations for electronic banking in 2005, emphasizing risk management, security, and customer education [9].

The landscape of electronic banking underwent a paradigm shift during the COVID-19 pandemic, catapulting banks into a digital era. The author [10] highlighted the unpreparedness of most financial institutions for such a shift, resulting in profound financial consequences and operational trade-offs [11]. To navigate these challenges, banking service providers pivoted toward enhancing the digital experience of their products and services, recognizing the financial impact of a positive online experience on organizational success [12].

The pandemic-induced lockdown in the United Kingdom compelled banks to temporarily shutter 8500 branches, necessitating a complete transition to online banking to continue serving customers. A survey by Global Financial Data conducted between April and June 2020 underscored the operational challenges faced by financial institutions, with over half of the respondents identifying the forced transition to remote work for bank employees as the primary obstacle. Consequently, banks expanded online services for customers and invested in their IT departments to ensure seamless online operations, especially amid the surge in online transactions [13]. While the pandemic accelerated the adoption of e-banking, it also heightened the risks associated with fraud and cybercrime. Banks responded by actively investing in technology and behavioral analytics to detect and prevent fraudulent activities. Despite the positive strides in electronic banking, the rise of online transactions and cashless payments has exposed customers to increased vulnerabilities, with fraudsters adapting to exploit these new payment methods [13].

2.3 Customer satisfaction in the realm of electronic banking

In the realm of electronic banking, the pivotal role of service and product quality as the primary determinants of customer satisfaction and loyalty has been widely acknowledged [14, 15]. Notably, the quality of services delivered through websites has emerged as a critical success factor, surpassing the significance of low prices and other competitive factors [16]. A survey by the author in [17] shed light on the interconnected nature of service quality perceptions across various delivery channels, highlighting that the perceived quality in one channel influences how another is perceived.

The profound impact of high-quality online services on building overall customer trust cannot be overstated as stated by [18, 19] and underscores the paramount importance of customer involvement in designing, delivering, and evaluating service quality levels. Previous customer experiences play a pivotal role in influencing their adoption of online banking for transactions. E-banking facilitates ease of comparison between banks’ services and products, fostering competition and enabling banks to enter new markets, thereby expanding their geographic boundaries [18].

The study by the author in [20] emphasizes the challenge of understanding and meeting customer requirements and expectations, noting the global variance in technology acceptance. An investigation by the author in [21] identified distinct consumer groups in Germany based on their orientation toward transactions, general interest, service, or aversion to technology. In Singapore, the author in [22] identified critical quality attributes, such as accuracy, security, transaction speed, user-friendliness, user involvement, and convenience, influencing the perceived usefulness of internet-based electronic banking.

In the contemporary context, the advantages of online banking, particularly during the pandemic, are manifold. Customers benefit from the accessibility of services 24/7, from any remote location with an internet connection, performing nearly all transactions typically conducted in a physical branch. This accessibility proves especially valuable for individuals facing challenges in reaching a physical branch. The expeditious and secure nature of online transactions further enhances the customer experience [23]. Simultaneously, banks embracing electronic banking witness a reduction in operating costs and an enhancement in efficiency, as the need for physical branches diminishes with customers conducting transactions remotely [24].

However, the evolution in the banking sector toward electronic banking is not without drawbacks. Security concerns, such as the vulnerability of online banking customers to cyberattacks leading to financial losses and compromised personal data, pose a significant threat. Such incidents can tarnish the reputation of the targeted banks. Additionally, the technological gap, particularly among older demographics unfamiliar with digital technologies, presents a challenge to widespread adoption [24].

For Greece, it was crucial for the banking sector, a cornerstone of the country’s economy, to adeptly manage the pandemic crisis. Potential mismanagement could exacerbate the disparity between the European South and North, akin to the consequences observed during the financial crisis, where mishandling led to increased divergence and delays in the European integration process [25]. Nevertheless, the initial findings on the early impacts of COVID-19 on banks indicate that enhanced bank profitability is linked to bolstered capital adequacy and larger liabilities toward customers. Conversely, developments in public debt, including Greek debt restructuring and banks’ provisions for credit losses, have shown a negative impact on banks’ profitability [26].

However, the digital banking of the Greek banks during the pandemic reflects a dynamic interplay between generational digital skills, consumer preferences, and the evolving landscape of digital transformation. Research by the author in [27] highlights the significance of distinct digital skills among Millennials and Generation X, leading to the development of diverse consumer preferences. Against the backdrop of the pandemic, bank customers in Greece exhibited a high level of satisfaction with digital transactions and expressed a desire to expand their usage. This is crucial, since, interestingly, bank employees in Greece displayed a positive attitude toward digital transformation. However, they emphasized the need for additional and ongoing training to upgrade their digital skills. This training not only contributes to enhanced digital literacy among bank employees but also plays a pivotal role in fostering a cultural shift and adaptation to the demands of the digital era [28].

Despite users considering the existing security level of online banking in Greece as satisfactory, the authors in [29] suggest that there is a collective call for the banking system to proactively upgrade guidance, particularly in the context of increasing protection against phishing attacks. This multifaceted experience underscores the nuanced nature of the Greek approach to online banking amidst the challenges and opportunities presented by the COVID-19 pandemic.

Thus, electronic banking, while offering numerous advantages, is a multifaceted phenomenon with inherent challenges. The COVID-19 pandemic, with its global lockdowns and social distancing measures, has underscored the imperative nature of electronic banking in the contemporary landscape. This literature review provides a comprehensive exploration of the complexities surrounding customer satisfaction, electronic banking, and its intersections, paving the way for a more detailed analysis of specific facets in the subsequent sections of this academic paper.

3. The changes in the Greek banks during the pandemic

3.1 Resistance to change

The cultural and institutional landscape in Greece is distinctive, often posing challenges to implementing changes, particularly those involving innovation and technology. A study by the author in [30] emphasizes that the impact of the institutional background on innovation is heightened when a group is further from the reference economies in terms of institutional performance. This indicates that, in Greece’s unique context, there is substantial room for improvement in the institutional background, making changes more intricate.

Additionally, the cultural environment plays a crucial role, as highlighted by [31], who suggests that countries characterized by consistently high levels of uncertainty may face impediments to economic development and vice versa. Further exploring the relationship between civic culture and innovation, the author [32] reveals that the positive influence of culture on innovation emanates from elements such as trust, control, work ethic, and honesty, while obedience has a negative impact.

Empirical findings from an OCAI questionnaire survey conducted among employees of the Greek Banking system [33] underscore a preference for “clan culture” in the future, indicating a resistance to change in organizational culture. Boufounou & Argyrou [34] rationalize this resistance by attributing it to the unique cultural characteristics of Greece, redefined life priorities, and the society’s aspiration for economic prosperity following a decade of recession. This intricate interplay of cultural and institutional factors underscores the complexities associated with implementing changes in Greece, particularly in the realm of innovation and technology.

Furthermore, current research focused on the appropriate growth policies that would facilitate in the post-COVID-19 era, economic diversification, and sustainable and inclusive growth in the Greek Economy (indicatively [35, 36, 37]).

3.2 Practices implemented by Piraeus Bank

In response to the unprecedented challenges posed by the COVID-19 pandemic, Piraeus Bank Group prioritized measures aimed at curbing the spread of the virus while safeguarding the health and well-being of its employees and customers. In the year 2020, Piraeus Bank Group enacted a comprehensive set of initiatives, as detailed by [38]:

• Collaborated closely with authorities to successfully implement all recommended measures to prevent transmission and ensure the protection of workers.

• Established a 24-hour telephone medical guidance and support system in collaboration with EODY (National Organization of Public Health).

• Implemented health and safety actions, surpassing established protocols, to ensure the thorough disinfection of premises and facilitate a secure working environment.

• Provided special COVID-19 leave for employees belonging to vulnerable groups who did not qualify for teleworking.

• Granted a special leave of absence to over 3500 employees with children in alignment with Greek authorities’ provisions.

• Implemented a work-from-home protocol during the initial lockdown, with approximately 5350 employees following health and safety guidelines. Subsequently, a rotation program was introduced, gradually reducing remote workers to around 1900.

During the health crisis, Piraeus Bank focused on timely and efficient communication through multiple channels, initiating the #StaySafe #StayHealthy campaign. This campaign, led by all employees, aimed to facilitate the real-time exchange of information related to the coronavirus. To enhance information dissemination, a dedicated digital information point for COVID-19 was established on the group’s website, offering extensive material on citizen protection, safety measures, awareness videos, instructions, and frequently asked questions. Additionally, an internal digital platform was created for employees.

Addressing safety concerns, Piraeus Bank continued training firefighting teams through approximately 1000 evacuation drills. In terms of employee well-being, the bank introduced online virtual fitness classes to promote physical activity during lockdown, organizing over 400 classes attended by more than 12,500 participants. These sessions were enriched with insights from nutritionists. Mental well-being was supported through Employee Assistance Programs, offering a 24/7 helpline and online counseling sessions with expert psychologists. Furthermore, 20 virtual lectures on Health, Safety, and Wellness topics tailored to the challenges posed by COVID-19 were conducted, with the participation of more than 1350 employees. Lastly, Piraeus Bank granted approximately 260 additional maternity leaves [38]. These multifaceted initiatives underscore the bank’s commitment to the comprehensive well-being of its employees during the challenging circumstances brought about by the pandemic.

3.3 Practices implemented by Alpha Bank

Alpha Bank prioritized the health and safety of its employees during the COVID-19 pandemic by implementing a range of comprehensive measures. The Human Resources Department, in collaboration with the bank’s medical professionals, continuously monitored health sector developments to provide timely and accurate medical information on preventive measures against COVID-19. Directives were issued to avoid business trips and meetings, with meticulous attention given to cleanliness across all branches and properties.

To ensure the safety of employees with children and those belonging to vulnerable groups, Alpha Bank introduced precautionary measures, including the option for specific employees to work safely from home. This measure, implemented in March 2020, particularly targeted individuals returning from countries with high virus prevalence.

From March 13, 2020, Alpha Bank established a dedicated section on its Intranet, serving as an information hub for employees regarding the virus. This section provided continuous updates on special permits, guidelines for vulnerable groups, implemented measures, and information on teleworking. Weekly newsletters disseminated information on actions taken, current policies, and statistics on the bank’s operational units.

In collaboration with global health authorities such as the World Health Organization (WHO) and the European Center for Disease Prevention and Control (ECDC), Alpha Bank shared daily updates on the latest information and developments through its Intranet. They actively participated in formulating instructions for managing suspected cases of COVID-19 in the workplace, including protocols for employees returning from trips abroad or reporting contact with a suspected case. Recommendations from ECDC were adopted, promoting measures like telecommuting, teleconferencing, and rotating shift work.

The Education Department of Alpha Bank created a “Telework and Survival Guide” to provide practical instructions and advice for employees adapting to the new working reality. This guide, aimed at those working from home, received significant engagement, emphasizing the importance of well-informed employees.

Furthermore, Alpha Bank established a help desk to address employee queries about COVID-19, identify recent travelers for mandatory home quarantine, and offer guidance to employees exhibiting flu symptoms. The bank also facilitated private tests for employees with suspected symptoms at its expense when necessary.

The multifaceted approach adopted by Alpha Bank, encompassing communication, information dissemination, teleworking support, and collaboration with health organizations, underscores its commitment to ensuring the health, safety, and well-being of its workforce during the challenging circumstances imposed by the pandemic [39].

3.4 Practices implemented by Eurobank

Amid the unprecedented challenges posed by the COVID-19 pandemic, Eurobank Group executed a successful strategic plan known as the “Business Continuity Plan.” This initiative aimed to ensure the seamless continuation of the bank’s operations during the pandemic. Following the authorities’ instructions and recommendations, Eurobank prioritized the health and safety of both its employees and customers. The implementation of measures such as teleworking, restrictions on business travel, and the provision of medical supplies for protective equipment underscored the commitment to safeguarding the well-being of all stakeholders [40].

Leveraging digital transformation capabilities, Eurobank facilitated remote work for its employees to effectively navigate the challenges posed by the pandemic. The bank reported significant adoption of remote working arrangements, with 80% of central premises employees working remotely at least once a week and 60% working remotely every day. At branch locations, 30% of employees engaged in remote work at least once a week, with 20% working remotely daily.

Eurobank demonstrated social responsibility during the pandemic through various initiatives:

• Prioritizing the health and safety of employees by enabling remote work for over 60% of the workforce.

• Contributing to the public health system by donating medical equipment and supplies to the Ministry of Health and providing hospital beds to key healthcare institutions in Athens.

• Supporting households and businesses by granting suspensions.

• Achieving a notable credit expansion milestone by providing €6.4 billion in business loans in Greece, marking a 10-year record.

• Embracing advanced digital transaction channels to enhance customer service.

• Proactively informing customers about the implemented measures to facilitate their daily lives, emphasizing safety as the primary concern.

Eurobank’s multifaceted approach, encompassing operational resilience, social responsibility, and digital innovation, reflects its adaptability and commitment to navigating the challenges imposed by the COVID-19 pandemic and ensuring the well-being of its workforce, customers, and the broader community.

3.5 Practices implemented by National Bank of Greece

In the face of the unprecedented challenges brought about by the COVID-19 pandemic, the National Bank of Greece (NBG) demonstrated swift and immediate action, establishing the Action Committee and enhancing day-to-day communication channels. The bank prioritized the well-being of its employees, their families, customers, partners, and society at large. Aligning with other systemic banks, NBG implemented rigorous health and safety protocols for its buildings and branches, swiftly transitioning to remote work in March 2020. Within a short timeframe, the bank undertook critical changes to its operating model and invested in essential technological tools, fostering a robust internal organization that remains effective today [41].

NBG’s commitment to employee welfare extended beyond operational adjustments. Recognizing the challenges posed by the demanding pace of modern life and the evolving pandemic, the bank launched the Employee Assistance Program. Developed in collaboration with specialized consultants, this program offers unlimited and free counseling services to employees, ensuring anonymity and confidentiality. The Employee Assistance Program addresses a wide range of personal, work, or family-related issues that employees may encounter daily, emphasizing the bank’s dedication to maintaining balance and safeguarding the mental and emotional health of its workforce and their families [41].

To facilitate the program’s seamless integration, NBG created a dedicated space on its Intranet, housing key aspects of the service. Additionally, the bank publishes monthly in-depth articles covering various topics relevant to employee well-being, including empathy tips, mental health guidance, and support for individuals facing serious illnesses. NBG’s holistic approach, encompassing operational agility and employee support initiatives, reflects its commitment to navigating the challenges of the pandemic while prioritizing the health and resilience of its workforce.

4. Methodology

4.1 Theoretical background

The empirical portion of this paper relies on the Technology Acceptance Model (TAM), a theoretical framework introduced by Davis in 1989. TAM adopts the theory of reasoned action by [42] and serves as a comprehensive model linking cognitive beliefs to individual attitudes and intentions in accepting new technology. It has proven to be a powerful tool for explaining and predicting individual acceptance of technology, emphasizing perceived usefulness and perceived ease of use as key determinants.

TAM, as articulated by [43], aims to describe the determinants of computer technology acceptance and elucidate user behavior and attitudes. It posits that the behavioral intention to use technology is influenced by perceived usefulness (confidence in system improvement) and perceived ease of use (user-friendliness). External variables, including system characteristics, trust, and development processes, are posited to impact the intention to use, facilitated by perceived usefulness and ease of use. In TAM, the attitude toward use is defined as an individual’s acceptance or rejection impact when utilizing technology in their work, highlighting the subjective nature of technology acceptance [44].

Given the TAM framework, our study aims to construct a regression model with customer and employee satisfaction as the dependent variable. The independent variables include familiarity, quality, and trust, aligning with TAM assumptions. We anticipate positive and statistically significant relationships between these variables, as TAM suggests that users’ attitudes and intentions are influenced by perceived usefulness, ease of use, and other external factors.

Likert scales can be considered quantitative anyway and used in quantitative analyses such as regression. In the case of the TAM, however, new variables emerge from these questions anyway, which are calculated as the average of the participant’s respective answers [45, 46].

4.2 Questionnaire design

The Technology Acceptance Model (TAM) provides a versatile framework adaptable to various contexts, allowing for the creation of tailored templates. In our survey, we fashioned a four-variable model, complemented by inquiries pertaining to demographic characteristics and the impact of the pandemic on consumers’ banking behaviors. These supplementary questions aim to discern the factors influencing satisfaction among Greek consumers and to gauge the repercussions of pandemic-induced restrictive measures on the broader Greek Economy.

1. Familiarity: Drawing on insights from [47], familiarity emerges as a pivotal determinant in the acceptance of innovative technologies, such as electronic banking. Internet accessibility, though improving in recent years in Greece, remains a variable factor, particularly among older demographics. A noteworthy proportion of individuals, mainly older, possess access but might not feel at ease navigating technologies like e-banking and online shopping.

2. Perceived quality: Aligned with the TAM’s core dimensions of ease of use and perceived usefulness, utility is influenced by the perceived quality of the service, as emphasized by [48]. Enhanced service quality correlates with heightened customer satisfaction and a greater inclination to use the application.

3. Trust-perceived risk: The electronic transactions conducted by banks necessitate the collection of substantial customer personal information. Customers require assurance that such data will remain confidential and exclusively utilized for intended purposes. Concerns about privacy breaches or unprofessional conduct can erode trust in the institution. Establishing a climate of trust becomes imperative, particularly in electronic transactions lacking a human interface.

4. Satisfaction: The intrinsic link between satisfaction and intention to use is evident and well-documented in studies, as articulated by [49]. Customers content with their online banking experiences are more inclined to persist with this channel. Thus, it is crucial to ascertain and document the satisfaction levels of both bank customers and employees.

Questions about the pandemic were also included.

4.3 Research questions

The empirical analysis of this research aims to address the following questions:

• Dependent Variable Impact: To what extent are the independent variables in the model (familiarity, quality, and trust) influencing the dependent variable (satisfaction)?

• Pandemic’s Influence on Online Banking Habits: Has the ongoing pandemic led to notable shifts in consumer behaviors concerning online banking?

• Differential Responses between Bank Employees and Customers: Are there statistically significant differences in responses between employees working in the banking sector and the customers they serve?

5. Empirical results

5.1 Demographics

A total of 132 valid questionnaires were gathered for statistical analysis. The sample demographics indicate a diverse representation.

Of the participants, 54.55% are women, with the remaining 45.45% being men. The majority, constituting 59.1% of the sample, falls within the 36 to 50 age group. The 51-to-60-year-old and 26-to-35-year-old groups each make up 15.9%, while participants aged 18–25 and over 61 comprise 4.5% each.

In terms of occupational distribution, 61.4% are employed in the private sector, including the banking industry, followed by self-employed professionals at 13.6%. Civil servants constitute a smaller portion, comprising only 6.8% of the sample.

Examining individual monthly income, 40.9% fall within the 1001-2000 euros range, and 34.1% within the 501–1000 euros range. Notably, 9.1% reported individual incomes exceeding 3000 euros per month.

Regarding preferred banks for collaboration, National Bank takes the lead with 34.1%, followed closely by Eurobank at 31.8%. Piraeus holds an 18.2% share, and Alpha Bank is in the last position with 15.9%.

The predominant mode of conducting electronic transactions among participants is through the latest technology, mobile phones (smartphones), with a substantial 54.6%, followed by computers at 22.7%. Notably, a considerable number of respondents utilize ATMs and/or cards for transactions.

When examining the duration of online banking usage, a significant portion (36.4%) has been utilizing online banking for more than 5 years. Equally noteworthy are the percentages for “Less than a year” and “2 to 3 years,” standing at 18.2 and 25%, respectively. The representation of young participants (18–25 years old) is limited (4.5%), resulting in a lower percentage for those who opened an account in the last 2 years due to their age, compared to the overall 43.2% who state they created an account in the last 3 years. This indicates that the quarantine and associated restrictions have substantially contributed to the noteworthy surge in electronic banking usage.

5.2 TAM sample questions

5.2.1 Familiarity

The analysis of the familiarity component reveals distinct responses among participants. Table 1 indicates notable agreement percentages in the familiarity question, signifying participants’ confidence in electronic transactions. Conversely, responses to the other two questions display a more diverse range of opinions, with a majority expressing disagreement in the third question. This suggests that the pandemic has posed challenges for a significant portion of individuals, and many anticipate difficulties in their interactions with the bank, particularly exacerbated by downsizing intensified during the pandemic.

Familiarity	Strongly disagree	Disagree	Neither agree nor disagree	Agree	Strongly Agree
The restrictions imposed on the operation of the banks did not cause me any particular problems	9.20%	11.50%	44.30%	26.00%	9.20%
I am completely familiar with the bank’s electronic systems	2.30%	0.00%	20.50%	54.50%	22.70%
The reduction of the banks’ human resources due to the pandemic did not create any problems for me in my relationship with my bank	18.20%	34.10%	29.50%	15.90%	2.30%

Table 1.

Familiarity questions.

All three questions in Table 1 share the same Likert scale and can contribute to constructing the familiarity variable. To assess the necessity of including all three questions, Cronbach’s alpha reliability coefficient was computed. With a coefficient value of 0.763, surpassing the 0.7 threshold, it is deemed appropriate to incorporate all three questions in the computation of the familiarity variable.

5.2.2 Perceived quality

The data presented in Table 2 indicate a cumulative percentage exceeding 70 and 80% for the responses “Neither agree nor disagree” and “Agree.” This suggests a generally positive perspective on the quality of electronic banking services within our sample. The computed Cronbach’s alpha coefficient stands at 0.709, surpassing the acceptable threshold of 0.7. Consequently, all four questions will be integrated into the computation of the quality variable.

Perceived Quality	Strongly disagree	Disagree	Neither agree nor disagree	Agree	Strongly Agree
The existing human resources are systematically and methodically trained regarding the new technologies	0.00%	6.80%	31.80%	56.80%	4.50%
The quality of banking has been improved by the widespread use of technology	2.30%	4.50%	20.50%	56.80%	15.90%
The widespread use of technology I do not believe will affect my relationship with my bank	4.50%	15.90%	25.00%	45.50%	9.10%
Consumers will generally benefit from increased use of electronic technology by banks	4.50%	4.50%	29.50%	52.30%	9.10%

Table 2.

Perceived quality questions.

5.2.3 Trust-perceived risk

Based on the data presented in Table 3, it is evident that the cumulative percentages for the responses “Neither agree nor disagree” and “Agree” exceed 70 and 80% for all questions, except for personal data theft, which is close to 65%. The estimated Cronbach’s alpha coefficient stands at 0.836, surpassing the desirable threshold of 0.7. Consequently, all questions will be incorporated into the computation of the trust-perceived risk variable.

Trust - Perceived Risk	Strongly disagree	Disagree	Neither agree nor disagree	Agree	Strongly Agree
I feel safe sending personal information electronically through the bank’s systems	4.50%	15.90%	31.80%	40.90%	6.80%
I do not worry about personal data being stolen during online transactions	6.80%	25.00%	29.50%	34.10%	4.50%
My bank has taken all necessary measures to safeguard my personal data	6.80%	0.00%	27.30%	56.80%	9.10%
My bank has taken all the necessary measures to protect the interests of both its customers and employees	4.50%	4.50%	31.80%	50.00%	9.10%

Table 3.

Trust-perceived risk questions.

5.2.4 Satisfaction

The findings presented in Table 4 indicate notably high percentages of the “Agree” response in three out of the four Satisfaction questions. Conversely, the percentages of disagreement are minimal. The only exception lies in the last question concerning the working environment of the employees, where a symmetrical distribution is observed, with “Neither agree nor disagree” being the most prevalent response. Consequently, the results suggest that participants exhibit high satisfaction with the digital transformation of their bank, though they express uncertainty regarding its benefits for the employees.

Satisfaction	Strongly disagree	Disagree	Neither agree nor disagree	Agree	Strongly Agree
I am satisfied with the environment offered by my bank	4.70%	4.70%	16.30%	67.40%	7.00%
My bank has the latest electronic equipment	0.00%	4.50%	31.80%	52.30%	11.40%
The digital transformation of the bank has improved the level of customer service	0.00%	6.80%	25.00%	61.40%	6.80%
The digital transformation of the bank has improved the working environment of employees	2.30%	23.30%	44.20%	23.30%	7.00%

Table 4.

Satisfaction questions.

As presented in Table 4, the computed Cronbach’s alpha coefficient is 0.781, surpassing the desirable threshold of 0.7. Hence, all questions will be included in the computation of the satisfaction variable.

5.3 Regression analysis

As indicated above, we anticipate that satisfaction levels will exhibit statistically significant and positive dependence on the three independent variables: familiarity, trust, and quality. To proceed, we will calculate the regression equation, preceded by the computation of descriptive statistics for the new variables.

As presented in Table 5, the variables, ranging from 1 (“Strongly disagree”) to 5 (“Strongly agree”), elicit positive attitudes from participants when the value exceeds 3. Familiarity is observed to have the lowest value (3.19), yet still within the positive response range. The other variables demonstrate notably higher values, with quality obtaining the highest score (3.57).

	Mean Value	Standard Deviation
Familiarity	3.19	0.676
Perceived quality	3.57	0.616
Trust-perceived risk	3.37	0.796
Satisfaction	3.53	0.637

Table 5.

Descriptive statistics of TAM variables.

Subsequently, we conducted checks to ensure the basic assumptions of normality, assessed through a P–P plot diagram, and the absence of autocorrelation, examined with the Durbin-Watson statistic. No violations of normality or indications of autocorrelation were detected in the data.

Tables 6 and 7 reveal the robustness of our model, with a coefficient of determination (R-squared) at 0.620. This implies that 62% of the variability in Satisfaction can be explained by the variables of familiarity, quality, and trust. While not all coefficients are positive, the negative coefficient of familiarity is not statistically significant; thus, it is not considered in our analysis. Both quality and trust show high significant levels (p-values of 0.000), indicating their significance at any conventional level, particularly the common 5%. Notably, quality exhibits nearly double the coefficient of trust (0.552 compared to 0.299). This suggests that the most influential variable for satisfaction is the quality of services provided. However, the findings only partially align with international literature, as familiarity is expected to be statistically significant with a positive coefficient, which is not supported by our results.

Model	R	R Square	Adjusted R Square	Std. Error of the Estimate	Durbin-Watson
1	0.787a	0.62	0.611	0.39753	2.019
a. Predictors: (Constant), familiarity, perceived quality, trust-perceived risk
b. Dependent Variable: Satisfaction

Table 6.

Regression model summary.

Variable	Unstandardized Coefficients		Standardized Coefficients	t	Sig.
	Beta	Std. Error	Beta
(Constant)	0.612	0.231	—	2.655	0.009
Familiarity	−0.019	0.060	−0.020	−0.312	0.755
Perceived quality	0.552	0.070	0.534	7.905	0.000
Trust-perceived risk	0.299	0.055	0.374	5.456	0.000
a. Dependent Variable: Satisfaction

Table 7.

Regression results.

5.4 Impact of quarantine on banking habits

The analysis of responses to questionnaire items addressing the effects of quarantine on the banking habits of participants reveals that the majority of respondents were already utilizing online banking services before the quarantine. Consequently, the impact of the quarantine on this sector seems to have been minimal, with e-banking aiding consumers in overcoming limitations in traditional shopping methods.

Regarding in-store visits, a significant portion (56.82%) now visits physical stores less frequently than before, while 38.64% report no change, and only 4.55% indicate an increase in visits. This suggests a noticeable influence of quarantine on the habits of bank customers. Similar trends are observed in online shopping, where 59.09% state no change, 29.55% report an increase in purchases, and 11.36% note a decrease. These findings highlight the tangible impact of quarantine measures on the behavior of bank customers, emphasizing a shift toward increased reliance on digital banking channels and altered shopping patterns.

5.5 Bank employees vs. customers

To differentiate between participants who work in a bank and those who do not, we categorized the occupation information accordingly. Out of the total sample, 27.3% are bank employees, while the remaining 72.7% are customers. It is crucial to note that bank employees are also bank customers, providing an insider’s perspective that carries a unique weight in their opinions.

As presented in Table 8, conducting a hypothesis test on the mean values of the technology acceptance model (TAM) variables, using an independent samples t-test due to the binary nature of the attribute variable (customers and employees), revealed significant differences in familiarity and trust. The p-values for familiarity and trust are both below 5%, indicating statistically significant distinctions. In both instances, the average values of customers are lower than those of employees, suggesting that bank employees hold a more positive perception of their employers compared to customers. Conversely, the differences in the other two variables, perceived quality and satisfaction, while showing higher average values for customers, did not reach statistical significance. This insight emphasizes the unique perspectives bank employees bring to the evaluation of electronic banking services, particularly in terms of familiarity and trust.

Variable	Customers/Employees	N	Mean	P-value
Familiarity	Customers	95	2.990	0.000
	Employees	36	3.750
Perceived quality	Customers	96	3.620	0.240
	Employees	36	3.470
Trust-perceived risk	Customers	96	3.290	0.027
	Employees	36	3.580
Satisfaction	Customers	90	3.560	0.216
	Employees	36	3.430

Table 8.

T-test results for TAM model variables between Bank employees and customers.

In addition to the core variables constituting the proposed model, the questionnaire includes inquiries delving into the repercussions of measures instituted by banks within the broader spectrum of digital transformation. Each of the four variables incorporates a specific question addressing these effects, and the ensuing hypothesis testing results are presented in Table 9. An initial observation reveals a consistent trend wherein the mean values of customer responses are generally lower than those of employees across all questions, with a notable exception in the last query. Statistically insignificant differences are observed for the third question, primarily focused on trust. This nuanced finding suggests that employees harbor a more favorable perception regarding the alterations ushered in by digital transformation in banks and the ensuing service quality. However, a discernible reservation emerges concerning the impact of these changes on their working environment. It is imperative to acknowledge that these reservations may be influenced by the apprehensions prevalent among bank employees in recent years, stemming from uncertainties about their professional future.

Variable	Customers/employees	N	Mean	P-value
Familiarity	Customers	95	2.38	0.023
	Employees	36	2.83
Perceived quality	Customers	96	3.50	0.049
	Employees	36	3.75
Trust-perceived risk	Customers	96	3.53	0.767
	Employees	36	3.58
Satisfaction	Customers	90	3.23	0.007
	Employees	36	2.75

Table 9.

T-test results for the impact of digital transformation between Bank employees and customers.

6. Discussion and conclusions

6.1 Discussion

The ongoing digital transformation within the banking sector, which commenced decades ago, remains a continual and vital process. Banks, historically early adopters of technological innovations, demonstrated resilience even during the unprecedented challenges posed by the COVID-19 pandemic. Despite the sudden imposition of restrictive measures, banks adeptly navigated through the complexities, ensuring seamless operations, even transitioning to remote work.

Telecommuting, a preexisting concept, experienced an unprecedented surge in 2020, becoming a necessity due to the pandemic’s global ramifications. The widespread confinement compelled individuals to conduct most banking operations remotely. However, this transition presented challenges, including the varying degrees of employee familiarity with electronic systems, insufficient equipment, and internet connectivity issues. Notably, bank administrations swiftly addressed these challenges, providing electronic equipment and financial assistance, ensuring the banking sector’s operational continuity and readiness, especially in the e-commerce domain.

In this study, emphasis was placed on the human factor, specifically examining user satisfaction during the quarantine through a questionnaire based on the technology acceptance model (TAM). The TAM model posits that satisfaction with innovative technological applications is contingent upon factors such as familiarity, quality, and trust. The empirical research, encompassing a sample of 132 respondents, employed statistical analysis with the SPSS 26 statistical package.

The regression analysis for the TAM model revealed that satisfaction is statistically and positively dependent on quality and trust but not on familiarity. Quality emerged as the predominant factor, with a coefficient nearly double that of trust, suggesting that service quality is paramount in enhancing user satisfaction. These results, while partially aligning with international literature, deviate from the unexpected insignificance of the familiarity coefficient.

Exploring the effects of quarantine on consumer habits, it was discerned that electronic transactions and e-banking were already prevalent among participants in pre-quarantine. Despite minor impacts on these established habits, electronic transactions played a pivotal role in circumventing quarantine-induced restrictions on physical stores, reshaping shopping behavior, and significantly reducing visits to bank branches.

A crucial aspect of the analysis involved comparing responses between bank employees and customers. Statistically significant differences were identified in familiarity and trust, with customers exhibiting lower averages. This suggests that bank employees generally maintain a more positive perspective on the prevailing conditions in Greek banks.

In the broader analysis of responses, employees consistently portrayed a more positive stance on digital transformation and its impact on banks, with statistically significant differences favoring employee perspectives. The noteworthy exception was the impact on the working environment, where customer averages were significantly higher, likely reflecting employee insecurities due to ongoing changes in the banking sector, including network shrinkage.

6.2 Conclusions

The trajectory of digital transformation within the banking sector is an inexorable course, aligning with technological advancements. Banks, historically at the forefront of embracing innovative technologies, witnessed a significant impetus toward electronic banking in Greece. Two pivotal events catalyzed this evolution: the imposition of capital controls in 2015, restricting conventional fund transfers and withdrawals, and the subsequent COVID-19 pandemic, compelling a surge in online transactions due to widespread physical store closures.

The limitations imposed by capital controls necessitated the reliance on electronic banking solutions, as physical cash withdrawals were constrained. Subsequently, the pandemic-induced restrictions, which rendered in-person shopping impractical, further propelled electronic transactions. These events collectively stimulated a substantial segment of the population to embrace electronic banking, leveraging its conveniences, particularly in situations where physical presence was no longer viable.

Digital transformation, a fundamental component of the modern economy, compelled the Greek banking sector to align itself with the trajectory set by other European nations. The prerequisite for such transformation involves robust infrastructure and equipment to facilitate seamless electronic banking and telecommuting. The pandemic, acting as a catalyst, expedited the modernization of the banking sector and the broader Greek state. Positive evaluations from participants in studies, including this thesis, underscore the importance of continued policy emphasis on this transformative path, recognizing it as crucial for future development.