Financial Technology as a Future Game-Changer

Abstract

Financial technology has emerged as a game-changer to complement and enhance how the Millennial and Generation Z conduct transactions. Responding to calls of prior research, this study used the unified theory of acceptance and use of technology (UTAUT) to understand how performance expectancy and effort expectancy factors influence consumers' intention to use financial technology. Performance expectancy (PE) and effort expectancy (EE) were investigated as exogenous variables towards the intention to use financial technology (FinTech) that act as endogenous variables in this study. The authors collected 284 Millennial and Generation Z respondents and analysed the data using PLS-SEM. The result from the study's structural model suggested that FinTech continuance use intention was dependent on performance expectancy and effort expectancy on engaging with young vibrant consumers and establishing attractive FinTech elements. In addition, Millennial and Generation Z consumers with a high-performance expectancy were found to emphasize FinTech components in the engagement process.