An analysis of mobile payment services consumer adoption in Zimbabwe

Abstract

Mobile Payment is a new payment method in the retail arena where the payer uses their mobile phone, through special software to pay for goods and services. The services can be offered by a bank, a telecommunications company or by both. The service success depends on the willingness to adopt by consumers and merchants but however, since consumers create a specific demand for a mobile payments solution and drive to success by adopting and using it, the success of a mobile payment solution depends on the number of participants and the volume of transactions the consumers carry out. The objective of the study is to provide useful guidelines for Mobile Payment providers to better understand the level of mobile payment adoption and the critical factors that drive mobile payment adoption in Zimbabwe. The study sought to examine whether mobile payment particularly in- store or brick and mortar goods and services payments using a mobile phone, is being acceptable as a payment mode by consumers. The study analyses the level of awareness of the consumers, the willingness to adopt the new innovation as well as assess the factors that could promote or hinder full adoption of mobile payment method by consumers. The findings would assist service providers on areas of value addition for consumers to ensure that mobile payment services are a success in Zimbabwe. For the purposes of this research, both positivism and phenomenology research methodologies were used to increase reliability and validity of the research results. The research was carried out using a self-administered questionnaire distributed randomly by hand to two hundred shopping mall customers at the four main shopping malls in Harare, the capital city of Zimbabwe. In order to achieve the objectives of this research, the study is guided by the Technology Acceptance Model (TAM) as developed by Davis (1989), as a basis for a research model. The research model then combines TAM factors with Mallat (2007) factors that influence mobile payment. The research results show that Zimbabwean consumers are aware of the mobile payment platform but have not yet found compelling motivation to abandon the traditional methods of payment. There is mileage to be gained by service providers from offering incentives to merchants and consumers in the form of infrastructure deployment and usage discounts to promote mass adoption.