Article
Mobile Payment Adoption and Digital Financial Inclusion among the Elderly in Uttar Pradesh: A Utaut2-Based Analysis
Purpose — The aim of this study is to explore the determinants of mobile payment adoption among the elderly aged 60 years and above in Uttar Pradesh, India, and to assess the impact of mobile payment adoption on digital financial inclusion among the elderly. The study builds on and extends Unified Theory of Acceptance and Use of Technology 2 (UTAUT2) with the inclusion of trust and perceived risk and digital financial literacy.
Design/methodology/approach — A quantitative cross-sectional survey method is used. The study sample consists of 120 elderly respondents who are interviewed with a structured questionnaire. The model proposed is tested descriptively and using partial least squares structural equation modelling (PLS-SEM) with tests for measurement reliability, converging validity, discriminating validity, collinearity, explanatory power, predictive relevance and significance of the structural path.
Analytical scope — The model assesses the impact of the performance expectancy, effort expectancy, social influence, facilitating conditions, hedonic motivation, price value, habit, trust, perceived risk and digital financial literacy on behavioural intention and/or on actual use of mobile payments. It also evaluates the impact of real usage to increase digital financial inclusion.
Practical implications — The framework provides information for banks, fin tech companies and public agencies on interface design for seniors, ease of onboarding, local-language support, fraud-awareness communications, grievance redressal and digital financial literacy interventions.
Originality/value — The study links the adoption of technology to the issue of financial inclusion through digital means in an under-researched population and context. It also separates between behaviour intention and actual and independent usage, which helps to overcome the intention-behaviour gap among elderly consumers.