Factors Influencing Generation Z Intention in Using FinTech Digital Payment Services

Authors

  • Andrew Christian Aseng Universitas Klabat

DOI:

https://doi.org/10.31154/cogito.v6i2.260.155-166

Abstract

Many studies related to financial technology (FinTech), especially digital payment services, have been carried out. However, there is still a lack of studies that focus on Generation Z, especially their intention to use the service, while this generation is very familiar and is easily adaptable to new technologies. In addition, it is projected that this generation will contribute greatly to online transactions in Indonesia and even the world. For this reason, this study focuses on factors that can influence Generation Z’s intention to use digital payment services. There are five independent factors that will be tested, namely: culture, perceived security, performance expectancy, effort expectancy, and social influence. The research instrument was a questionnaire adopted from related literature, which was distributed online using the snowball and convenient sampling method. A total of 266 Generation Z people participated in this study. A descriptive statistic and multiple regression analysis were performed and found that simultaneously these five factors had a significant positive effect (Sig <.05) on the intention of Generation Z in using the service. This study concludes that service providers have to pay attention to these factors in attracting Generation Z.Keywords—digital payment services, financial technology, Generation Z

Author Biography

Andrew Christian Aseng, Universitas Klabat

Asisten Ahli di Program Studi Pendidikan Ekonomi, Fakultas Keguruan dan Ilmu Pendidikan

References

Leng, S. Y., Talib, A. & Gunardi, A., 2018, Financial technologies: A note on mobile payment, Jurnal Keuangan dan Perbankan, 22(1), pp. 51-62. doi: 10.26905/jkdp.v22i1.1993

Peraturan Bank Indonesia Nomor 19/12/PBI/2017, 2017, Penyelenggaraan teknologi finansial, Bank Indonesia. Retrieved from https://www.bi.go.id/id/peraturan/sistem-pembayaran/Pages/PBI_191217.aspx

Statista, 2019, FinTech: Indonesia. Retrieved from https://www.statista.com/outlook/295/120/fintech/indonesia

Kominfo, 2018, Indef kontribusi fintech ke PDB capai Rp. 25.97 triliun. Retrieved from https://www.kominfo.go.id/content/detail/14123/indef-kontribusi-fintech-ke-pdb-capai-rp-2597-triliun/0/sorotan_media

Francis, T. & Hoefel, F., November 2018, “True gen”: Generation Z and its implications for companies, McKinsey & Company. Retrieved from https://www.mckinsey.com/industries/consumer-packaged-goods/our-insights/true-gen-generation-z-and-its-implications-for-companies

Barkley, 2018, The power of Gen Z influence: How the pivotal generation is affecting market spend. Retrieved from http://www.millennialmarketing.com/wp-content/uploads/2018/01/Barkley_WP_GenZMarketSpend_Final.pdf

Tabaka, M., 2018, Forget Millennial purchasing power, Gen Z is where it’s at. Inc. Retrieved from https://www.inc.com/marla-tabaka/forget-millennial-purchasing-power-gen-z-is-where-its-at.html

Cornell University, 2018, How Generation Z is shaping the future of FinTech. Retrieved from https://blogs.cornell.edu/react/2018/08/02/how-generation-z-is-shaping-the-future-of-FinTech/

Wadhwa, P., 2019, The growth of FinTech with Gen Z. SME10x. Retrieved from https://www.sme10x.com/10x-industry/the-growth-of-FinTech-with-gen-z

Putritama, A., 2019, The mobile payment fintech continuance usage intention in Indonesia, Jurnal Economia, 15(2), pp. 243-258. Retrieved from https://journal.uny.ac.id/index.php/economia/article/view/26403/pdf

Burhanuddin, C. I. & Abdi, M. N., 2019, Tingkat pemahaman dan minat masyarakat dalam penggunaan fintech, Owner: Riset dan Jurnal Akuntansi, 3(1). doi: 10.33395/owner.v3i1.79

Jiwasiddi, A., Adhikara, C.T., Adam, M. R. R, & Triana, I., 2019, Attitude toward using FinTech among Millennials, Proceeding of Womela-GG 2019. doi: 10.4108/eai.26-1-2019.2283199

Chuang, L. M., Liu, C. C., & Kao, H. K., 2015, The adoption of fintech service: TAM perspective, International Journal of Management and Administrative Sciences, 3(7), pp. 1-15.

Yuspita, R., Pebruary, S. & Kamala, A. Z. H., 2019, The society’s perceptions on the use of fintech services in sharia financial institutions, Jurnal Ekonomi dan Keuangan Islam, 5(2), pp. 87-92. doi: 10.20885/JEKI.vol5.iss2.art6

Hatmawan, A. A., 2019, Analisis niat konsumen menggunakan M-Payment, Capital, 3(1). doi: 10.25273/capital.v3i1.5064

Kim, Y., Choi, J., Park, Y. J., & Yeon, J., 2016, The adoption of mobile payment services for “fintech”, International Journal of Applied Engineering Research, 11(2), pp. 1058-1061.

Mugambe, P., 2017, UTAUT model in explaining the adoption of mobile money usage by MSME’s customers in Uganda, Advances in Economics and Business 5(3), pp. 129-136. doi: 10.13189/aeb.2017.050302

Venkatesh, V., Thong, J., & Xu, X., 2012, Consumer Acceptance and Use of Information Technology: Extending the Unified Theory of Acceptance and Use of Technology, MIS Quarterly, 36(1), pp. 157-178. doi: 10.2307/41410412. Retrieved February 6, 2020, from www.jstor.org/stable/41410412

Sfenrianto, S., Junadi, J., & Saragih, M. H., 2017, The analysis of consumer's intention model for using E-payment system in Indonesia, 2017 International Conference on Sustainable Information Engineering and Technology (SIET), Malang, 2017, pp. 78-82. doi: 10.1109/SIET.2017.8304113

Junadi & Sfenrianto, 2015, A model of factors influencing consumer’s intention to use e-payment system in Indonesia, Procedia Computer Science, 59, pp. 214-220. doi: 10.1016/j.procs.2015.07.557

Rotikan, R., & Aseng, A. C., 2019, Identifikasi faktor-faktor yang mempengaruhi mahasiswa ilmu komputer dalam mempelajari dan menggunakan framework pemrograman, CogITo Smart Journal, 5(1), hal. 79-88. doi: 10.31154/cogito.v5i1.155.79-88

Downloads

Published

2020-12-09

How to Cite

Aseng, A. C. (2020). Factors Influencing Generation Z Intention in Using FinTech Digital Payment Services. CogITo Smart Journal, 6(2), 155–166. https://doi.org/10.31154/cogito.v6i2.260.155-166