Exploring The Factors Influencing Usage Intention For Digital Payment Systems In Mom And Pops Shops In Delhi NCR (National Capital Region In India)

Abstract

This study explores the factors influencing the usage intention of digital payment systems among Mom and Pops shops in the Delhi National Capital Region (NCR) using the Smart PLS4 structural equation modelling technique. The constructs used in this investigation have been extensively validated and shown in several theoretical frameworks, ensuring the strength and dependability of the outcomes. A representative sample of 300 small retail store owners in the Delhi NCR was surveyed, including a wide range of demographics and business characteristics.

The investigation reveals six crucial characteristics that influence the adoption of digital payment systems:  trust, transparency, operating cost, habit, pervasiveness, digital literacy, and perceived risk. The findings highlight that trust and transparency are important factors that strongly influence the likelihood of adoption. Additionally, operational cost and habit are also key determinants in the decision-making process. The widespread presence of digital infrastructure and the possession of digital literacy abilities are identified as crucial factors that facilitate progress, whereas the perception of danger has an adverse impact on the acceptance and use of digital technologies. This study provides significant insights to improve the adoption of digital payments among small shops, therefore facilitating the digitalization of retail payments in the Delhi NCR area.