PUBLISHED Fintech

The adoption of mobile payment services for Fintech

Kim, Y., Choi, J., Park, Y. J., Yeon, J.
International Journal of Applied Engineering Research (2016) Vol. 11 (2) : 1058-1061
Citations 404

Abstract

This study examines factors affecting adoption of mobile payment services in the Fintech industry, analyzing user acceptance patterns and behavioral intentions toward mobile financial technology services.

Research Overview

This highly-cited research (404 citations) examines the factors driving adoption of mobile payment services in the emerging Fintech industry, providing foundational insights into digital financial service acceptance.

Research Context

Fintech Revolution

  • Digital transformation of financial services
  • Mobile-first payment innovations
  • Disruption of traditional banking
  • Smartphone-enabled financial access

Mobile Payment Emergence

  • Contactless payments
  • Peer-to-peer transfers
  • Digital wallets
  • QR code payments

Research Questions

  1. What factors influence mobile payment adoption?
  2. How do users perceive value in mobile financial services?
  3. What barriers prevent widespread adoption?
  4. How can providers enhance acceptance?

Theoretical Framework

Technology Acceptance Model (TAM)

  • Perceived usefulness
  • Perceived ease of use
  • Behavioral intention

Extended Constructs

  • Trust: Security and privacy concerns
  • Social Influence: Peer adoption effects
  • Personal Innovativeness: Technology readiness
  • Perceived Risk: Financial and information risks

Methodology

Data Collection

  • Survey of mobile payment users and potential adopters
  • Multiple financial service types
  • Diverse demographic representation

Analysis Approach

  • Structural equation modeling (SEM)
  • Path analysis
  • Mediation and moderation effects
  • Multi-group comparisons

Key Findings

1. Primary Adoption Drivers

Perceived Usefulness

  • Convenience over traditional payments
  • Time and effort savings
  • Transaction speed
  • 24/7 availability

Perceived Ease of Use

  • Simple interface design
  • Minimal learning curve
  • Quick setup process
  • Intuitive operation

2. Trust Factors

Security Concerns

  • Data protection importance
  • Fraud prevention measures
  • Authentication mechanisms
  • Financial institution backing

Privacy Issues

  • Personal information protection
  • Transaction history confidentiality
  • Data sharing transparency
  • Control over information

3. Social and Personal Factors

Social Influence

  • Peer recommendations
  • Network effects
  • Social proof
  • Subjective norms

Personal Innovativeness

  • Early adopter characteristics
  • Technology enthusiasm
  • Risk tolerance
  • Experimentation willingness

4. Barriers to Adoption

Perceived Risks

  • Financial loss concerns
  • Technical failure fears
  • Information security worries
  • Lack of trust in providers

Practical Obstacles

  • Limited merchant acceptance
  • Device requirements
  • Internet connectivity needs
  • Compatibility issues

Implications

For Service Providers

Design Priorities

  1. User-friendly interfaces
  2. Robust security features
  3. Clear value propositions
  4. Trust-building measures

Marketing Strategies

  1. Demonstrate security measures
  2. Highlight convenience benefits
  3. Leverage social proof
  4. Provide trial incentives

For Policymakers

Regulatory Framework

  • Consumer protection standards
  • Data security requirements
  • Fraud prevention regulations
  • Industry standards development

Infrastructure Support

  • Digital payment infrastructure
  • Financial literacy programs
  • Technology access equity
  • Merchant adoption incentives

For Financial Institutions

Strategic Responses

  • Embrace Fintech innovation
  • Partner with technology companies
  • Modernize legacy systems
  • Develop mobile-first services

Research Impact

Academic Influence

With 404 citations, this paper has become:

  • Foundational reference in Fintech adoption research
  • Widely cited in mobile payment studies
  • Key work in digital finance literature
  • Reference in technology acceptance research

Practical Impact

  • Influenced mobile payment design
  • Informed marketing strategies
  • Guided policy development
  • Shaped industry practices

Contributions

Theoretical

  • TAM extension to Fintech context
  • Trust factor integration
  • Multi-dimensional adoption model

Empirical

  • Quantitative evidence on adoption factors
  • User perception insights
  • Barrier identification

Practical

  • Design recommendations
  • Marketing guidance
  • Policy implications

Limitations

  • Cross-sectional data
  • Self-reported measures
  • Early Fintech market focus
  • Geographic specificity

Future Research

This foundational work has inspired research on:

  • Advanced payment technologies (blockchain, cryptocurrency)
  • Cross-cultural adoption patterns
  • Longitudinal adoption dynamics
  • Security and privacy innovations
  • Financial inclusion through Fintech

Publication Details

Journal: International Journal of Applied Engineering Research
Citations: 404
Volume: 11(2)
Pages: 1058-1061
Year: 2016

Legacy

This paper’s high citation count reflects its timing at the emergence of Fintech and mobile payments, providing foundational insights that continue to guide research and practice in digital financial services.