The Determinant of Fintech Adoption among Gen Z in Indonesia

DOI

10.2991/978-94-6463-622-2_48How to use a DOI?

Keywords

Fintech Adoption; Gen Z; SEM-PLS; TAM Analysis

Abstract

This gap in financial literacy has the potential to hinder effective fintech adoption, posing a risk to financial inclusion and national economic development. Therefore, it is crucial to develop strategies that enhance financial literacy and support broader adoption of financial technology in Indonesia. This study aims to analyze the determinants of fintech adoption among Generation Z (Gen Z) in Indonesia, focusing on brand image, perceived ease of use, perceived usefulness, financial literacy, user innovativeness, and government support. The study employs a quantitative method with a Structural Equation Modeling (SEM) and Partial Least Square (PLS) approach. Data were collected through online questionnaires from 100 Gen Z fintech users in Indonesia between April and September 2024. The results indicate that brand image and perceived usefulness do not significantly influence fintech adoption. However, perceived ease of use and financial literacy significantly enhance fintech adoption. Furthermore, financial literacy and perceived ease of use mediate the impact of government support on fintech adoption. Interestingly, user innovativeness was found to reduce fintech adoption, potentially due to a critical stance toward new technology. The study suggests that fintech companies should focus on enhancing tangible benefits and ease of use, while the government should work on improving financial literacy among the population. Future research should consider using more specific samples and qualitative approaches to gain deeper insights into the motivations and barriers faced by Gen Z in adopting fintech.

Copyright

© 2024 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Upayana Wiguna Eka Saputra
AU  - Ida Bagus Gede Dananjaya
AU  - Rifqi Nurfakhrurozi
AU  - Ida Nyoman Basmantra
PY  - 2024
DA  - 2024/12/31
TI  - The Determinant of Fintech Adoption among Gen Z in Indonesia
BT  - Proceedings of the International Conference on Sustainable Green Tourism Applied Science - Social Applied Science 2024 (ICoSTAS-SAS 2024)
PB  - Atlantis Press
SP  - 437
EP  - 447
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-622-2_48
DO  - 10.2991/978-94-6463-622-2_48
ID  - Saputra2024
ER  -