Understanding Perceived Risks in Proximity Mobile Payment Adoption in South Africa and the Mediating Effect of Perceived Value

The purpose of this study is to empirically test the relationship between perceived risk factors and adoption of proximity mobile payments, and to explore the mediating effect on perceived value. Using a descriptive research design, an online self-administered questionnaire was used to collect data from 297 users of proximity mobile payments in South Africa. Confirmatory factor analysis using Amos version 27 was used to analyse the data. The assessment of the path coefficients indicates a statistically significant relationship between psychological insecurity and adoption of proximity mobile payments. Further analysis indicated that perceived value fully mediates the relationship between psychological insecurity and adoption of proximity mobile payments. To the best knowledge of the author, this study is the first to provide empirical evidence of the mediating effect of perceived value on the relationship between perceived risk factors and adoption of proximity mobile payments in an emerging economy. Therefore, the study makes valuable contributions to academicians and practitioners in quest for safe proximity mobile payment apps. Keywords Perceived risks adoption intention, proximity mobile payments, perceived value theory JEL Classifications:  M31, L81 DOI: https://doi.org/10.32479/irmm.1181

Consumers' adoption and continuance intention to use mobile payment services

The African continent continues to register an increase in the uptake of smartphones and other personal digital assistants, all of which are capable of making mobile payments. Consequently, mobile payment service providers continue to hold optimistic views about the future of mobile payments. Despite the proliferation of smartphone adoption in African countries, little is known about the factors that influence the adoption and continued use of the novel technology such as mobile payment services, particularly in developing countries such as South Africa. Although there are growing research streams in this regard, there have been conflicting reports, inconsistencies and contradictions in previous research findings that need to be explained. In particular, there is growing research examining factors that predict the adoption and continuance intention to use new technologies such as mobile payment services. These studies are predominantly Western-based. Not much research has been extended to the African continent to determine how generalisable the results are to a wider context. Due to cultural, social and economic differences, Western theories may not be equally applicable in developing countries. This calls for more research to validate and continuously update and streamline Western theories in developing countries. The primary purpose of this study is to determine the predictors of the adoption and continuance intention to use mobile payment services. The study uses a three-step approach. First, the study tests the ability of the modified technology readiness index (TRI) to predict adoption, and also tests the moderating effect of gender on the predictors of the adoption of mobile payment services. Second, the study tests the applicability and ability of the extended expectation-confirmation model, in the context of information technology (E-ECM-IT), to predict continuance intention to use mobile payment services. The moderating effect of gender on the predictors of continuance intention is also examined. After the validation of the two models, a synthesised model of the TRI and the E-ECM-IT is proposed to predict both adoption and continuance intention in a single study – a novel perspective not covered in depth thus far in existing research. Data were collected from a convenience sample by using an online South African consumer panel of an international research firm that was contracted to collect data for analysis. A total of 416 respondents were sampled, comprising consumers aged 18 years and older who owned a credit card and who had downloaded a mobile payment application (‘app’) at the time of the survey. The sampling units were taken from all nine provinces of South Africa. A self-administered online questionnaire with seven-point Likert scales was used to obtain information pertaining to their adoption and continuance intention to use mobile payment services. First, the study used multiple regression analysis to test the hypotheses set to measure adoption of mobile payment services, grounded in the modified TRI, and to examine the moderating effect of gender on the predictors. Second, a partial least squares-structural equation modelling (PLS-SEM) approach was employed to predict continuance intention, in which the moderating effect of gender was also examined. Third, a structural equation modelling (SEM) was employed to validate the proposed integrated model, measuring both adoption and continuance intention. This study found the main adoption drivers to be convenience and compatibility. The key barriers to adoption include insecurity, perceived cost, and perceived risk. Contrary to previous reports, this study found that optimism, innovativeness and discomfort are not significant predictors of the adoption of mobile payment services. The results of the regression analysis show that the drivers of mobile payment services are more important to consumers than inhibitors in influencing adoption. It is therefore recommended that service providers focus more on the convenience and compatibility of mobile payments to enhance adoption levels. Of the eight predictors tested in this study, the results reveal that gender only moderates the effect of convenience on the adoption of mobile payment services. With regard to continuance intention, the majority of the hypothesised paths were confirmed except one: the relationship between perceived ease of use and continuance intention. Although not expected in this study, this result corroborates findings of other previous studies in the literature that suggest that the impact of ease of use on continuance intention to use any new technology is lessened as users gain more experience in using that technology. The results suggest that the expectation confirmation model in the context of information technology (ECM-IT) could be an alternative model to the E-ECM-IT to predict continuance. This is because the ECM-IT does not include perceived ease of use as a post-adoption antecedent to predict continuance intention. Thus, the results underscore the importance of re-testing and validating Western models in the African context. Satisfaction remains the most significant predictor of continuance intention. Therefore, service providers must focus more on customer satisfaction by avoiding transaction and billing errors or security breaches, among other factors, to enhance continued use. The moderating effect of gender on predictors of continuance intention was also examined, and results show that gender does not play a significant moderating role.Thesis (PhD)--University of Pretoria, 2018.Marketing ManagementPhDUnrestricte

Understanding perceived risks in proximity mobile payment adoption in South Africa and the mediating effect of perceived value

The purpose of this study is to empirically test the relationship between perceived risk factors and adoption of proximity mobile payments, and to explore the mediating effect on perceived value. Using a descriptive research design, an online self-administered questionnaire was used to collect data from 297 users of proximity mobile payments in South Africa. Confirmatory factor analysis using Amos version 27 was used to analyse the data. The assessment of the path coefficients indicates a statistically significant relationship between psychological insecurity and adoption of proximity mobile payments. Further analysis indicated that perceived value fully mediates the relationship between psychological insecurity and adoption of proximity mobile payments. To the best knowledge of the author, this study is the first to provide empirical evidence of the mediating effect of perceived value on the relationship between perceived risk factors and adoption of proximity mobile payments in an emerging economy. Therefore, the study makes valuable contributions to academicians and practitioners in quest for safe proximity mobile payment apps.https://econjournals.com/index.php/irmmam2022Marketing Managemen

Understanding proximity mobile payments adoption in South Africa : a perceived risk perspective

Although existing literature claims that consumers are ready for proximity mobile payments, the reality is that adoption is still low in South Africa. Service providers’ attempts to translate this potential into profi t is hindered by consumers’ perception of risks associated with proximity mobile payments. The purpose of this study was to investigate the perceived risk dimensions as possible inhibitors of proximity mobile payment adoption, as well as to investigate the role of gender diff erences, drawing from the perceived risk and push-pull theories. Using a convenience sample, data was collected from South African smartphone users, from whom 284 valid online surveys were obtained. The standard regression analysis reveals that fi nancial-security and performance risk are predictors of proximity mobile payment adoption, and that product risk is not a signifi cant predictor, at least in the South African context. The fi ndings also reveal that both genders feel more or less the same about the infl uence of risk factors on the adoption of mobile proximity payments, except for performance risk. The results also show that females are more concerned about the performance of proximity mobile payments than males. The study provides tangible insights that service providers and marketers can use to guide application development and communication with consumers. A contribution is also made to the limited empirical research on the infl uence of proximity mobile payment risks on adoption during crisis times.http://www.wz.uw.edu.pl/portale/journal-of-marketing-and-consumer-behaviour-in-emerging-marketsam2022Marketing Managemen

An integrated framework for the adoption and continuance intention to use mobile payment apps

PURPOSE : The purpose of this paper is to develop and test an integrated model of the modified technology readiness index (TRI) with the extended expectation-confirmation model, in the context of information technology (E-ECM-IT) to explain the adoption and the intention to continue to use mobile payment applications (apps). DESIGN/METHODOLOGY/APPROACH : Data were collected from 426 users of mobile payment apps across South Africa. A confirmatory factor analysis was performed to validate the factor structure of the measurement items while structural equation modelling was employed to validate the proposed model and testing the hypotheses. FINDINGS : The overall model explained 81 per cent of variance in adoption and 78.5 per cent in the intention to continue to use mobile payment services. “Drivers” were better predictors of adoption than “inhibitors” while satisfaction emerged as the strongest predictor of continuance intentions. ORIGINALITY/VALUE : To the best knowledge of the authors, this study is the first to empirically test an integrated modified TRI and E-ECM-IT model to supplement the paucity of research on the topic. The results show that the integrated model provides an enhanced way to understand the factors that influence adoption and continuance intention towards mobile payment apps. The results also add to existing knowledge of mobile technology literature.https://www.emeraldinsight.com/loi/ijbmhj2019Marketing Managemen

The role of perceived value of information disclosure on gaming motives and mobile game play

DATA AVAILABILITY : Data are available upon request from the corresponding author Y.J.BACKGROUND : Growing smartphone penetration rates and the development of mobile games are some of the factors driving the mobile game market. Because mobile gaming collects personal information, it is imperative to understand the information trade-off. This study fills the gap of how perceived levels of value during information disclosure impact gameplay motivators of mobile game adoption. OBJECTIVES : The main objective of the study was to investigate the moderating role of perceived value of information disclosure on the relationship between mobile gaming motivators and the intention to play mobile games. METHOD : A self-administered online survey was promoted by means of online advertisements on Facebook and Instagram to collect data from 477 mobile game players in Africa and Asia. Analysis of moment structures (AMOS) was used to conduct invariance testing and moderation analyses. RESULTS: The results of the study revealed that the perceived value of information disclosure moderated the relationship between social influence and the intention to play mobile games. CONCLUSION : This study highlights the importance of managing information disclosure by increasing the perceived benefits of mobile gaming as this will minimise the effect of social influence on the intention to play mobile games CONTRIBUTION: This study contributes to mobile gaming literature by exploring mobile gaming behavioural patterns that can assist game developers to influence the way people exchange their personal information when engaging in mobile gameplay. Practically, understanding when a game will deliver enough value to drive gaming behaviour is required to effectively develop and implement mobile gaming strategies.http://www.sajim.co.zaam2024Marketing ManagementNon

Determinants of mobile gaming need satisfaction in South Africa

Mobile gaming is one of the fastest growing industries in the world and is playing a significant role in the entertainment industry, yet not much is known about the psychological drivers of mobile gaming need satisfaction. The purpose of this study was to explore how mobile gamers are inherently drawn to play games enthusiastically. Understanding the psychological game need satisfaction would be invaluable to game developers to develop mobile games that smartphone users will actually play. The study adopted a quantitative approach and descriptive research, using a non-probability convenience and snowball sampling technique. A self-administered questionnaire was distributed to 307 adult consumers who had downloaded a mobile game application at the time of the survey. The results of the Structural Equation Modelling (SEM) suggest that enjoyment is the most significant predictor of mobile gaming need satisfaction, followed by gaming facilitating conditions, while personal gratification and effort expectancy are insignificant factors. Mobile gaming developers can improve mobile gaming need satisfaction by developing mobile games that are satisfying and that enhance enjoyment through improved game features pertaining to novelty, design and competence. This study is one of the first in a developing economy to address the unexplored relationships between variables drawn from different theoretical frameworks within the context of mobile gaming, contributing to understanding mobile game need satisfaction through smartphones that are already well-integrated into users’ lifestyles.https://retailandmarketingreview.co.zaam2022Marketing Managemen

Management of mobile online customer reviews to enhance customer satisfaction in the higher education sector

The purpose of this study was to test the relationship between the independent variables (responsiveness, credibility, reliability, commitment, and empathy) and the dependent variable in the study (satisfaction). A cross sectional quantitative survey was undertaken to uncover students’ perceptions of online customer reviews and to explore the factors that influence how managers respond to these students’ online reviews through the lens of the social exchange and the justice theories. Data from 244 respondents were collected through an online survey. Structural equation modelling was used to test the hypotheses and to investigate gender differences in satisfaction with online customer reviews. Results indicated that the strongest predictor of customer satisfaction is commitment, followed by empathy. Responsiveness, reliability, and credibility factors were found to be insignificant in influencing customer satisfaction in an education context. No significant differences existed between men and women with regard to any of the contributing factors relating to satisfaction with online customer reviews. Thus, the study provides information that can potentially influence managers of higher education institutions to invest in open communication channels and platforms that effectively engage students, thereby creating positive experiences. Positive experiences culminate in customer satisfaction.https://retailandmarketingreview.co.zaMarketing ManagementSDG-04:Quality EducationSDG-09: Industry, innovation and infrastructur

Exploring technology readiness for mobile payment app users

The study aims to better understand the various technology readiness segments by assessing how their readiness relates to demographics variables and their adoption, attitude, ease-of-use, usefulness and continuance intention to use mobile payment apps using the technology readiness index. Using a convenience sample of 416 from a consumer panel, a two-step cluster analysis shared similarities with three of the original technology readiness segments (pioneers, paranoids and explorers) while the other two segments clustered together into a fourth segment, hesitant-sceptics. The results indicate that South African mobile users are ready to use mobile payment applications, with the ‘explorer’ emerging as the best segment to target due to optimism levels, while the hesitant-sceptic segment represent the key to unlocking the real potential value of mobile payment apps. Understanding different segments provides marketers with the opportunity to select viable segments and to customise strategies to increase uptake and continued use according to customer needs.https://www.tandfonline.com/loi/rirr202020-12-17hj2019Marketing Managemen

The role played by gender, household income and age in factors contributing to consumers’ attitudes towards short message service advertisements

The exponential growth in the use of mobile phones has seen companies investing heavily in mobile marketing to exploit the advertising opportunities presented by this medium. This study investigated the role that gender, household income and age play with regard to factors contributing to the attitudes of consumers towards SMS advertisements. The contributing factors reviewed in this study are content appeal, perceived personalisation, interactivity of SMS advertisements, attitudes towards advertising in general, consumers’ innovativeness, perceived consumer knowledge, perceived control, fear of spamming, perceived incentives and locationbased advertising. A convenience sample was drawn from staff and students of three private institutions of higher learning. The findings indicate that gender, household income and age tend to affect consumers’ attitudes towards SMS advertisements. More specifically, of all the contributing factors, household income emerged as the most significant differentiator.am2015Marketing Managemen