Integrating the diffusion of innovation theory to the technology acceptance model : exploring factors affecting the adoption of near field communication payments in Singapore.

• Main Authors: Chew, Jia Min., Ng, Shun Geng., Chia, Winnie Pei Chin.
• Other Authors: Koh Wei Chern
• Format: Final Year Project
• Language: English
• Published: 2013
• Subjects: DRNTU::Business::Information technology::Decision-making; DRNTU::Business::Information technology::Electronic commerce; DRNTU::Business::Marketing::Consumer behavior
• Online Access: http://hdl.handle.net/10356/51488
• Institution: Nanyang Technological University

The development of Mobile payments (M-payments) in Singapore is invigorating. The latest M-payments development is the recent launch of Near Field Communication (NFC) technology. While the Singapore government has been actively pushing for NFC adoption in the country, there’s no telling how long the technology will take to become mainstream (Terence Lee, 2012). Since millions of dollars have been injected into the development of its infrastructure, it is therefore essential to understand the factors that influence the adoption intention of NFC payments so as to strategically formulate marketing campaigns to increase adoption. The objective of this paper is to examine the adoption intention of NFC payments by consumers in Singapore through a survey study. Questionnaires were distributed electronically through a convenience sampling method and a useful sample of 136 respondents was obtained. We ran several regression analyses. We find that observability and the relative advantage that NFC payment technology have over other technologies are correlated with consumers’ perceived usefulness of this technology. We also find that compatibility with users’ existing values, prior experiences and needs, reduced complexity, observability, as well as trialability of NFC payment technology, are correlated with consumers’ perceived ease of use of this technology. Compatibility with users’ existing values, prior experiences and needs and trialability of NFC payment technology, together with perceived usefulness, are correlated with adoption intention of this technology. An understanding of the factors that affect NFC payments can help to predict future adoption behaviour of NFC payment technology and potentially other forms of M-payments methods in Singapore.