UNDERSTANDING CONSUMERS’ BEHAVIOURAL INTENTION TO ADOPT MOBILE PAYMENT SERVICES IN RURAL TANZANIA: A CASE OF PWANI REGION

Abstract

Although mobile payment services are acknowledged as potential means to provide financial services access to remote and unbanked population, majority of rural areas have not adopted the services compared to their counter parts in urban areas.  The present study investigated motives, which influence consumers' behavioural intention to adopt mobile payments services in rural areas in order to comprehend the manner that can enhance and sustain utilization of the services in rural areas. The study involved a sample of 99 respondents from three districts of Pwani region and employed Partial Least Square- Structural Equation Modeling (PLS-SEM) to investigate the intrinsic and extrinsic motivations for consumers’ behavioural intention to adopt mobile payment services in rural areas. To do this, the study established research conceptual model against collected data and henceforth, test established hypotheses. Findings from the study suggested that both extrinsic and intrinsic motivation were important factors towards behavioural intention. Hence, called for service providers and regulators to develop and implement services, strategies and value proposition to rural areas that not only address technology requirements but also technical human needs including needs for autonomy and competencies.