Modelling the adoption of QRIS payment method usage among young adults in Indonesia

Purpose Cashless payments gradually replace physical money in almost every financial transaction worldwide. Bank Indonesia has conducted a National Non-Cash Movement to create an effective and efficient payment system. This study aims to analyse the elements influencing young Indonesians to use Quick Response Code Indonesian Standard (QRIS) payments by extending the Unified Theory of Acceptance and Use of Technology (UTAUT) model with word of mouth (WOM) as a critical factor. Design/methodology/approach Using the non-probability convenient sampling technique, data was collected from 351 young generation (Z and Y) respondents in Indonesia. The researcher analysed data using partial least squares structural equation modelling. Findings The results revealed a positive and significant influence of PE and SI on the BI of the younger generation of QRIS users, with PE having the most significant influence. In contrast, EE and FC did not significantly influence IB. Furthermore, BI significantly increases WOM and UB. On the other hand, WOM also shows a positive and significant relationship with UB. It confirms that WOM has a strong influence among Generation Z and Y QRIS users. Research limitations/implications This study emphasizes the need to improve QRIS performance and expand the social impact to increase QRIS usage. This study also points out the need for service providers to provide positive media reviews and strengthen WOM advertising strategies to reach new users, especially younger ones. The role of government and other stakeholders is to improve credibility, security and user convenience to achieve mass adoption of QRIS. Originality/value This study fills the limited research gap regarding QRIS, especially from the perspective of the younger generation in Indonesia. This research also develops UTAUT with the addition of WOM variables.