Community engagement in digital banking: Insights from Jakarta and Perth

Safaruddin Husada, Ulani Yunus, Latifa Ramonita, Mark McMahon

Abstract


Background: In the digital era, community engagement plays a pivotal role in driving market share expansion in the banking sector, yet the impact of such initiatives across diverse regulatory and cultural contexts remains underexplored. Purpose: This study examines the influence of community engagement on the digital bank market share in Jakarta, Indonesia, and Perth, Australia, while addressing disparities in digital access and customer experience. Methods: Employing a quantitative methodology, the study analyzed structured surveys from 300 respondents (150 each from Jakarta and Perth) to uncover relationships between community engagement and market expansion. Results: Findings reveal that robust community engagement significantly enhances customer loyalty and market share in Jakarta, with digital literacy and infrastructure playing a critical role. In Perth, the effect is moderated by regulatory environments emphasizing innovation and consumer trust. These outcomes are inferred through improvements in technical capability, information/media literacy, and user experience, which serve as foundational mediators fostering customer trust, loyalty, and ultimately market expansion. Conclusion: Community engagement is a vital strategy for expanding digital banking market share, yet its effectiveness is contingent on contextual factors such as digital literacy, regulatory frameworks, and customer preferences. Implications: Practically, banks should tailor engagement strategies to local needs, focusing on building trust and addressing digital divides. Theoretically, this research extends the application of Digital Divide Theory in understanding digital banking adoption across contrasting contexts.


Keywords


Digital banking; community engagement; market share; digital divide; quantitative research

Full Text:

PDF

References


Al Mahmud, M. A., Dhar, S. R., Debnath, A., Hassan, M., Sharmin, S., & others. (2025). Securing financial information in the digital age: An overview of cybersecurity threat evaluation in banking systems. Journal of Ecohumanism, 4(2), 1508–1517. https://doi.org/10.62754/joe.v4i2.6526

Aladwani, A. M. (2020). Digital transformation in banking: A review of literature and directions for future research. International Journal of Information Management, 50, 128–139.

Bhatnagr, P., & Rajesh, A. (2024). Online customer experience in Indian digital banks impacting continuous intention usage: Generation Y and Z perspective. Journal of Financial Reporting and Accounting, 23(2), 830-850. https://doi.org/10.1108/JFRA-11-2023-0638

Dewan, S., & Riggins, F. J. (2005). The digital divide: Current and future research directions. Journal of the Association for Information Systems, 6(12), 298–337, https://doi.org/10.17705/1jais.00074

DiMaggio, P., Hargittai, E., & others. (2001). From the ‘digital divide’to ‘digital inequality’: Studying Internet use as penetration increases. Princeton: Center for Arts and Cultural Policy Studies, Woodrow Wilson School, Princeton University, 4(1), 2–4.

Dipa, A. K., Mayasari, M., Khang, N. T., Poedjadi, M. R., & Priyatna, C. C. (2024). Marketing communication in ASEAN: A bibliometric analysis. Jurnal Kajian Komunikasi, 12(2), 285–299. https://doi.org/10.24198/jkk.v12i2.57783

Ersyad, Y., Maryani, E., & Karlinah, S. (2018). Komunikasi pemasaran dalam positioning n219 oleh PT Dirgantara Indonesia (Persero). Jurnal Kajian Komunikasi, 6(1), 24–36. https://doi.org/10.24198/jkk.v6i1.8996

Hennig-Thurau, T., Gwinner, K. P., Walsh, G., & Gremler, D. D. (2004). Electronic word-of-mouth via consumer-opinion platforms: what motivates consumers to articulate themselves on the internet? Journal of Interactive Marketing, 18(1), 38–52.

Hernandez-Ortega, B., & Ferreira, I. (2021). How smart experiences build service loyalty: The importance of consumer love for smart voice assistants. Psychology & Marketing, 38(7), 1122–1139. https://doi.org/10.1002/mar.21497

Husada, S. (2024). Implementation of Bank as a Service marketing communication strategy in increasing the number of customers on blu by BCA Digital. Journal of Communication & Public Relations, 3(1), 27–39. DOI: 10.37535/105003120243

Husada, S., & Aruman, A. E. (2024). The implementation of Bank as a service marketing communication strategy in increasing the number of customers on blu by BCA Digital. Journal of Communication and Public Relations, 3(1), 27–40. https://doi.org/10.37535/105003120243

Husada, S., & Yunus, U. (2024). Komunikasi pemasaran Offline to Digital (O2O) PT. Bank Aladin Syariah Tbk. Jurnal Pustaka Komunikasi, 7(1), 197–210. https://doi.org/10.32509/pustakom.v7i1.3896

Hussain, H. N., Alabdullah, T. T. Y., Ries, E., & Jamal, K. A. M. (2023). Implementing technology for competitive advantage in digital marketing. International Journal of Scientific and Management Research, 6(6), 95–114. http://doi.org/10.37502/IJSMR.2023.6607

Ibrahim, M. (2024). Adu Laba Bank Digital Semester I 2024, Siapa Juaranya? Infobanknews.Com. https://infobanknews.com/adu-laba-bank-digital-semester-i-2024-siapa-juaranya/

Indriasari, E., Prabowo, H., Gaol, F. L., & Purwandari, B. (2022). Digital banking: challenges, emerging technology trends, and future research agenda. International Journal of E-Business Research (IJEBR), 18(1), 1–20. DOI: 10.4018/IJEBR.309398

Kanaparthi, V. (2024). AI-based personalization and trust in digital finance. ArXiv Preprint ArXiv:2401.15700.

Khaerunnisa, R. (2024). Ekonom nilai bank digital punya keunggulan dari sisi ekosistem digital. Antara. https://www.antaranews.com/berita/3997584/ekonom-nilai-bank-digital-punya-keunggulan-dari-sisi-ekosistem-digital

Kovacevic, A., Radenkovic, S. D., & Nikolic, D. (2024). Artificial intelligence and cybersecurity in banking sector: opportunities and risks. ArXiv Preprint ArXiv:2412.04495.

Kshetri, N. (2021). The role of artificial intelligence in promoting financial inclusion in developing countries. In Journal of Global Information Technology Management, 4(1), 1–6. https://doi.org/10.1080/1097198X.2021.1871273

Laukkanen, T. (2016). Consumer adoption versus rejection decisions in seemingly similar service innovations: The case of the Internet and mobile banking. Journal of Business Research, 69(7), 2432–2439. https://doi.org/10.1016/j.jbusres.2016.01.013

Liu, Y., Naveed, R. T., Kanwal, S., Tahir Khan, M., Dalain, A. F., & Lan, W. (2023). Psychology in action: Social media communication, CSR, and consumer behavior management in banking. PloS One, 18(8). doi: 10.1371/journal.pone.0289281

Magdalena, M., Sukoharsono, E. G., & Roekhudin, R. (2019). Community engagement: Implementasi corporate social responsibility pada PT BNI (Persero) Tbk. Jurnal Ekonomi Dan Bisnis, 22(1), 101–120. https://doi.org/10.24914/jeb.v22i1.2205

Mark Warschauer. (2003). Technology and Social Inclusion: Rethinking the Digital Divide. The MIT Press. /https://doi.org/10.7551/mitpress/6699.001.0001

Mbama, C. I., & Ezepue, P. O. (2018). Digital banking, customer experience and bank financial performance: UK customers’ perceptions. International Journal of Bank Marketing, 36(2), 230–255. https://doi.org/10.1108/IJBM-11-2016-0181

Pérez, A., & del Bosque, I. (2012). The role of CSR in the corporate identity of banking service providers. Journal of Business Ethics, 108, 145–166. DOI: 10.1007/s10551-011-1067-7

Pippa Norris. (2001). Digital Divide: Civic Engagement, Information Poverty and the Internet World-Wide. Cambridge University Press. https://doi.org/10.1108/146366903322008287

Ringle, C. M., Wende, S., and Becker, J.-M. 2015. “SmartPLS 3. . B. S. G. (2015). SmartPLS. “SmartPLS 3.” Boenningstedt: SmartPLS GmbH. http://www.smartpls.com

Schau, H. J., Muñiz Jr, A. M., & Arnould, E. J. (2009). How brand community practices create value. Journal of Marketing, 73(5), 30–51. DOI: 10.1509/jmkg.73.5.30

Servon, L, J. (2002). Bridging the Digital Divide: Technology, Community, and Public Policy. Oxford: Blackwell Publishing. https://doi.org/10.1080/01972240490481072

Shah, S. S. (2024). Financial Inclusion and Digital Banking: Current Trends and Future Directions. PREMIER JOURNAL OF BUSINESS AND MANAGEMENT. https://doi.org/10.70389/PJBM.100002

Sutarto, J., & others. (2023). Analisis Strategi CSR Bank Indonesia dalam Membangun Hubungan Komunitas. Jurnal InterAct, 12(1), 48–60. https://doi.org/10.25170/interact.v12i1.4426

Umar, A. M., & Wachiko, B. (2021). Tara Yamane (1967), Taro Yamane Method For Sample Size Calculation. The Survey Causes Of Mathematics Anxiety Among Secondary School Students In Minna Metropolis. Mathematical Association Of Nigeria (Man), 46(1), 188. DOI: 10.4236/ce.2013.42014

van Dijk, J. (2005). The Deepening Divide: Inequality in the Information Society. SAGE Publications.




DOI: https://doi.org/10.24198/jkk.v13i1.61278

Refbacks

  • There are currently no refbacks.


Bookmark and Share


Copyright (c) 2025 Safaruddin Husada

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.

Jurnal Kajian Komunikasi Indexed by:

 

Editorial Office of Jurnal Kajian Komunikasi:

Faculty of Communication Science, Universitas Padjadjaran
Jl. Raya Bandung-Sumedang Km. 21 Jatinangor, Sumedang 45363, Indonesia
WA: +6282316731181 (Chat Only)

Telephone: +62227796954
Faxmile: +62227794122
E-mail: jurnal.kajian.komunikasi@unpad.ac.id

 site stats View My Stats

Jurnal Kajian Komunikasi Supervised by: