Factors affecting the adoption of mobile payment services during the COVID-19 pandemic: an application of extended UTAUT2 model

Abstract

Purpose This study aims to investigate the antecedents of behavioral intention and actual usage of mobile payment (m-payment) services during the COVID-19 pandemic among Indian consumers. Design/methodology/approach The proposed research model of this study is based on the extended framework of the Unified Theory of Acceptance and Use of Technology (UTAUT2) by using two additional variables, namely, perceived security (PS) and perceived trust (PT). In total, 436 sample respondents are chosen from Indian consumers with experience using m-payment services through the online survey method. The data analysis and proposed hypothetical relationships were tested using confirmatory factor analysis and structural equation modeling techniques. Findings The results confirm that performance expectancy, effort expectancy, facilitating conditions, PS, PT, habit and price value are antecedents of consumer intention toward adopting m-payment services. Furthermore, behavioral intention significantly influences the actual usage of m-payment services during the COVID-19 pandemic. Research limitations/implications Though the impact of COVID-19 has been observed during the research period in getting responses from m-payment service users, the constructs used in the study are confined to the UTAUT2 model, and dimensions related to COVID-19 are not directly included in the measurement scale. The study’s findings propose valuable insights for service providers and policymakers. Practical implications This study’s results offer valuable insights to the service providers and policymakers to achieve the Government of India digital India objective of “Faceless, Paperless and Cashless” transactions. Originality/value This study’s results contribute to extending the empirical research literature on m-payment as antecedents of behavioral intention toward the adoption of m-payment services during the COVID-19 pandemic. Furthermore, this study assumes important interrelationships among UTAUT2 constructs with the additional incorporation of PS and PT.