FACTOR AFFECTING SELECTION OF MOBILE BANKING FOR ONLINE SHOPPING PAYMENT IN NEPAL

Abstract

This study explores the factors influencing mobile banking selection criteria for online shopping in Nepal, focusing on how transaction convenience, user experience, application design, perceived risk, and perceived benefit impact consumer behavior. The research is grounded in well-established models such as the Technology Acceptance Model (TAM) and the Theory of Planned Behavior (TPB), with the aim of providing insights into online shopping behaviors, specifically within the context of mobile banking. Through a structured questionnaire, data were collected from 227 respondents who are mobile banking users involved in online shopping. The results show that transaction convenience, user-friendly design, and perceived benefits significantly influence users' decisions to adopt mobile banking as a payment method. However, perceived risk did not emerge as a strong determinant. The study also highlights the potential of mobile banking to drive e-commerce growth, especially in developing regions like Nepal, where online shopping is still emerging. Based on these findings, the study offers practical implications for banks and online retailers aiming to enhance customer satisfaction by improving mobile banking features and addressing potential user concerns. Moreover, it provides directions for future research, including exploring factors affecting non-users of mobile banking and the expansion of the study to include offline behaviors. The research contributes to the understanding of mobile banking adoption and offers recommendations for enhancing user experience and trust in mobile payment systems.