The Effects of Technology Readiness on Intention of Using the Mobile Payment Applications

Purpose:The main purpose of this study is to test the effect of consumers’ readiness level to use new technology on their intention to use mobile payment applications based on the technology readiness and acceptance model (TRAM). In detail, it examines how the dimensions of TR as ‘optimism, innovativeness, discomfort, and insecurity’ affect consumers’ intention to utilise mobile payment applications. Moreover, the effect of the technology-accepting behaviour measured by two major factors as ‘perceived usefulness’ and ‘perceived ease of use’ on the intention to use mobile payment applications is also examined. Need for the study:The existence of a mobile system alone is not enough to attract consumers with no user experience to these applications. The user-centred attribute in the usage of these applications, which involves the influence of technology readiness (TR), has been largely ignored especially in developing countries. By focussing on this area, it is expected to fill the gap that has not been sufficiently handled in the developing country settings and, particularly in Turkey. Methodology:The study population consists of the consumers who live in İstanbul who is aged 18 and over and use mobile payment technology at least once. After collecting data, confirmatory factor analysis was applied to validate the measurement model. Afterward, the structural model was tested by the Maximum Likelihood-MI estimation method, and the bootstrap samples were stated as 5,000. Findings:When the results of the study are examined, it is seen that optimism has a significant influence on the perceived usefulness and perceived ease of use dimensions of the technology acceptance model, while innovativeness is significant only on the perceived ease of use. This study results also show that discomfort and insecurity don’t significantly influence the perception of usefulness and easy-to-use mobile payment applications as perceived by individuals. Perceived ease of use is to positively affect the perceived usefulness. Additionally, the perceived ease of use and the perceived usefulness are strong predictors of intention to use mobile payment applications. Practical implications:Findings of this study demonstrate the validity of the technology readiness and acceptance model for explaining the intention of using mobile payment applications in Turkey. To improve consumers’ intent in the usage of m-payment apps, their level of technological readiness towards technology should be determined and the factors that affect the formation of insecurity and discomfort attitudes of individuals should be emphasised.