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Determinants of Digital Payment Adoption Among Generation Z: An Empirical Study

Author

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  • Anas Ali Al-Qudah

    (Faculty of Business, Liwa College, Abu Dhabi 2 626-010, United Arab Emirates
    School of Business, University of Jordan, Amman 11942, Jordan)

  • Manaf Al-Okaily

    (School of Business, University of Jordan, Amman 11942, Jordan
    School of Business, Jadara University, Irbid 21110, Jordan)

  • Fadi Shehab Shiyyab

    (Department of Accounting, School of Business, The Hashemite University, Zarqa 13133, Jordan)

  • Alaa A. D. Taha

    (Department of Accounting, College of Administration and Economics, University of Mosul, Mosul 41002, Iraq)

  • Dmaithan A. Almajali

    (School of Business, University of Jordan, Amman 11942, Jordan
    School of Business, Applied Science Private University, Amman 11937, Jordan
    School of Business, Middle East University, Amman 11831, Jordan)

  • Ra’ed Masa’deh

    (School of Business, University of Jordan, Amman 11942, Jordan)

  • Lina H. Warrad

    (School of Business, Applied Science Private University, Amman 11937, Jordan
    School of Business, Middle East University, Amman 11831, Jordan)

Abstract

The main goal of the current paper is to investigate the factors that influence Millennials’ adoption of digital payments among Generation Z by analyzing the potential effects of perceived convenience, perceived cost, perceived security, perceived convenience, innovativeness, and social influence on the adoption of digital payments. A total of 258 individuals in Malaysia were asked to complete a questionnaire to gather statistics. To assess the research model and test the hypotheses, structural equation modeling with partial least squares (SEM-PLS) was utilized. Smart PLS path analysis results revealed that perceived convenience, perceived security, perceived cost social influence, and innovativeness were positively significant determinants of digital payment adoption. This study offers fresh theoretical perspectives for identifying potential adoption barriers that need to be addressed. Concerns about privacy and security, a lack of information or comprehension, and aversion to change are all prevalent challenges among Millennials. Recognizing these limitations allows service providers to incorporate measures such as better security features, educational campaigns, and user-friendly interfaces to alleviate these concerns and boost adoption.

Suggested Citation

  • Anas Ali Al-Qudah & Manaf Al-Okaily & Fadi Shehab Shiyyab & Alaa A. D. Taha & Dmaithan A. Almajali & Ra’ed Masa’deh & Lina H. Warrad, 2024. "Determinants of Digital Payment Adoption Among Generation Z: An Empirical Study," JRFM, MDPI, vol. 17(11), pages 1-18, November.
    • Handle: RePEc:gam:jjrfmx:v:17:y:2024:i:11:p:521-:d:1524161
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    References listed on IDEAS

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