SWITCHING INTENTION OF DEBIT/CREDIT CARD USER TOWARDS E-WALLET ALTERNATIVE PAYMENT METHOD

Abstract

Purpose - The purpose of this study is to investigate the Switching Intention and Actual Behavior of E-wallet users in Greater Jakarta with using Push-Pull and Mooring model. The independent variable of this research are Low Efficiency, Switching Cost, Personal Experience, Social Image, Security, and Alternative Attractiveness. Switching Intention become a mediating variables from all of the independent variables towards Actual Behavior of E-wallet usage. Design/methodology/approach – There are 33 construct instruments that are distributed to E-wallet users in Greater Jakarta. Using quantitative technique, this research uses non-probability sampling. The sample collected consist of 357 valid responses which come from E-wallet users’ who already use E-wallet other than to pay for transportation (Go-pay, Ovo-Grab). Partial least squares - structural equation modeling and bootstrapping conducted to check the validity, reliability and the hypothesis testing. Findings – Based on the result, it shows that Low Efficiency has no significant influence towards Switching Intention. There’s a positive relation from Switching Cost towards Switching Intention. Whereas, there’s no significant influence of Personal Experience towards Switching Intention. However, there’s significant influence from both Social Image and Security towards Switching Intention. There’s also significant influence from Alternative Attractiveness towards Switching Intention. Lastly, there’s a significant influence of Switching Intention towards Actual Behavior. vi Value - The results gained from the study generates managerial implications which later can be used for the E-wallet provider to improve their service, and also the theoretical implication can be used for further research in the future.