AN EXAMINATION OF FACTORS AFFECTING CONTINUANCE USAGE INTENTION OF AIRPAY e WALLET APPLICATION IN HO CHI MINH CITY

Keywords: continuance intention, perceived privacy protection, information quality, perceived benefit, perceived security protection, trust, HCMC... In addition to variables suggested f

VIETNAM NATIONAL UNIVERSITY – HOCHIMINH CITY

INTERNATIONAL UNIVERSITYSCHOOL OF BUSINESS

AN EXAMINATION OF FACTORS AFFECTING CONTINUANCE USAGE INTENTION OF AIRPAY E-WALLET APPLICATION IN HO CHI MINH CITY

In Partial Fulfillment of the Requirements of the Degree of

BACHELOR OF ARTS in BUSINESS ADMINISTRATION

Student’s name:

Advisor:

Ho Chi Minh City, Vietnam

2021

TABLE OF CONTENTS

ACKNOWLEDGEMENTS 3

TABLE OF CONTENTS 4

LIST OF TABLES 6

LIST OF FIGURES 7

ABSTRACT 8

CHAPTER I 9

INTRODUCTION 9

1.1 Background 9

1.2 AirPay 10

1.3 Problem statement 12

1.4 Research Objective 13

1.5 Research Question 14

1.6 Significance and Implications 14

CHAPTER II 15

LITERATURE REVIEW 15

2.1 Technology Acceptance Model (TAM) Theory 15

2.2 Main Related Research and Model 15

2.3 Perceived Benefit 17

2.4 Information Quality 18

2.5 Perceived privacy protection and Perceived security protection 19

2.5.1 Perceived privacy protection 20

2.5.2 Perceived security protection 21

2.6 Trust 22

2.5 Research Model and Hypotheses 25

CHƯƠNG III 27

METHODOLOGY 27

3.1 Research Process 27

3.2 Research Methodology 27

3.3 Questionnaire Design 28

3.4 Sampling Method and Data Collection 30

3.5 Data Analysis Techniques 31

CHAPTER IV 32

DATA ANALYSIS AND RESULTS 32

4.1 Demographic Information 32

4.1.1 Gender 32

4.1.2 Age 33

4.1.3 Level of Education 33

4.1.4 Distribution of Occupation 34

4.1.5 Income 34

4.2 Descriptive Statistic 35

4.2.1 Perceived benefit 35

4.2.2 Information quality 36

4.2.3 Perceived privacy protection 37

4.2.4 Perceived security protection 37

4.2.5 Trust 38

4.2.6 Continuance intention 38

4.3 The Assessment of Measurement Model 39

4.3.1 Construct Reliability Test 39

4.3.2 Construct Validity Test 40

4.4 The Assessment of Structural Model 42

4.4.1 Collinearity Statistics 42

4.4.2 Coefficient of Determination (R square) 43

4.4.3 Effect Size (f square) 44

4.4.4 Direct Effect 45

4.4.5 Indirect Effect 47

4.4.6 Total Effect 48

CHAPTER V 50

DISCUSSION AND RECOMMENDATION 50

5.1 Discussion of Results 50

5.1.1 Impact of Perceived Benefit on Trust and Continuance Intention 50

5.1.2 Impact of Information Quality on Trust and Continuance Intention 51

5.1.3 Impact of Perceived Privacy Protection on Trust and Continuance Intention 51

5.1.4 Impact of Perceived Security Protection on Customers’ Trust and Continuance Intention 52

5.1.5 Impact of Trust on Continuance Intention 53

5.2 Contribution 54

5.3 Research Limitations and Recommendations for Further Research 55

5.4 Conclusion 56

REFERENCES 57

LIST OF TABLES

Table 1: Summaries of Main Constructs 24

Table 2: Measurement Scale 28

Table 3: Distribution of Gender 32

Table 4: Distribution of Age 33

Table 5: Distribution of Educational Level 34

Table 6: Distribution of Occupation 34

Table 7: Distribution of Income 35

Table 8: Descriptive statistics of Perceived benefit 36

Table 9: Descriptive statistic of Information quality 36

Table 10: Descriptive statistics of Perceived privacy protection 37

Table 11: Descriptive statistics of Perceived security protection 37

Table 12: Descriptive statistics of Trust 38

Table 13: Descriptive statistics of continuance intention 38

Table 14: Outer loadings of Items 39

Table 15: Results of Internal Consistency 40

Table 16: Average Variance Extracted (AVE) of constructs 41

Table 17: Discriminant Validity 42

Table 18: Collinearity statistics (VIF values) of constructs 43

Table 19: Coefficient of Determination 44

Table 20: Effect size of predictor constructs 45

Table 21: Path Coefficients of the Model 46

Table 22: Indirect Effects on Continuance Intention 48

Table 23: Total Effects 49

LIST OF FIGURES

Figure 1: 21 Banks linking to AirPay e-wallet app 11

Figure 2: Affiliated services and online payment portals of AirPay 12

Figure 3: The mode applied in the study of Made Darmiasih and Putu Yudi Setiawan (2020) 17

Figure 4: Research Model 25

Figure 5: Research process 27

Figure 6: Path Structural Relationship 47

ABSTRACT

E-wallets are gradually becoming more popular in Vietnam in recent years The main objective of the study is to explore factors affecting users' continuance intention toward using the AirPay e-wallet in Ho Chi Minh City Specifically, the study focused on five main factors including information quality, trust, perceived privacy protection, perceived benefit, and perceived security protection The survey questionnaire was distributed in HCMC to collect data from 301 respondents The research applied "Partial least squares structural equation modeling (PLS-SEM)" to analyze data The findings indicated that perceived benefit has a positive and significant influence on customers’ continuance intention but has no impact on trust Besides, the information quality has a significant impact on customer trust but has no direct effect on continuance intention Perceived privacy protection positively and significantly influences trust and continuance usage intention Additionally, a significant impact of perceived security protection on customers’ trust and their continuance usage intention was also proved Moreover, the results indicated the strong and positive effect of trust on users’ continuance intention The findings can be a helpful source for the AirPay provider in developing customer retention strategies Regarding theoretical contribution, the study added a new factor, perceived benefit, and built a proposed model based on the model developed by Darmiasih

& Setiawan (2020) to examine antecedents of continuance intention toward using AirPay e-wallet in the Vietnamese context

Keywords: continuance intention, perceived privacy protection, information quality,

perceived benefit, perceived security protection, trust, HCMC

$ 8,904 million; the number of users also increased up to 36.2 million, up 12.1% against last year This fact indicates that Vietnam is a potential market for mobile payment service providers

Digital payment is considered a convenient and secure alternative means for paying

in cash Electronic wallet (E-wallet) is one of the digital payment methods that is growing and becoming more popular with Vietnamese in recent years An e-wallet can be considered as a physical wallet but under the digital form It is an application or online service that allows customers to make financial transactions such as sending and receiving money, paying utility bills, paying online for products and services, etc., without using a physical payment card, physical wallet, or cash The users can easily handle such financial transactions at any time of day by depositing an amount into their e-wallet account from

a debit card, transaction points of the e-wallet, or internet banking Online transactions and payments on digital wallets are applied on multi-channels including customer-to-business (C2B), customer-to-customer (C2C), or customer-to-machine, etc (Shin, 2009; Phuong et al., 2020) An e-wallet is like a personal folder containing user information that

is asked by the service provider to make sure the transactions security (Chawla, 2019) According to Widodo et al (2019), these are regarded as quick and effective payment tools that can drive the development of a cashless society Customers can be attracted to make non-cash payments by appealing easy, and useful systems of e-wallets (Hutami, 2019)

The emergence of many e-wallets such as Momo, AirPay, Moca, Viettelpay, VNPay, Payoo, PayPal, ZaloPay, etc., has helped to make mobile payments more popular in Vietnam In 2020, the State Bank of Vietnam has licensed 35 organizations to provide e-wallet services These are a modern payment model that enables customers to conduct financial transactions successfully on their smartphones without worrying about personal information leaking Besides, Vietnam's economy tends to grow rapidly and strongly recently, leading to a significant increase in the demand for services in the financial industry Especially, in 2020, the Covid-19 pandemic has made the rate of non-cash payments through Internet banking, mobile banking, and digital wallet systems grow rapidly Numerous policies like social isolation, social distancing, physical distancing are the effective measures issued by the Vietnamese state to respond to the spread of SARS-CoV-2 In this context, the use of digital transactions and electronic payments has been strongly encouraged everywhere in the country to minimize health risks and reduce physical contact from visiting bank branches This also contributes to facilitating the formation of the cashless society trend in Vietnam

1.2 AirPay

AirPay is a mobile e-wallet application that is developed by AirPay Joint Stock Company, licensed by the State Bank of Vietnam to provide payment intermediary services in December 2015 AirPay's system is developed following the PCI DSS standard (Payment Card Industry Data Security Standard); therefore, AirPay can prevent information leaking and data theft issues based on its tight security system So far, AirPay

has directly linked with 21 domestic banks which allow users

to deposit and withdraw money from their bank account into their e-wallet at any time and anywhere (Figure 1) AirPay provides various electronic services on its application for free such as phone top-up, money transfer, utility bill payments, insurance payment, etc Besides, AirPay also joins

in a diverse ecosystem when affiliating with big partners like Shopee, Garena, Now Delivery, Ocha, CGV, etc (Figure 2); and AirPay offers numerous promotions for customers using AirPay to make payments on these affiliated platforms such as freeship codes, vouchers, discount Especially, AirPay gains a great advantage with cooperation with two big Shopee and Now.vn Shopee is the top e-commerce app in Vietnam with very high visits each month, meanwhile, Now is also one of the most popular delivery service providers in Vietnam These two big always encourage their customers to make payments via AirPay e-wallet by offering many attractive deals for AirPay users; therefore, this helps AirPay acquire a huge amount of users, increase its market share, and enhance brand awareness in just a few years So far, AirPay is among the most well-known e-wallet applications in Vietnam

Figure 1: 21 Banks linking to AirPay e-wallet app

1.3 Problem statement

Electronic wallet service providers are trying to affiliate with more retail points to expand their payment networks and gain a competitive advantage Although the rapid development of digital wallets has caught many users' attention, maintaining their

continuance usage intention is still a big problem for service providers Retaining

customers and maintaining their continuance usage are among the most important targets for organizations providing mobile payment services (Zhou, 2013) There are many previous studies investigating the factors influencing mobile payment continuance usage intention; however, there are few studies about this topic for specific cases in Vietnam This could be explained by the fact that in Vietnam, mobile wallets have only thrived 3-

4 years ago Particularly, in Vietnam, there is a large proportion of people still in the habit of paying in cash who often lack confidence in online transaction services and mobile payments They probably think that electronic financial transactions are easily affected by unstable conditions such as technical errors, unstable internet connections, or poor security Many people hesitate to continue using these services because of possible significant risks (Ryu, 2018) Therefore, enhancing customer trust is an important issue which AirPay should go over it seriously and have suitable solutions to improve

customers' attitude and increase their loyalty as well

Moreover, the large potential market in Vietnam has promoted competition strongly with the participation of many new mobile payment service providers According to IDC, in Vietnam, e-wallets are expected to thrive in the period of 2022 - 2030,

especially in younger generations making payments via smartphones Therefore, to gain

Figure 2: Affiliated services and online payment portals of AirPay

competitive advantages, service providers always try to keep improving their payment systems to attract new customers and retain current customers Facing strong

competition, e-wallets have to constantly invest huge capital in offering promotions and providing services and utilities to retain users such as hotel payments, utility payments, finance - insurance payments, free gifts, discounts, etc Some consumers register an e-wallet just to enjoy attractive incentives offered exclusively to first-time users; therefore, they can easily switch to use other e-wallet applications because of their attractive

promotions This strong competition is a big challenge for AirPay

Additionally, AirPay has the advantage of being in a strong ecosystem, SEA Group, which is the parent company of Shopee and Now Users can make online payments for services on Now and Shopee by AirPay with attractive discounts and vouchers This advantage helps AirPay obtain trillions in revenue in recent years, but its profits are rather modest, reaching 10 billion in 2018 and 14 billion in 2019, down substantially from 2016 and 2017 data Besides, Shopee is also the biggest e-commerce site in

Vietnam, surpassing Tiki and Lazada, which helps AirPay enhance brand awareness However, the index of current customers using the service of AirPay is lower than other big players like Momo, ZaloPay, ViettelPay Shopee users can make payments in

various forms such as COD (cash on delivery), credit card, Internet Banking, so AirPay does not create many advantages Additionally, users have many options toward other e-commerce sites using other e-wallets such as Tiki (payment via ZaloPay), Lazada (eM wallet), Sendo (SenPay wallet) Customer retention is the essential problem for AirPay

to stay competitive, develop its payment system, and expand its market share Therefore, AirPay needs to create more outstanding features and an ecosystem strong enough to attract users and partners

1.4 Research Objective

To seek effective solutions in retaining customers for AirPay, this study aims to analyze antecedents of users' intention to continue using an e-wallet In specific, the purposes of the research are:

• To identify factors affecting users' continuance intention on using AirPay e-wallet

• To identify the direct and indirect impact of these factors on customers' continuance intention toward AirPay e-wallet usage

• To provide helpful recommendations for AirPay to improve its customer retention strategies

1.5 Research Question

The major questions set in this research are:

• What are factors affecting users' continuance intention on using AirPay e-wallet?

• How do these factors influence continuance usage intention toward AirPay wallet?

e-• What are major recommendations to improve customer retention strategies for AirPay?

1.6 Significance and Implications

This study aimed to identify antecedents of continuance usage intention toward AirPay as well as clarify the influence of these factors on continuance intention First, academically, this research contributed to explore a new factor, the perceived benefit Second, the findings of the research would provide to AirPay useful insight in developing its marketing programs that aim to maintain customers' continued usage, enhance customer loyalty, acquire more new users, and increase its competitiveness, as well as expand its market share Furthermore, based on analyzed factors, AirPay company can improve its platform design and service system to increase user trust and their experiences, and reduce potential risks for online transactions Especially, this study is expected to contribute to helpful reference sources for many other mobile payment service providers

in Vietnam

CHAPTER II

LITERATURE REVIEW

2.1 Technology Acceptance Model (TAM) Theory

One of the most well-known conceptual models in the field of digital system research

is the Technology Acceptance Model (TAM) Originally, TAM is recommended to explain an employee's behavior toward accepting a new technology in organizations According to Zhang et al (2015), TAM reflects the development of customer behavior toward technology adoption In the technology acceptance model, two essential determinants were proposed to investigate customers' intention in accepting or unaccepting a new IT system including perceived usefulness (PU) and perceived ease of use (PEOU) Narahdita, Aisjah, & Kusniyah (2020) stated that these two aspects are the basis to explain why customers adopt new technology Perceived usefulness reflects the extent to which customers realize that using a certain technology is appropriate for them, whereas perceived ease of use refers to the degree to which users believe that the information technology system is simple to learn, according to Davis (1989) Kesharwani and Bisht (2012) indicated that perceived benefit could express the function of the TAM model by merging perceived usefulness and perceived ease of use Based on their statement, in this study, the author would combine these two fundamental determinants of TAM into a new factor, perceived benefit, for the proposed model

2.2 Main Related Research and Model

Continuance usage intention means that clients are willing to continue to use the same product or service (Darmiasih & Setiawan, 2020) Nabavi et al., (2016) defined continuance intention as a decision of customers to continue utilizing one specific information technology that has been initially accepted and used by them In the digital era, electronic payment systems are gradually emerging and becoming more popular in various countries across the world

In Indonesia, Darmiasih & Setiawan (2020) did research in Denpasar city to investigate users’ intention to continue using OVO e-wallet A survey questionnaire was built to collect data from 139 participants and applied the structural equation modeling (SEM) based on the partial least square approach to analyze the data The results show that perceived privacy and perceived security positively influence trust Additionally, these two factors also were proved to have a significant impact on users’ continuance intention Besides, the information quality factor has a positive influence on trust but has

no direct influence on customers’ continuance intention Moreover, the results also indicated trust has a strong and positive impact on continuance intention

In the Vietnam context, Phuong et al (2020) conducted research to examine antecedents of customers' continuance intention of mobile wallet usage by integrating TAM, TAM2, and UTAUT theoretical models The authors suggested five fundamental factors that affect continuance usage intention including situational normality, mobile application quality, familiarity, feedback mechanism, and payment security A questionnaire is built to collect data from 276 respondents who live in Ho Chi Minh City The researchers used the partial least squares structural equation modeling (PLS-SEM) approach to analyze the data The finding shows that situational normality positively affects perceived ease-of-use (PEOU), meanwhile, mobile quality application and mobile wallet familiarity have a positive impact on both PEOU and perceived usefulness (PU) Both PEOU and PU are proved to have a positive impact on customer satisfaction Additionally, feedback mechanisms and payment security also identified that have a positive effect on users' trust Ultimately this research confirmed a significant influence

of trust and satisfaction on e-wallet continuance usage intention

In addition to variables suggested from TAM and UTAUT models and previous studies, there are many other additional factors that could impact users' continuance intention such as social influences (Raihan & Rachmawati, 2019), service quality (zhou, 2013), information quality (Zhou, 2013; Darmiasih & Setiawan, 2020), or perceived benefit This research will apply the model from the study of Made Darmiasih and Putu Yudi Setiawan (2020) (Figure 3) but add a new factor, perceived benefit In Vietnam, a potential new market, although e-wallets are progressing rapidly, these have not drastically changed the habit of paying in cash of Vietnamese Many customers use an e-

wallet not only because of its utility, but they sometimes just use it to enjoy attractive promotions like cashback reward programs, vouchers, discounts, free gifts Additionally, this factor has not been explored in previous studies conducted in the Vietnamese context Therefore, the perceived benefit should be researched further to identify the importance

of it toward continuance usage intention in the Vietnam context

2.3 Perceived Benefit

The Technology Acceptance Model (TAM) reflects the development of customer behavior toward technology adoption (Zhang et al., 2015) According to Kaouther (2016), TAM theory describes both two aspects of benefits including perceived usefulness (PU) and perceived ease of use (PEOU) These two aspects are the basis to explain why customers adopt technology (Narahdita, Aisjah, & Kusniyah, 2020) However, in the research of Kesharwani and Bisht (2012), the authors indicated that perceived benefit could express the function of the TAM model by merging perceived usefulness and perceived ease of use Most customers are all concerned about the utilities and benefits that they can obtain as adopting any online services such as convenience, discount, quick speed of service The perceived benefit is the most major factor that has a positive influence on customers' attitudes and intentions on using internet banking services (Chaniotakis & Lymperopoulos, 2006) The perceived benefit is general defined as total benefits that fulfill the needs and expectation of customers (Wu, 2003) According to

Figure 3: The mode applied in the study of Made Darmiasih and Putu Yudi

Setiawan (2020)

Narahdita, Aisjah, & Kusniyah (2020), perceived benefits as a sum of benefits that customers gain in the process of using a device Besides, Li (2016) stated that customers use technology not only because of its utility value but also based of its psychological effects on customers This is in line with the opinion of Zhang et al (2013) that in the online context, perceived benefits are often analyzed based on two dimensions including utilitarian and hedonic benefits (related to emotions) Ozturk et al (2016) proved that both these components have an influence on continuance usage intention toward mobile hotel booking technology

Especially, for a potential new market like Vietnam, although e-wallets are fast developing, these have not drastically changed the habit of paying in cash of Vietnamese

In addition to customers who use an e-wallet as a useful tool, many customers sometimes just use it to enjoy attractive promotions like cashback reward programs, discounts, vouchers, discounts, free gifts Thus, the perceived benefit may play an important role in increasing trust and promote users' intention to continuously use e-wallets If a service provider pays attention to develop his service based on customers' needs and expectations, provides more value, and enhances user experience, the customers will feel that the provider is trying to optimize for their benefits This makes customers trust in the experiences of this service and may promote their continuance usage intention Thus, the author hypothesized that:

H1: Perceive benefit positively affects customers' continuance usage intention

H2: Perceive benefit positively affects trust

2.4 Information Quality

Information quality refers to the reliability, accuracy, completeness, timeliness, and appropriateness of information (Zhou, 2013; Zhou, 2014) Information quality is considered one of the factors that have an impact comparatively great on user trust (Gao

et al., 2015) The quality of information may express providers' competence and honesty which are dimensions of trust (Zahedi & Song, 2008) For instance, users pay utility bills

by their e-wallet account and sometimes they want to check or get information and electronic bills of these payments If the offered information is wrong, irrelevant, or inadequate, the customers may suspect of competence and integrity of providers and think

that these mobile payment services are not helpful for their daily life Additionally, high information quality helps to mitigate the possible risk of online transactions and enhance user experience According to Zhou (2013), poor information quality may decrease the experience of customers toward electronic services because they may take time to confirm, recheck, and review information Information quality is supposed one of the major motivations in establishing the first trust in mobile payment services, providers need

to concentrate on improving their applications and give information more effectively and useful (Talwar et al., 2020) Many previous studies confirmed that information quality positively influences trust (Gao et al., 2015; McKnight et al, 2017; Ofori et al., 2017; Darmiasih & Setiawan, 2020)

The quality of information is also considered as among the factors which impact the continuance usage intention of services This factor has a significant direct impact on customer satisfaction and perceived benefits, and enhances their experience, thereby service providers can define customers' continuance intention (Zheng et al., 2013) In some previous studies, the authors indicated that information quality does not positively impact users' intention on using continuously (Nelloh et al., 2019; Darmiasih & Setiawan, 2020) Meanwhile, Kim et al (2008) in their research demonstrated that the quality of information influence customers' continuance usage intention significantly Antagonism between conclusions of these studies needs to further investigate to clarify the impact of information quality on continuance intention on using e-financial services in the Vietnam context

H3: Information quality positively affects customers' continuance usage intention H4: Information quality positively affects trust

2.5 Perceived Privacy Protection and Perceived Security Protection

Customers are often concerned about using online payment services because of issues related to (1) privacy protection and (2) security for online transactions According to Mekovec and Hutinski (2012), "privacy is mostly concerned with the identifiable user data and users' rights to have control over their data", meanwhile, "security provides the physical, logical, and procedural safeguards that are needed to keep the data private" Although these two factors are linked closely in practice, they are perceived as two

separate issues by customers (Mekovec & Hutinski, 2012) Therefore, in this research, the author considers perceived privacy protection and perceived security protection as two separate variables to explore each one's effect on users' continuance usage intention

2.5.1 Perceived privacy protection

Perceived privacy is defined as "an individual’s self-assessed state in which external agents have limited access to information about him or her" (Dinev et al 2013) Perceived privacy protection reflects the degree of users' belief about service providers have the ability to control and protect customers' personal information and transaction information from unauthorized use or disclosure Perceived privacy protection is a factor that concerns many users in adopting e-wallets to conduct online transactions According to some studies, perceived privacy has an indirect or direct effect on the attitudes, mobile payment usage intention, or decisions to give user personal information to the providers (Balapour

et al., 2019) Customers are increasingly concerned about the protection of their personal information as the disclosure of sensitive information can lead to serious risks and consequences such as scams, or unauthorized use of debit cards According to Stewart and Jürjens (2018), the matter of privacy and security is a major impediment to users in adopting financial technology because it significantly impacts trust In a study, Fatikasari (2018) also stated that perceived privacy protection positively influences user trust The same results are also proved in the study of Ofori et al (2017)

Besides, perceived privacy protection plays a prominent role in enhancing customer trust, thereby leading to their intention for continuing use (Kotte, 2015) Any electronic payment systems that focus on promoting and enhancing privacy protection measures often tend to make customers feel secure and trusted, as well as can maintain their continuance intention Trivedi and Yadav (2018) also indicated that privacy protection positively influences customers' continuance usage intention Meanwhile, Nelloh et al (2019) proved that privacy protection does not have any influence on users' intention toward continued usage Therefore, the influence of perceived privacy protection should

be more investigated further with the following proposed hypotheses:

H5: Perceived privacy protection positively affects customers' continuance usage

intention

H6: Perceived privacy protection positively affects trust

2.5.2 Perceived security protection

In the concept of mobile payment services, researchers defined perceived security as the degree of user belief that transactions on mobile payment systems are secured in both financial and personal information protection aspects (Hartono et al., 2014; Khalilzadeh

et al, 2017; Fan et al., 2018; Zhang et al., 2019) Several studies proved the privacy and security play an important role in electronic financial services (Cheng et al., 2006) There are many potential problems that both customers and service providers have to face such

as hacker attacks, malware, scams, or viruses; therefore, both sides need to have stringent data security procedures (Wang et al., 2016) The perceived security factor has an impact

on the initial impression and attitude of customers as they consider adopting electronic services When users realize that an electronic service has a strong security system built based on an optimal security standard, they will believe that a service provider is trying to secure data and eliminate potential risks for online transactions; this can strongly affect customer trust (Gupta & Dubey, 2016) Susanto et al (2016) also indicated that perceived security protection creates user trust in bank services conducted via smartphones In some studies, authors proved that perceived security protection significantly impacts customer trust (Fatikasari, 2018; Nelloh et al., 2019; Darmiasih & Setiawan, 2020) Meanwhile, Putri (2016) suggested another conclusion that perceived security protection does not significantly influence trust

Perceived security protection can also strongly affect continuance usage intention If people believe that an electronic payment service has a safe and strict security system, they tend to more trust and intend to continuously use this instead of using others that they have never experienced A positive impact of the perceived security protection factor on customers’ continuance intention was proved in several studies (Nelloh et al., 2019; Darmiasih & Setiawan, 2020) Whereas some authors obtained other contrasting findings which show no positive relationship between perceived security protection and continuance usage intention (Kim et al., 2019; Tanjung, 2019) Antagonism between these studies' results should be further researched to find out the influence of the perceived

security protection factor on users’ trust and continuance intention Thus, the author suggests the following hypotheses:

H7: Perceived security protection positively affects customers' continuance usage

In mobile commerce, user trust is supposed as an important factor that needs to be of concern (Shaw, 2014) According to Logan (2000), trust is formulated based on a sustainable and successful relationship between a client and a provider Trust has an important role in a longstanding service provider-customer relationship Trust is appreciated in increasing the extent of customers' participation in online transactions; the higher users' confidence, the higher their participation in using again electronic transaction services (Rofiq, 2007) Various researchers proved that trust is a strong factor promoting customers' intention on adopting mobile payment systems (Duane et al., 2014; Xin et al., 2015; Dastan, 2016) Additionally, trust can be one of the major factors influencing brand loyalty As customers trust a product or service that they think is good, safe, and reliable, they often tend to use and repurchase this product or service Moreover, potential risks and uncertainty of mobile payment systems may impact users' continuance usage intention To deal with this issue, building customer trust is very important because it can

help reduce problems in a long-term relationship development process and improve customers' continuance intentions (Belanche et al., 2014) Trust in mobile payment systems make users feel safe about a long-standing relationship with the service provider (Belanche et al., 2014), this will facilitate users' continued usage of a fixed service instead

of switching to other ones Zhou (2018) indicated that customers will be willing to use digital wallets in making payments daily if they have trust in these electronic systems Many studies also previously proved the positive influence of trust on intention to continue using an e-wallet (Darmiasih & Setiawan, 2020; Ofori et al., 2017; Zhou et al., 2018; Nelloh et al., 2019; Phuong et al., 2020) Therefore, the author proposes that trust affects positively customer's continuance usage intention:

H9: Trust positively affects customers' continuance usage intention

Table 1: Summaries of Main Constructs

2.5 Research Model and Hypotheses

The model of this study is adapted from the one in the study of Made Darmiasih and Putu Yudi Setiawan (2020), and this model is added a new factor, perceived benefit Therefore, the model includes four independent variables that are independent variables: (1) perceived benefit, (2) information quality, (3) perceived privacy protection, (4) perceived security protection; (5) trust and (6) continuance intention are dependent variables The proposed model is provided in Figure 4

Based on above discussions, there are nine main hypotheses are proposed in the model

of study:

H1: Perceive benefit positively affects customers' continuance usage intention

H2: Perceive benefit positively affects trust

H3: Information quality positively affects customers' continuance usage intention H4: Information quality positively affects trust

H5: Perceived privacy protection positively affects customers' continuance usage

intention

H6: Perceived privacy protection positively affects trust

Figure 4: Research Model

H7: Perceived security protection positively affects customers' continuance usage

intention

H8: Perceived security protection positively affects trust

H9: Trust positively affects customers' continuance usage intention

CHƯƠNG III

METHODOLOGY

3.1 Research Process

The process of research conduction as following:

Figure 5: Research process

3.2 Research Methodology

A conceptual model (Figure 4) and hypotheses have been suggested based on the detailed literature review This study was conducted to identify, explain, and forecast the causal link between variables which are perceived benefit, information quality, perceived privacy protection, perceived security protection, and continuance usage intention Therefore, the quantitative method was employed to portray this relationship numerically and mathematically through analysis, as well as attempt to generalize the results to draw

a conclusion Following this approach, a questionnaire was used to collect data on customer experiences toward digital wallet usage Although the length of a questionnaire might be a barrier to some participation, this method brought a better rate of response and the amount of collected data from respondents which were useful for the analysis process and statistics

3.3 Questionnaire Design

The survey questionnaire was built to conduct a poll regarding the factors impacting the continuance usage intention of AirPay's users The survey questionnaire consisted of two different parts Before starting the first section, there were two questions which set to select people who have used the AirPay e-wallet and live in Ho Chi Minh City

The first part consisted of questions about variables proposed in the research model, including users’ continuance intention, trust, perceived privacy protection, information quality, perceived benefit, perceived security protection (see Table 2) A 5-point Likert scale (Likert, 1932) was used for this part structure with the point scale ranges from 1 to

5, namely, 1 = Strongly Disagree, 2 = Disagree, 3 = Neutral, 4 = Agree, 5 = Strongly Agree

The second part was designed to get the demographic information of respondents, including sex, age, educational level, and income Alafeef (2012) proved the contribution

of demographic factors in using mobile payment systems of users

In online surveys, the researcher and the respondent cannot directly interact together; therefore, the author made a pilot test to review and modify unclear questions A pilot survey was conducted with 30 respondents This test helped the researcher identify possible problems in each question such as confusing words, ambiguous ideas, or duplicate questions This aims to improve the effectiveness of the questionnaire in collecting official data

Table 2: Measurement Scale

PB4

I think that using AirPay helps me save transaction fees (e.g., AirPay lets me transfer money for free)

INF2 AirPay provides me with sufficient

to send OTP code for each transaction)

Darmiasih & Setiawan (2020)

PRI2 AirPay keeps the customer's personal

information confidential

PRI3 AirPay does not use the customer's personal

information for other purposes

PRI4 AirPay protects the customer's personal

information from Hackers' access

Darmiasih & Setiawan (2020)

SEC2 I find that AirPay has a good payment security

SEC3 I find that AirPay well protects financial

transactions from unauthorized manipulation

SEC4

I find that AirPay well protects my account from unauthorized access by people without

my permission

Trust (TRU)

TRU1 I find that AirPay provides reliable financial

services

Darmiasih & Setiawan (2020); Kim et

al (2009); Yu (2018)

TRU2 I find that AirPay provides secure financial

CI1 There is a possibility that I will continue to

use financial services on AirPay

Darmiasih & Setiawan (2020); Bhattacherjee (2001)

CI2 I intend to continue using the payment service

on AirPay instead of discontinuing it

CI3

I intend to continue using the payment service

on AirPay rather than using alternative means

of payment

CI4 I intend to continue using the payment service

on AirPay in the future

3.4 Sampling Method and Data Collection

The objective of the research was to examine factors impacting continuance intention toward AirPay usage This study was conducted for users of the AirPay e-wallet in Ho Chi Minh city The sample was selected by applying convenience sampling which is a type of non-probability sampling approach With the limitation of time, cost, and availability of samples, convenience sampling was a useful and suitable technique for this research condition The sufficiency of sample size might be assessed on the range of scale

as following: 50 is considered very poor; 100 is considered poor; 200 is fair; 300 is considered good; 500 is very good; and above 1000 is considered excellent (Comfrey & Lee, 1992) The sample size of the research is adapted from this recommendation with an intended of approximately 300 respondents

The target respondents of this research included people who have used AirPay wallet application and live in Ho Chi Minh City Respondents are in different groups of

e-age, belong to different educational and careers such as university student, office employees, unskilled workers The questionnaire was translated into Vietnamese before being distributed to be convenient for respondents

The primary data was collected through an online survey form because it enables the researcher to approach a large range of people, collect data in a limited time (Nguyen & Nguyen, 2018; Phuong et al., 2020), and reduce cost Additionally, in the context of the COVID-19 epidemic, an online survey would be more suitable and safer for everyone than

an offline survey form (paper survey) Respondents were recruited through Gmail and social media sites like Facebook, Instagram, Zalo, and Messenger The surveys were conducted from April to May 2021 After the data collection process was completed, there are 301 valid responses were selected The acceptable responses would be used for the next analysis steps in the research process

3.5 Data Analysis Techniques

In this research, there are two main software used for the data analysis process, Statistical Package for Social Science (SPSS) – SPSS Statistics 22.0 and SmartPLS 3.0 First, preliminary data screening and descriptive analysis would be implemented in SPSS 22.0 for all accepted responses from the data collection process

Then, the partial least squares structural equation modeling (PLS-SEM) method would be used with statistical software SmartPLS 3.0 to test the proposed model This popular method is applied in various fields such as electronic wallet services (Yu, 2018; Phuong et al., 2020; Darmiasih & Setiawan; 2020), mobile shopping (Shang, 2017); internet banking (Ofori, 2017) Through SmartPLS software, the proposed model is analyzed through two sub-model including measurement and structural models

CHAPTER IV

DATA ANALYSIS AND RESULTS

This chapter provides the findings from the data analysis process First, the demographic Information of respondents was discussed and preliminarily analyzed Overview of data was also assessed based on descriptive statistics Then, the proposed model will be analyzed and evaluated in detail such as testing construct validity and reliability, checking the direct effect

4.1 Demographic Information

The involvement of demographic factors in the use of mobile payment was proved by Alafeef (2012) This part aggregates and explores demographic information of 301 valid respondents including gender, age, occupation, level of education, and monthly income

4.1.1 Gender

The study data was formed by the contributions of 301 participants containing both women and men According to statistics, there are 158 female participants accounted for 52.5% and 143 men accounted for 47.5% In the context of this research, women tend to use AirPay e-wallet more than men It can be partly explained as women like online services on e-commerce and delivery platforms such as Shopee and NowFood, which are major partners of AirPay However, these rates do not perfectly reflect the practical tendency of the gender factor in using AirPay because of various objective reasons such

as the difference between males and females in the survey location

Table 3: Distribution of Gender

4.1.2 Age

The 301 participants belong to different age groups from under 18 to over 50 Statistically, 13.3% of respondents are in the 35-50 age group, 2% are under 18 years old, and 0.7% are over 50 years old Especially, the biggest age group of participants is 18-35 (84.1%) including 253 people This reflects that the young generation is the most popular customer segment of the AirPay system Most of the respondents in this age group have a certain income and often like to use technology gadgets Young people can easily get used

to new technology products and services and can use them flexibly with their changes in the future

Table 4: Distribution of Age

4.1.3 Level of Education

Regarding the level of education, 80.1% of respondents (241 people) are at the undergraduate level, 8% are at the graduate level, 7.6% belong to college level, and 4.3% are studying at high school This can reflect users of financial services provided by AirPay

do not have problems related to educational levels Customers are in various educational levels all have the ability to use the AirPay e-wallet In other words, the educational level

is not a barrier to experiencing new technology products and financial services on smartphones

Table 5: Distribution of Educational Level

4.1.4 Distribution of Occupation

An occupational survey of respondents is also essential to assess the customer segments using the AirPay e-wallet According to Table 6, 42.5% of respondents (128 people) are office workers, 42.5% (119 people) is students who may be studying at high school, undergraduate, or postgraduate level, 10.3% of participants (31 people) are unskilled workers, and 7.6% (23 people) does other careers

Table 6: Distribution of Occupation

4.1.5 Income

The question was set to ask participants about their monthly income rather than their salary because they may have more than one channel to earn money Table 7 reveals that the level of the monthly income of respondents is divided into 4 ranges: under 3 million VND, 3-7 million VND, 8-20 million VND, and above 20 million VND Statistically, there are 31.6% of participants have an income of 8-20 million VND per month, 25.2%

of respondents earn less than 3 million VND, 23.9% earn 3-7 million VND, and 19.3%