Determinants & Success Factors that Influence the User Adoption of Mobile Payments in Germany
The conceptual model was tested using two qualitative research methods namely: Observation and Interviews to carry out the study. The Observation phase was carried out over a period of five (5) days at a canteen in Munich, whereby the mode of payments of an average of one hundred and twenty (120) people were observed daily. Afterwhich, interviews were conducted to enable the researcher ascertain the factors that influence the intention to use and adopt mobile payments.
During the study, it was revealed that Data Privacy and Security were the core factors that would influence the intension to use mobile payments. Interestingly cost was an additional factor that also impacted the user’s perception on usefulnesses which was derived by comparing the value added offerings and associated cost to existing alternatives.
Due to the sample size, there were some limitations based on the location and the fact that most participants interviewed were male, thereby social factors such as the influence of gender could not be explored. However, two core external factors beyond the control of the end user were identified as the major challenges facing the adoption of mobile payments in Germany. (1) The inexistent support and specification standards for mobile payments by the domestic network known as girocard and (2) the poor acceptance by merchants. A strategic collaboration among stakeholders of the payment industry will be required if mobile payments is to be successful in Germany. The average end user must be confident enough to visit any merchant without the fear of limited acceptance for contactless payments
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