Behavioural intention to adopt mobile banking among the millennial generation

Purpose The purpose of this paper was to examine the intention to adopt mobile banking services among Generation Y consumers using the unified theory of acceptance and use of technology Unified Theory of Acceptance and Use of Technology (UTAUT) model. Design/methodology/approach The paper investigated responses from a particular sub-group of Generation Y consumers that is college or university students. The final sample collected was 347 cases, representing a response rate of 90.4 per cent. Two sets of analyses were performed: multiple regression analyses testing the extended UTAUT model and a mediated regression analysis testing the intervening effect of performance expectancy (PE) on the relationship between effort expectancy (EE) and behavioural intention. Findings Multiple regression analysis revealed PE as the strongest predictor, followed by EE, perceived risk and social influence. The prediction model explained 68.3 per cent of the variance in intention to adopt mobile banking. Mediation analysis supported a partial mediation effect of PE on the relationship between EE and intention to adopt mobile banking. Research limitations/implications This study examined respondents’ intention to adopt mobile banking instead of their actual behaviour. Understanding behavioural intention is essential, but it may not accurately represent actual behaviour. In addition, results from this study may not be generalisable to the whole population of Generation Y college or university students due to selection bias and a lack of information concerning the sampling frame. Practical implications This research identifies the factors that affect the intention to adopt mobile banking among the Generation Y college or university students. Bank operators can use the findings to improve their marketing strategies and services offered to make them more attractive and competitive to students to speed up the mobile banking adoption rate. Originality/value This study is one of the few local studies that introduce a practical model of extended UTAUT by including perceived risk to understand the mobile banking adoption intention among millennial generation.