Abstract:
Although existing literature claims that consumers are ready for proximity mobile payments,
the reality is that adoption is still low in South Africa. Service providers’ attempts to translate
this potential into profi t is hindered by consumers’ perception of risks associated with proximity
mobile payments. The purpose of this study was to investigate the perceived risk dimensions as
possible inhibitors of proximity mobile payment adoption, as well as to investigate the role of
gender diff erences, drawing from the perceived risk and push-pull theories. Using a convenience
sample, data was collected from South African smartphone users, from whom 284 valid online
surveys were obtained. The standard regression analysis reveals that fi nancial-security and
performance risk are predictors of proximity mobile payment adoption, and that product risk is
not a signifi cant predictor, at least in the South African context. The fi ndings also reveal that both
genders feel more or less the same about the infl uence of risk factors on the adoption of mobile
proximity payments, except for performance risk. The results also show that females are more
concerned about the performance of proximity mobile payments than males. The study provides
tangible insights that service providers and marketers can use to guide application development
and communication with consumers. A contribution is also made to the limited empirical research
on the infl uence of proximity mobile payment risks on adoption during crisis times.
