FACTORS INFLUENCING THE CONSUMER ADOPTION OF MOBILE QR CODE PAYMENTS ON INDONESIAN UNIVERSITY STUDENTS

• Main Author: Pories Sitinjak, Daniel
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/45570
• Institution: Institut Teknologi Bandung

Technological innovations disrupted people’s lifestyle. With the help of advanced technology, people started to change their lifestyle, from offline – based into more digitalized methods. This trend, in turn, prompted company to develop their services and products more toward digitalization. While so, there was a concern whether their consumers are digitally savvy enough to use. There were some recorded cases, where companies incur losses because they developed technologies that were too advanced for their own consumers. Therefore, this research was purposed to measure the digital savviness of Indonesian University Students, a demographic group which was often marked as a target market for digital services. Adopting the rating method of SMART, with six activity groups that were considered as daily lifestyle activity from previous literatures, researcher was able to create an indexing method of digital lifestyle index and measure the digital savviness of Indonesian University Students. With this analysis, it was known that Indonesian University Students, on average, was considered to have a “Fair” digital savviness, with average DLI score of 3.02. This finding, in turn, indicated that Indonesian University Students had relied on digital technology for some activities, and it was known that they were open toward digital product developments. These were a clear proof on why many industries flocked into digitalization of services, including financial industry. While there was an abundance of financial services on mobile phone, mobile payment stands out as one of the winner. This technology allowed customers to pay without hassles by exploiting the ever – increasing mobile phone features, and one of them was the camera, with QR Code Payment tech. Following the recent success of QR Code Payment in China, analysts believe that QR Code Payment is the future of payments in Indonesia because of its cheap requirements. While so, no study was made to assess the market feasibility of this tech in Indonesia. For this reason, researcher decided to analyze the current adoption of QR Code Payment, and its adoption factors. Adopting the research method of UTAUT, it was known that Indonesian University Students’ Behavioral Intention to adopt (INT) was positively influenced by Performance Expectancy (PE), Effort Expectancy (EE) and Social Influence (SI). Cost (CS), on the other hand, was identified as a negatively influencing factor toward INT. Finally, respondents’ INT had a positive, significant influence toward the Actual Usage of QR Code Payment (ACT). These adoption factors, in turn, had been reflected on the prevalence of QR Code Payment usage on Indonesian University Students. This prevalence was proven by the amount of adopters, where 78.91% respondents had used this tech before. Go – Pay was their application choice, and Food/Beverage was the main product they’ve purchased with this tech. This research offered some recommendations for stakeholders. First of all, companies should promote the tech with different methods for different sex and income groups, as they were known to had a different mean of DLI. On the other hand, government should promote the usage of QRIS, as they’ve simplified inter – application transactions. On the other hand, promotions could be done with mouth – to – mouth promotion.