Beyond Brick & Mortar: Unveiling Gen Z's Fintech Choices in Post-COVID Malaysia

Abstract

As the world adjusts to living with COVID-19, the Malaysian government has actively stimulated fintech payments at all ages through initiatives like the e-Tunai Rakyat Programme and ePenjana. This study aims to determine how likely Malaysian Generation Z, existing users of fintech payments, are to continue using them after the pandemic, which would benefit economic growth and sustainability. Applying the Unified Theory of Acceptance and Use of Technology (UTAUT) model with an added trust factor, we surveyed 200 individuals through a web platform. The findings discovered that the majority of the existing Malaysian Generation Z fintech users are intended to continue using these services for everyday transactions post-pandemic, averaging a few times a week. The popular platforms include Touch 'n Go, GrabPay, and MAE. Moreover, factors such as performance expectancy, effort expectancy, and facilitating conditions significantly influence continued fintech adoption among these existing users of Generation Z in Malaysia. Interestingly, social influence and trust exhibit no significant impact. This has put forward the claim that Malaysian Generation Z is less swayed by others' opinions on technology and relatively comfortable using fintech, even with a moderate level of trust. Efficiency, accessibility, usability, and functionality are important features in keeping users engaged. Stakeholders, including the government, retailers, and fintech service providers, should collaborate to advance fintech development and customise strategies to the preferences of Generation Z. Regulatory policies should be in place to promote fintech innovation, financial literacy education, and industry standards for trust and reliability. Fintech solutions for seamless payments personalise marketing, with data analytics to be integrated. User-friendly interfaces, transparency, and security should be prioritised.