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Customer satisfaction with mobile payments

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School of Business | Master's thesis

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en

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62+14

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Abstract

The purpose of this research is to investigate customer experiences with mobile payments. In particular, the study identifies and classifies common sources of satisfaction and dissatisfaction associated with the use of mobile payments, and compares them to the determinants of satisfaction with technology-based services. The critical incident technique was applied to identify and classify the most common sources of satisfaction and dissatisfaction with mobile payments. Data was collected using an online survey, which combined multiple-choice and open-ended questions. The multiple-choice questions allowed examining the respondents’ relationship with mobile payments, while the open-ended questions provided insights into the nature of these relationships. In particular, the study participants were asked to describe their satisfying or dissatisfying experiences with mobile payments. The collected information was analysed using the constant comparative method. Data was coded, and each response was compared to the existing codes. Significantly more respondents were able to recall and describe a satisfactory rather than a dissatisfactory mobile payment experience, suggesting that the overall perception of mobile payment applications is favourable. The main sources of satisfaction reported are convenience, problem-solving, efficacy and security. Satisfaction results from the ability of mobile payments to quickly and safely deliver money and perform swift and easy transactions regardless of one’s location and possession of physical tokens such as cash or credit cards. Thanks to their high accessibility and flexibility, mobile payments also allow making transactions during the absence or failure of alternative payment options. Most dissatisfaction sources that emerged from the data analysis are opposite to the satisfaction sources, falling into the umbrellas of complexity and inefficacy. The contrasting satisfaction/dissatisfaction sources demonstrate the mobile payment technology paradox. The positive perception of mobile payments should motivate greater merchant acceptance. The knowledge of customer satisfaction sources can help companies in designing, improving, and marketing mobile payments. Further research is recommended to examine customer experience with mobile payments in more details, with different consumer groups, and at different stages of the payment process.

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Falk, Tomas
Mikkonen, Ilona

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