Digitization Strategies on Performance of Commercial Banks in Kenya

  • Martin Maiyo
  • Patricia Kungu
Keywords: Digitization Strategies, Bank Performance, Costs Management, Bank Security, Education


The study's overarching goal looked at the impact of Kenyan commercial banks' digitization policies on their performance. The financial industry has been undergoing technological advancements which effectively hinders their ability to cope with market forces which threaten their profitability and growth, financial inclusivity, competitiveness and survival. Kenyan commercial banks are in the process of executing various digitization strategies to enable them fight against increased competition and new market demands hence each individual bank has to provide services that meets these needs. The study provides an analysis and evaluation of the influence of education level on performance, influence of cost of services on performance, the influence of users’ age and gender on performance and to establish the effect of customers’ security concerns on performance of commercial banks in Kenya. The data was examined using descriptive statistics, and the connection between the independent variables of education, age, cost, and security concerns and the dependent variable of success assessed using linear regression analysis. For ease of comprehension, data was presented as frequency tables, bar graphs, and pie charts. According to the findings, cost and security concerns was an important factor with a substantial impact and positive influence on digitization strategies that influence performance of commercial banks in Kenya. Moreover, the findings revealed that education, age and gender of customers did not have a tremendous impact on the performance of Kenyan commercial banks though adoption of digitization. This was evident from the results showing that both male and female customers from all ages are well educated to understand the convenience of digital banking and prefer using digital platforms to transact. The study concluded that through digitization strategies, education, age, gender, cost and security concerns enhanced performance in Kenyan commercial banks. The research revealed that commercial banks, through their leadership, appreciate digitization strategies to boost performance through adoption of cost effective and secure platforms that target banking products targeting age and gender. The commercial banks should ensure that their digital platforms are well secured, cost effective and well marketed to their customers of all ages who clearly understand the importance of these platforms.

Author Biographies

Martin Maiyo

Graduate Fellow, School of Business, Strategic Management, Kenyatta University, Kenya

Patricia Kungu

Senior Lecturer, School of Business, Finance, Kenyatta University, Kenya

How to Cite
Maiyo, M., & Kungu, P. (2022). Digitization Strategies on Performance of Commercial Banks in Kenya. International Journal of Business Management, Entrepreneurship and Innovation, 4(3), 1-11. https://doi.org/10.35942/jbmed.v4i3.267