What Explains the Adoption of Mobile Wallets? A Study from Merchants’ Perspectives

Abstract

The extant literature on mobile financial services indicates that the work on merchants’ adoption of mobile wallets is sporadic and under-researched. Taking into account the critical role of merchants in the mobile payment ecosystem, this study intends to study the factors that impact merchants’ intention to adopt mobile wallets. A comprehensive model combining the UTAUT model, TTF model, perceived trust, and price value was empirically tested using the PLS-SEM approach. The data was collected from 236 merchants in New Delhi, India. Among all the variables that are significant in impacting behavioral intention to use mobile wallets, the task-technology fit is the most important factor, followed by price value, perceived trust, performance expectancy, social influence, and facilitating conditions. Also, significant positive relationships were found between technology characteristics and task-technology fit, and task characteristics and task-technology fit. This study is an early attempt to elucidate merchants’ perspectives toward mobile wallets in India.

Acknowledgement

We are grateful to Guru Gobind Singh Indraprastha University and the Central University of Rajasthan for providing us with the infrastructure and opportunity to conduct our study.

Disclosure statement

The authors have no competing interests to declare that are relevant to the content of this article

Additional information

Notes on contributors

Shelly Gupta

Shelly Gupta is a research scholar at the Guru Gobind Singh Indraprastha University, India. She is pursuing her PhD in the field of information technology management. Her research interests focus on mobile financial services, information systems, financial inclusion and consumer behaviour.

Sanjay Dhingra

Sanjay Dhingra is a Professor at the Guru Gobind Singh Indraprastha University, India. He has to his credit 30 years of industry and teaching experience. He has published a good number of research papers in journals, and conference proceedings. His research interests focus on information technology management.

Santroop Tanwar

Santroop Tanwar is working on his doctoral thesis on “Trust and Risk in Affiliate Marketing: A Study of Consumers’ Perception” at the Central University of Rajasthan, India. He holds a Master’s degree in commerce from the University of Delhi. His research interest centres on social media marketing and e-commerce activities.

Radhika Aggarwal

Radhika Aggarwal completed her Mcom in Finance in 2016 from the University of Delhi. In 2017, she worked as an assistant professor for two years in SGTB Khalsa College, University of Delhi. She is currently a PhD Research Scholar at USMS, Guru Gobind Singh Indraprastha University, Dwarka, Delhi, India.