DO PEOPLE AWARE OF HOW DISTINCT E-WALLET PRODUCTS ARE? : CASE OF INDONESIA UNIVERSITY STUDENTS’ PERSPECTIVES

• Main Author: Yolanda, Laurencia
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/38860
• Institution: Institut Teknologi Bandung

In Indonesia, financial technology (also known as FinTech) industry has been growing at a significant rate. With the rapid development and adoption of internet usage all over Indonesia, the environment is perfect for the FinTech industry to grow and expand. One of the derivative products includes e-wallet. E-wallet number in Indonesia has continuously increased with the latest number of listed products was at 34 different products. With the tightening competition, it is necessary to develop strategy in order to win market. One of the most valuable markets for e-wallet products in Indonesia is university students. Therefore, in this research, the author will only focus on that particular segment. This study aims to determine choice pattern of Indonesia university students on e-wallet products, create functions to classify Indonesia university students' preferences in choosing e-wallet products and to derive a proper strategy for e-wallet issuers in Indonesia to create better-suited products towards university students' preferences. In terms of the methodology used, this quantitative research is conducted by spreading a questionnaire through online means (including various social media platforms) to university students in Indonesia using convenience sampling. The total respondents were 530, however, after eliminating some suspicious entry, the final number of respondents used in this study was 455. The data gathered were analyzed using Independent T-Test and Discriminant Analysis. It is found that both male and female prefer GoPay to OVO. Also, people living in DKI Jakarta and West Java prefer GoPay to OVO. However, people from Social Field background prefer OVO to GoPay. The result of the analysis shows that GoPay and OVO users' digital savviness index differs significantly with GoPay users being more digital savvy compared to OVO users. The discriminant function created to discriminate e-wallet products in Indonesia is weak in its discriminatory ability. Therefore, it is recommended for e-wallet players to follow GoPay’s steps in creating broader environment for its usage, benchmarking with OVO to capture users from social studies background, and create differentiation with their products. Further research could be conducted by adding business model as an independent variable and done when there are apparent differentiation within e-wallet products in Indonesia to ensure efficiency of discriminant functions.