Title: Why consumers adopt mobile payment? A partial least squares structural equation modelling (PLS-SEM) approach

Authors: Aik-Chuan Teo; Garry Wei-Han Tan; Keng-Boon Ooi; Binshan Lin

Addresses: Faculty of Business and Finance, Universiti Tunku Abdul Rahman, Jalan Universiti, Bandar Barat, 31900 Kampar, Perak, Malaysia ' Faculty of Business and Finance, Universiti Tunku Abdul Rahman, Jalan Universiti, Bandar Barat, 31900 Kampar, Perak, Malaysia ' Faculty of Business, Management and Accountancy, Linton University College Persiaran UTL, Bandar Universiti Teknologi Legenda, Batu 12, 71700 Mantin, Negeri Sembilan, Malaysia ' Business School, Louisiana State University in Shreveport, Shreveport, LA 71115, USA

Abstract: As mobile payment (m-payment) is critical to the success of mobile commerce, the research incorporates the unified theory of acceptance and use technology (UTAUT) with trust (TR), perceived financial cost (PFC), and the moderating variable of experience to understand the adoption intention. A total of 319 valid questionnaires were collected and subsequently analysed using Partial Least Squares Structural Equation Modelling (PLS-SEM) approach. The results demonstrated that only performance expectancy (PE), effort expectancy (EE), facilitating conditions (FC), and trust (TR) are significant with the intention to adopt. In addition, experience was found to have a moderating effect on the relationship between PE and intention. As there is limited UTAUT-based research conducted on m-payment, the paper is among the few that attempts to extend the model from a multi-religion and multi-ethnic perspective. The findings will enable mobile stakeholders to understand the rationale behind the use of service leads to higher acceptance.

Keywords: mobile payment; m-payment adoption; UTAUT; technology acceptance; PLS; SEM; partial least squares; structural equation modelling; adoption intention; Malaysia; mobile communications; mobile commerce; m-commerce; trust; perceived financial cost; experience; performance expectancy; effort expectancy; facilitating conditions.

DOI: 10.1504/IJMC.2015.070961

International Journal of Mobile Communications, 2015 Vol.13 No.5, pp.478 - 497

Received: 24 Mar 2014
Accepted: 24 Jul 2014
Published online: 04 Aug 2015 *

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