The Effects of Perceived Ease of Use, Security, and Promotion on Trust and Its Implications on Fintech Adoption
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Accepted
31 August 2020
Published
31 August 2020
Keywords:
-
fintech, perceived ease of use, promotion, security, trust
Abstract
The advancement of mobile devices and their usage has increased the uptake of fintech innovation. These new technologies should provide ease of use and give advantages to their customers. On the other side, mobile application security threats have increased tremendously and have become a great challenge for both users, in this case, as customers, and fintech innovators. Meanwhile, service should be promoted to the customers to establish fintech's brand to society. This research empirically examined the components affecting the expectations of users to adopt fintech. By collecting 100 samples who have already used a couple of brands of Fintech and Sakuku as their payment method, and by utilizing Structural Equation Modeling- Partial Least Square (SEM-PLS) as the technique of analysis, the empirical results definitely confirmed that perceived ease of use (PEOU) and promotion positively and significantly affected the customer trust. Meanwhile, security did not significantly affect trust. The finding also implied that in order to increase the fintech adoption rate, customer trust should be built.
References
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Pavlou, P. A., & Gefen, D. (2004). Building effective online marketplaces with institution-based trust. Information Systems Research, 15(1), 37–59. https://doi.org/10.1287/isre.1040.0015
Raman, A., & Annamalai, V. (2011). Web services and e-shopping decision: a study on Malaysia e-consumer. International Journal of Computer Applications, 2, 54-60.
Shao, Z., Zhang, L., Li, X., & Guo, Y. (2019). Antecedents of trust and continuance intention in mobile payment platforms: The moderating effect of gender. Electronic Commerce Research and Applications, 33, January–February. doi: https://doi.org/10.1016/j.elerap.2018.100823
Simanjuntak, M., Putri, N. E., Yuliati, L. N., & Sabri, M. F. 2020. Enhancing customer retention using customer relationship management approach in car loan bussiness. Cogent Business & Management, 7(1), 1738200. https://doi.org/10.1080/23311975.2020.1738200
Simanjuntak, M., Nur, H.R., Sartono, B., Sabri, M.F. (2020). A general structural equation model of the emotions and repurchase intention in modern retail. Management Science Letters. 10 (4) : 801-814. DOI: 10.5267/j.msl.2019.10.017
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Tariq, K. M. (2014). The concept of marketing mix and its elements. International Journal of Information, Business and Management, 6(2), 95–107. ISSN 2076-9202.
Tri, R. (2019, October 4). Losing to gopay and ovo, debit card transactions decline. Tempo.co. Retrived from https://bisnis.tempo.co/read/1255596/kalah-dengan-gopay-dan-ovo-transaksi-kartu-debit-merosot/full&view=ok
Wahyoedi, S., (2017). The effect of religiosity, service quality, and trust on customer loyalty in islamic banking in Bogor Indonesia. International Review of Management and Business Research, 6(1), 331-340.
Warjiyono, A. S., Fandhilah, H. N., Faqih, H., & Liesnaningsih. (2019). The Sentiment Analysis of Fintech Users Using Support Vector Machine and Particle Swarm Optimization Method. 7th International Conference on Cyber and I.T. Service Management, CITSM.
Widiastuti, I. (2018). Principles of Bank Confidentiality on customer data in related financial technology, Justitia Jurnal Hukum, 2(2), 390-402. E-ISSN: 2579-6380.
Widyastuti, D. A., & Anggraeni, K. (2017). Effect of Ease (Perceives Ease of Use) on Re-Interest in Application Use. Universitas Bakrie (Unpublish). Retrieved from http://repository.bakrie.ac.id/id/eprint/1286.
Yuliati, L. N., Dradjat, H. A., & Simanjuntak, M. (2020). Online bike: Role of perceived technology, perceived risk, and institution-based trust on service usage via online trust. Cogent Business & Management, 7(1), 1798067. https://doi.org/10.1080/23311975.2020.1798067
Anjelina, A. (2018). Consumer perception on e-money usage. Journal of Applied Managerial Accounting, 2(2), 219-231. https://doi.org/10.30871/jama.v2i2.934
Ardela, F. (2017). Tengok dulu perkembangan fintech di Indonesia. Retrieved, from https://www.finansialku.com/
[BI] Bank Indonesia. (2018). Inclusive Finance in Indonesia - Central Bank of the Republic of Indonesia. Retrieved May 4, 2019, from https://www.bi.go.id/
Cao, X., Yu, L., Liu, Z., Gong, M., & Adeel, L. (2018). Understanding mobile payment users' continuance intention: a trust transfer perspective. Internet Research, 8(2), 456-476. https://doi.org/10.1108/IntR-11-2016-0359
Carlin, B., Olafsson, A., & Pagel, M. (2019). FinTech Adoption Across Generations: Financial Fitness in the Information Age. Paper presented at AEA Annual Meeting 2019, Atlanta, United States.
Chandra, Y. U., Kristin, D. M., Suhartono, J., Sutarto, F. S., & Sung, M. (2019). Analysis of determinant factors of user acceptance of mobile payment system in indonesia (a case study of go-pay mobile payment). Proceedings of 2018 International Conference on Information Management and Technology, ICIMTech 20188 November 2018, Article number 8528182, Pages 454-459
Chau, K .P. Y., & Lai, K. V. S. (2003). An empirical investigation of the determinants of user acceptance of internet banking. Journal of Organizational Computing and Electronic Commerce, 13(2), 123-145.
Davis, F. D. (1989). Perceived usefulness, perceived ease of use, and user acceptance of information technology. MIS Quarterly, 13(3), 319-340. DOI: 10.2307/249008
Farida, I., Tarmzi, A., & November, Y. (2016). Analysis of the effect of 7p marketing mixed on customer satisfaction online gojek user. Journal of Management and Business Research, 1(1), 31-40. ISSN: 2527-7502.
Fost, J., (2020). The Economic Forces Driving Fintech Adoption Across Countries. Bank for International Settlements. Retrieved from https://www.bis.org/publ/cmtpubl.htm?m=5%7C28
Gefen, D., Karahanna, E., & Straub, D. W. (2003). Trust and TAM in online shopping: an integrated model. MIS Quarterly, 27(1), 51–90. DOI: 10.2307/30036519
Grabosky, P., Duffield, G., & Graycar, A. (2001). Red Flags of Fraud in crime and criminal justice.
Hair, J. F., Hult, G. T. M., & Ringle, C. M. (2014). A primer on partial least squares structural equation modelling (PLS-SEM). Thousand Oaks: Sage.
Heryani, I.I.P., Simanjuntak, M., & Maulana, A. (2020). Perilaku penggunaan internet banking sebagai alat transaksi finansial behavioral usage of internet banking as financial transaction tool. Jurnal Aplikasi Manajemen dan Bisnis, 6 (1) : 86-95. http://dx.doi.org/10.17358/jabm.6.1.86
Hsu, C. L, & Lin, J. C. C (2015). Effect of perceived value and social influences on mobile app stickiness and in-app purchase intention. Technological Forecasting and Social Change, Elsevier 108, 42-53. DOI: 10.1016/j.techfore.2016.04.012.
https://doi.org/10.1207/S15327744JOCE1302_3
https://ssrn.com/abstract=3368133 or http://dx.doi.org/10.2139/ssrn.3368133
https://www.aeaweb.org/conference/2019/preliminary/paper/rNa4i8Y3
Hu, Z., Ding, S., Li, S., Chen, L., Yang, S., (2019). Adoption intention of fintech services for bank users: An empirical examination with an extended technology acceptance model. Symmetry, 11(3), 340. DOI: 10.3390/sym11030340
IDN Financials. (2019). Morgan Stanley: R.I.'s digital payments may reach US$ 50 billion by 2027 – IDN Financials. Retrieved, from https://www.idnfinancials.com
Junger, M., & Mietzner, M. (2019). Banking Goes Digital: The Adoption of FinTech Services by German Households. Retrieved from SSRN
Kepuasan dan Kepercayaan Konsumen Online. Jurnal Siasat Bisnis, 16(1), 25-38.
Kinasih, B. S., & Albari, A. (2012). Pengaruh Persepsi Keamanan dan Privasi terhadap
Mention, L. A. (2019). The future of fintech. Research-Technology Management, 62(4), 59-63. https://doi.org/10.1080/08956308.2019.1613123
Meyliana, M. And Fernando, E. (2019). The Influence of Perceived Risk and Trust in Adoption of FinTech Services in Indonesia. CommIT, 13 (1), 31-37
Pavlou, P. A., & Gefen, D. (2004). Building effective online marketplaces with institution-based trust. Information Systems Research, 15(1), 37–59. https://doi.org/10.1287/isre.1040.0015
Raman, A., & Annamalai, V. (2011). Web services and e-shopping decision: a study on Malaysia e-consumer. International Journal of Computer Applications, 2, 54-60.
Shao, Z., Zhang, L., Li, X., & Guo, Y. (2019). Antecedents of trust and continuance intention in mobile payment platforms: The moderating effect of gender. Electronic Commerce Research and Applications, 33, January–February. doi: https://doi.org/10.1016/j.elerap.2018.100823
Simanjuntak, M., Putri, N. E., Yuliati, L. N., & Sabri, M. F. 2020. Enhancing customer retention using customer relationship management approach in car loan bussiness. Cogent Business & Management, 7(1), 1738200. https://doi.org/10.1080/23311975.2020.1738200
Simanjuntak, M., Nur, H.R., Sartono, B., Sabri, M.F. (2020). A general structural equation model of the emotions and repurchase intention in modern retail. Management Science Letters. 10 (4) : 801-814. DOI: 10.5267/j.msl.2019.10.017
Stewart, H., & Jürjens, J. (2018). Data security and consumer trust in FinTech innovation in Germany. Information and Computer Security, 26(1), 109–128. ISSN: 2056-4961. https://doi.org/10.1108/ICS-06-2017-0039
Tariq, K. M. (2014). The concept of marketing mix and its elements. International Journal of Information, Business and Management, 6(2), 95–107. ISSN 2076-9202.
Tri, R. (2019, October 4). Losing to gopay and ovo, debit card transactions decline. Tempo.co. Retrived from https://bisnis.tempo.co/read/1255596/kalah-dengan-gopay-dan-ovo-transaksi-kartu-debit-merosot/full&view=ok
Wahyoedi, S., (2017). The effect of religiosity, service quality, and trust on customer loyalty in islamic banking in Bogor Indonesia. International Review of Management and Business Research, 6(1), 331-340.
Warjiyono, A. S., Fandhilah, H. N., Faqih, H., & Liesnaningsih. (2019). The Sentiment Analysis of Fintech Users Using Support Vector Machine and Particle Swarm Optimization Method. 7th International Conference on Cyber and I.T. Service Management, CITSM.
Widiastuti, I. (2018). Principles of Bank Confidentiality on customer data in related financial technology, Justitia Jurnal Hukum, 2(2), 390-402. E-ISSN: 2579-6380.
Widyastuti, D. A., & Anggraeni, K. (2017). Effect of Ease (Perceives Ease of Use) on Re-Interest in Application Use. Universitas Bakrie (Unpublish). Retrieved from http://repository.bakrie.ac.id/id/eprint/1286.
Yuliati, L. N., Dradjat, H. A., & Simanjuntak, M. (2020). Online bike: Role of perceived technology, perceived risk, and institution-based trust on service usage via online trust. Cogent Business & Management, 7(1), 1798067. https://doi.org/10.1080/23311975.2020.1798067
Authors
Nangin M. A., Barus I. R. G., & Wahyoedi S. (2020). The Effects of Perceived Ease of Use, Security, and Promotion on Trust and Its Implications on Fintech Adoption. Journal of Consumer Sciences, 5(2), 124-138. https://doi.org/10.29244/jcs.5.2.124-138
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