Consumers’ acceptance and use of plastic money in Harare, Zimbabwe: Application of the unified theory of acceptance and use of technology 2

• Published in: International journal of bank marketing 2018-01, Vol.36 (2), p.379-392
• Main Authors: Makanyeza, Charles, Mutambayashata, Simolini
• Format: Article
• Language: English
• Subjects: Bank marketing; Banking industry; Consumer behavior; Consumers; Credit cards; Debit cards; Developing countries; Electronic banking; Financial institutions; Innovations; LDCs; Monetary policy; Shortages; Studies; Technology Acceptance Model; Technology adoption
• ISSN: 0265-2323; 1758-5937
• DOI: 10.1108/IJBM-03-2017-0044

PurposeThe purpose of this paper is to apply unified theory of acceptance and use of technology 2 to determine factors influencing acceptance and use of plastic money in Zimbabwe.Design/methodology/approachUsing a cross-section of 528 consumers, respondents were randomly intercepted as they walked out of five major supermarkets in Harare, Zimbabwe. Random selection of consumers was done in order to ensure a representative sample. Consumers were asked to complete a structured questionnaire. Structural equation modelling was applied to test research hypotheses.FindingsResults show that performance expectancy, effort expectancy, hedonic motivation and habit all positively influenced behavioural intention to adopt plastic money. Social influence, facilitating conditions and perceived financial cost all did not have a significant effect on behavioural intention to adopt plastic money. Behavioural intention positively influenced consumers' use behaviour on plastic money.Research limitations/implicationsThis study is among the pioneers of research in this field in Zimbabwe and other developing countries. Likewise, caution must be taken when researchers try to generalise findings from this study. It is, therefore, recommended that more studies of this nature be conducted in other developing countries in order to have a more solid understanding of consumers' adoption of plastic money.Practical implicationsThe study advises banks to pay particular attention to performance expectancy, effort expectancy, hedonic motivation and habit when devising strategies to increase the adoption of plastic money.Originality/valueFactors that influence the adoption of plastic money are not widely researched under circumstances such as those existing in Zimbabwe. The Zimbabwean financial sector provides a unique environment to conduct studies of this nature.