Beyond the Click: A Deep Dive into Factors Influencing Digital Paylater
(1) Universitas Semarang
(2) Universitas Semarang
(3) Universitas Semarang
(4) Universidade da Paz-Dili
(*) Corresponding Author
Abstract
This study explores key factors influencing Generation Z's intention to use digital pay-later services, focusing on perceived risk, ease of use, and financial technology (fintech) literacy. Specifically, it examines how perceptions of risk and ease of use affect usage intentions through the mediating role of fintech literacy. A quantitative research design and partial least squares (PLS) analysis were used to analyze survey data collected from Generation Z university students. The findings indicate that perceived ease of use significantly enhances intention to adopt digital pay-later services, whereas perceived risk demonstrates a more complex, indirect effect moderated by fintech literacy. Fintech literacy partially mediates the impact of both perceived risk and ease of use, highlighting the critical role of financial knowledge in fostering responsible digital pay-later adoption. These insights suggest that providers of digital pay-later services should focus on educational initiatives and design user-friendly products to meet the financial literacy needs of Generation Z consumers.
Keywords
Full Text:
PDFReferences
Afroze, D., & Rista, F. I. (2022). Mobile financial services (MFS) and digital inclusion – a study on customers’ retention and perceptions. Qualitative Research in Financial Markets, 14(5), 768–785. https://doi.org/10.1108/QRFM-06-2021-0095
Alhajjaj, H., & Ahmad, A. (2022). Drivers of the Consumers Adoption of Fintech Services. Interdisciplinary Journal of Information, Knowledge, and Management, 17, 259–285. https://doi.org/10.28945/4971
Alkadi, R. S., & Abed, S. S. (2023). Consumer Acceptance of Fintech App Payment Services: A Systematic Literature Review and Future Research Agenda. Journal of Theoretical and Applied Electronic Commerce Research, 18(4), 1838–1860. https://doi.org/10.3390/jtaer18040093
Almajali, D., Al-Okaily, M., Al-Daoud, K., Weshah, S., & Shaikh, A. A. (2022). Go Cashless! Mobile Payment Apps Acceptance in Developing Countries: The Jordanian Context Perspective. Sustainability (Switzerland), 14(20), 1–15. https://doi.org/10.3390/su142013524
Almeida, L., Chanoca, J., & Tavares, F. (2024). Financial Literacy: A Case Study for Portugal. Journal of Risk and Financial Management, 17(5). https://doi.org/10.3390/jrfm17050215
Amarnath, D. D., & Thimothy, S. J. (2024). Revolutionizing the Financial Landscape: A Review on Human-Centric AI Thinking in Emerging Markets. In Transforming the Financial Landscape With ICTs (p. 21). IGI Global. https://doi.org/10.4018/979-8-3693-1503-3.ch003
Anagreh, S., Al-Momani, A., Maabreh, H. M. A., Sharairi, J. A., Alrfai, M. M., Haija, A. A. A., Rahahle, M. Y., Alzyoud, M., Mohammad, A. A. S., & Al-Hawary, S. I. S. (2024). Mobile Payment and Digital Financial Inclusion: A Study in Jordanian Banking Sector Using Unified Theory of Acceptance and Use of Technology BT - Business Analytical Capabilities and Artificial Intelligence-Enabled Analytics: Applications and Challenges i. In A. M. A. Musleh Al-Sartawi, A. S. Aydiner, & M. Kanan (Eds.), Studies in Computational Intelligence (pp. 107–124). Springer Nature Switzerland. https://doi.org/10.1007/978-3-031-56015-6_8
Andespa, R., Yeni, Y. H., Fernando, Y., & Sari, D. K. (2024). A systematic review of customer Sharia compliance behaviour in Islamic banks: determinants and behavioural intention. Journal of Islamic Marketing, 15(4), 1013–1034. https://doi.org/10.1108/JIMA-06-2023-0181
Anwarul Islam, K. M., & Khan, M. S. (2024). The role of financial literacy, digital literacy, and financial self-efficacy in FinTech adoption. Investment Management and Financial Innovations, 21(2), 370–380. https://doi.org/10.21511/imfi.21(2).2024.30
Arora, P., Rupali, Sharma, N., & Singh, A. B. (2024). Impact of Social Media Influencer Credibility on M-Banking Acceptance: The Moderating Role of Financial Literacy. In D. Singh, G. Malik, & S. Aggarwal (Eds.), Transforming the Financial Landscape With ICTs. IGI Global. https://doi.org/10.4018/979-8-3693-1503-3.ch012
Asyik, N. F., Wahidahwati, & Laily, N. (2022). The Role of Intellectual Capital in Intervening Financial Behavior and Financial Literacy on Financial Inclusion. WSEAS Transactions on Business and Economics, 19, 805–814. https://doi.org/10.37394/23207.2022.19.70
Bai, R. (2023). Impact of financial literacy, mental budgeting and self control on financial wellbeing: Mediating impact of investment decision making. PLOS ONE, 18(11), e0294466. https://doi.org/10.1371/journal.pone.0294466
Belanche, D., Guinalíu, M., & Albás, P. (2022). Customer adoption of p2p mobile payment systems: The role of perceived risk. Telematics and Informatics, 72(June 2022). https://doi.org/10.1016/j.tele.2022.101851
Chand, K., Jangra, S., Singh, P. C., Tiwari, R. S., & Tiwari, R. (2023). Sustainability of Mobile Wallets in the Era of Low Cost Data Usage in India. In Anubha & H. Sharma (Eds.), Data-Driven Approaches for Effective Managerial Decision Making (pp. 102–126). IGI Global. https://doi.org/10.4018/978-1-6684-7568-3.ch005
Chopra, P., Verma, P., Lamba, R., & Bedi, M. (2024). Modeling the Predictors of M-Payments Adoption for Indian Rural Transformation. Interdisciplinary Journal of Information, Knowledge, and Management, 19. https://doi.org/10.28945/5381
Costa, M., Au-Yong-Oliveira, M., & Moreira, A. (2024). Fintech: Evidence of the Urgent Need to Improve Financial Literacy in Portugal. Administrative Sciences, 14(5). https://doi.org/10.3390/admsci14050099
Daragmeh, A., Lentner, C., & Sági, J. (2021). FinTech payments in the era of COVID-19: Factors influencing behavioral intentions of “Generation X” in Hungary to use mobile payment. Journal of Behavioral and Experimental Finance, 32, 100574. https://doi.org/10.1016/j.jbef.2021.100574
Davis, F. D. (1989). Perceived usefulness, perceived ease of use, and user acceptance of information technology. MIS Quarterly: Management Information Systems, 13(3), 319–339. https://doi.org/10.2307/249008
Dewi Setia Tarigan, E., Khairunnisak, K., Sabrina, H., Parulian, T., & Syahputri, Y. (2022). Antecedents Of Customer Satisfaction And Repurchase Intention Use Financial Technology (Fintech) Go Pay In Medan City. International Journal of Science, Technology & Management, 3(4), 924–928. https://doi.org/10.46729/ijstm.v3i4.556
Emily, A. (2022). Financial Performance and Investment Decision Making in Kenya. African Journal of Commercial Studies, November. https://doi.org/10.5281/zenodo.7306100
Febriyanti, M., Ulza, E., & Al Azizah, U. S. (2024). Dataset on Determinants of Use Mobile Payment (Qris) Amongst Generation Z. Revista de Gestao Social e Ambiental, 18(3), 1–9. https://doi.org/10.24857/rgsa.v18n3-087
Feranita, N. V., Ahmad, A. R., & Hasan, A. R. (2023). Digital Entrepreneurship Model: Optimizing Internal and External Support for Female Entrepreneurs. Integrated Journal of Business and Economics, 7(3), 503. https://doi.org/10.33019/ijbe.v7i3.603
Gupta, U., Agarwal, B., & Nautiyal, N. (2022). Financial Technology Adoption — A Case of Indian MSMEs. Finance: Theory and Practice, 26(6), 192–211. https://doi.org/10.26794/2587-5671-2022-26-6-192-211
Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2–24. https://doi.org/10.1108/EBR-11-2018-0203
Hanafiah, M. H., Asyraff, M. A., Ismail, M. N. I., & Sjukriana, J. (2024). Understanding the key drivers in using mobile payment (M-Payment) among Generation Z travellers. Young Consumers, 25(5), 645–664. https://doi.org/10.1108/YC-08-2023-1835
Hasan, A., Sikarwar, P., Mishra, A., Raghuwanshi, S., Singhal, A., Joshi, A., Singh, P. R., & Dixit, A. (2024). Determinants of Behavioral Intention to Use Digital Payment among Indian Youngsters. Journal of Risk and Financial Management, 17(2). https://doi.org/10.3390/jrfm17020087
Hidayat-ur-Rehman, I. (2024). The role of financial literacy in enhancing firm’s sustainable performance through Fintech adoption: a moderated mediation analysis. International Journal of Innovation Science, ahead-of-p(ahead-of-print). https://doi.org/10.1108/IJIS-03-2024-0056
Juliyanti, W., & Wibowo, Y. K. (2021). Batik SMEs Digital Literacy Analysis on Digital Economic Readiness during the COVID-19 Pandemic. Integrated Journal of Business and Economics, 5(3), 193. https://doi.org/10.33019/ijbe.v5i3.334
Kathpal, S., Akhtar, A., & Zaheer, A. (2023). Financial Literacy and Heuristic Driven Biases: The Role of Risk Perception. Review of Behavioral Economics, 10(4), 335–366. https://doi.org/10.1561/105.00000177
Krempel, E., & Beyerer, J. (2014). TAM-VS: A technology acceptance model for video surveillance. Lecture Notes in Computer Science (Including Subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics), 8450 LNCS, 86–100. https://doi.org/10.1007/978-3-319-06749-0_6
Kumar, P., Islam, M. A., Pillai, R., & Tabash, M. I. (2024). Risk Perception-Perceived Investor Performance Nexus: Evaluating the Mediating Effects of Heuristics and Prospects With Gender as a Moderator. SAGE Open, 14(2), 1–18. https://doi.org/10.1177/21582440241256444
Kumar, S., & Nayak, J. K. (2024). Understanding the intricacies of risky indebtedness, impulse buying and perceived risk in buy-now-pay-later adoption. Asia Pacific Journal of Marketing and Logistics, 36(7), 1697–1716. https://doi.org/10.1108/APJML-08-2023-0759
Kurniawan, Y., Bhatara, R., Anwar, N., & Johan. (2021). Analysis of the effect of usefulness, ease of use, and security perception on intentions to use the paylater application. Journal of Theoretical and Applied Information Technology, 99(14), 3542–3554.
Li, J., Wang, J., Wangh, S., & Zhou, Y. (2019). Mobile Payment with Alipay: An Application of Extended Technology Acceptance Model. IEEE Access, 7, 50380–50387. https://doi.org/10.1109/ACCESS.2019.2902905
Linh, T. T., & Huyen, N. T. T. (2025). An extension of Trust and TAM model with TPB in the adoption of digital payment: An empirical study in Vietnam [version 1; peer review: 2 approved with reservations]. F1000Research, 14(127). https://doi.org/10.12688/f1000research.157763.1
Long, S., Al Mamun, A., Yang, Q., Gao, J., Hussain, W. M. H. W., & Al Shami, S. S. A. (2023). Modelling the mass adoption of mobile payment for e-hailing services using SEM-MGA. PLoS ONE, 18(10 October), 1–20. https://doi.org/10.1371/journal.pone.0287300
Meiryani, M., Hanna Uli Pakpahan, N., Chang, A., Salim, G., & Zulkarnain, A. (2022). Analysis of Public Perception of Interest in Using Financial technology as a Payment Media. Proceedings of the 2021 5th International Conference on E-Business and Internet, 194–200. https://doi.org/10.1145/3497701.3497732
Muat, S., Fachrurrozi, F., & Sari, N. (2024). How do digital financial literacy, financial behavior, and skills affect financial well-being? An Exploratory Study on Gen Z. Integrated Journal of Business and Economics, 8(1), 728. https://doi.org/10.33019/ijbe.v8i1.851
Nandru, P., S.A., S. K., & Chendragiri, M. (2023). Adoption intention of mobile QR code payment system among marginalized street vendors: an empirical investigation from an emerging economy. Journal of Science and Technology Policy Management, ahead-of-p(ahead-of-print). https://doi.org/10.1108/JSTPM-03-2023-0035
Napierala, J., & Kvetan, V. (2023). Changing Job Skills in a Changing World. In E. Bertoni, M. Fontana, L. Gabrielli, & S. Signorelli (Eds.), Handbook of Computational Social Science for Policy. Springer. https://doi.org/10.1007/978-3-031-16624-2
Nguyen, T. T., Dao, T. T., Tran, T. B., Nguyen, H. T. T., Le, L. T. N., & Pham, N. T. T. (2024). Fintech literacy and digital entrepreneurial intention: Mediator and Moderator Effect. International Journal of Information Management Data Insights, 4(1), 100222. https://doi.org/10.1016/j.jjimei.2024.100222
Ofori-Acquah, C., Avortri, C., Preko, A., & Ansong, D. (2023). Analysis of Ghana’s National Financial Inclusion and Development Strategy: Lessons Learned. Global Social Welfare, 10(1), 19–27. https://doi.org/10.1007/s40609-022-00255-6
Ogbemudia Benedict, I., Wilson, E., Ugwu, C. N., & Benjamin Ibe, C. (2024). Investing in Rural Agriculture in the Face of Innovative Financial Services: Does Financial Literacy Matter in Nigeria? SAGE Open, 14(2), 1–14. https://doi.org/10.1177/21582440241244685
OJK. (2021). 2021 – 2025 National Strategy on Indonesian Financial Literacy 1. https://ojk.go.id/en/berita-dan-kegiatan/publikasi/Documents/Pages/National-Strategy-on-Indonesian-Financial-Literacy-(SNLKI)-2021---2025/National Strategy on Indonesian Financial Literacy (SNLKI) 2021 – 2025
Patnaik, A., Kudal, P., Dawar, S., Inamdar, V., & Dawar, P. (2023). Exploring User Acceptance of Digital Payments in India: An Empirical Study Using an Extended Technology Acceptance Model in the Fintech Landscape. International Journal of Sustainable Development and Planning, 18(8), 2587–2597. https://doi.org/10.18280/ijsdp.180831
Phonthanukitithaworn, C., Sellitto, C., & Fong, M. W. L. (2016). An investigation of mobile payment (m-payment) services in Thailand. Asia-Pacific Journal of Business Administration, 8(1), 37–54. https://doi.org/10.1108/APJBA-10-2014-0119
Rohden, S. F., & Zeferino, D. G. (2023). Recommendation agents: an analysis of consumers’ risk perceptions toward artificial intelligence. Electronic Commerce Research, 23(4), 2035–2050. https://doi.org/10.1007/s10660-022-09626-9
Said, N. M., Zainuddin, S. A., Nasir, N. A. M., Abdullah, T., Yusoff, M. N. H., Yasoa’, M. R., Muhamad, S. F., Simpong, D. B., & Othman, A. (2023). Factors Influencing Customers’ Perception of Online Zakat Payment Among Muslim Employees in Kelantan BT - Finance, Accounting and Law in the Digital Age: The Impact of Technology and Innovation in the Financial Services Sector. In N. Mansour & L. M. Bujosa Vadell (Eds.), Contributions to Management Science (pp. 471–480). Springer International Publishing. https://doi.org/10.1007/978-3-031-27296-7_43
Setiana, S., & Hadianto, B. (2022). Financial Knowledge, Internal Control Locus, and Personal Money-Related Behavior: A Survey on Undergraduate Accounting Students. Integrated Journal of Business and Economics, 6(2), 172. https://doi.org/10.33019/ijbe.v6i2.360
Setyadinsa, R., & Pendit, U. C. (2023). Individual Factors Affecting Interest To Use Mobile Payment: Analysis Using SEM-PLS. 2023 International Conference on Informatics, Multimedia, Cyber and Informations System (ICIMCIS), 674–678. https://doi.org/10.1109/ICIMCIS60089.2023.10348990
Shaw, B., Roy, S. K., Kesharwani, A., van Doorn, S., & Japutra, A. (2023). The adoption of mobile payment services by millennials: the roles of smartphone addiction and situational variables. Asia Pacific Journal of Marketing and Logistics, 35(12), 2912–2931. https://doi.org/10.1108/APJML-01-2023-0005
Singh, R., & Kasana, E. (2024). Digital Lending Dilemma: How BNPL Impacts Consumers’ Propensity Towards Debt. In Transforming the Financial Landscape With ICTs (pp. 275–297). IGI Global. https://doi.org/https://doi.org/10.4018/979-8-3693-1503-3.ch013
Singhi, R., Sancheti, V., Chaturvedi, V., & Jindal, K. (2024). Segmentation of m-wallet users using cluster analysis: an empirical study in Delhi NCR. International Journal of Public Sector Performance Management, 14(1), 59–77. https://doi.org/10.1504/IJPSPM.2024.139874
Suwarningsih, W., & Nuryani. (2024). Recommendation System for an Online Shopping Pay-Later System using a Multistage Approach: A Case Study from Indonesia. Interdisciplinary Journal of Information, Knowledge, and Management, 19. https://doi.org//10.28945/5366
Thakur, R., & Srivastava, M. (2014). Adoption readiness, personal innovativeness, perceived risk and usage intention across customer groups for mobile payment services in India. Internet Research, 24(3), 369–392. https://doi.org/10.1108/IntR-12-2012-0244
Tian, Y., Chan, T. J., Liew, T. W., Chen, M. H., & Liu, H. N. (2024). Does personal innovativeness and personal anxiety matter? The predictors of continuance use intention of an e-wallet system. Kybernetes, ahead-of-p(ahead-of-print). https://doi.org/10.1108/K-10-2023-2213
Trinh, H. N., Tran, H. H., & Vuong, D. H. Q. (2020). Determinants of consumers’ intention to use credit card: a perspective of multifaceted perceived risk. Asian Journal of Economics and Banking, 4(3), 105–120. https://doi.org/10.1108/AJEB-06-2020-0018
Wang, Q., Niu, G., Zhou, Y., & Gan, X. (2024). Education and FinTech adoption: evidence from China. China Finance Review International, ahead-of-p(ahead-of-print). https://doi.org/10.1108/CFRI-06-2023-0141
Xiao, J. J., Kim, K. T., & Lee, S. (2024). Consumer Financial Capability and Financial Wellbeing; Multi-Year Analyses. Applied Research in Quality of Life, 19(2), 547–580. https://doi.org/10.1007/s11482-023-10253-1
Xiao, R., Yazan, M., & Situmeang, F. B. I. (2024). Rethinking Conversation Styles of Chatbots from the Customer Perspective: Relationships between Conversation Styles of Chatbots, Chatbot Acceptance, and Perceived Tie Strength and Perceived Risk. International Journal of Human–Computer Interaction, 1–21. https://doi.org/10.1080/10447318.2024.2314348
Youssef, C., & Bouzidi, L. (2023). An investigation of the nexus between online impulsive buying and cognitive dissonance among Gen Z shoppers: Are female shoppers different? Young Consumers, 24. https://doi.org/10.1108/YC-06-2022-1548
Zhang, J., & Liu, D. (2024). Unraveling Youth Indebtedness in China: A Case Study Based on the “Debtors Avengers” Community on Douban. International Journal of Financial Studies, 12(4). https://doi.org/10.3390/ijfs12040113
DOI: http://dx.doi.org/10.33019/ijbe.v9i2.1079
Article Metrics
Abstract view : 151 timesPDF - 65 times
Refbacks
- There are currently no refbacks.
This work is licensed under a Creative Commons Attribution 4.0 International License.
Integrated Journal of Business and Economics is licensed under a Creative Commons Attribution 4.0 International License.
