Consumer Adoption of Proximity Mobile Payment: An Empirical Cross-Cultural Study

Abstract

The use of Proximity Mobile Payment (PMP) applications with several advantages over traditional payment methods is becoming more common. While a large diffusion of PMP is already apparent in South Korea, Germany is still lagging behind. The study examines the acceptance factors regarding the intention to use PMP in the mentioned countries to understand this divergence. A research model was developed to explain the behavioral intention, with an extensive literature analysis. An online survey was conducted, 186 Germans and 146 South Koreans participated the research. Results show that in both countries perceived usefulness, perceived risk, perceived compatibility, and personal innovativeness are the factors that determine the individuals' intention to use PMP. In addition, the social influence has an impact on the intention only in Germany, while the factors perceived ease of use and trust had no influence in both countries. Lastly, the influence of factors perceived compatibility and social influence on intention varies due to cultural differences. The study provides theoretical and managerial implications as well as an insight for further research.

ANALISIS PERCEIVED USEFULNESS DAN PERCEIVED EASE OF USE TERHADAP MINAT MENGGUNAKAN MOBILE PAYMENT (Studi pada Pengguna Aplikasi Pembayaran OVO)

“…Mobile payments often referred to as mobile wallets, mobile money transfers, contactless payments, or proximity payments are the fastest growing segment of mobile marketing (Jung et al, 2020). Mobile payments (MP) are non-cash payment methods based on the use of smartphones or other mobile devices such as tablets (Fugl & Kocagoz, 2022;Handarkho & Harjoseputro, 2020;Dahlberg et al, 2008). Mobile payment (m-payments) is seen as a platform in finance with a wider technology (fintech) ecosystem (Kauffman & Ma, 2015) Milian et al, 2019).…”