The document presents research on the factors influencing customer acceptance of mobile payment services in Albania. It uses the Technology Acceptance Model as a framework and tests hypotheses about relationships between perceived ease of use, perceived usefulness, trust, technical skills, age, education and intention to use mobile payment. The research found significant relationships between intention to use and perceived ease of use, perceived usefulness, trust, technical skills and convenience. It did not find significant relationships with security or education. Age was found to influence trust but not perceived ease of use. Education did not influence perceived ease of use or technical skills. The conclusion calls for further research with a larger sample and additional factors.

1. THE BEHAVIOR AND TECHNICAL FACTORS
INFLUENCING THE CUSTOMER ACCEPTANCE
OF M-PAYMENT SERVICE IN ALBANIA
Prepared by Ermelinda Nako
November 2015
Supervised by Prof. Mustafa Uc

2. © 2013 SAP AG. All rights reserved. 2
Table of Content
…Introduction…
MBA, Epoka University, Tirana, Albania, 2015
Section I Section II Section III Section IV
a. Mobile Payment (MP)
b. Technology
Acceptance Model
a. Research model and
Hypothesis
b. Data Collection
c. Instruments and
Scale Measurement of
Variables
a. General Data
Information.
b. Hypothesis testing
c. Research results and
Interpretation
a. Conclusion
b. Future Research
c. Questions

3. © 2013 SAP AG. All rights reserved. 3
Mobile Payment as a new technology service in Albania
How it will be the
Adoption of this new
technology and
which are the factors
influencing the
acceptance of these
new service by
Albanian customer?
MBA, Epoka University, Tirana, Albania, 2015
Questions:

4. © 2013 SAP AG. All rights reserved. 4
The factor influence to the adoption of the new technology
PU
TRUST SecurityAGE
Mobile Phone Skills
WantsEducation Convenience
NeedsSocial approval
Norms
PEOU
MBA, Epoka University, Tirana, Albania, 2015
Image
Divisibility
Demography

5. © 2013 SAP AG. All rights reserved. 5
The main aim of this thesis was to find out
…if some of these factors
influence to the adoption of the
Mobile Payment as a new
technology…
MBA, Epoka University, Tirana, Albania, 2015

6. © 2013 SAP AG. All rights reserved. 6
…Technology Acceptance Model (TAM)…
Section I
MBA, Epoka University, Tirana, Albania, 2015
The TAM has been created (Davis F. D., 1989) and usually has been used in the information system
theories trying to understand how users come to accept and use a technology
Source: (Davis F. D., 1989); (Venkatesh & Davis, 1996)
Perceived usefulness (PU) - Described by Fred Davis
as "the degree to which a person believes that using a
particular system would enhance his or her job
performance".
Perceived ease-of-use (PEOU) –defined also By
Davis as "the degree to which a person believes that
using a particular system would be free from effort"

7. © 2013 SAP AG. All rights reserved. 7
…Mobile Payment (MP )…
Section I
MBA, Epoka University, Tirana, Albania, 2015
The MP is a new way of the payment and some definition are described below:
“Payment for products or services between two parties for which
a mobile device, such as a mobile phone, plays a key role in the
realization of the payment” (ISACA, November 2011).
Mobile payments are payments for goods, services, and bills
with a mobile device (such as a mobile phone, smart-phone, or
personal digital assistant (PDA)) by taking advantage of wireless
and other communication technologies. ( Dahlberg, Mallata,
Ondrus , & Zmijewska, 2007).
Mobile payment, also referred to as mobile money, mobile
money transfer, and mobile wallet generally refer to payment
services operated under financial regulation and performed from
or via a mobile device. Instead of paying with cash, check, or
credit cards, a consumer can use a mobile phone to pay for a
wide range of services and digital or hard goods. (Wikipedia®).
Source: (Mobilepaymentstoday.com)

8. © 2013 SAP AG. All rights reserved. 8
Section I
…The Characteristics of MP
simplicity and usability.
universality.
interoperability.
security, trust, and privacy.
cross-border payments.
cost less.
speed. etc.
MBA, Epoka University, Tirana, Albania, 2015

9. © 2013 SAP AG. All rights reserved. 9
Section II : Research Model & Hypothesis
H1. A significant relationship between PEOU & BIU.
H2.A significant relationship between PU & BIU.
H3.A significant relationship between Trust & BIU.
H4. A significant relationship between Security & BIU.
H5.A significant relationship between Age & BIU
H6.A significant relationship between Education & BIU.
H7.A significant relationship between Mobile Phone Skills & BIU.
H8.A significant relationship between the Convenience & BIU.
H9.A significant relationship between Age & PEOU.
H10.A significant relationship between the Education & PEOU.
H11.A significant relationship between Education & Phone Skills.
H12. A significant relationship between the Age & Trust.
TAM was used as research model. The technical
and behavioral factors the usually has impact to the
intention to use the new technology are collected in
the table below
MBA, Epoka University, Tirana, Albania, 2015

10. © 2013 SAP AG. All rights reserved. 10
Section II : Sample procedure and Data Collection
 Total number of participants
was 217
 Total number of participants
analyzed was 129 (58% of
the total number)
All the participants has been randomly
selected with the Albanian territory.
All the participants should have at least some
basic computer knowledge.
Due to limited budget the questionnaire was
distributed online.
An online questionnaire with 27 question was
fulfilled by all the participants.
In the last question of the questionnaire when
the participants should answer to their
intention to use the MP application in the
future the selection answers was “YES”,
“NO”, “Not sure”
Only the answer “YES” & “NO” was analyze
during this study.
MBA, Epoka University, Tirana, Albania, 2015

11. © 2013 SAP AG. All rights reserved. 11MBA, Epoka University, Tirana, Albania, 2015
Section II : Instrument and scale Measurement of Variables
Technical Factors
Behavioral Factors
Using SMS is easy
Managing the
account is easy
Following the
payment procedure
is easy
Q21
Time benefits
Queue avoidance
New other
opportunities for
payment
Enhance
performance and
efficiency in my jobs
Q22
Absolute trust in
Mobile Provider
Absolute trust in
Financial Institution
Absolute trust in
Companies which
offer this service
Q23
No Transaction
errors
Transaction well
recorded and
documented
No Transaction
blurredness
No concern about
privacy
No concern about
losing or stealing
personal data
Q24
Skills to download
application
Availability to install
application
Availability activating
application
Good skills to use
application
Availability to activate
payment account
with SMS
Q25
Time and Space
benefits
Financial benefits
Efficiency
Q26
Age
Q2
Education
Q4
BUI
Using the M-payment
more than 12 months Q27
PEOU PU Trust Security Phone
Skills
Convenience Age Education

12. © 2013 SAP AG. All rights reserved. 12
Section II : Instrument and scale Measurement of Variables
MBA, Epoka University, Tirana, Albania, 2015
The data analyze were done with the help of SPSS
application.
The Cross table and Pearson Chi-square analysis (𝜒2
)
were used to interpret the data by providing percentages and
numeric values of times each value was obtained.
The analysis it is used for all the types of data (nominal ,
ordinal, ratio, Interval)
The use of the chi-square 𝜒2
was to test the hypotheses by
determining the strength of the relationship between the
variables with a .05% significance level.
The chi square statistic is calculated using the model:
𝛘 𝟐 =
(𝐎−𝐄)
𝐄
𝟐
,
Where O= Observed frequency, and E= Expected
frequency.

13. © 2013 SAP AG. All rights reserved. 13
Section III : Hypothesis testing
The chi-square test works best when the expected
frequencies are fairly large
The Chi square does not explain the strength between the
variables. It test if the relationship between 2 variables.
Beside each alternative hypothesis a NULL Hypothesis (H0)
was created to state that no relationship exist.
In case that the deviation of observed results from expected is
lower than significant level () then the H0 was rejected and
the alternative hypothesis were accepted
(𝛒< 0,05 (significance level))
The expected frequency should not be less than 1 and no
more than 20% of the expected frequencies.
Then, the YATES’s Correction or Fisher’s Exact Test was
used (NorthWestern Universtity, 1997) to fix the problem
The sample was small, some of the Hypothesis has
shown this problem which was resolved by
combining the categories (Brown, 2012-2015) and
the Fisher’s Exact tests.
MBA, Epoka University, Tirana, Albania, 2015

14. © 2013 SAP AG. All rights reserved. 14
Section III :General Data Information
59%
41%
Gender
Femal Male
41%
39%
5%
1%
11% 3%
Education
Bachelor Master
PHD Primary School
High School Other
45%
38%
15%
2%
Age
20-29 Year Old
30-39 Year Old
over 40 Years old
under 20 years old
19%
81%
Heard about MP
YES NO
9%
91%
MP Service used
YES NO
MBA, Epoka University, Tirana, Albania, 2015

15. © 2013 SAP AG. All rights reserved. 15
Section III: Research results and Interpretation
PEOU BIU
Using SMS is
easy
Managing the
account is easy
Following the
payment
procedure is easy
Ρ =0,063 (>0,05)
Ρ =0,003 (<0,05)
Ρ =0,001 (<0,05)
H0 (Null Hypothesis).
There is no relationship between
PEOU and BIU.
NULL
Hypothesis is
rejected
PU
Time benefits
Queue avoidance
New other
opportunities for
payment
Enhance
performance and
efficiency in my
jobs
Ρ =0,001 (<0,05)
Ρ =0,001 (<0,05)
Ρ =0,001 (<0,05)
Ρ =0,001 (<0,05)
H0 (Null Hypothesis).
There is no relationship between
PU and BIU.
NULL
Hypothesis is
rejected
BIU
MBA, Epoka University, Tirana, Albania, 2015

16. © 2013 SAP AG. All rights reserved. 16
Section III: Research results and Interpretation
Trust BIU
Trust in Mobile
Provider
Trust in Financial
Institution
Trust in other
Companies
Ρ =0,169 (>0,05)
Ρ =0,0001 (<0,05)
Ρ =0,048 (<0,05)
H0 (Null Hypothesis).There is no
relationship between TRUST and
BIU.
NULL
Hypothesis is
rejected
Security
No Transaction errors
Transaction well
recorded
No Transaction
blurredness
No Transaction
blurredness
No concern about
losing data
Ρ =0,255 (>0,05)
Ρ =0,034 (<0,05)
Ρ =0,227 (>0,05)
Ρ =0,031 (<0,05)
Ρ =0,062 (>0,05)
H0 (Null Hypothesis).
There is no relationship between
Security and BIU.
NULL
Hypothesis is
accepted
BIU
MBA, Epoka University, Tirana, Albania, 2015

17. © 2013 SAP AG. All rights reserved. 17
Section III: Research results and Interpretation
Phone
Skills
BIU
Skills to download
Availability to install
Availability activate
Skills to use
application
To activate payment
Ρ =0,016 (<0,05)
Ρ =0,003 (<0,05)
Ρ =0,0001 (<0,05)
Ρ =0,178 (>0,05)
Ρ =0,001 (<0,05)
H0 (Null Hypothesis).There is no
relationship between Phone Skills
and BIU.
NULL
Hypothesis is
rejected
Convenience
Time and Space
benefits
Financial benefits
Efficiency
Ρ =0,0001 (<0,05)
Ρ =0,0001 (<0,05)
Ρ =0,0001 (<0,05)
H0 (Null Hypothesis).
There is no relationship between
Convenience and BIU.
NULL
Hypothesis is
rejected
BIU
MBA, Epoka University, Tirana, Albania, 2015

18. © 2013 SAP AG. All rights reserved. 18
Section III: Research results and Interpretation
PEOU AGE
Using SMS is easy
Managing the
account is easy
Following the
payment
procedure is easy
Ρ =0,454 (>0,05)
Ρ =0,241 (>0,05)
Ρ =0,325 (>0,05)
H0 (Null Hypothesis).There is no
relationship between AGE and
PEOU.
NULL
Hypothesis is
accepted
PEOU
Using SMS is easy
Managing the
account is easy
Following the
payment procedure
is easy
Ρ =0,599 (>0,05)
Ρ =0,808 (>0,05)
Ρ =0,424 (>0,05)
H0 (Null Hypothesis).
There is no relationship between
Education and PEOU.
NULL
Hypothesis is
accepted
Education
MBA, Epoka University, Tirana, Albania, 2015

19. © 2013 SAP AG. All rights reserved. 19
Section III: Research results and Interpretation
Education
Phone
Skills
Skills to download
Availability to install
Availability activate
Skills to use
application
To activate account
Ρ =0,533 (>0,05)
Ρ =0,055 (>0,05)
Ρ =0,009 (<0,05)
Ρ =0,004 (<0,05)
Ρ =0,060 (>0,05)
H0 (Null Hypothesis).There is no
relationship between Education and
Phone Skills.
NULL
Hypothesis is
accepted
Trust
Trust in Mobile
Provider
Trust in Financial
Institution
Trust in other
Companies
Ρ =0,085 (>0,05)
Ρ =0,026 (<0,05)
Ρ =0,001 (<0,05)
H0 (Null Hypothesis).
There is no relationship between
Age and Trust.
NULL
Hypothesis is
Rejected
AGE
MBA, Epoka University, Tirana, Albania, 2015

20. © 2013 SAP AG. All rights reserved. 20
Section III: Research results and Interpretation
H0 (Null Hypothesis).There is no
relationship between Age and BIU.
NULL
Hypothesis is
rejected
Ρ =0,002 (<0,05)AGE BIU
H0 (Null Hypothesis).There is no
relationship between Education and BIU.
NULL
Hypothesis is
accepted
Ρ =0,178 (>0,05) BIUEducation
MBA, Epoka University, Tirana, Albania, 2015

21. © 2013 SAP AG. All rights reserved. 21
Section IV:
MBA, Epoka University, Tirana, Albania, 2015
The Factors as PEOU / PU / Trust /
Phone Skills / Convenience
/Age Influence to the Adoption of M-
Payment as a NEW Technology
The factors as Security &
Education doesn’t influence to the
Adoption of M-Payment as a NEW
technology
The age has a influence to the
trust
The AGE / Education doesn’t influence to
PEOU
The Education don’t have any influence
to the Phone Skills

22. © 2013 SAP AG. All rights reserved. 22
Section IV:
MBA, Epoka University, Tirana, Albania, 2015
Enlarge the range of Research
Enlarge the Sample of People selected
New factors can be included in the study
The reasons that bring the relationship between
the factors , etc

23. © 2013 SAP AG. All rights reserved. 23
Section IV:
MBA, Epoka University, Tirana, Albania, 2015

24. © 2013 SAP AG. All rights reserved. 24
FIN
MBA, Epoka University, Tirana, Albania, 2015