Abstract

The slow adoption rate of mobile phone banking remains a dilemma for marketing managers globally. Previous studies on mobile phone banking adoption behavior lack investigation on low-income non-users’ adoption behavior and adoption behavior with regard to a specific type of mobile phone banking application. Therefore, this study investigates the attitude formation of low-income non-users towards Wireless Internet Gateway (WIG) mobile phone banking. A non-probability sample of 465 low-income non-users was drawn. The results of the assessment of the structural model indicate that considering the total effects, Ease of use and Usefulness almost influence Attitude with the equivalent strength. Other findings include that Cost and Ease of use influence Usefulness of WIG mobile phone banking for low-income non-users, Facilitating conditions and Self-efficacy influence Ease of use, and that the total effect of Facilitating conditions on Ease of use is relatively strong. Based on these findings practical suggestions are presented to enhance the adoption rate of WIG mobile phone banking in the low-income market segment.

Key words: TAM, low-income earners, non-users, cost, self-efficacy, facilitating conditions.