Consumer perceptions and intentions to adopt mobile payments: insights into generational differences

Abstract

Mobile payment is a payment option that has grown in popularity in the past years, and it is expected to continue to grow in the coming years. However, other payment methods are still more popular in many countries and therefore there is a need to understand consumers’ perceptions and intentions to adopt mobile payments. The aim of this thesis is to investigate the drivers and barriers that Finnish consumers perceive regarding mobile payments, as well as their future intentions, and the impact of Covid-19. Furthermore, the purpose is to identify the differences in perceptions and intentions of mobile payments between younger and older consumers. The research model is mainly based on the Diffusion of Innovation theory developed by Rogers (2003), as well as previous research regarding consumer adoption of mobile payments. The data presented in the thesis was collected through an online questionnaire in Finland and 242 respondents answered the questionnaire. The responses were analyzed with the help of descriptive statistics and non-parametric statistical tests, and the open-ended question was analyzed using a simple thematic analysis method. The results of the study suggest that the perceived drivers to adopt mobile payments are relative advantage, compatibility, and observability, while security is both a driver and a barrier. Furthermore, the results indicated that there are clear generational differences in the perceptions and intentions of mobile payments. The findings also suggest that most respondents intend to use mobile payments in the future, and that the Covid-19 pandemic did not heavily impact the respondents’ payment behavior. The limitations of the study include sample skewness towards female respondents and adopters of mobile payments, compared to the total Finnish population.