Digital transformation of retail banking in the United Arab Emirates

Purpose This paper aims to study, understand and elucidate the digital transformation of retail banks in the UAE, and to identify its key components and their interrelationship. The paper further proposes theoretical and executive directions of international worth and application, particularly in Asian countries of comparable business contexts. Design/methodology/approach A quantitative study design was used using an online instrument, with a sample size of 367 respondents from the UAE, comprising retail banking professionals and customers. A conceptual model capturing the responses was developed to measure their impact on the dependent variable, and variance-based structured equation modeling was used. Findings The five independent variables of customer experience, service quality, automation, digital skills and regulation were measured through the literature survey. The results cleared the accuracy threshold, and eight hypotheses were found to be significant in delineating and explicating the variables’ direct and indirect associations. Originality/value The study presents new and original data that expand and refine our knowledge on the fast-evolving topic of digital transformation of retail banks. The findings offer both theoretical advancements and practicable directions, which focus on the UAE, and highlight substantial differences to generic international research. They further and inexorably build a solid foundation for scientific and executive application in the wider region and beyond.