A0357
Title: Determinants of adoption of robo-advisory in banking services
Authors: Witold Orzeszko - Nicolaus Copernicus University in Torun (Poland) [presenting]
Dariusz Piotrowski - Nicolaus Copernicus University (Poland)
Abstract: Robo-advisory is an example of the use of artificial intelligence technology in the area of finance. The current significance of robo-advisory to the financial sector is minor or marginal and boils down to formulating recommendations and implementing investment strategies. The ongoing digital transformation of the economy leads us to believe that this technology will be more widely used shortly with banking products. The aim is to identify factors significantly influencing bank customers' intention to use robo-advisory. Poland, a country where the banking services market is one of the largest and most developed in Central and Eastern Europe, is covered. Primary data was obtained through a survey conducted on a representative sample of 911 respondents aged 18-65. Using a multilevel ordered logit model and methods based on machine learning algorithms, the authors identified variables relating to the demographic and socio-economic characteristics, behaviours, and attitudes of consumers that primarily determine respondents' adoption of robo-advisory. The practical aspect of the work takes the form of recommendations formulated based on the results that can be used in the implementation of robo-advisory by the banking sector.
