Gen Z's Cashless Behavior: How QRIS Moderating Digital Financial Literacy and Spending Behavior Affects on E-Wallet Utilization?

Abstract

E-Wallet, one of the mobile payment systems, has continued to dominate Indonesia since 2017. Besides e-wallets, QRIS occurrence in 2020 is also estimated as a critical factor in e-wallets’ successes. Generation Z supported this condition as a digital native and was labeled the most technologically savvy generation. That is why e-wallets, along with QRIS was predicted as the best solution for Gen Z’s demand. Nevertheless, this easiness could lead to lousy spending behavior if not accompanied by excellent digital financial literacy. This study aims to determine how digital financial literacy and spending behavior affect e-wallet utilization moderated by QRIS Barcode. Structural equation models using SMART PLS 3.0 are used for analyzing 403 samples of Generation Z in Malang City. The result showed that digital financial literacy positively affected e-wallet utilization. In contrast, spending behavior does not affect e-wallet utilization on offline payment transactions. Subsequently, the QRIS barcode has a negative correlation with digital financial literacy and spending behavior interaction with e-wallet utilization. Hence, QRIS was determined as a quasi moderator.
 Keywords: digital financial literacy, spending behavior, QRIS barcode, Generation Z