Preferred Payment Method Research Articles

The Right to Use Cash: A Case Study of India

India is facing a shift towards a cashless society using alternative methods for payment transactions based on electronic and digital means. It is a country with the fastest growing economy in the world and a heterogeneous population. The country's digitalisation of money transactions is growing and is applied in all government transactions and has taken a big leap in many spheres of its operations, which brings inclusiveness in society. The important motives behind this is to provide basic banking services to hitherto unbanked masses and to curb black money, tax evasion and the threat of terrorism. However, the peripheral parts of the society like, poor, elderly, physically challenged and others may be deprived of the benefits of financial systems due to their limitations in benefitting from the digital transformation. A cashless society may not be in the interests of these groups and it may result in social exclusion rather than inclusion. However, consumers need to have the right to choose their preferred payment method and there should be adequate availability of cash and ATMs. Eliminating cash would have negative consequences and may have adverse effects on these populations. This paper takes a look into the aspects of the right of the public as a consumer in choosing cash as the payment method of her convenience and choice.

Efficiency of Federated Learning and Blockchain in Preserving Privacy and Enhancing the Performance of Credit Card Fraud Detection (CCFD) Systems

Increasing global credit card usage has elevated it to a preferred payment method for daily transactions, underscoring its significance in global financial cybersecurity. This paper introduces a credit card fraud detection (CCFD) system that integrates federated learning (FL) with blockchain technology. The experiment employs FL to establish a global learning model on the cloud server, which transmits initial parameters to individual local learning models on fog nodes. With three banks (fog nodes) involved, each bank trains its learning model locally, ensuring data privacy, and subsequently sends back updated parameters to the global learning model. Through the integration of FL and blockchain, our system ensures privacy preservation and data protection. We utilize three machine learning and deep neural network learning algorithms, RF, CNN, and LSTM, alongside deep optimization techniques such as ADAM, SGD, and MSGD. The SMOTE oversampling technique is also employed to balance the dataset before model training. Our proposed framework has demonstrated efficiency and effectiveness in enhancing classification performance and prediction accuracy.

HOW DO CUSTOMERS PAY FOR THEIR ONLINE FOOD PURCHASES? A Study on the Online Food Purchasers in Bangladesh

This paper investigates the choice of payment methods by online food purchasers in Bangladesh. The objective is to identify the factors influencing the choice of payment methods and factors influencing the choice. Responses are collected from 540 respondents through an online questionnaire survey. Cross-tabulation, frequency analysis, the Chi-square independence test, and binary logistic regression are used for in-depth analysis of the data. Cash on delivery is found to be the most favored method of payment followed by mobile financial services (MFS) and internet banking and/or debit/credit cards. Among the demographic variables, purchasers’ gender showed a significant but weak influence on the choice of payment method. MFSs are the most preferred payment method for men. A larger percentage of women prefer the cash-on-delivery method. The use of debit/credit cards is more prevalent among the female purchasers. Other demographic variables such as household income, age, and profession did not portray any significant influence on the choice of payment method. However, frequent buyers are found to prefer online payment (MFS, card, or internet banking) to occasional buyers. The findings of the study contribute to business literature by shedding light on an inadequately tapped area of research. Factors identified to be significant in the choice of payment methods will help online food traders address issues related to their business process and effectively communicate the improvements they can make. The findings of the study may also instigate the financial service providers to be motivated to focus on educating customers about online payment systems and their built-in security.

Critical Analysis: Interplay of E-commerce and Conumer Protection, in Conformity with International Standards

This study examines the existing legislative framework in India that safeguards the interests of online customers in light of the rapidly expanding e-commerce sector and its impact on consumer preferences for online shopping. A thorough analysis of the two recently established laws—the Consumer Protection Act, 2019 and the Consumer Protection (E-commerce) Rules, 2020—as well as a literature review support analysis of 290 online customers were carried out in order to address the study questions and achieve the objectives. Important conclusions include the following: cash on delivery is the preferred method of payment for online purchases; website content and efficient customer support services foster consumer confidence; and safe and dependable systems are critical to the success of e-business firms. One may argue that the new laws are sufficiently strict to uphold the rights of internet shoppers and encourage the expansion of e-commerce in India. In addition to elements like website information, customer service, warranty, security, privacy, and redressal, laws protecting consumer rights in e-commerce also have an impact on consumers' confidence. Expanding e-commerce appears to be promising given the strong legal framework and consumer protection policies in place. The findings add to the body of knowledge on e-commerce and the protection of consumer rights by clarifying the critical elements influencing customer loyalty and trust as well as providing an insightful viewpoint on e-consumer protection in the Indian context with wider implications.

Crosstab Analysis Of Tourists Spending Pattern In Yogyakarta

This research is a review of the results of a survey of tourist spending data in Yogyakarta conducted by the Yogyakarta Provincial Tourism Office. The aim of is information on the amount of tourist spending and several information related to gateway, frequency of visit, member of trip, length of stay, method of payment, shopping preference, and mode of transportation. The results obtained show that tourist spending in Yogyakarta is still relatively small, amounting to less than 200 thousand IDR per day. The shopping component is accommodation, culinary or gastronomy, and souvenirs. Based on the exit gateway, tourists who leave through the airport have a higher variation in spending compared to other exit gateways. Based on visit frequency, the majority are repeaters with more than 5x visits. Based on member of trip Most visits are with friends. The average length of stay is 1 day or less. The preferred payment method is cash. Shopping preferences are friends' recommendations. The mode of transport that is widely used is the private car.

Should credit card rewards be taxed?

AbstractRewards that consumers receive on credit card payments influence their payment choice. They are not taxed but merchants deduct card fees from their taxes. This article analyzes the tax effects in a model where card companies set interchange fees, merchants decide whether to accept card payments, and consumers choose their preferred payment method. I find that card companies raise interchange fees when merchants are allowed to deduct these fees from their taxes. Taxing consumers' card rewards reduces interchange fees. The optimal distribution of cash and card payments cannot be supported without a policy combination of taxes and regulated interchange fees.

ACCOUNT MANAGEMENT COLLECTIONS OF PURCHASE ORDER CARD HOLDERS OR GUARANTORS

This research determines the account management collections of purchase order card holders or guarantors and the effectiveness of different collection strategies employed by retail stores. The objective is to integrate the 59.89 percent e-payment systems as a preferred payment method from the reflected 58.4 percent over-the-counter payment methods that resulted in a high risk of uncollected accounts or commonly known as doubtful accounts. Henceforth, automated invoicing of the statement of accounts is highly suggested to prevent delay, the conventional sending of a statement of accounts or invoicing presented 54.5 percent of purchase order card holders or guarantors did not receive their statement of accounts, during COVID-19. To recover from the economic loss this research showed a significant level of 0.03 on account management collections, indicating the need for effective collection strategies. This highlights the significance of the employee’s relationship to the collection process, indicating a positive correlation between groups and their strategies. The findings suggest that purchase order card holders or guarantors are willing to pay using e-wallets. The correlation presents the relationship between six variables: income (I), standardized collections (SD), payment behavior (PB), communication (C), timely invoicing (TI), and follow-up procedures (FP). The results indicate that all variables have a positive correlation with each other. The recommendation is to create a hybrid process model to manage collections strategically, incorporating e-wallets and automated statements of accounts to improve overall business performance. KEYWORDS: Accounts Management, Collections, Purchase Order Card Holders or Guarantors, E-Wallets, Automation, Hybrid Process Model, Business Administration

ANALYSIS OF QRIS USER EXPERIENCE USING THE USER EXPERIENCE QUESTIONNAIRE (UEQ) METHOD

Digital wallets are the most preferred payment method by Indonesian digital society compared to other payment methods, namely cash payments and bank transfers. Over time, several digital wallet platforms began to create QR codes according to their respective platforms. With each platform having its own QR Code, this can make it difficult for users to make payments. Therefore, Bank Indonesia, which is tasked with regulating and maintaining the smooth running of the payment system, regulates the QR Code to be standardized in accordance with the International Europe Mastercard Visa standard. A product is said to be successful if the product is able to meet user needs to increase user satisfaction. In order for the product to meet the standards, it is necessary to evaluate the quality of the product. One of the evaluations that must be carried out is an evaluation of the User Experience. The sampling technique used is purposive sampling with the criteria that domiciled in Samarinda and has used QRIS as a payment system. Data analysis was carried out using the UEQ Data Analysis Tool. The results of this study are that user experience (attractiveness, perspicuity, efficiency, dependability, stimulation, novelty) has a positive impression on QRIS user satisfaction in Samarinda City.

USER’S ADOPTION OF E-PAYMENT SYSTEM IN HARYANA

In todays global financial transactions, electronic payment systems have emerged as the most preferred method of payment. This is because it is timely, convenient, and effective. The goal of the study is to determine the most popular e-payment mode and what drives people to use the system. 250 participants in the study filled out the questionnaire. The respondents were chosen using a combination of stratified random and judgmental sampling techniques. According to the studys findings, banking cards and mobile wallets are the two most popular modes of e-payment. There was a paucity of infrastructure, so few people voiced their displeasure. Certain areas of Haryana are reluctant to adopt a cashless system because of a lack of digital literacy, which prevents people from using coupons and earning cashback incentives, security concerns, poor internet connectivity, and other unfavourable attitudes. According to the studys findings, educational institutions and other organizations routinely offer digital literacy programs in order to inform individuals about cashless transactions, particularly those in the low-income sector who are totally dependent on cash. KEYWORDS: cashless payment; online payment; digital payment; mobile payment; electronic payment

Predicting the Number of Passengers of MRT Jakarta Based on the Use of the QR-Code Payment Method during the Covid-19 Pandemic Using Long Short-Term Memory

The trend of using public transportation has been rising over the last several decades. Because of increased mobility, public transportation has now become more crucial. In modern environments, public transportation is not only used to carry people and products from one location to another but has also evolved into a service company. In Jakarta, Mass Rapid Transit Jakarta (MRTJ) started to operate in late 2019. Recently, they updated their payment gateway system with QR codes. In this study, we predicted the hourly influx of passengers who used QR codes as their preferred payment method. This research applied machine learning to perform a prediction methodology, which is proposed to predict the number of passengers using time-series analysis. The dataset contained 7760 instances across different hours and days in June 2020 and was reshaped to display the total number of passengers each hour. Next, we incorporated time-series regression alongside LSTM frameworks with variations in architecture. One architecture, the 1D CNN-LSTM, yielded a promising prediction error of only one to two passengers for every hour.

Effects of COVID-19 on payment method preferences of Poles

Abstract Repeated payments create a certain habit in terms of the preferred payment method. Its formation stems from the simultaneous effect of a variety of factors, while its persistent character implies a difficulty in its change. The outbreak of the COVID-19 pandemic has influenced the terms of how society functions, thus affecting multiple spheres of people’s lives, including making purchases and payments. The aim of this paper is to identify and present the multidimensional impact of the COVID-19 pandemic on payment method preferences of people in Poland. The results indicate that the COVID-19 pandemic has stimulated the shrinkage of cash exchanges while at the same time made the tendency to use cashless payment methods grow. Cash payments are a path for viral transmissions and, thus, a potential source of infection and viewing them as an unsafe payment method effected the turn to cashless forms of payment. It is important to note that this fact constitutes one of the most vital factors of the dynamic growth of the BLIK payment system - a multi-institutional cashless payment system, working independently of the present card-based systems in Poland. Based on the conducted study it can be stated that the COVID-19 pandemic significantly changed payment method preferences of the people in Poland, yet the permanence of those changes will only be possible to determine in a larger timeframe.

A Study of Changes in McDonald‘s Consumer Behaviour during Pandemic

The objectives of the study is to examine the changes in McDonald’s consumer behaviour during pandemic. In 1955, McDonald’s developed the franchise system and continued expanding to become a famous fast-food brand in the world that have more than 38 000 restaurants in more than 100 countries (Rosenberg, 2020). In 2020, the pandemic of COVID-19 has spread throughout the world. COVID-19 brought negative effects to the businesses including McDonald’s and altered the consumer behaviour. Questionnaires are distributed to the respondents to collect information about their consumption behaviour in McDonald’s. This study has included the change in frequency patronizing McDonald’s, preferred service mode to order McDonald’s and the preferred payment method during the pandemic.

DETERMINING CONSUMER PAYMENT PREFERENCES IN ONLINE SHOPPING BY GENDER: AN EXAMPLE OF AMASYA PROVINCE

Purpose- The purpose of this study the development of technology and the widespread use of the internet for global consumers as a result of the increase of the interest in online shopping, consumers ' online shopping behavior according to gender preferred payment method to identify and to analyze whether they differed in. Methodology- In order to achieve the purpose of the study, it was decided to conduct a survey application via Googlesurvey. In the survey, along with demographic questions, the participants were asked which payment methods they used. The participants aged 18 and over residing in Amasya province constitute the universe of the research. The sample of the study consists of 500 participants selected from within the universe by an easy sampling method. Of these 500 participants, 4 did not answer the relevant question and were considered lost sightings. Frequency and chi-square tests were applied to the obtained data. Findings- In the survey conducted, participants were asked, ‘which payment methods do you prefer for online shopping? the " question " is given the opportunity to select more than one option. The answers given are grouped as ”Virtual payment (virtual payment by credit card only, wire transfer/EFT, mobile payment or virtual card/virtual wallet options at least one)“, ”Payment at the door (credit card only or cash at the door payment options at least one)“, ”Both virtual and door payment“ and ”Other". As a result of the survey, it was determined that 216 (43.5%) of the 496 respondents who answered the relevant question used a virtual payment method, 46 (9.3%) used a payment method at the door, 211 (42.5%) used both a virtual and a payment method at the door, and 23 (4.6%) chose the other option. Whether payment methods changed according to gender was measured by chi-square analysis. As a result of Chi-square analysis, it was found that p=0.007<α=0.01 and it was determined that payment methods may vary depending on gender. Conclusion- As a result of the findings obtained from the analysis results, it is noted that about 86% of the participants use virtual payment methods, while only about 9.3% physically pay at the door. As a result of the Chi-square analysis, it was observed that men were more likely than expected to not choose a particular method and make payments both in virtual and at the door, while women were more selective about virtual payment methods. Keywords: Online shopping, online consumer,consumer gender, online payment, payment preferences JEL Codes: M30, M31, M39

Healthcare provider payments: Acceptance and preferences of Myanmar general practitioners

Universal Health Coverage (UHC), or people's access to quality essential health services without financial hardship, is one of the sustainable development goals for UN member countries to achieve by 2030. However, progress towards UHC has been uneven globally due to weaknesses in health financing. Although high-income countries such as New Zealand have been practising UHC for decades, it remains challenging for low-to-middle income countries to meet the goal in time. Myanmar, a Southeast Asian nation now on the verge of becoming a failed state due to the military coup, has struggled to restructure its healthcare financing mechanisms, especially in purchasing health services from private providers. Previous literature is biased to the Global North, with limited reference to Southeast Asia and little research focused on providers' perceptions, attitudes, and beliefs prior to introducing nationwide strategic purchasing payment mechanisms. These research gaps created an opportunity to investigate the relationships between General Practitioners' (GPs) socio-demographic characteristics and clinic services profile and their perceptions on payment methods. This research sought to examine Myanmar GPs' acceptance of, and preferences for, four major healthcare payment methods. A cross-sectional study was used, recruiting 622 participants with a convenience sampling method. A Qualtrics online survey was disseminated to Myanmar GPs through three different channels. The research showed that performance-based payment was the most acceptable and preferred payment method, followed by fee-forservice. Salary payments were reported as the least acceptable and preferred paymenttype, while findings on capitation were inconclusive. Despite the potential for this research to inform strategic purchasing arrangements in Myanmar, the scope for applying these findings, as initially intended, is not realistic in the immediate future because of the current political turmoil. In this context, the study's results provide valuable insights into the possible role of alternative provider payment architectures, particularly during public health emergencies.

Mitigating unbalanced and overlapped classes in credit card fraud data with enhanced stacking classifiers system

Background: Credit cards remain the preferred payment method by many people nowadays. If not handled carefully, people may face severe consequences such as credit card frauds. Credit card frauds involve the illegal use of credit cards without the owner’s knowledge. Credit card fraud was estimated to exceed a $35.5 billion loss globally in 2020, and results in direct or indirect financial loss to the owners. Hence, a detection system capable of analysing and identifying fraudulent behaviour in credit card activities is highly desirable. Credit card data are not easy to handle due to their inherited problems: (i) unbalanced class distributions and (ii) overlapping classes. General learning algorithms may not be able to address and handle the problems well. Methods: This study addresses these problems using an Enhanced Stacking Classifiers System (ESCS) that comprises two sequential levels. The first level is an excellent classifier for detecting normal credit card transactions (the majority class), while the second level contains stacking classifiers that distinguish credit card frauds (the minority class). The ESCS can improve the fraud detection via the second level, which contains sensitive classifiers to identify the misclassified fraud transactions as normal transactions from the first classifier. The meta-classifier then combines the decisions of the base classifiers from the levels to produce the final detections. Results: We evaluated the ESCS using the benchmark credit card fraud dataset (CCFD) that exhibits the two problems. The highest true positive rate (TPR) for detecting credit card frauds was 0.8841, which outperformed the single classifiers, bagging, boosting, and other researchers’ works. Conclusions: This study proves that the ESCS, with an additional level added to the stacking classifiers, can improve fraud detection on credit card data.

Money Invested on Shopping Online and Payment Methods Used: Findings by Recent Survey

Within development of telecommunication, e-commerce is rapidly replacing traditional shopping as well as offering new ways to pay for goods. Payment is one of the main phases of buying decision process and it is crucial to e-commerce, because there is a big possibility that consumer will abandon the shopping cart if preferred payment method is not available. Not only flexible payment options can help company to attract and retain customers, but it also can ensure that company get paid more quickly. The aim of the research is to find out how much money Latvian customers invest when shopping online and which payment methods they use to pay for the purchase on internet in Latvia. Research methods used in the study are scientific publication studies, studies of statistics on internet shopping development, survey realised in Latvia at the end of 2017 and beginning of 2018 on internet shopping in co-operation with company iMarketing, University of Latvia and Chamber of Trade and Commerce of Latvia. For many aspects in evaluation of opinion of respondents it was used evaluation scale 1–10, where do not agree with the statement; 10 – fully agree with statement. For data analysis there were used indicators of descriptive statistics, cross – tabulations, statistical tests of hypotheses, analysis of variance (ANOVA) and correlation analysis. Main results and findings of the study reveals that the most commonly used payment methods for online purchases in Latvia are paying with debit or credit card at the moment of purchase and paying at the store, but the least used payment methods for online purchase is cryptocurrency and at the pick-up box place. Also, there is no statistical difference between female and male customers on use of credit or debit card usage for online payments.

Differences in the perceived financial risk factors between digital natives in the e-commerce

Financial risk in the e-commerce environment includes the fear of the misusing of payment and personal data, which is based on the previous reputation of the e-shop,regarding the choice of payment method and the height of the amount willing to pay during a single online purchase. Systematization of literary sources and approaches for solving the problem of financial risk perception by online consumers indicates that the investigation of this issue is important for building the trustworthiness and loyalty of the e-commerce subjects. That activates the online consumers to spend more finances by shopping online. Based on intergenerational comparative analysis between the Digital Natives generations, the main purpose of this research is to examine differences in their perception of the financial risk factors in the e-commerce environment. The data were obtained by questionnaire survey and processed by selected nonparametric mathematical-statistical quantitative methods as Pearson X2 test and Wilcoxon unpaired signed-rank test. The research sample consisted of 758 respondents of both examined generations. Five financial factors were selected to examine differences in their perception by generations belonging to the Digital Natives in the research. The paper presents the results of an empirical intergenerational comparative analysis between Generation Y and Generation Z in the field of selected problematics, which showed that the Generation Y representatives are statistically significantly more willing to provide their personal and payment data compared to the Digital natives belonging to the Generation Z. It means that the older generation is much more identified with the e-commerce environment and its special attributes. The research also confirmed the presence of the statistically significant differences between the examined generations on the level of perception of fear from the misusing personal and payment data, where the Generation Y representatives stated significantly more worries about the misusing of their personal and payment data when shopping online. The study revealed that Generation Y representatives are more willing to pay a statistically significant higher price than Generation Z members during one online purchase. Their female representatives stated the statistically significantly higher amount of the disposable monthly budget for purchases (excluding food expenditures) than the Generation Z females. The obtained results showed no differences in the level of perception in the importance of the previous reputation of the e-shop in the shopping decisions and the preferred payment method of the representatives of both examined generations, based on the same degree of consent with these factors. The research empirically confirms and theoretically proves significant differences in the perception of factors determining financial risk by Digital Natives in the e-commerce environment. The research results also have practical managerial and marketing implications, which could be useful for online sellers, e-merchants, and digital advertising agencies to evolve and adapt marketing strategies based on understanding the different needs and desires of examined generations.

Pandemic payment patterns

COVID-19 has temporarily changed the relative cost and benefits of different payment methods: cash has become more costly in terms of health risks, ease of use and likelihood of acceptance, whereas debit card usage has become less costly. As a result, consumers have shifted away from cash. For some, this may speed up the adoption of electronic payment methods, resulting in a permanent change in payment behaviour. Others will return to their preferred payment method once the influence of COVID-19 on our health and daily lives has faded away. Based on unique payment diary survey data collected among a representative panel of Dutch consumers, we study the shift in payment behaviour and payment preferences during the first phase of the COVID-19 pandemic. Since the start of the lockdown in the Netherlands the likelihood of debit card usage at the expense of cash has increased by 13 percentage points. About 60 percent of this shift has persisted seven months after the start of the pandemic in the Netherlands and appears to be longlived. Also, the pandemic has resulted in a shift in payment preferences towards more contactless payments. Both effects are largest for elderly people.

Pandemic Payment Patterns

COVID-19 has temporarily changed the relative cost and benefits of different payment methods: cash has become more costly in terms of health risks, ease of use and likelihood of acceptance, whereas debit card usage has become less costly. As a result, consumers have shifted away from cash. For some, this may speed up the adoption of electronic payment methods, resulting in a permanent change in payment behaviour. Others will return to their preferred payment method once the influence of COVID-19 on our health and daily lives has faded away. Based on unique payment diary survey data collected among a representative panel of Dutch consumers, we study the shift in payment behaviour and payment preferences during the first phase of the COVID-19 pandemic. Since the start of the lockdown in the Netherlands the likelihood of debit card usage at the expense of cash has increased by 13 percentage points. About 60 percent of this shift has persisted seven months after the start of the pandemic in the Netherlands and appears to be long-lived. Also, the pandemic has resulted in a shift in payment preferences towards more contactless payments. Both effects are largest for elderly people.

From operational necessity to strategic advantage: Why payments are the next area of transformation in the B2B value chain

Business-to-business (B2B) commerce encompasses multiple spend categories, supplier types and purchasing channels. Yet the providers of payment solutions for this commerce have been slow to innovate and evolve with client needs. Payments through automated clearing house (ACH) networks and cheques still dominate globally as the preferred payment method, despite their inherent weaknesses, and the growth of card-based payments has yet to challenge this. A number of trends across the broader B2B value chain are creating challenges for buyers and suppliers, whose payment strategy can increasingly be seen as a tool for responding to these changes and creating value. This paper explores the current B2B payments landscape, specifically in the UK, the important trends shaping the industry, and recommendations for how end clients and companies should be optimising their payments strategy accordingly.