Mobile payment use and payment satisfaction: mediation and moderation analyses
International Journal of Bank Marketing
ISSN: 0265-2323
Article publication date: 10 March 2023
Issue publication date: 23 May 2023
Abstract
Purpose
With the development of financial technology (FinTech), this paper aims to investigate the association between mobile payment use and payment satisfaction using data from the 2017 China Household Finance Survey (CHFS).
Design/methodology/approach
This study uses ordered probit regressions to examine the association between mobile payments and payment satisfaction because the dependent variable is ordinal. To alleviate endogeneity problems, this study uses instrument variables and Heckman's two-step estimation. Furthermore, to explore the potential mediators in this process, this study follows the three steps suggested by Baron and Kenny (1986). Finally, this study divides the whole sample into subsamples to examine whether the association between mobile payments and payment satisfaction differs in diverse groups.
Findings
The results indicate that mobile payment use is positively associated with payment satisfaction. Moreover, mediation analyses imply that mobile payment use may help increase consumers' credit availability, which eventually improves payment satisfaction. Three moderators of this association are financial literacy, expenditure level and portfolio diversification, which enhance the positive association between mobile payment use and payment satisfaction.
Originality/value
This study explores the potential mediators between mobile payment use and payment satisfaction, which is beneficial to comprehensively understanding various pathways of this process. Moreover, this study conducts heterogeneous analyses to investigate whether associations between mobile payments and payment satisfaction are moderated by various factors, which will allow policymakers to formulate policies appropriate for specific situations of diverse consumer groups.
Keywords
Acknowledgements
Funding: This research was funded by the General Research Fund of The Academy of China Open Economy Studies at the University of International Business and Economics (Grant No. 2022GK10), and Beijing Association of Higher Education Project (Grant no. MS2022030).
Citation
Chen, F., Jiang, G. and Xiao, J.J. (2023), "Mobile payment use and payment satisfaction: mediation and moderation analyses", International Journal of Bank Marketing, Vol. 41 No. 4, pp. 727-748. https://doi.org/10.1108/IJBM-09-2022-0406
Publisher
:Emerald Publishing Limited
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