Mobile payment use and payment satisfaction: mediation and moderation analyses

Abstract

PurposeWith the development of financial technology (FinTech), this paper aims to investigate the association between mobile payment use and payment satisfaction using data from the 2017 China Household Finance Survey (CHFS).Design/methodology/approachThis study uses ordered probit regressions to examine the association between mobile payments and payment satisfaction because the dependent variable is ordinal. To alleviate endogeneity problems, this study uses instrument variables and Heckman's two-step estimation. Furthermore, to explore the potential mediators in this process, this study follows the three steps suggested by Baron and Kenny (1986). Finally, this study divides the whole sample into subsamples to examine whether the association between mobile payments and payment satisfaction differs in diverse groups.FindingsThe results indicate that mobile payment use is positively associated with payment satisfaction. Moreover, mediation analyses imply that mobile payment use may help increase consumers' credit availability, which eventually improves payment satisfaction. Three moderators of this association are financial literacy, expenditure level and portfolio diversification, which enhance the positive association between mobile payment use and payment satisfaction.Originality/valueThis study explores the potential mediators between mobile payment use and payment satisfaction, which is beneficial to comprehensively understanding various pathways of this process. Moreover, this study conducts heterogeneous analyses to investigate whether associations between mobile payments and payment satisfaction are moderated by various factors, which will allow policymakers to formulate policies appropriate for specific situations of diverse consumer groups.

A comparative examination of the motivating factors underpinning consumers' loyalty toward credit card usage in the United States and France

“…First, a study by Li et al (2021) focused on customer satisfaction with bank services and established that service quality affects customer satisfaction, which consequently explains consumers' intentions to continue using such services. Similar findings on traditional banks Factors underpinning consumers ' loyalty were also found by Mainardes and Freitas (2023) and by Chen et al (2023) in the context of mobile payments. Second, in the domain of digital banks, comparable findings were also reported by Shin (2021), who found that customer satisfaction mediated the relationship between consumers' experiences with those banks' customer service and their willingness to utilize those services again.…”

Investigating the Components of Perceived Risk Factors Affecting Mobile Payment Adoption

“…Mobile payment refers to a transactional method wherein a mobile device is utilized to initiate, authenticate, and finalize a financial transaction involving the purchase or exchange of goods and services (Zhang et al 2023). It stands as a prominent component of mobile commerce (Chen et al 2023) and represents the natural progression of online payment systems (Alrawad et al 2023). Operating through mobile networks, this payment method leverages wireless Internet technology to process financial transactions, and devices such as smartphones, personal digital assistants, or tablets are commonly used for mobile payment transactions (Tang and Tsai 2024).…”

Application of Big Data Technology in Mobile Payment Security

“…Many studies also emphasize the vulnerability of personal and sensitive data during mobile transactions. The risk of data breaches and subsequent misuse of personal and financial data are substantial concerns in mobile payment security (Tran, 2020;Chen et al, 2023).…”