Factors That Influence the Adoption of E-Wallets by the Malaysians

Abstract

E-wallet has become a new payment method in the global trend, replacing cash payment gradually. Malaysia's national bank has set out objectives to move to a cashless society with electronic payment system in its Financial Sector Blueprint 2011-2020. Hence, this research aims to investigate the drivers that affect the behavioural intention of consumers towards the adoption of e-wallets in Malaysia. Performance expectancy, effort expectancy, and social influence are the three factors adopted from the unified theory of acceptance and use of technology model (UTAUT) to demonstrate the intention of consumers on e-wallet adoption. Additionally, perceived security and incentives are integrated into the research model to examine the factors that affect the e-wallet adoption. Four hundred fifty questionnaires were collected and analysed. The results show that all the factors have positive relationship with intention of e-wallet adoption. The research findings contribute to various parties such as the academicians, researchers, service providers, financial institutions, and the government.