Investigating user intention on usage frequency of e wallet in vietnam

List of Tables Table 4.2: Descriptive Statistic of attitude toward of e-wallet 33 Table 4.3: Descriptive Statistic of trust of e-wallet 34 Table 4.1: Descriptive Statistic of perceived u

VIETNAM NATIONAL UNIVERSITY, HANOI

VIETNAM NATIONAL UNIVERSITY, HANOI

INTERNATIONAL SCHOOL

GRADUATION PROJECT

Investigating user intention on usage frequency

of e-wallet in Vietnam

SUPERVISOR: Dr Nguyen Thi Kim Oanh

Student: Tran Thi Minh Anh Student ID: 16071009

Major: International Business

Hanoi – 25 th May 2020

ABSTRACT Purposes: Nowadays, E-wallet, a new payment gateway, has gained its popularity

in e-commerce and retail market This study investigates factors impacting user intention on E-wallet usage frequency in Vietnam

Design/Methodology: Structure Equation Modeling (SME) was used to test and

validate the research model In particularly, PLS-SEM measurement model was applied to ensure validity and reliability of the latent constructs Structural model was undertaken to determine the significant of paths and predictive power of the

model

Findings: The result found that users achieve high awareness of e-wallet and prefer portability of e-wallet is more likely to perceived usefulness of e-wallet than their counterparts Moreover, users who are more knowledgeable on e-wallet tend

to perceived more ease of use As a result, perceived usefulness and perceived ease

of users is positively associated with attitude towards e-wallet This attitude enhances user trust of e-wallets, which subsequently leads to user intention on usage frequency of e-wallets At the same time, e-wallets with high security are more likely to gain user trust, which also results in more frequency of e-wallet use

Originality/Value: Firstly, the study provides insights into a mechanism of user

intention on usage frequency of e-wallet in emerging markets like Vietnam The findings support e-wallet providers to enhance aspects of e-wallet services to response to customers‘ needs

Key words: E-wallet, user intention on usage frequency, Vietnam

ACKNOWLEDGE

The research would not have been possible without the exceptional support of Dr Nguyen Thi Kim Oanh, my supervisor, who gave me the opportunity to do research and providing invaluable guidance throughout this research Her enthusiasm, knowledge and exacting attention to detail have been an inspiration and kept my work on track It was a great privilege and honor to work and study under her guidance

I would like to say thanks to my friends in the university and research colleagues for their constant encouragement They always assist me to overcome panic moments and motivate me to finish all tasks on time Especially, I am extremely grateful to my parents for their love, prayers, caring and sacrifices for educating and preparing me for my future

Lastly, I would like to show deep gratitude for all my teachers in IS-VNU With more than 4 years to study, it is the first time to show my honor and appreciated to them Their passionate, their enthusiasm provided me to all knowledge and skills

in applying practical environment With the end of my task that finished my thesis will be remarked my excellent version at the present and better in the future

Table of Contents

ABSTRACT 3

ACKNOWLEDGE 4

Letter of Declaration 5

List of Figures 9

List of Tables 10

Chapter 1: Introduction 11

1.1 Background of study 11

1.2 Research objectives and research question 14

1.3 Research methods 14

1.4 Research findings: 15

1.5 Structure of Study 15

Chapter 2: Literature Review 16

2.1 Definition E-wallet: 16

2.2 The usage of E-wallet 16

2.2.1 The usage of E-wallet in some countries 16

2.2.2 The usage of E-wallet in Vietnam 17

2.3 The benefit of E-wallet 18

2.4 Prior studies on E-wallet 19

2.5 TAM model 20

2.6 Hypothesis formulation and conceptual framework 22

2.6.1 Awareness (AW) and Perceived Usefulness (PU) 22

2.6.2 Portability (PO) and Perceived Usefulness (PU) 22

2.6.3 Knowledge (KN) and Perceived Ease of Use (PEOU) 23

2.6.4 Perceived Usefulness (PU) and Attitude Towards (AT) 24

2.6.5 Perceived Ease of Use (PEOU) and Attitude Towards (AT) 24

2.6.6 Security (SC) and Trust (TR) 25

2.6.7 Trust (TR) and User Intention on Usage Frequency 26

2.6.8 Attitudes Towards (AT ) and Trust (TR) 27

2.6.9 Attitude Towards (AT) and Intention on Usage Frequency (IOFU) 27

2.6.10 Conceptual framework 28

Chapter 3: Methodology 30

3.1 Research method 30

3.1.1 Quantitative method 30

3.2.1 Questionnaire development 30

3.2 Sample and data collection 31

3.3 Measurement development 31

3.4 Partial Least Squares- Structural Equation Model (PLS-SEM) 35

Chapter 4: Data analysis and results 37

4.1 Demographics of respondents 37

4.2 Descriptive statistics of these variables 41

4.3 Measurement model result 48

4.3.1 Assessing reliability and validity of constructs 48

4.3.2 Hypotheses testing 53

Chapter 5: Discussion and Conclusion 57

5.1 Discussion of the findings 57

5.2 Conclusion and limitation 58

5.2.1 Conclusion 58

5.2.2 Limitations 58

5.3 Implications 59

REFERENCES: 61

APPENDIX A: 68 APPENDIX B: 74

List of Figures

List of Tables

Table 4.2: Descriptive Statistic of attitude toward of e-wallet 33 Table 4.3: Descriptive Statistic of trust of e-wallet 34 Table 4.1: Descriptive Statistic of perceived usefulness of e-wallet 35 Table 4.2: Descriptive Statistic of perceived ease of use of e-wallet 36 Table 4.3: Descriptive Statistic of security of e-wallet 36 Table 4.4: Descriptive Statistic of awareness of e-wallet 37 Table 4.5: Descriptive Statistic of portability of e-wallet 37 Table 4.6: Descriptive Statistic of knowledge of e-wallet 38 Table 4.7: Descriptive Statistic of intention on usage frequency of

e-wallet

38

Table 4.9: Validity and reliability estimates of the constructs 41 Table 4.10: Correlation Matrix among Construct Scores

(Discriminant validity)

42

Table 4.11: Collinearity statistics (VIF) of exogenous variables

paths and hypotheses results

43

Chapter 1: Introduction 1.1 Background of study

Evidence of technological change led to boom in digital technologies with striving in sophistication of systems, digital platform transforming information and communications, expanding invention of Artificial Intelligence (AI) especially Internet of thing (IoT) IoT is a dynamic global network of billions of heterogeneous smart objects that are capable to sense, collect, share, and exchange information by communicating and interacting with each other (Ahmed Shuhaibera and Ibrahim Mashalb, 2019) Internet is one of the greatest creations and provides huge benefits for people to solve numerous problems with clicks on smart devices

(e.g: Hargittai, 2001; Büchi et al., 2016; C.Witte and Mannon, 2016) Internet was

created to boost productivity growth and allow humans to achieve higher levels of efficiency (Qureshi, 2018)in various fields such as education construction or

supply chain management (Yang et al., 2015; Scheerder et al., 2019; Yu et al.,

2020) In financing field, internet can provides these advantages in transactions to

reduces timing and promote productivity (Computing the Benefits Of Internet Finance, 2018) Therefore, E-wallet is potential tool that aim to prove residents‘

quality of life and respond to their needs by reducing time activity transactions in financing field instead of cash transactions

As forecast predict by 2022, 17 percent of people in the global was payment by cash Meanwhile, mobile payment wallet usage will continue to increase, accounting for 28 percent of all sale transactions With internet usage growth, E-wallet was applied around the world In USA, the most famous mobile wallets including Google Wallet, Master Pass, Apple Pay It reached USD 1,602.4 billion

in 2018 in global mobile wallet market (Zhen Qin et al., 2016) In India, seven out

of eight India‘s population access to Internet from their mobile phones The active users range in the group from 18 to 35 years because of driving of digital revolution in India (business, 2010) In particularly, most of people use mobile phone who set up E-wallet to purchase in shopping online and easy to control cash flow in mobile phone (Trivedi, 2016) From the amount of number users, various

studies showed that consumers prefer a technology that provides fast, convenient and useful services on a single platform In this regard, E-wallet services insisted

an advance technique that provided pragmatically features (Shin, 2009; Schierz et al., 2010; Thakur and Srivastava, 2014; Abhishek and Hemchand, 2016)

The research found out various advantages of using E-wallet in consumer life Firstly, with the technological advancements supports user to enhance perceived of usefulness in e-wallet with using their mobile phone E-wallet would be provided convenient and faster method for consumers to purchase products from any person

or store across the globe and enables users to make payment and fund transfer in

comfortable and efficient manners (Dahlberg et al., 2008; Trivedi, 2016)

Moreover, E-wallet makes payment for groceries, online purchases, flight-tickets

or any transactions to purchase and sell goods and services through mobile phone (Economictimes, 2020) Treasury (2018) claims Digital payments can offer consumers and businesses convenient, tailored, and flexible ways of making purchases instead of using cash Hence, they also reduce the opportunities for the minority who use the anonymity of cash to evade tax and launder money Perceived of usefulness of e-wallet was shown in during quarantine period time In particularly, in the March 2020, Virus Corona attacked half of total citizen in the World, the government advices the citizen should stay at home to protect them health and reduce the possibility of infection E-wallet is one of priority pocket to purchase goods and services online when citizens have been forced to be home Secondly, users can increase perceived ease of use because of their knowledge to release simple features and clear, understandable interactions With huge of instruction of these digital applications, users can easy to understand how e-wallet runs into systems With these addition features, it will help users to have experience easier Therefore, users can have certain knowledge in using e-wallet It

is proof to prove that, the Global Forecast Report shared by Market Research Future estimates that the e-wallet market will rise at a CAGR of 15% and is expected to reach around $2100 billion by 2023 because of simple interactions

(Building a Popular Mobile Wallet App: 7 Essential Features, 2019) Thirdly,

E-While this type of payment method is convenient for both consumers and merchants, much of the increased usage of digital wallets is due to improved security measures which have created higher levels of trust among users across the

globe (Trust rising among mobile wallet users, 2020) With advantage of E-wallet

provided for the huge of potential users, it is one of potential digital transactions is

likely mobile payment method in the future (Zhen Qin et al., 2016)

In recently decade, Vietnam as developing countries, the approaching to digital services have been move as slowly as developed countries but 64 million people used internet showed the transformation from cash to digital cash According to State Bank of Vietnam (SBV) ‗s updated list, there are 30 intermediary company with 26 cooperation to connect e-wallet with International e-wallet PayPal, Alert Pay, Moneybookers, WebMoney, Perfect Money and Domestic e-wallet: Momo, Bank Plus, Ví Việt, Zalo Pay, VTC Pay, Moca, Vimo, Top pay, Airpay, Appot

('M-Pay allowed to provide payment intermediary services,' 2016) Users realized

these benefit when pay kind of bill at home, purchase good with discounting, managing cash-flow with account queries (ref) While these benefits, according to Fomo Pay co-founder Zack Yang, there are some issues when using E-wallet Firstly, transaction online is a double-edged sword with cybersecurity in financing (Jung and Jang, 2014).User‘s should be awareness and careful to access data and money Secondly, there is a limitation between e-wallet and banking In particularly, a little banking in Vietnam cannot be connected with e-wallet of user‘s causes users would be access to e-wallet to implement transactions Moreover, intention of usage frequency means the level of satisfaction of users to continue e-wallet application This topic would rarely found in these researches in Vietnam environment Hence, Vietnam is one of countries to develop in finance technologies lead to the author has been concerning It is the reason that the authors desired to approach the factors impacting user intention on usage frequency of e-wallet in Vietnam

Prior research explores investigating these factors effect on intention on usage

frequency of e-wallet (Kim et al., 2010; Mahmoud Maqableh, 2010; Yang et al.,

2012; Oliveira et al., 2016c) Among these prior researches, it is identified the differences in the perceptions of these factors by different consumer groups (Lu et al., 2011; Liébana-Cabanillas et al., 2014a; Baptista and Oliveira, 2015) and

different potential risks happened with the technology (Mallat, 2007; Hayashi, 2012) Overall, the post-adoption of e-wallet is less commonly addressed This study extends the literature on e-wallet by examining the post-adoption of the users based model Technology Acceptance model (TAM) To fill this gap, this study aims to develop a model for a better understanding of user intention on usage frequency of e-wallet

1.2 Research objectives and research question

The aim of research is to investigate user intention on usage frequency of e-wallet based on TAM The objective of the study is to understand relationships between these factors in TAM to intention on usage frequency of e-wallet in Vietnam

To address these objective questions, the study is answered two question bellowed:

1 What factors in TAM impact user intention on usage frequency of e-wallet in Vietnam?

2 To what extent those factors impact user intention on usage frequency of wallet in Vietnam?

statistical models (Hair Joseph et al., 2019) Smart-PLS is designed to provide

causal explanations through measurement model and structural model (Wold,

1982; Sarstedt et al., 2017)

1.4 Research findings:

First of all, the result found out the relationship between these factors to intention

on usage frequency of e-wallet In particularly, the users achieve high awareness of e-wallet and understand portability of e-wallet thereby achieving more perceived usefulness of e-wallet While awareness of e-wallet have larger impact on perceived of usefulness than portability Moreover, with more knowledge of e-wallet, users can enhance more perceived ease of use Therefore, with more perceived usefulness and perceived ease of use, users of e-wallet trend to more attitude towards of its In special, perceived usefulness has established stronger relationship with attitude towards In additional, e-wallet protect by more quality security software, e-wallet can promote trust of users From the positive on attitude towards, e-wallet can achieve not only trust of users but also intention on usage frequency It is special show that the role of attitude toward was tested that impact more significantly than trust on determining intention on usage frequency

1.5 Structure of Study

The research project consisted in 5 chapters Firstly, in Chapter 1, presenting chapter provide the background for the study, research objectives and research questions, research methods, research finding and the structure of the study Next, Chapter 2 reviews literature what is definition and benefit of E-wallet, discussion

in TAM model and development of model and identifies 10 hypotheses to effect on intention on usage frequency Moreover, Chapter 3 presents sample ,data collection, and technique of data analysis Chapter 4 presents research findings Last but not least, the study closes with chapter 5 where the research findings are discussed and the research conclusion is drawn Also, limitations of the study are addressed and implications for the future research are provided

Chapter 2: Literature Review

2.1 Definition E-wallet:

In recently decade, one of essential tools is E-wallet which innovated and invented

by human beings E-wallet is a relatively new financial transaction technology which using around the world E-wallet are essentially apps residing on your mobile device that can be loaded with money and used to pay for goods and services as long as merchants accept that payment method E-wallet is an achievement that human being has been moved away from traditional payment method to highly advanced techniques Another research, E-wallet is an intermediate process where cash flow transferred from payers to receivers via mobile phone devices (Mallat, 2007).The mobile device included in smartphone or mobile phone or personal digital assistant which set in these applications E-wallet need wireless communication technologies to use, for example mobile

telecommunication networks (Kim et al., 2010) There are types of services that

are used for bill payment, account transfers, peer-to-peer transfers, proximity and

remote payments, or purchase ticketing (Oliveira et al., 2016b) In addition, other

features can substitute all major payment methods including cash, credit and debit

cards, visa card and electronic bill payments (Tomi Dahlberg et al.) The outline

the common definitions of e-wallet process; some authors refer to two phases of the process, namely authorization and initiation, while others also add realization

of the payment (Schierz et al., 2010) It is important to note the difference between

mobile payment and mobile banking (Mallat, 2007) Although sometimes treated interchangeably, the former involves a process between the customer, bank and the

merchant, while the latter relates to a customer-bank relationship (Oliveira et al.,

2016b) Hence, e-wallet is considered for certain segmentation to meet customer demand in cash flow transactions

2.2 The usage of E-wallet

2.2.1 The usage of E-wallet in some countries

With using E-wallet, user must have account transactions in the bank (ATM) and set up internet banking in mobile phone To purchase goods or pay bill, e-wallet account‘s owner has to connect with bank‘s account There are more e-wallet in the world like Paypal, Apple Pay (USA), AlliedWallet, WechatPay (China), Momo (Vietnam) According to Balaji (2020a) E-wallet has been spread to be used in many countries For instance, Paypal is operating in 7 markets, Masterpass is active in 6 markets, and Amazon pay is running in 5 countries In the United Stated, local e-wallets like Yoyo Wallet and Pay by Bank App are also giving a tough fight to the global players In current year, Yoyo Wallet is one of wallet that user by 400,000 consumers and 1700 merchants in the United Kingdom and Ireland In Scandinavia, the Scandinavians use mobile apps to pay for about a quarter of all retail transactions, with e-wallets dominating the market – MobilePay

in Denmark, Swish in Sweden, and PayPal and Vipps in Norway While French consumers prefer using card payments, e-wallets have been becoming increasingly popular in recent years While the popularity of e-wallets is expected to increase slightly from their 2017 figure of 21.8% to 22.7% over the next five years, credit and debit cards are expected to reduce from 16% and 15% respectively to

10% each (Balaji, 2020b)

2.2.2 The usage of E-wallet in Vietnam

E-wallet market has been flourishing with huge of subscribers According to User's Identify and Behavior in E-wallet market (2020) one user implemented from 1,6 to

2,2 in the average transaction through e-wallet in each day in Vietnam In addition,

according to Statista (Tech, 2019), the total transactions value in the Digital

Payments market is measured to approximate US$10,073 million in 2020 Importantly, Statistics from the Ministry of Industry and Trade claimed that:

―Vietnam is one of the countries with the highest growth in e-payment in the world, with a rate of about 35% per year‖ With huge of people participating in the market, there are various companies to participate in intermediate payment market included banks, mobile, food, telecommunication companies such as Momo wallet, Moca wallet (transportation), Delivery now one (food service), Viettel Pay

(mobile), or Zalo Pay Especially, Momo is leader market in digital application market with 12 million users, 12 thousand partners, 100 thousand POS From 2016

to 2018, the number of fintech companies operating in Vietnam increased from 40

to 100, consisted of 26 intermediary payment service providers Hence, the expansion of e- wallets has been significantly impact to payment behaviors of

customers

2.3 The benefit of E-wallet

In statistic, there is a growing tendency in using e-wallet To find out the reason of this phenomenon, E-wallet has been created numerous of advantages for approaching users behaviors First of all, e-wallet is one tool to provider customers these buying process via online instead of visiting store directly It is convenient to reduce timing with these customers on bustle lifestyle In additionally, with payment easily and fast, the supplier is improving the customer experience (one-touch payments, facial recognition, easy API integration) with boosting the adoption of technology (QR code) Various studies have confirmed that consumers prefer a technology that provides fast, convenient and useful services on a single platform In this regard, e-wallet services presented an advanced multipurpose

technique that includes such features (Shin, 2009; Schierz et al., 2010; Thakur and

Srivastava, 2014; Abhishek and Hemchand, 2016) In additional, e-wallet brings the most priority among these features which is the portability Starting from bill payments for postpaid, data card and broadband to buying air, bus or train tickets, customers can use an e wallet for a variety of transactions From paying at local stores to paying for utilities like gas, water and electricity, the reach of mobile wallets has gone far and wide Specially, E-wallet is intermediate between suppliers and buyers, buyers can use digital –wallet to purchase goods and services

at home instead of visiting store From it can be reduces the times of buyers, reduce the amount of money to expend for transportation oil, especially increase their productivity in the life Hence, with the awareness of customers to e-wallet and the portability of e-wallet, it would be achieve perceived of usefulness which

is one of main factors to impact to intention on usage frequency

Secondly, customers have been more intelligent to make decision about purchasing quality products It is the fact that customer release these simple features and clear, understandable interaction of e-wallet (Wilson, 2015) From these advantages of e-wallet, users can easier understand these of benefits of e-wallet to support knowledge in transactions daily instead of using traditional payment In detail, with easy accessibility, all most of transactions to pay or receive money have been taken

in few seconds Hence, users released ease of use with being acquainted knowledge of e-wallet

Thirdly, it is important to consider which aspects of e-wallet that matters how to impact on consumers As with the study claimed, trust is vital components to effect

about continuing to use technology applications (Zmijewska et al., 2004) To

measurement the components of trust, customers have been considered about perceived risk which occurred more than 90 percent of the respondents Global study made stated that security is troubling issues when it comes to e-wallet The concern about data privacy and cyber securities affect level of risky which had also risen compared to previous studies (KPMG, 2010) The benefits of e-wallet are also a vital aspect of the question if it is going to be able to succeed or not

(Linck et al., 2006) In this paper, the different aspects of value creation that

e-wallet combined are gathered attitude towards and trusty to explore intention on usage frequency Therefore, the most relevant intention on usage frequency in consumers towards e-wallet seems to be these factors included attitude forward and trusts

2.4 Prior studies on E-wallet

There are several of these researches investigated different factors involved in the intention on usage frequency usage of e-wallet (Thakur and Srivastava, 2014; de

Luna et al., 2015; Upadhyay and Jahanyan, 2016; Liébana-Cabanillas and Rubio, 2017; Madan and Yadav, 2017; de Luna et al., 2019) These variables are:

Lara-perceived ease of use, usefulness, trust, attitude, Lara-perceived risk, attitude towards,

knowledge, portability (Slade et al., 2014; Dennehy and Sammon, 2015; Upadhyay

and Chattopadhyay, 2015; Abhishek and Hemchand, 2016; Duarte et al., 2018; Wang et al., 2018) Slade et al.(2013) shown that combining payment systems with

mobile phones finally provides consumers with a solution to each of the five payment scenarios: stationary merchant automat, stationary merchant person, electronic commerce (e-commerce), mobile commerce (m-commerce), and customer-to-customer Meanwhile, various researchers denoted these factors in different countries For instance, the study explores factors influences users experience in e-wallet in India They found that ease of use, usefulness, perceived risk, attitude, to have strongly impact on user's intention, which further influenced user's perceived satisfaction and recommendation to use electronic wallet services

(Singh et al., 2020) In South Africa, the current research discussed these pivotal

factors can be adoption user intention via We Chat wallet (Matemba and Li, 2018)

In Vietnam, there are limitation researches concerned about this topic This is new application for emerging country to explore and discuss these factors impact on intention on usage frequency Hence, Vietnam is one of priority country to discussed and found out what these factors to approach intention usage on frequency in e-wallet

2.5 TAM model

In order to find out factors effect on user‘s frequency intention, David (1989) invented original TAM and have been developed to determine how users come to accept and use technology for many years At that moment, TAM is the most commonly used model and is generally preferred for predicting and explaining user behavior toward new technology acceptance and usage (Ahmed Shuhaibera and Ibrahim Mashalb, 2019) The original TAM included in four factors Perceived

Usefulness, Perceived ease of use, Intention to use, Usage behavior (Figure 2.1) After a while, it is development with extension of TAM 2 (Studies, 2000), the Unified Theory of Acceptance and Use of Technology (Venkatesh et al., 2003) A

TAM 3 has also been proposed in the context of e-commerce with an inclusion of the effects of trust and perceived risk on system use (Venkatesh and Bala, 2008) With development of TAM model, there are variables external variables

investigating (Figure 2.2) To sum up, these external variables are indication base

on different perspective of research To original objectives of TAM model, it is explore these factor enhance acceptance of new technology Hence the study explores these original factors to understand background of TAM approach Firstly

perceived usefulness (PU) means the degree to which a person believes that using a particular system would enhance his or her job performance Secondly, perceived Ease of Use (PEOU) which is the degree to which a person believes that using a particular system would be free from effort by David (1989) Perceived usefulness and attitude determine intention to use which a measure of strength of user‘s decision to spend in the future Attitude toward using a technology is affected by the perceived ease of use and usefulness while Attitude towards is defined as the degree of user's positive or negative evaluation or feelings using E-wallet

Figure 2.1: The earliest technology acceptance model

From the original and development of TAM, the study investigate these factors impact on user intention usage on frequency based on Ahmed Shuhaibera and Ibrahim Mashalb (2019) model The author find out TAM model included four technology factors (perceived usefulness, perceived ease of use, attitude towards use, and intention to use); and personal factors (awareness, portability, trust, knowledge, security, trust) It is latest model that authors find out to appropriate the research objective These factors are similar to intention usage on frequency with using e-wallet service

Figure 2.2: Technology Acceptance model

2.6 Hypothesis formulation and conceptual framework

2.6.1 Awareness (AW) and Perceived Usefulness (PU)

It is agreed that decisions to accept or reject a new technology after the users are made awareness of the innovation (Rogers, 2010) Awareness is defined as an understanding that allows the user to reduce uncertainty in a subjective manner (Gefen, 2000) Awareness with respect to e-wallet is certainly associated with learning the role of e-wallet for usage Through some personal experiences with features of e-wallet, there are many resources for delivering knowledge about it to the individual, thus awareness in this context is different than familiarity Prior research explores awareness factors having effects on perceived of usefulness (Lwoga and Lwoga, 2017) In another study, they found awareness is one of factor impact on direct positive intention on usage frequency instead of intermediating through perceived of usefulness (Ahmed Shuhaibera and Ibrahim Mashalb, 2019) Hence, this paper will further examine the relationship between e-wallet awareness and e-wallet perceived of usefulness

H1: E-wallet awareness is positive associated with e-wallet perceived of usefulness

2.6.2 Portability (PO) and Perceived Usefulness (PU)

Portability is one of additional factor that author create model Portability is easy to understand that concerned with being able to be taken its different place Portability can be shown obvious the advantage of e-wallet that online versus physical shopping, mobile versus traditional payments bring customers a convenience advantage (Szymanski and Hise, 2000) It is limitation of prior research to investigate this factor However it is discussed that belong to convenience factors and perceived of usefulness (Hayashi, 2012) In additional, portability denoted that have significant positive impact on customer satisfaction

on wallet (Smolarczyk, 2018) It is a significant motivational factor for using wallet; multiple studies emphasize for example the importance of usefulness in the

e-electronic wallet adoption (Kim et al., 2010) Therefore, the author stated e-wallet

portability impact positive on e-wallet perceived of usefulness

H2: E-wallet portability is positive associated with e-wallet perceived of usefulness

2.6.3 Knowledge (KN) and Perceived Ease of Use (PEOU)

Knowledge is condition of knowing something with familiarity gained through experience or association Then users can acquaintance with understanding e-wallet objectives It is practical to show user need to perform a task requires knowledge thus an effort is needed to attain such experience (Lwoga and Lwoga, 2017) Hence, users need to be familiars with the technology and express their opinion to decide how level of their satisfaction Knowing how to use is crucial for users Mobile phone is becoming popular in around in the word, and the numbers

of mobile phone subscribers is higher than those who use line-phone It is important to know if those who already use mobile phone services have adequate

expertise to use e-wallet service(Kim et al., 2010) It can be found that e-wallet

knowledge had positive impacts on perceived ease of use of m-payment services Consumers with adequate knowledge of e-wallet services are more likely to find that the e-wallet systems are easier to use than those users lacking such knowledge This study attempts to assess that personal e-wallet knowledge has positive effects

on perceived ease of use

H3: E-wallet knowledge is positive associated with e-wallet perceived ease of use

2.6.4 Perceived Usefulness (PU) and Attitude Towards (AT)

Perceived usefulness (PU) means the degree to which a person believes that using e-wallet system would enhance or develop her performance. Patil et al (2017) did

a review of research on adoption and use of digital mobile payment The results of this literature analysis denoted performance expectancy or perceived usefulness as the most significant determinants of consumer's behavioral intention to use e-

wallet Moreover, Dahlberg et al (2015) also enhanced higher applicability of

perceived ease of use and perceived usefulness, followed by other these variables such as perceived risk, social influence and trust, on user's behavioral intentions Through affected on customer satisfaction, users can understand usefulness of e-wallet then they should to express attitudes to using e-wallet The research found perceived usefulness impact effective significantly on attitude towards(Ahmed Shuhaibera and Ibrahim Mashalb, 2019).Previous research demonstrate that perceived usefulness is positively linked with the behavioral intention to continue

using e-wallet through attitude toward (Kim et al., 2010; Tobbin and Kuwornu,

2011; Aminu Hamza and Shah, 2014) Consumers can use e-wallet as a service that can enhance their saving or increase efficiency in the way they conduct various transactions in financing Hence, the study theorizes that the perceived usefulness has positive impacts on the attitude toward on usage on using m-payment service

H4: E-wallet perceived usefulness is positive associated with e-wallet attitude towards

2.6.5 Perceived Ease of Use (PEOU) and Attitude Towards (AT)

Perceived Ease of Use (PEOU) which is the degree to which a person believes that using a e-wallet system would be easy for using With assessing prior various studies on e-wallet systems and found that perceived ease of use were the most influential factors to determine behavioral intentions of consumers (Liébana-

Cabanillas et al., 2014b; Liébana-Cabanillas et al., 2014a) A number of studies

have revealed a positive relationship between perceived ease of use and attitude

towards of e-wallet services (Kim et al., 2010; Zhang et al., 2012; Aminu Hamza and Shah, 2014) Even in Tanzania, Chachage et al (2013) found that effort

expectance, which is similar to perceived ease of use positively influenced the attitude towards services among University students It is interesting that the authors explore perceived ease of use effect attitude towards among these citizens using smart homes (Ahmed Shuhaibera and Ibrahim Mashalb, 2019) In fact, through simple features, consumers can access easier to exercise various transactions Then consumer create attitude toward for having experience with e-wallet instead of using traditional payment Consumers who believe that e-wallet service is easy to use and useful will have positive intentions towards using the system Hence, the study hypothesizes that the perceived ease of use of e-wallet has positive influences on the consumer‘s perceived usefulness and behavioral intention of e-wallet service

H5: E-wallet perceived ease of use is positive associated with e-wallet attitude towards

2.6.6 Security (SC) and Trust (TR)

E-wallet is one of substitute service that human being have been concerning instead of traditional payment Hence, there is limitation that government can be substitute for changing another method because of various issues in cybersecurity However, People‘s Bank of China (PBOC) decided issues digital transactions to control economics market (vneconomy, 2020) So E-wallet has been increase and dominates in economic market It is evidence that security is one of factors that most of customers have been focus on using e-wallet Security concerns the possibility of fraud and the level of protection against fraudulent activities (Hayashi, 2012) Security means safety, as well as the measures taken to be safe or protected Overall, e-wallet allow safe transactions thanks to appropriate

technologies (Liébana-Cabanillas et al., 2014b) such as encryption, and reduce likelihood of, for instance, theft (Wenner et al., 2017) Still, lack of perceived

security is common among consumers (Siau et al., 2004; Oliveira et al., 2016a) As

an example, users might be afraid to input their personal data while establishing contracts with mobile app providers (Hillman and Neustaedter, 2016) In order to gain customer satisfaction, the author identified the higher level of security the higher level of customer trust (Ahmed Shuhaibera and Ibrahim Mashalb, 2019) The literature linking the effect of perceived security on e-wallet adoption is

inconclusive For instance, (Oliveira et al., 2016a) identify a positive relationship (Khalilzadeh et al., 2017), while (Schierz et al., 2010) suggest that there is no

strong link between perceived security and mobile payment acceptance Prior wallet experience has been observed to lower security concerns among consumers

e-(Khalilzadeh et al., 2017) Hence, the study explores the relationship between

security factors and trust factors

H6: E-wallet security is positive associated with e-wallet trust

2.6.7 Trust (TR) and User Intention on Usage Frequency

In the study, trust means as ―extent to which an individual believes that using

m-commerce is secure and has no privacy threats‘‘ (Zhang et al., 2012) On another

hand, trust defines as ―highly conducive to such psychological forces as

expectations, attitudes, willingness and perceived probability‖ (Kim et al., 2009)

In our research, trust identified that would create people believes in e-wallet systems This system would be weakness in security systems There are various that refer to customer trust Prior studies found that customers‘ trust had positive

effect on the intention on usages frequency (Zarmpou et al., 2012; Ahmed

Shuhaibera and Ibrahim Mashalb, 2019) In another study in Tanzania, the author shown that trust had negative effects on intention frequency using m-payment services (Anthony and Mutalemwa, 2014) It is claimed that the general levels of trust in Tanzania are lower than other countries due to fear and jealousy of citizens (InterMedia., 2011; Kabanda and Brown, 2015) Once trust is established with service provider, users are more likely to have greater trust in adoption e-wallet Hence, this paper hypothesizes that:

2.6.8 Attitudes Towards (AT ) and Trust (TR)

Attitude towards means reflection in your feeling or your thinking of one objective For instance, individuals who have an overall positive attitude towards consumerism and those whose life satisfaction is high, tend to experience higher satisfaction with products and services than people lacking such sources of good affect Still, the impact of such intrapersonal influences varies among different products and services (Smolarczyk, 2018) Firstly, in prior research, there is a relationship between people trust and attitude toward (Azura Mohd Noor and Saad, 2016) It is accepted that customers maintain positive attitude lead to achieve higher customers‘ trust Secondly, in several previous studies, perceived attitude was used as independent variables, to determine their influence on trust (Liébana-

Cabanillas et al., 2014a; Thakur and Srivastava, 2014; de Luna et al., 2015; Kaitawarn, 2015; Abhishek and Hemchand, 2016; Oliveira et al., 2016a; Raje,

2016) Hence, from these prior research, attitude toward is one of important factors that impacts on both customers‘ trust

H8: E-wallet attitude towards is positive associated with e-wallet trust

2.6.9 Attitude Towards (AT) and Intention on Usage Frequency (IOFU)

Attitude is often used to test intention and effect on actual behavior (Chuan et al., 2015; Singh, 2016; Singh et al., 2017) (Schierz et al., 2010) found significant and

positive association be- tween user's attitude and intention to use mobile payment services Several previous studies confirmed that consumer's perceived attitude towards is directly associated with behavioral intention and continued usage of a

technology (Koivisto and Urbaczewski, 2004; Liébana-Cabanillas et al., 2018;

Sharma and Sharma, 2019) Consumers experience perceived attitude towards based on their expectations and actual performance of a technology When users are satisfied with features of mobile payment technology such as improved convenience, off ers, cash backs and reward points, they plan to switch to digital

mode of payments(de Reuver et al., 2015; Oliveira et al., 2016a) Consumer's

perceived attitude towards works in several ways through continuous usage of a service and intention to recommend to family and friends on various social

platforms (Zolkepli and Kamarulzaman, 2011; Kizgin et al., 2017; Marinković and Kalinić, 2017; Xu and Du, 2018)) Oliveira et al (2016a) have shown that a user,

who has a good experience and perceived attitude towards with a technology, is often more inclined to share positive feedback and recommendations to others Hence, the authors believe in attitude towards has positive impact on intention on usage frequency

H9: E-wallet attitude towards is positive associated with e-wallet intention on usage frequency

2.6.10 Conceptual framework

From investigating these prior researches, the authors followed base on TAM of Ahmed Shuhaibera and Ibrahim Mashalb (2019) and develop structure framework for intention on usage frequency of e-wallet in Vietnam These model included 9 hypothesis with factors: awareness factors, portability factor, knowledge factors, perceived usefulness, perceive ease of use, attitude toward, security, trust and intention on usage frequency This model applied base on latest model and appropriate for these behaviors users factors of using e-wallet in Vietnam

Figure 2.3: Conceptual framework

3.2.1 Questionnaire development

The survey included in various stages At the first stage, main concepts of the study are clarified before hypotheses are developed and conceptual framework is built Then, survey is created followed by conceptual framework and delivered to these respondents Unfortunately, these group participated in survey is unexpected and the studies had to change the objectives of the research A new pilot test is advisable to ensure the questionnaire is in the best quality concerning its content, its length, and its understandability to target respondents In particularly, a questionnaire instrument was employed in the current research and is adapted using the conceptualization and development followed these factors found in literature review The questionnaire has three parts in the study In the first part it is

respondent demographic which are information of respondents included in gender, age, ethnicity, occupation, major Second part is status of respondents to use e-wallet In this part, the author desire understanding of background of respondent related e-wallet In third part, it is main part to measure factors impact on intention

on usage frequency of e-wallet In detail, it contained measuring items for eight variables such as awareness, portability, knowledge, trust, security, perceived ease

of use, perceive of usefulness and intention on usage frequency of e-wallet These factors were combined of priors these researchers (e.g: Trivedi, 2016; Matemba and Li, 2018; Smolarczyk, 2018; Ahmed Shuhaibera and Ibrahim Mashalb, 2019).In detail, awareness had 4 variables, portability had 2 factors, knowledge had 4 variables, perceived usefulness had 6 variables, perceived ease of use had 4 variables, attitude towards had 5 variables, security had 2 variables, trust had 4 factors, intention on usage frequency had 1 variables

3.2 Sample and data collection

In purpose of the study, the authors created questionnaire in one month and collect data through Google form Because of quarantine and time limitation, respondent collection was 206 people in Vietnam via online form These respondents in the study required one condition that has used e-wallet The respondents participated

in the survey that implanted into 3 steps: Access a questionnaire link, answers all questions and submit their answers to the research

3.3 Measurement development

PLS ( Partial Least Square) consists 2 elements: The structure model displays the relationships (path) between the constructs The measurement models displays the relationship between the constructs and indicators variables homes as trustworthy could certainly increase the possibilities This research adopts likert scales for approach with each construct being measured by items for creates validity and reliability A five-point likert scale was used to measure the constructs presented in the model (scores ranged from 1 = ‗strongly disagree‘ to 5 = ‗strongly agree‘, with the ‗neutral‘ score = 3) Likert scales are typical ranking format in study which respondents choose the selection that best match with their evaluations, it can be

used to evaluate user‘s attitude by advocating the range which user strong agree to disagree The benefit of likert scale survey is common method which means it is simple to data analysis, imagine conclusions for quantitative statistics

Researchers have collect information from questionnaires into a system of four levels of amount: nominal data, ordinal data, interval data and ratio data The survey was translated in Vietnam languages which is collected data easier for Vietnam citizens When translating the questionnaires from English to Vietnam, the researchers ensured that the meaning of the source language statement was preserved to achieve the semantic equivalent There are 6 variables in perceived ease on use factor and 3 variables in security factors After analysis data, two item

in perceived ease on use and 1 items in security were rephrased because of their reliability The researcher will be measure these variables by rating on likert-scale

Trust (TR) I could use the system

if the system protects the privacy of its

TR1

users

E-wallet always provides accurate financial services

TR2

E-wallet always provides reliable financial services

TR3

E-wallet always provides safe financial

PU1

Using e-wallet enhances my effectiveness on the

job

PU2

Using e-wallet would enables me to accomplish tasks e.g

payments more quickly

PU3

Using e-wallet makes

it easier to do my job such as conduct transactions

PU4

I would find e-wallet services a useful possibility for paying

PU5

Overall, I find wallet useful in my

PEOU2

I rarely make errors when using the E

PEOU3

Wallet

I find it easy to use wallet services to do what I wanted to do

e-wallet

SC1

I‘m not worried about using e-wallet because other people may be able to access my account

SC2

Awareness

(AW)

I am aware of Wallet objects

e-AW1

I am aware of Wallet functions

e-AW2

I am familiar with Wallet objects

e-AW3

I understand what Wallet do

e-AW4

Portability

(PO)

It is satisfying, because i can just use

my phone, i do not actually need my wallet

PO1

I don‘t even need a card because I have a mobile device

KL1

I have the skills/knowledge necessary for purchasing products via e-Wallet

KL2

I am confident of KL3

purchasing products via e-wallet

In general, I am competent in using the e-Wallet services

KL4

Table 3.1: Variables of factors in construct model

3.4 Partial Least Squares- Structural Equation Model (PLS-SEM)

This study applied structural equation modeling (SEM) to empirically test the proposed research model SEM is a very useful statistical procedure in surveys using cross-sectional data, combining multiple regression and factor analysis to evaluate the measurement instrument and test the hypotheses (Bagozzi and Yi, 2012)

Firstly, the author applied the Cronbach‘s Alpha to test the reliability of data Cronbach‘s alpha is a convenient test used to estimate the reliability, or internal consistency, of a composite score Reliability refers to capability of producing consistency of research findings across contexts This consistency is derived from

a well-defined research procedure with clear concept definition and measurement, appropriate selection of respondents and suitable techniques of data analysis It is noted that the research reliability might change over time due to context of the study, thus reliability of measurement must be assessed in any studies regardless adoption of established measures Therefore, Cronbach‘s alpha brings a simple

way to measure whether or not a score is reliable (solutions, 2018) Secondly, the

researcher will test the validity of these variables Validity refers to how accurately

a method measures what it is intended to measure In additionally, validity refers to application of research findings to other contexts This type of validity requires that population of the study must be clearly specified and selected sample must be representative (Bryman, 2007)

The author applied smart PLS software to measuring model Smart-PLS is a software with graphical user interface for variance-based structural equation modeling (SEM) using the partial least squares (PLS) path modeling method Besides estimating path models with latent variables using the PLS-SEM

algorithm, the software computes standard results assessment criteria (e.g., for the reflective and formative measurement models, the structural model, and the goodness of fit and it supports additional statistical analyses

Chapter 4: Data analysis and results4.1 Demographics of respondents

In total, 206 respondents completed the survey The respondents spent on average five minutes to complete the survey The minimum duration was two minutes, while the maximum twenty-two minutes Overall, the sample is Vietnam citizens and can use e-wallet services The respondents are at least somehow familiar with e-wallet solutions and had previous experiences which they could recall and describe

Figure 4.1: Gender of respondents

It is not balancing in the respondents‘ gender whose participated in survey test The proportion of female occupies 63 percentage as 130 respondents In contrast,

37 percentage of total respondents is male that join in survey (Figure 4.1)

Female 63%

Male 37%

Gender

Female Male

Figure 4.2: Age group of respondents

The researcher creates 5 level of age group Firstly, Respondent is below 16 years old It is from 16 age to 25 age group Then, from 25 to 49 age group and from 49

to 65 years old are setting up Finally, t is above 65 years old However, the three main age group was conveyed included From 16 to 25, 25 to 49 and from 49 to 65 age group In particularly, from 16 to 25 occupies at merely 2 percentage In major age group, there are 152 people participated in 16 to 25 age group While there are

49 people in from 49 to 65 age group Most of people are concern on adults and elder people (Figure 4.2)

Figure 4.3: Educational background of respondents

There are 5 degree of educational background in the survey The highest proportion belongs to Bachelor‘s degree at 77 percentages as 158 people Then followed back to Bachelor‘s degree, there are master‘s degree, associate degree (college), high school degree at 9 percentages, 8 percentages, 7 percentages respectively At last, Doctoral degree occupies at mere 2 percentages as 4 people (Figure 4.3)