Exploring the Factors Behind the Resistance to Mobile Banking in Portugal

Abstract

M-banking has been highlighted as one of the most promising e-commerce services. However, the adoption of financial mobile services is still far behind market expectations. This study seeks to provide academics and bank managers alike with a better understanding of resistance to m-banking. Based on Ram and Sheth’s (1989) Theory of Innovation Resistance, a SEM model was built to describe resistance barriers. A total number of 3,852 observations, of which 2,344 were effective for SEM analysis, were obtained from an Internet survey at a Portuguese bank. The “functional barriers” revealed more severe barriers than the “psychological” ones. Latent scores were used to compare consumers’ perceptions and behaviour. Results indicate a significantly higher resistance among non-users, and demographic and behavioural profiles were established, promoting wider knowledge and possible enhancement of m-banking adoption. Conclusions and managerial implications are provided.