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The Demand for E-Payments in Malaysia: An Examination of Usage Intensity

Author

Listed:
  • Helen S.H. Lee
  • Yiing Jia Loke
  • Andrew K.G. Tan

Abstract

The successful operation of retail e-payment systems depend on several stakeholders, such as consumers, merchants and financial institutions. As consumers constitute an essential target group for retail e-payments, their profile information has come to be seen as important in the demand management of e-payments. As such, this study aims to examine the effects of socio-demographic factors on the intensity of using e-payments in Malaysia. Results from the censored Tobit model analysis based on a cross-sectional sample of 578 respondents indicate that younger consumers with higher levels of education and income utilise e-payments in a more intensive manner, ceteris paribus. Ethnic background, marital status and type of occupation are also important predictors in determining the intensity of using e-payments amongst consumers. A better understanding of how such socio-demographic factors may influence consumers’ e-payments usage intensity is essential for policy makers to efficiently design and implement effective policy measures. JEL Classifications: D12, E42, E51

Suggested Citation

  • Helen S.H. Lee & Yiing Jia Loke & Andrew K.G. Tan, 2013. "The Demand for E-Payments in Malaysia: An Examination of Usage Intensity," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 7(4), pages 371-389, November.
    • Handle: RePEc:sae:mareco:v:7:y:2013:i:4:p:371-389
    DOI: 10.1177/0973801013500167
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    References listed on IDEAS

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    More about this item

    Keywords

    Retail Payments; E-payments; Consumer Payments; Usage Intensity;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • E42 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Monetary Sytsems; Standards; Regimes; Government and the Monetary System
    • E51 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Money Supply; Credit; Money Multipliers

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