Abstract:

Mobile wallet is a technology currently widely used by people worldwide for digital payment. In spite of many mobile wallets providers, literature shows that the use of mobile payment in Malaysia is considerably new and is not frequently being used compared to other countries. This paper reports the outcome of the research that investigates users’ behavioral intention and the determinant to adopt mobile wallets as digital payment platform in a selected locality in Malaysia. A research model was proposed, building upon three basic constructs from Unified Theory of Acceptance and Use of Technology 2 (UTAUT 2) and other relevant research on factors which influence behavioral intention on mobile wallet. Adopting the convenience sampling technique, the questionnaire had been administered to 384 respondents online. The 327 returned questionnaire had been examined and the 315 valid questionnaire were brought into analysis. Both SPSS and SmartPLS were used for descriptive analysis, internal consistency reliability analysis, indicator reliability analysis, convergent validity analysis, discriminant validity analysis, coefficient of determination (R2) analysis, path coefficients analysis and hypotheses testing. The results revealed that Hedonic Motivation is the strongest and most crucial factor influencing the intention to use mobile wallet. The Perceived Risk, Perceived Security and Perceived Trust have significant influence on behavioral intention on mobile wallet usage.