Exploring mobile wallet adoption in Indonesia using UTAUT2: An approach from consumer perspective

Abstract

In past few years, mobile wallet took spotlight as alternative of existing payment solution in many countries such as USA, South Korea, Germany and China. Although considered as one of the most convenient payment, mobile wallet only claimed 1% from total electronic payment transaction in Indonesia. The aim of this study is to identify the behavior and user acceptance factors of mobile wallet technology. Online survey was conducted among 372 respondents to test hypothesis based on UTAUT2 model. Respondents consisted of 61.29% of male and 38.71% of female with age proportion was dominated by age group of 20's of 78.76%. In addition, 50.81% of respondents never used mobile wallet before and 49.19% of respondents have ever used mobile wallet. Data obtained were confirmed using confirmatory factor analysis and analyzed using structural equation model. The study found that habit was the factor that most strongly affected individual behavioral intention to use mobile wallet in Indonesia, followed by social influence, effort expectancy and hedonic motivation. The findings of this research for management can be used as consideration for making product decision related to mobile wallet. Further study is needed, as mobile wallet is still in early stage and another factor beside UTAUT2 should be considered in the study.