DOI : https://doi.org/10.18517/ijaseit.12.6.16540

The Impact of Perceived Security and Perceived Trust on the Use of m-Payment Applications in Saudi Arabia

Raed Alotaibi (1), Abdulrahman Alghamdi (2)
(1) Shaqra Community College, Shaqra University, Kingdom of Saudi Arabia
(2) College of Computing and Information Technology, Shaqra University, Kingdom of Saudi Arabia
Fulltext View | Download
How to cite (IJASEIT) :
Alotaibi, Raed, and Abdulrahman Alghamdi. “The Impact of Perceived Security and Perceived Trust on the Use of M-Payment Applications in Saudi Arabia”. International Journal on Advanced Science, Engineering and Information Technology, vol. 12, no. 6, Nov. 2022, pp. 2398-03, doi:10.18517/ijaseit.12.6.16540.
Citation Format :
a significant technological revolution is currently occurring, with intense competition between companies to deliver their services via emerging technologies. In Saudi Arabia, mobile payment applications have become more important due to the increasing number of users. By filling in the gaps in the Saudi m-payment setting, this work contributes to the theory. It contributes to practice by giving service providers a clear image of the effects Perceived Security and Perceived Trust have on m-payment apps, which is necessary for them to execute their services successfully and effectively. Therefore, this study aims to measure the impact of Perceived Security and Perceived Trust on the use of mobile payment applications. The SEM technique was used to analyze the data. The results revealed that the proposed model is an excellent fit and that the instrument is reliable in the Saudi m-payment context. The SEM results indicated a significant path between (Technical Protection, Transactional Procedures, and Security Statements in m-payment) and (the perceived trust in and perceived security of m-payment applications). It also revealed no significant path between Perceived Security and Trust in m-payment applications. Further, it showed a significant path between (Perceived Security and Perceived Trust) and (the use of the m-payment application). Trust (PT) in m-payment applications will increase the early adoption of these applications. Therefore, the service providers must create and develop secure and trustworthy m-payment applications; otherwise, people will not use them.

M. Najib and F. Fahma, “Investigating the adoption of digital payment system through an extended technology acceptance model: An insight from the Indonesian small and medium enterprises,” Int. J. Adv. Sci. Eng. Inf. Technol., vol. 10, no. 4, pp. 1702-1708, 2020, doi: 10.18517/ijaseit.10.4.11616.

W. Rafdinal and W. Senalasari, “Predicting the adoption of mobile payment applications during the COVID-19 pandemic,” Int. J. Bank Mark., 2021.

A. Al-Marri, N. Aldossari, M. Al-Mahish, R. Brizmohun, M. AlKulaib, and A. Alaulami, “Determinants of using the mobile payment to buy coffee among female college students in Saudi Arabia,” Int. J. Adv. Appl. Sci., vol. 8, no. 6, pp. 88-93, 2021, doi: 10.21833/ijaas.2021.06.010.

CITC, “Communication and Information Technology Commission Saudi Arabia,” 2020.

R. Alabdan and M. M. Sulphey, “Understanding proximity mobile payment acceptance among Saudi individuals: An exploratory study,” Int. J. Adv. Comput. Sci. Appl., vol. 11, no. 4, pp. 264-270, 2020, doi: 10.14569/ijacsa.2020.0110436.

S.-H. Liao and C.-H. Ho, “Mobile payment and mobile application (app) behavior for online recommendations,” J. Organ. End User Comput., vol. 33, no. 6, pp. 1-26, 2021.

I. R. de Luna, F. Lií©bana-Cabanillas, J. Sí¡nchez-Ferní¡ndez, and F. Muñoz-Leiva, “Mobile payment is not all the same: The adoption of mobile payment systems depending on the technology applied,” Technol. Forecast. Soc. Change, vol. 146, pp. 931-944, 2019, doi: 10.1016/j.techfore.2018.09.018.

B. Z, “The Future of the Mobile Payment as Electronic Payment System,” Eur. J. Bus. Manag., vol. 8, no. 8, pp. 127-132, 2016.

S. Li et al., “Research on Offline Transaction Model in Mobile Payment System,” in Lecture Notes in Electrical Engineering, 2019, vol. 542, pp. 1815-1820, doi: 10.1007/978-981-13-3648-5_235.

T. Dahlberg, J. Guo, and J. Ondrus, “A critical review of mobile payment research,” Electron. Commer. Res. Appl., vol. 14, no. 5, pp. 265-284, 2015, doi: 10.1016/j.elerap.2015.07.006.

C. Kim, W. Tao, N. Shin, and K. S. Kim, “An empirical study of customers’ perceptions of security and trust in e-payment systems,” Electron. Commer. Res. Appl., vol. 9, no. 1, pp. 84-95, 2010, doi: 10.1016/j.elerap.2009.04.014.

K. A. A. Sleiman, L. Juanli, H. Lei, R. Liu, Y. Ouyang, and W. Rong, “User trust levels and adoption of mobile payment systems in China: an empirical analysis,” Sage Open, vol. 11, no. 4, p. 21582440211056600, 2021.

J. Fan, M. Shao, Y. Li, and X. Huang, “Understanding users’ attitude toward mobile payment use: A comparative study between China and the USA,” Ind. Manag. Data Syst., vol. 118, no. 3, pp. 524-540, 2018, doi: 10.1108/IMDS-06-2017-0268.

J. Zhang and Y. Luximon, “A quantitative diary study of perceptions of security in mobile payment transactions,” Behav. & Inf. Technol., vol. 40, no. 15, pp. 1579-1602, 2021.

E. Oney, G. O. Guven, and W. H. Rizvi, “The determinants of electronic payment systems usage from consumers’ perspective,” Econ. Res. Istraz. , vol. 30, no. 1, pp. 394-415, 2017, doi: 10.1080/1331677X.2017.1305791.

R. K. Chellappa and P. A. Pavlou, “Perceived information security, financial liability and consumer trust in electronic commerce transactions,” Logist. Inf. Manag., vol. 15, no. 5/6, pp. 358-368, 2002, doi: 10.1108/09576050210447046.

T. Tsiakis and G. Sthephanides, “The concept of security and trust in electronic payments,” Comput. Secur., vol. 24, no. 1, pp. 10-15, 2005, doi: 10.1016/j.cose.2004.11.001.

R. J. Hwang, S. H. Shiau, and D. F. Jan, “A new mobile payment scheme for roaming services,” Electron. Commer. Res. Appl., vol. 6, no. 2, pp. 184-191, 2007, doi: 10.1016/j.elerap.2006.07.002.

F. Vatalaro and A. Vizzarri, “M-payment systems and procedures: state-of-the-art and perspectives,” Int. J. Manag. Netw. Econ., vol. 3, no. 4, p. 257, 2016, doi: 10.1504/ijmne.2016.079860.

X. Yan, “Towards a More Competitive Mobile Payment Industry: Standardization And Beyond,” J. Compet. Law Econ., vol. 17, no. 2, pp. 405-436, 2021, doi: 10.1093/joclec/nhaa029.

Z. Shao, L. Zhang, X. Li, and Y. Guo, “Antecedents of trust and continuance intention in mobile payment platforms: The moderating effect of gender,” Electron. Commer. Res. Appl., vol. 33, p. 100823, 2019, doi: 10.1016/j.elerap.2018.100823.

F. A. A. Ramli and M. I. Hamzah, “Mobile payment and e-wallet adoption in emerging economies: A systematic literature review,” J. Emerg. Econ. Islam. Res., vol. 9, no. 2, pp. 1-39, 2021.

A. Balapour, H. R. Nikkhah, and R. Sabherwal, “Mobile application security: Role of perceived privacy as the predictor of security perceptions,” Int. J. Inf. Manage., vol. 52, p. 102063, 2020, doi: 10.1016/j.ijinfomgt.2019.102063.

A. Mukherjee and P. Nath, “A model of trust in online relationship banking,” Int. J. Bank Mark., vol. 21, no. 1, pp. 5-15, 2003, doi: 10.1108/02652320310457767.

L. A. Maureen Nelloh, A. S. Santoso, and M. W. Slamet, “Will users keep using mobile payment? It depends on trust and cognitive perspectives,” Procedia Comput. Sci., vol. 161, pp. 1156-1164, 2019, doi: 10.1016/j.procs.2019.11.228.

J. Jiaxin Zhang, Y. Luximon, and Y. Song, “The role of consumers’ perceived security, perceived control, interface design features, and conscientiousness in continuous use of mobile payment services,” Sustain., vol. 11, no. 23, p. 6843, 2019, doi: 10.3390/su11236843.

W. H. Wong and W. Y. Mo, “A Study of Consumer Intention of Mobile Payment in Hong Kong, Based on Perceived Risk, Perceived Trust, Perceived Security and Technological Acceptance Model,” J. Adv. Manag. Sci., vol. 7, no. 2, pp. 33-38, 2019, doi: 10.18178/joams.7.2.33-38.

M. A. Hossain, “Security perception in the adoption of mobile payment and the moderating effect of gender,” PSU Res. Rev., vol. 3, no. 3, pp. 179-190, 2019, doi: 10.1108/prr-03-2019-0006.

S. H. Lim, D. J. Kim, Y. Hur, and K. Park, “An Empirical Study of the Impacts of Perceived Security and Knowledge on Continuous Intention to Use Mobile Fintech Payment Services,” Int. J. Hum. Comput. Interact., vol. 35, no. 10, pp. 886-898, 2019, doi: 10.1080/10447318.2018.1507132.

F. Lií©bana-Cabanillas, V. Marinkovic, I. Ramos de Luna, and Z. Kalinic, “Predicting the determinants of mobile payment acceptance: A hybrid SEM-neural network approach,” Technol. Forecast. Soc. Change, vol. 129, pp. 117-130, 2018, doi: 10.1016/j.techfore.2017.12.015.

L. Gao and K. A. Waechter, “Examining the role of initial trust in user adoption of mobile payment services: an empirical investigation,” Inf. Syst. Front., vol. 19, no. 3, pp. 525-548, 2017, doi: 10.1007/s10796-015-9611-0.

J. Park, E. Amendah, Y. Lee, and H. Hyun, “M-payment service: Interplay of perceived risk, benefit, and trust in service adoption,” Hum. Factors Ergon. Manuf., vol. 29, no. 1, pp. 31-43, 2019, doi: 10.1002/hfm.20750.

C. Phonthanukitithaworn, C. Sellitto, and M. W. L. Fong, “An investigation of mobile payment (m-payment) services in Thailand,” Asia-Pacific J. Bus. Adm., vol. 8, no. 1, pp. 37-54, 2016, doi: 10.1108/APJBA-10-2014-0119.

N. Mallat, “Exploring consumer adoption of mobile payments - A qualitative study,” J. Strateg. Inf. Syst., vol. 16, no. 4, pp. 413-432, 2007, doi: 10.1016/j.jsis.2007.08.001.

Authors who publish with this journal agree to the following terms:

    1. Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
    2. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
    3. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).