RQ 2- Determinants of User Continuance Intention towards M-pesa

RQ 2 sought to identify the determinants of user continuance intention towards M-pesa in Kenya.

The determinants hypothesized in this study included: utilization, satisfaction, flow, and trust.

Recap, utilization is a construct from the TTF model (Goodhue & Thompson, 1995). Satisfaction is a construct within the IS PAM (Bhattacherjee, 2001a). Flow is a derived construct from the flow theory (Csikszentmihalyi & Csikszentmihalyi, 1988), and the trust construct is adopted from trust theory (Gefen et al. 2003).

To answer RQ 2, four hypothesized relationships were tested in this study and are presented below in table 6.6.

Table 6.6 Determinants of User Continuance Intention towards M-pesa Construct Hypothesized Relationships

in this Study Result

Utilization Utilization  Continuance

Intention Supported

Satisfaction Satisfaction  Continuance

Intention Supported

Flow Flow  Continuance Intention Supported Trust Trust  Continuance

Intention Supported

6.1.2.1 Trust

Amongst the hypothesized determinants of user continuance intention towards M-pesa, all hypothesized determinants were found to be significant predictors of the criterion variable.

However, an enthralling finding emerged. Based on the extant literature, satisfaction is posited as the core determinant of user continuance with a technology (Bhattacherjee, 2001a; Bhattacherjee et al. 2008). This report meets contention based on the findings of this study, where a user’s trust in M-pesa is discovered to be a stronger determinant of continuance intention than satisfaction.

The discovery of the predictive power of trust surpassing that of satisfaction is noteworthy, and a plausible explanation could be that: first, despite satisfactions influence on continuance with M- pesa, the surveyed users are only content with some and not all of the functionalities of M-pesa for the execution of their transaction tasks. However, given that M-pesa leads the mobile-money service market in Kenya and globally, it is the best option available to the surveyed users. In essence, M-pesa presently delivers a service level that caters for users monetary transaction needs but users desire higher service levels from the M-pesa vendor. Second, the aspect(s) of M-pesa’s functionality that users have identified with has instilled fair perceptions of the M-pesa vendor’s ability to keep its promises. That said, an influence of trust on user continuance is consistent with the extant literature (e.g., Benamati et al. 2010; Luo et al. 2010; Zhou, 2013), that a vendor’s demonstration of the necessary capacity and gen to discharge their responsibilities will foster patronage, as the service facilitates the accomplishment of a user’s target task.

6.1.2.2 Utilization

Utilization emerged as the second strongest predictor of user continuance intention towards M- pesa in Kenya. This finding was also unexpected as its predictive power surpasses that of satisfaction, which is reported broadly as the strongest predictor of continuance intention in the extant literature (e.g., Bhattacherjee, 2001a; Bhattacherjee, et al. 2008; Zhou, 2013). While unexpected, this finding could stem from logic that: (i) users embrace selected facets of a given technology for execution of their tasks (Larsen et al. 2009), and given that M-pesa facilitates both withdrawals and deposits of cash, the surveyed users could have preference for just one aspect of the service. A one-sided preference of technology-enabled service offerings is likely to influence the overall satisfaction with the service. Thus, responses to utilization levels of a given facet of M-pesa could have outweighed responses to overall levels of satisfaction, increasing its predictive power over satisfaction. (ii) Given that M-pesa holds the largest mobile money market share in

Kenya and likely the best available service amongst alternatives, this circumstance could restrict users from switching services despite below optimal levels of satisfaction. In essence, respondents’ intention to continue using M-pesa is driven by its ability to facilitate some of their transaction needs, despite a lack of complete fulfilment of their expectations from the service.

That said, an influence of utilization on continuance intention is consistent with the extant literature (e.g., Larsen et al. 2009; Davis & Venkatesh, 2004) that an individual will continue to use facets of a technology that aids execution of a given task and refrain from facets that are not instrumental for their goals.

6.1.2.3 Flow

Flow emerged as the third strongest predictor amongst the determinants in this study, and also unexpectedly surpassed the predictive power of satisfaction. The finding of flows influence on user continuance intention with M-pesa reveals that the surveyed users recognize skills and challenges as relevant factors when using M-pesa. Users have insinuated that apathy and anxiety are considerations in their experience while using M-pesa because they need to possess the knowledge and skills required using the service. This finding suggests that a seamless operation, immersive and enjoyable experience influences users of M-pesa to continue use of the service, and would influence them to re-live the experience. Further, flows influence on continuance intention reinforces opinions of Kim et al. (2007) that users of technology-enabled services are not only utilitarian-oriented but also appreciate a pleasurable engagement. Flows influence on continuance intention is therefore consistent with the extant literatures stance that a balance of skills and challenges will enable an experience of flow (Richard & Chandra, 2005; Luna et al.

2003; Zhou, 2013).

6.1.2.4 Satisfaction

Satisfaction emerged as the least strong predictor of continuance intention towards M-pesa.

Afore-noted, this is an unexpected finding that is inconsistent with reports in the literature. In the consumer behaviour literature, satisfaction is considered the cornerstone to building and retaining a loyal-base of long-term customers (Oliver and Sullivan, 1993), as it reflects a positive attitude of the consumer. In this study, while satisfaction was found to determine user continuance with M- pesa, which is a consistent finding within the extant literature (e.g., Bhattacherjee, 2001a; Kim et al. 2009; Liu et al. 2011; Kuo et al., 2009; Bhattacherjee & Lin, 2014), it emerged as the least

potent predictor. However, a rationale for its lower predictive power ranking amongst the adopted factors could be that: M-pesa’s service offering as a whole, do not meet user satisfaction levels. In essence, the surveyed users may be only content with facets (deposit or withdrawal) of M-pesa’s functionalities, and expect improvements in other areas. To exemplify this, users of M-pesa could have high satisfaction levels with the functionalities of M-pesa for sending money and lower satisfaction levels for receiving money. Thus, the surveyed users overall rating of satisfaction with service would be reduced.