CUSTOMERS’ LEVEL OF ACCEPTANCE ON ONLINE PAYMENT AMONG

THE SELECTED FAST FOOD CHAINS IN PARAÑAQUE CITY: HEADING

TOWARDS

Undergraduate Research
Submitted to the Faculty of the
Institute of Management in Business and Allied Profession

In Partial Fulfillment
of the requirements for the degree
Bachelor of Science in Tourism Management

BASAN, NICOLE A.
SACRO, MARIEL G.
SANCHEZ, MARIEZZA C.
SARCIA, MARY ANN T.
TUAZON, JAMAICA B.

SCHOOL YEAR 2023-2024

 TABLE OF CONTENTS

Page

CHAPTER 1: THE PROBLEM AND ITS BACGROUND

Introduction …………………………………………... 1

Background of the Study …………………………………………… 3

Statement of the Problem …………………………………………… 7

Hypothesis …………………………………………… 8

Objective of the Study …………………………………………… 9

Theoretical Framework …………………………………………… 10

Conceptual Framework …………………………………………… 13

Scope and Limitation of the Study…………………………………… 14

Significance of the Study …………………………………………… 15

Definition of Terms …………………………………………... 16

CHAPTER 2: REVIEW OF RELATED LITERATURE AND STUDIES

Review of Related Literature ………………………………………… 18

Foreign Literature …………………………………………... 18

Local Literature …………………………………………… 23

Review of Related Studies …………………………………………… 28

Foreign Studies …………………………………………… 28

Local Studies …………………………………………… 31

Synthesis …………………………………………… 34

CHAPTER 3: METHODOLOGY

Research Design ……………………………………………. 38

Respondents of the Study …………………………………………….. 38

Population and Sampling Technique .……….………………………. 39

 Sample Size …………………………………………….

Sampling Technique…………………………………………….

Research Instrument ……………………………………………. 39

Construction and Validation of the Instrument ……………………… 40

Data Gathering Procedure ……………………………………………. 41

Statistical Treatment ……………………………………………. 42

Ethical Consideration ……………………………………………. 43

References …………………………………………………………………….
 Chapter 1

The Problem and its Background

1.1. Introduction

The world becomes more dependent on technology over the years.

There is no doubt that the accessibility of technology makes our work that

uses physical strengths and mental skills lessen and we can rely on it to help

us in our daily lives. Numerous technologies created over the years such as

tools and machinery to help us work easier and faster. During 1980, the

information age began resulting in progressing technology and the

development of computer systems. The transition from mechanical and

analog electronic technologies to digital electronics as a means of storing,

conveying, and utilizing information is seen as the beginning of the digital

revolution. (MinnaLearn.com, What is the digital revolution?). With the

development of mobile phones, we can easily access information using a

small and convenient device.

Digital technological advancement has expanded and adopted by

various businesses since it was introduced. Today, it is also used in online

payment transactions where information and payment transfer are

processed. With the development of technology, cashless payment systems

led to the beginning of cashless payment apps and digital wallets

(Gundaniya, 2020). According to Labs (2022), An online payment is a

financial exchange that occurs electronically via the internet. The transfer of

money from a customer's

bank account, debit card, or credit card to the seller's bank account is the

process in these payments. Buyers and sellers use online payment apps to

conduct online transactions. Customers are increasingly using mobile

applications for e-wallets to replace traditional payment methods. When

utilizing an e-wallet, a user does not need to bring cash or a credit card. It

enables people to obtain products that match their needs and desires in a

more convenient way (Chelvarayan et. al., 2022)

Online payment has grown and become popular over the years during

pandemic. It is accessible everywhere and anywhere with just a mere swipe

and tap, you can already pay your bills. In the food service industry, they are

also adapting the use of cashless payment or online payment. Customers

can pay for their food using Gcash or Maya and other online payment

applications by simply scanning the QR code. Fast food establishments are

now the exception rather than the rule, and for some people, this poses a

serious issue. The current situation, which shows a lack of client readiness to

use technology during the payment process, supports this issue. Additionally,

among customers, physical cash payments remain the most common means

of payment. The lack of study into the contactless payment user experience

is still a worry, though.

Based on the Covid-19 Study by Wang and Peters (2023), an

increasing number of customers finish transactions on mobile devices and

take pleasure in their orders at home. It's unclear, though, if using a mobile

device for payment will become commonplace when customers visit

restaurants again. The findings indicate that customers' intentions to migrate

to mobile
2
payments are facilitated by their perceptions of the hassle of cash, the

perceived convenience of mobile payments, and deal proneness. Consumer

desire to move to mobile payment and moderate switching intention are

directly influenced by perceived security and privacy, perceived health risk,

consumer ingenuity, and social influence. The simplicity in transaction and

quick access to capital resources along with its security is what drives the

use of online payment transactions widening the gap from systems based on

physical money. However, there are still some drawbacks in using cashless

payment which includes security-related problems, non-tech-savvy users,

and phishing emails (Espeleta, 2022).

The present study will focus on the online payment transaction that is

timely and relevant to this day and assess the level of acceptance on paying

online from the fast-food service establishment. This study also looks into

how customers perceive contactless payment and the variables that affect

that.

The concern of the study will focus on evaluating the level of

acceptance of customers on online payment transactions of selected fast-

food establishments in Barangay San Dionisio, Paranaque City. This study

plans to present the influence of having an online payment system as a

convenient and easy transaction in fast food establishments and the

behavioral intention of customers to use online payment.

1.2. Background of the Study

There are lots of fast-food establishments in Paranaque City. In every

stop, you will see at least one fast-food restaurant such as McDonalds,

3
Jollibee, and Chowking in any direction and barangay San Dionisio is no

exception. San Dionisio is one of the 16 barangays in the city of Paranaque

listed in the first district of the city with an area of 6.626 km2. The barangay is

located on the western area of Dr. Santos Avenue (previously Sucat Road),

and parallels the Elpidio Quirino Avenue (former Calle Real), with De Leon

Street and Aldana Avenue defining its borders with La Huerta and Manuyo

Uno, respectively. San Dionisio encompasses the Amvel Business Park,

Avida Sucat and SM City Sucat complexes, the Irasan Complex logistics

hub, and the region surrounding the Evacom Plaza on the C-5 Road South

Extension in Paranaque. It also includes much of the reclaimed Freedom and

Long Islands in the Las Pinas-Paranaque Critical Habitat and Ecotourism

Area. The barangay of San Dionisio is the second largest barangay in the

city and the third largest in terms of city’s population with a total of 72, 522

local residents according to the 2020 census.

As the second largest in terms of land area, it also occupied large fast-

food chain establishments such as McDonalds, Chowking, and Jollibee

which is the selected fast-food of the present study. There are McDonalds’

and Jollibee in Evacom Plaza. One Jollibee near Olivarez Hospital and

College, Chowking and Jollibee inside SM City Sucat and there are three

fast-food establishment namely: (Chowking, McDonalds, and Jollibee) in

Kabihasnan along Quirino Avenue with a total of 8 fast-food establishments.

In each fast-food establishment in barangay San Dionisio, there is

always customers and locals who love to eat at fast-food restaurants. Thus,

there are always transactions happening. With the rise of mobile phones,

4
customers may have at least one online payment application in their mobile

phone which they use for transaction in purchasing foods at fast-food

services.

The mode of payments has become more innovative in the current

generations as the development of technology and the internet have

emerged. Transaction is thought to have occurred as early as 3000 BC, but

humans utilized a bartering system rather than money. Bartering is the direct

exchange of goods and services, which means that early man would barter

what he had in excess for what he required. In the 17th century, the first

actual paper money as we know it today was introduced in around 1635. The

innovation of payment continued in the 19th century around 1966 where the

first credit card was introduced. And in the 2000s, online payments and

ecommerce have emerged with the development of the internet. Because of

the growing number of people willing to spend time on the internet and even

buy products online, the world gained its first e-wallet, PayPal, in 1998.

Several additional alternative payment methods emerged during the next

decade, some in the form of e-wallets, such as PayPal, and others in the

form of vouchers or bank transfers, allowing individuals all over the world to

pay or send and receive money online.

The rise of online payment continued in the 2010s with the

development of mobile phones and smartphones. Since the beginning of the

last decade, buyers have been more eager to pay online for the things they

want. As e-commerce grew in popularity, so did other payment options,

which are now available on our cellphones. This spans from normal debit

cards that can be linked to a smartphone to other alternative possibilities that

5
we can utilize on various e-commerce stores and in-store.

(AlternativePayments.com, 2021)

In 2018, Filipinos preferred e-wallets over credit cards, with GCash

and PayMaya facilitating digital transactions via smartphones without the use

of cash or credit cards. Electronic payment offers convenience, cost savings,

security, accuracy, efficiency, better sales, and risk reduction. Although there

are security issues and a lack of user comprehension with e-payments,

banks' electronic payment instruments safeguard and encourage trust.

Customization and rapid communication are crucial in digital payments. E-

wallets are becoming increasingly popular for transportation, food delivery,

and bill payment. (Managuelod et. al, 2023) The Philippine economy's unique

structure, particularly low financial inclusion mixed with a heavy reliance on

remittances, has fueled the country's most innovative breakthroughs in

cashless payments.

Gcash and Maya are two largest online platforms in the Philippines

that enable cashless payments in the market while also providing choices

such as finance, crypto-trading, and micro-investments. They have

contributed to the country becoming cashless. GCash users can use the app

to fund their wallets and send money to other GCash wallets, e-wallet

systems, and bank accounts. Maya (formerly known as PayMaya) is more

than simply another e-wallet service. Users can buy gaming pins on popular

games and platforms, and the company provides travel services ranging from

booking flights and accommodations to paying tour guides and personnel on

business trips. (Oi, 2022)

 However, as the country and citizens are still not fully accepting the

use of online payments due to its some disadvantages and some are non-

tech-
6
savvy in the study of Galo et. al. (2018), the Philippines cannot yet

accept cashless transactions as its payment method due to the convenience

of paper cash and the country's inadequate infrastructure. According to

study, the internet is a necessary medium for going cashless because it is

required for online purchase and online billing. It was also highlighted that

many people are unfamiliar with this form of payment technique, which is

why its popularity has not spread throughout the country. People who use

digital payments may face a variety of issues, including a lack of security,

inadequate network access, a lack of digital awareness and illiteracy, and

difficulties making modest payments. (Mohd and Pal, 2020)

The focus of the study is to determine the acceptance level of

customers on using online payment systems in their transaction in fast-food

establishments. The study has selected three fast-food establishments in

barangay San Dionisio to conduct the study which are McDonalds’, Jollibee,

and Chowking. It is anticipated that the findings of the study will determine

various significance and influences that will help to understand customers'

perception in using online payment systems in their transactions.

1.3. Statement of the Problem

This study aims to assess the acceptance level of online payment.

Specifically, it seeks to answer the following questions.

1. What is the demographic profile of the respondents in terms of;

 1.1. Age

1.2. Sex

7
1.3. Employment Status

1.4. Online Payment preference

2. What is the current level of customer acceptance of online payment

methods in selected fast-food chains?

3. What are the barriers or challenges that customers face when using

online payment methods in fast-food transactions in terms of:

3.1. Network Connectivity

3.2. Digital Literacy

3.3. Data Leakages

4. What are the factors influencing customers’ acceptance of online

payment in the fast-food industry in terms of:

4.1. Data Security

4.2. Convenience

4.3. Usefulness

4.4. Accessibility

5. Is there a significant relationship between acceptance level of

customers and barriers on online payment transactions?

6. Based on the study, is there any benefits and drawbacks on

implementing online payment systems in fast-food chains?

1.4. Hypothesis
 To answer the main problem, the researchers will evaluate if there is a

significant relation between the customers’ level of acceptance of online

payment transaction and the barriers of online payment methods in selected

8
fast-food in Barangay San Dionisio Paranaque City.

H0

There is no significant relationship between the level of acceptance

online payment transactions and the barriers of online payment methods in

selected fast-food chain

Ha

There is a significant relationship between the level of acceptance

online payment transactions and the barriers of online payment methods in

selected fast-food chain

1.5. Objectives of the Study

General:

To identify the acceptance level of customers in using online payment

as a means of transactions in selected fast-food establishments in Barangay

San Dionisio, Paranaque City.

Specific:

 To know the extent of how the respondents perceive and accept the

use of online payment transaction.

 To identify how the barriers of online payment affects the acceptance

level of customers in using online payment transaction.

  To identify the factors that influence customers acceptance of online

payment transactions.

 To examine the benefits and drawbacks of implementing online

payment systems in fast-food establishments.

9
1.6. Theoretical Framework

The theoretical underpinning of this study is the extension of the

Unified Theory of Acceptance and Use of Technology (UTAUT2) that is focus

on consumers’ context. This is the extended version of the UTAUT model

previously proposed by Venkatesh et. al. in 2003. UTAUT2 was developed to

further clarify and understand the acceptance of technology and use of

technology from a consumer perspective (Venkatesh et.al. 2012, Alalwan et.

al., 2018).

Figure 1 shows the seven main constructs in the UTAUT2 which are

the (PE) performance expectancy, (EE) effort expectancy, (SI) social

influence, (FC) facilitating conditions, (HM) hedonic motivation, (PV) price

value, and (H) habits which are proposed as a direct determinant of

consumers’ acceptance and use of technology. These constructs influence

behavioral intention to use a technology and/or use behavior as shown in

Figure 1 while Individual

differences such as age, gender, and experience are considered to moderate

the effects of these constructs on behavioral intention and technology use

(Venkatesh et.al. 2012)

As stated in UTAUT, the four original constructs (performance

expectancy, effort expectancy, social influence, and facilitating conditions)

have an influence on behavioral intention in accepting and using technology.

Wherein, Performance expectancy is the degree to which using a technology

will benefit consumers in carrying out specific tasks; effort expectancy is the

level of simplicity associated with consumers' use of technology; social

influence is the extent to which consumers believe significant others (like

family

and friends) believe they should use a specific technology; and facilitating

conditions are consumers' perceptions of the resources and support available

to them.

In the UTAUT2, Hedonic motivation, price value, and habit were added

to studying their roles in the acceptance and use of technology in the

consumers' context. The impact of hedonic motivation on behavioral intention

is moderately affected by age, gender, and experience. While the effect of

price value on behavioral intention is moderately affected by age and gender.

Additionally, habit influences how we use technology both directly and

indirectly, with the consequences of individual variances being muted.

Constructs/Factors

Performance
Expectancy
Behavioral
Intention
Effort
Expectancy

Social Influence

Facilitating Use Behavior

Conditions (Use of
Technology)

Hedonic
Motivation

Price Value

Figure 1: Extending The Unified

Habit
Theory of Acceptance and
Use of Technology (UTAUT2)

Individual
Differences Age and Gender Experience
 Various studies have used the perspective of UTAUT2. According to

Aduais and Al-Smadi (2022), The four constructs (performance expectancy,

effort expectancy, social influence, and facilitating conditions)

11
are intimately

linked to user usage patterns and e-payment system adoption. The study

shows that the determinants of performance and effort expectancies, and

social influences have significantly influenced the intention of using e-

payments in the country of Yemen. The facilitation conditions have significant

and negative results because they show that consumers are dissatisfied with

Yemen’s Internet infrastructure. Furthermore, based on the study of Alalwan

et. al. (2018), Trust, price value, hedonic motivation, performance expectancy,

and effort expectancy have all been determined to be significant factors of

behavioral intention accounting for approximately 64% differences in the

intention to adopt mobile banking in Jordanian’s customers. The results of the

studies prove the predictive validity of the model theory.

The paper is supported by the said theory as the study involves

assessing the acceptance level of customers on online payment system for

transactions purposes as transaction through online utilizes the use of digital

payment technologies such as mobile wallets (e-wallets) or mobile

applications. The researchers utilize the factors presented in the theory model

(it includes performance expectancy, effort expectancy, social influence,

facilitating conditions, hedonic motivation, and habits) to determine the level of

acceptance in using online payment systems for their transactions in fast-food

establishments.
 12

1.7. Conceptual Framework

INPUT PROCESS OUTPUT

I. Demographic
Profile

II. Purchasing on
Fast-food using  Guidelines and
online payment
recommendation
transaction:  Survey to lessen the
- Gcash Questionnaire barrier of online
- Maya
payment systems
 Likert Scale and increase the
III. Acceptance level
acceptance level
on online  Data of customers on
payment Interpretation online payment
transaction in and Analysis for their
terms of:
transactions.
- Factors of
Online
Payment
- Barriers of
Online
Payment

Figure 2: Conceptual Framework (IPO Model)

This research applies to the IPO or the " Input- Process- Output" model.

This conceptual framework shows how the research is designed to get the
result of the study which determines on the demographic profile, the type of

online payment they use in purchasing at fast-food chain (Gcash or Maya),

and the acceptance level of customers on online payment transaction in terms

of the lists factors and barriers of online payment systems.

The process involves the survey questionnaire and the data

interpretation and analysis. The data gathered and the respondents were

analyzed and evaluated.

The outcome of the study will lead to guidelines and recommendations

for easy transactions to lessen the barriers of online payment systems and

increase the acceptance level of customers on online payment for their

transactions.

1.8. Scope and Limitations of the Study

This study aims to assess the customers' level of acceptance on using

online payment transactions in purchasing products in fast food

establishments.

The research will be conducted at one of the schools at barangay San

Dionisio which is the Paranaque City College as the researchers apply the

convenience sampling method. The respondents of the study will be the

students of PCC as they are also considered as customers and usually have

their meals in the selected fast-food establishments in barangay San Dionisio.

The selected fast food will be McDonalds, Jollibee, and Chowking which is

close to the said school. The total sample size of the study is 323. However,

the researchers decided to add 1 participant for equal distribution of

respondents on each department in the said school. The researchers will limit
the study to 324 students The researchers will have 81 respondents in each

department of PCC (BSTM, BSREM, BSE, and HMS). The respondents will

be chosen randomly and be assisted to answer the provided questionnaires.

The questionnaire created by the researchers will be the primary source of

data.

1.9. Significance of the Study

This study is significant for several beneficiaries including consumers,

the local community, the fast-food industries, the service crews/employees,

the researchers, and the future researchers.

Consumer/Students

 This study will help the consumer to deeply understand the

convenience and security of online payment as transparency will help

minimize fraud and human error.

Local Community

 Local communities may be encouraged to use online payments in the

future and learn more about its functionality so that they can be

encouraged to keep up with emerging technology.

Fast Food Industries

 The finding of the study may help the fast-food industries to save costs

while simultaneously enhancing the dining experience and can be used

to increase and improve sales. It can also be an opportunity to attract

more customers.

Service Crew/Employees
  Through this study, the management of fast-food establishments will be

able to help the service crew or employees to gain skills and

knowledge about the online payment transaction and be

15
able to understand customers' perception on online

payment transactions.

Researchers

 This study will help them acquire more knowledge about the topic and

can improve their cooperation ability, analyzing ability and will make

them knowledgeable on how to conduct research.

Future Researchers

 This study may be able to hand them a comprehensive reference with

the same or similar topic and use the results of this study for their

future research.

2.0. Definition of Terms

Acceptance Level - the amount of acceptance or approval on online

something.

Effort Expectancy - the level of convenience and usability that people feel

when using a specific information system.

Facilitating Conditions - the extent to which an individual feels that

organizational and technical infrastructure exists to enable the utilization of a

system

Fast Food Establishment - a food chain that sells food that can be prepared

quickly and easily which serves as a quick meal or to be taken out.

Gcash - a payment system and mobile wallet developed by Globe Telecom

where users can shop online or in-store, send money, recharge mobile

phones credits, and pay bills.

Habit - any regularly repeated behavior that requires little or no

16
thought and is learned rather than innate.

Hedonic Motivation - it is referred to people’s willingness or desire to engage

in behaviors that increase positive experiences while decreasing unpleasant

experiences

Maya - is an online payment account with a mobile application that allows you

to load up in convenience stores, pawnshops, and malls and use it to buy

anything online and in-store.

Online payment - payments that are initiated over the internet for goods or

services purchased either online or offline.

Online Payment Application - a mobile application that enables users to

make and receive payments digitally without the usage of paper currency.

Performance Expectancy - the degree to which an individual believes that

using a system will help him or her to attain gains in job performance.

Social Influence - describes how our thoughts, feelings, and behaviors

respond to our social world, including our tendencies to conform to others,

follow social rules, and obey authority figures.

Transaction - a completed agreement between a buyer and a seller to

exchange goods, services, or financial assets in return for money.

UTAUT2 - Extended Unified Theory of Acceptance and Use of Technology

was applied to investigate the effects of performance and effort expectancy,

social influence, facilitating conditions, and hedonic motivation on the

behavioral intention to the acceptance and use of technology.

17

Chapter 2

Review of Related Literature and Studies

2.1. Related Literature

Foreign Literature

As stated by Abdoullaev (2023), with the emergence of the internet of

things and 5G, technology is altering the world by connecting other people

around the world. In the 1990s, the beginning of the growing popularity of

electronic banking especially in the developed nations emerged. By the year

2010, digital payment methods were established across the world such as

PayPal, NFC payment (smartphones or cards), digital wallet systems made by

Apple, and electronic and bill payment systems. These digital transaction

methods help in the increasing growth of cashless transactions. (Mohd and

Pal, 2020). The electronic transfer of money over the internet between a

consumer and a business, is known as online payment. These payments may

be made in various methods such as credit and debit cards, banking

applications, or websites (GoCardless, 2023b).

Online Payment System as alternative method of payment

The digital payment is constantly evolving by becoming simpler and

faster for the users and more secure by having fingerprint authentication and
other biometric authentication methods which minimize the risk of possible

threats like theft. The use of mobile based payment may also provide

businesses to collect customers data which will help for analyzing the target

market and market segmentation that will result in creating loyalty and reward

programs. (Khaitan and Joshi, 2023)

Lu (2019) stated that mobile payment is evidently moving in the

direction of cross-border integration and diversification. Physical cash cannot

be replaced easily by mobile payment but it can be a substitute to paper

payments such as cash and cheques during its adoption stage. This will also

result in the advancement of types of mobile payment methods and would

take on creative design.

Meanwhile, Liao and Ho (2021) stated that mobile payments are not

only a vital platform for online businesses, but they can also be used to make

payments. They demonstrate how online operators might progressively

assemble mobile payment business models to facilitate future electronic

commerce online recommendations as users of mobile payment and

applications acquire more demand and consumption ability.

The role of internet and tech-savvy in use of online payment system

However, with the growth of digital payment there are also cons in

using such payment applications. Mohd and Pal (2020) study the level of

awareness, challenges and benefits of using cashless transactions. They

determined that people using digital payment may face many problems such

as lack of security, poor network connectivity, less digital awareness and

illiteracy, challenges in making small payments, etc. These further solidified

the disadvantage of digital and online transaction applications.

 According to Klapper (2017), advanced and broadly used payment

systems might already have a physical infrastructure in place to process

digital
19
payments. But in low-income countries with more rudimentary

banking systems (whose infrastructure is concentrated in urban areas),

developing an adequate physical network to deliver digital payments to all

corners of the country is a significant challenge. Furthermore, digital

payments face significant infrastructure challenges. The lack of electricity to

power mobile phones and cell towers, limitations in mobile network coverage,

and poor transport networks all hinder the expansion of digital financial

services in rural areas. Also, low levels of financial literacy and numeracy

among entrepreneurs and employees can make it harder for them to use

digital financial products efficiently.

Some of the problems of cash deals were the vexation of handling

cash and the limited vacuity of banking services to grease cash recessions.

They examine the impact of cashless payments on the operation of the

internet and mobile banking services in two crowds. First, the Wald test was

applied to determine the short- run unproductive effect of the prolixity from

cash to cashless payment on the internet and mobile banking. Alternatively,

the autoregressive distributed pause (ARDL) bounds test was employed to

determine the long- run effect of cashless payments on the internet and

mobile banking (Ong and Chong, 2022)

Covid-19 as part of growing usage of online payment systems

The restrictions during pandemic causes the customers to avoid cash

payment to prevent physical contact. Chen et. al. (2021), examined

consumers’ payment preference at chain restaurants. They studied the

payment preference of using mobile transactions vs. the traditional transaction

and how it influences their perception and intention in the mobile payment

system. The study found

that customers who preferred traditional payment regard mobile payment as

not useful and those who preferred mobile payment think that it is very

convenient, low risk, and enjoyable to use. These provide information to

restaurant chain owners to create strategies based on the preferred payment

method of customers.

The pandemic sparked a significant shift to digital payments, which is

unlikely to reduce even as an increasing number of individuals feel more

comfortable doing their shopping in person. The transition to more robust

digital payment mechanisms was undoubtedly happening before the global

epidemic. However, as businesses closed and customers were forced to buy

almost everything online, the use of contactless payment methods surged

substantially. (Caminiti, 2021)

World Bank Group, (2022), stated that the increased use of digital

payment is caused by Covid-19 pandemic with over 40% of adults using

online paying methods for the first time since the beginning of the pandemic.

This also led to the global expansion of financial services which created new

economic opportunities. Global Findex 2021 database finds that the gender

gap in account ownership has narrowed, which helps women have more

privacy and to better secure and control their money. Furthermore, the finest

digital wallets provide seamless connection with online shops, which means

that the payment experience is fully integrated into the customer retail
journey, enhancing usage convenience. The future of digital wallets is also

bright, as 64% of users said they want to use mobile wallets in 2020, up from

46% last year (Nikolaienko, 2020).

21
Online Payment Usefulness to Fast-Food Services

A suitable business strategy, which includes a value proposition,

market contribution, and income source, is essential for the success of mobile

payment applications in order to generate actual profit. Furthermore, user

goals such as convenience, simplicity, security, technology, and economy

should be the center of service providers' value propositions. How can

technology improve living experiences, or how can mobile payments save

time and effort? Taking

care of these is essential to getting customers to accept mobile payments.

The competition towards mobile payment space on the market will most likely

be centered on the companies who adapt best to customer and merchant

input. (Lu, 2019).

In addition, based on the study of Cheung et.al. (2021), the use of

mobile payment transactions in the fast-food restaurant industry affects the

consumer behavior with motivation and satisfaction in use is significantly

positive. Specifically, the Perceived Enjoyment and Perceive Service Quality

has a greater impact in motivation and satisfaction of customers to use and

continue using mobile payment systems. While Perceived Privacy and

Security result as less satisfied.

Fitri et. al. (2022) mentioned that Fast food restaurants are facing a

new normal in which all services operate with minimal contact, yet poses a
serious problem for some as well. Problems such as lack of customer

willingness to use technology during the payment process, physical cash

remain the most popular and preferred payment method among consumers

and the lack of research into user experience with contactless payments

remains a challenge.

Thus, the study shows one factor that is most important and has been

classified as a new finding: perceived risk, followed by perceived usefulness,

perceived ease of use, expected effort, effectiveness, social expectations and

influences. The results of this study are expected to stimulate improvements

in service quality and contactless service at fast food restaurants

According to Johnson (2023), Accepting mobile payments is an easy

decision for most businesses. Customers benefit from mobile payments such

as digital wallets, contactless payments, and payment applications since they

are faster and more convenient. Customers can pay for their food quickly and

easily via mobile payments. It also makes it easier for employees to process

transactions and get customers in and out of the restaurant. Although there is

no perfect payment mechanism, mobile payments are relatively safe because

mobile payments frequently require biometric authentication, they are more

secure than credit card payments. Also, customers may occasionally leave

their cash behind, but they are significantly less likely to abandon their phone.

Mobile payments are thus a convenient choice for both customers and

eateries. Mobile

payments and loyalty programs frequently go hand in hand. Companies that

take mobile payments can not only offer mobile apps, but they can also send
out coupons, promotions, and reward points. This can increase revenue and

inspire consumer loyalty.

Local Literature

In the news article " Here’s How Fintech Is Modernising Digital

Payments in the Philippines " Johanan Devanesan explains that the

Philippines' digital
23
payments market has experienced rapid expansion and

change in recent years. The National Retail Payment System (NRPS) was

launched in 2015 by the Bangko Sentral ng Pilipinas (BSP), the nation's

central bank, to encourage the growth and utilization of electronic payments

throughout the island chain. In the Philippines, this method has contributed to

the expansion of digital payment choices and their accessibility. In a nation

that has historically been hesitant to adopt the modernization of tried-and-true

mainstream institutions, like currency, this increase would have been

unexpected.

With the introduction of digital payments to the Philippines, consumers

who are dispersed throughout the country may now more readily access

broader financial services, which rely largely on virtualized infrastructure. The

Philippine digital payments market is expected to have several significant

companies by 2021, including banks, mobile wallet providers, and online

payment platforms.

This has allowed retailers to make digital payments without the need

for specialized equipment like credit card terminals, and it has also made it

simple for customers to adopt digital payment methods.

Digital wallets and online transactions with use of internet and mobile

phones.

By offering dependable services through the growing use of

technology,

including cell phones and internet services as new channels for offsite

payments, an online payment system plays a critical role in business

according to Vibora et al. (2022).

According to Market Research Philippines 2023 article “The Future of

Digital Payments in the 24 Philippines” a national survey on

smartphones of about 90% Filipinos have their own smartphones and mobile

internet with many of them using their devices on digital payments. The

extensive use of smartphones is one of the factors in the expansion of online

payment markets in the Philippines with financial providers Gcash and Maya

being the leading e-wallets system in the country.

A minor portion of the digital transformation that the global economy

and societies are going through is the use of data, telecommunications

technology, and computerization. By utilizing digital financial services,

business owners may now communicate with banks, employees, suppliers,

and new markets easily and cost-effectively. Peer-to-peer transactions (such

as remittances) might be simplified by them. Online banking has been

surpassed in popularity by the use of mobile wallet applications as the

country's most common method of digital financial inclusion. Consequently,

the digital financial inclusion of the Philippines' economy boosts tax collection,

accountability, and reduces fraudulent financial reporting. In the Philippines,

digital financial inclusion has its advantages, but there are also
disadvantages. A few of these include increased transaction costs for

customers and the possibility of an increase in the jobless rate. (Dela Cruz et

al., 2023)

In the article of YCP Solidiance in 2022 entitled “Accelerating Digital

Payments in the Philippines for 2022” there is an estimated 28.6% Filipino

adults that have a formal bank account and the large majority of the country’s

population are unbanked based on the Bangko Sentral ng Pilipinas (BSP)

report. Though the number may increase due to rapid spread of digital

payments caused by the pandemic, there is still an urgent need

25
for taking care of the unbanked Filipino population's demands.

As a result of the world's harshest COVID-19 lockdown, individuals

began using e-wallets and online bank transfers to pay for products and

services during the pandemic, which led to a boom in the usage of digital

payments.

Growth of Digital Payment in the Philippines

Abad (2019) in his article “Study shows cashless payment growth in

PHL”, As more Filipinos become aware of contactless payments, their use of

credit and/or debit cards increases. According to the report of Visa’s

Consumer Payment Attitudes study for 2018, 82 percent of respondents are

aware of contactless card payments, an increase of 11% from two years ago.

In addition, 84% have expressed an interest in using this in their future

purchases.

Furthermore, in the article Study: Cashless payments rise in PH by

Kacho, (2022), the Visa Consumer Payment Attitudes Study stated that
cashless payment are gaining popularity in the Philippines showing that 60%

of

Filipinos have less cash in their wallets and 84% are trying to go cashless in

2021. The use of cashless payments in the country is expanding across a

wide range of payment choices. Mobile wallets (64%) were rated as the most

desired

payment method. The transition to cashless payment methods were driven

due to Covid-19 pandemic where a large number of first-time users have

transitioned to cashless payment.

As stated by Endo (2020), Consumers in the Philippines are

increasingly using digital payments to avoid physical touch due to concerns

about getting
26
coronavirus. The number of registered users at Globe Telecom's

GCash, the country's largest supplier of mobile payment services, increased

150% in the month ending mid-March. GCash and its primary rival, PLDT's

PayMaya, are running aggressive marketing campaigns to position

themselves to capitalize on the "new normal" in the post-COVID-19

environment. The Philippines has been lagging behind other nations in

adopting digital payment, but it is rapidly catching up.

In addition, according to ABS-CBN News (2022), the BSP's Digital

Payments Transformation Roadmap calls for a 50% shift in retail payment

volume from cash to digital channels by 2023.

Gcash and Maya are some of the online platforms that enable cashless

payments in the market while also delivering options like financing, crypto-
trading, and micro-investments, they have contributed to the country

becoming

cashless. GCash users can fund their wallets via the app and send money to

other GCash wallets, e-wallet systems, and bank accounts. Maya (known

before as PayMaya) is more than just another e-wallet service. It goes beyond

the conventional functionality of sending and receiving money where users

can purchase Users can buy gaming pins on famous games and platforms,

and the company provides travel services ranging from arranging flights and

hotels to paying tour guides and staff on business trips. (Oi, 2022)

A cash-lite economy gradually shifts from a cash-heavy one and can

go through a difficult and gradual process. One of the challenges of digital

payments is the inability to access technology with many people who are

unbanked and non-tech-savvy are likely to struggle and be left behind in a

cashless environment. Hence, the role of financial technology

27
providers is to ensure that the goals for expansion and the desire to

offer solutions with a clear purpose won't compromise the need to avoid

unintentionally widening the technology divide. The transition from cash-heavy

to cash-lite economy requires the participation of both the developers-

initiators and the public or the users of online payment services. (Shakirov,

2022)

2.2. Related Studies

Foreign Studies

The Information and Communication Technology (ICT) and digital

innovation era has resulted in major shifts in the business setting, with
financial transactions shifting from cash-based to electronic-based

transactions. The e-payment system was not designed to replace currency,

but rather to provide a superior alternative to cash and trade exchange stated

by Fatonah et. al. (2018). Due to the developments in technology. Electronic

payment methods became widely available, more services could be paid for

online users could now conduct transactions using their smartphones, and

other devices. The tendency of individuals to stick with their convenient

traditional payment methods, due to the delays, privacy issues, and security

risks. (Sathish et al., 2020).

Consumers behavior on online payment system adoption

Based on the study of Shree et. al. (2021), the use of digital payments

affects the customers behaviour in terms of transactions. Factors such as

perception and trust in digital payments influenced the individual’s usage of

digital payment methods. The role of demographic profile in the

28
adoption of digital payment is also a relevant factor which is likely to

increase in accordance

with the overall socioeconomic progress. The local cultural norms and

technological advances both directly affect online transactions and affect

consumers' expectations for further purchases. (Xena & Rahadi, 2019)

Sunarjo et. al. (2021) explained that the concept of utilitarian value as a

mediating variable shows that the knowledge of technology, knowledge of

technology users on adoption behaviors, and the behavior adoption were the

determinants for the adoption of mobile payment. However, the relationship

between the characteristics of technology users and adoption behavior is not

supported, signifying that the consumers' adoption behaviors of mobile

payment technologies are more influenced by their greater level of

technological understanding.

The use of electronic payment has an influence on the customers’

purchasing decisions and determinants such as convenience, security and

safety, trust, and social influence has a significant relationship in the adoption

of e-payment systems. (Oyelami et.al., 2020).

Conveniency and Risks of Online Payment System

According to Shin & Wei (2020), mobile payment transactions offer a

lot of benefits. One such is that electronic payment transactions can be

accepted and transferred within seconds and have convenient methods of

payment options such as cheques and cash or debit and credit cards. Aduais

and Al-Smadi (2022) shows that performance and effort expectancies, and

social influences have significantly influenced the intention of using e-

payments in the
29
country of Yemen. The facilitation conditions have significant

and negative results because they show that consumers are dissatisfied with

Yemen’s Internet infrastructure.

Furthermore, based on the study of Yang (2018), convenience and

quick transactions are the main factors of choosing and using online payment

systems. However, malware attacks, financial issues, technical problems and

cyber-crime vulnerability are the main problems of online payment systems.

He stated that a secure, dependable, and trustworthy online payment

environment are important elements in such systems.

Mobile payments adapt to modern consumers' expectations and needs,

and this fulfillment may be the primary satisfaction driver. Smolarczyk (2018)
studied the satisfaction and dissatisfaction of mobile users to mobile payment

which emphasized the positive perception towards mobile payments. The

study determined the major sources of satisfaction rate on mobile payment

such as conveniency, efficacy, problem-solving and security.

The faster transaction of payment using mobile payment applications is

important to consumers in terms of ease of use and convenience as well. The

satisfaction to use also includes time-saving elements such as fingerprint,

identification, and barcode scanning which lessen the number of payment

stages. Though the data on satisfaction rate is high with 91%, we can’t

overlook the dissatisfaction rate with 9% mainly related to complexity and

efficacy of mobile payment systems.

The primary concerns in mobile payments are security, potentially

illegal transactions, data leakages, and the misuse of personal information.

These issues include the certainty and safety of smartphones,

30
online apps, and contactless payments (Eriksson et al. 2021)

Local Studies

We live in a time where technology is progressing at an incredible rate.

With so many new technologies being invented every day, it is no surprise

that more and more people are using their mobile devices to access nearly

anything, giving birth to a new mode of payment. Cashless transactions have

been the perfect fit for the convenience of everyone in this modern era, which

may create new possibilities but may cause some disorders towards this new

discovery. (Flores, et.al., 2021)

Dy-Tioco (2021) stated that Cashless payment has grown and become
popular over the years during pandemic. Cashless payment grew due to

occurring trends fueled by consumer’s preference, convenience, and

effectiveness in transacting particularly due to the limitation imposed by the

pandemic.

The Rise of GCash and Maya for Transaction

In 2018, Filipinos favored e-wallets over credit cards, with GCash and

PayMaya enabling digital transactions via intelligent devices without the

usage of cash or credit cards. Convenience, cost savings, security, accuracy,

efficiency, higher sales, and risk reduction are all advantages of electronic

payment. Although there are security problems and insufficient user

understanding with e-payments, banks' electronic payment instruments

protect to promote confidence. In digital payments, customization and quick

communication is critical. E- wallets are becoming increasingly

31
popular for transportation, food delivery, and bill payment.

(Managuelod et. al, 2023)

Mobile payment or online payment transaction is one of the leading

payment methods for today’s generation. According to Gabriel et.al (2022),

the study shows that most of the respondents are using Gcash and PayMaya

(currently Maya) and used it in purchasing food, vouchers for discounts and

promos, and to avoid physical contact due to covid-19 virus. The study

examined the factors such as Usefulness, Ease of Use, security, compatibility

and subject norms of using mobile payment systems for their food transaction.

The study determined the use of mobile payment, particularly Gcash as very

useful and easy to use. This proves that the mobile payment system is an

effective and essential tool for payment transactions.

 In the study of Managuelod et. al, (2023) regarding the adoption of

electronic payment platforms in local coffee shops in Poblacion Cauayan,

Isabela, the study finds that Gcash was shown to be a popular alternative for

electronic payments among store owners, with 80% result of using it. The

study shows that electronic payment systems are convenient, user-friendly,

secure, and cost-effective, and they improve business development.

However, coffee shop operators still face significant obstacles when adopting

these systems, such as weak telecommunication networks, excessive fees,

and a lack of trust in online payment methods.

Online payments eliminate the need to convey money and save time

by eliminating the need for entrepreneurs and clients to stand in line for ATM

administrations. Payment applications also help everyone with monitoring the

approaching and active assets, which is useful when documenting

32
returns. Advanced installation modes are made secure by varying

degrees of encryption and information verification. To offer an extra degree of

security, most payment methods have enabled two-factor authentication

(TFA). (Araneta et. al., 2022). The simplicity in transaction and quick access

to capital resources along with its security is what drives the use of online

payment transactions widening the gap from systems based on physical

money. However, there are still some drawbacks in using cashless payment

which includes security-related problems, non-tech-savvy users, and phishing

emails. (Espeleta, 2022)

Based on the study of Raon et. al. (2021), factors such as perceived

risk, trust, web assurance, perceived usefulness and advantage were

insufficient to determine the adoption of e-payment systems which therefore

assume that the factors used are not the only factors that could affect the

customers decisions.

Hindrances of using Online Payment Systems in the Philippines.

Cashless transactions have increased in the Philippines in recent

years. This is due to a variety of factors, including its expanding income, a

thriving tourist sector, and the growing popularity of internet shopping among

young and modern Filipinos. However, it is the Philippine economy's particular

structure, especially low financial inclusion combined with a significant

reliance on remittances, that has driven the country's most cutting-edge

advances in cashless payments. (Duran, et. al., 2019)

According to Galo et. al. 2018, the convenience of paper cash and low

infrastructure in the Philippines are the key reasons why the Philippines

cannot still embrace cashless transactions as its payment system. According

to
33
research, the internet is an essential medium for going cashless

because it is required for online purchasing and online billing. It was also

noted that there are many individuals who are unfamiliar with this type of

payment method, which is why its popularity has not spread throughout the

country.

An economic environment known as a "cashless society" is one in

which parties to financial transactions exchange digital information rather than

actual cash in the form of coins or banknotes. Based on barter and other

forms of exchange, cashless societies have existed since the dawn of human

civilization. In the present era, cashless transactions are made feasible by

credit cards, debit cards, mobile payments, and virtual currencies like bitcoin.
E-commerce is becoming more and more commonplace worldwide, especially

in

poorer nations. However, given the notable distinctions that still remain

between e-commerce transactions made online and offline, the expectations

around its development have not been fully realized. Electricity and data-

based transmission are crucial support systems needed to increase the

security of the personal information that users of it provide. (Alzaga et. al.,

2022)

2.3. Synthesis

The development of technology has allowed payment systems to go

beyond the traditional way of paying using physical or real cash. Nowadays,

several online payment systems and applications have emerged and continue

to make changes in terms of payment method from various sectors which

includes the fast-food sectors. Several fast-food establishments have adopted

the use of online or mobile payment in customers’ transactions.

Digital payment as a mode of payment started way back

34
before the pandemic strike but continues to grow due to restrictions

and limitations on Covid-19 virus resulting in 40% of adults started using

mobile payment for the first time since the beginning of pandemic as reported

by World Bank Group (2022). Since then, people began using digital payment

to pay for their goods and services they purchase which led to the widespread

growth of digital payment up to this day.

Currently, people who have their own mobile phones has probably at

least one online payment application on their mobile phones as this is also
one of the reasons for the expansion of online payment system amounting of

about

90% of Filipinos who have smartphones used their device on digital payment

(Market Research Philippines, 2023 “The Future of Digital Payment in the

Philippines”). This presumes that mobile payment is one of the leading

payment methods in today’s generation with Gcash as one of the primary

online applications to both customers and businesses in the Philippines

(Managuelod et.al., 2023, Gabriel et.al., 2022).

Traditional methods of payment using paper cash is still the most

relevant mode of payment as the transition to paperless transactions is still a

challenge in the Philippines. There are still people who likely use traditional

payment systems as they find mobile payment as not useful in their

perspective (Chen et. al., 2021) and the economic structure of the country

added to the wide acceptance of using online payment systems. However,

many businesses from small to large organizations are adopting mobile

payment systems. Fast-food chain restaurants as one of businesses who

adopted online payment in their

35
system. This increases the opportunity for customers that don't

have paper cash to buy their products without using traditional methods and

rather use online payment applications like Gcash for their transactions.

The role of mobile or online payment to fast-food chain establishments

will be helpful in increasing the businesses sales and being able to create

market strategies for the specific target market which is the users of online

payment applications. According to Khaitan and Joshi, 2023, digital payment

helps businesses to collect customers data which will help in analyzing the
target market and market segmentation. This information might result in

creating strategies and promotions such as loyalty and reward programs as

well as discounts and promos of using mobile payment systems in fast-food

establishments.

Customers as users of online payment systems and applications have

the most viewpoint regarding the matter in the acceptance of online payment

transactions. The common benefits of using such payment methods are

because of its conveniency, accessibility, security and safeness in use. These

common benefits bring more individuals towards the utilization of mobile

payments as they find them easier and less complicated than cash payments.

Online payments are also more secure because they use biometric

authentication and fingerprint technology, which reduces the possibility of

potential threats like theft.

Other factors to consider in terms of satisfaction and intention to use

mobile payment are the performance expectancies, effort expectancies, social

influence, perceived risk, web assurance, perceived usefulness, perceived

convenience, perceived enjoyment, perceived service quality,

36
user-friendly, facilitating conditions (Managuelod et.al., 2023,

Raon, et. al., 2021, Alduais and Al-Smadi, 2022, Cheung et. al., 2021) which

affects the consumers behavior in transaction and use of mobile payments.

Some factors are included in the UTAUT2 model which is the study’s

theoretical framework that deals with intentional behavior in the acceptance

and use of technology in customers' perspective. This correlation is relevant

to the study in order to examine factors that may aid to identify the level of

acceptance of customers in terms of online payment transactions.

 Though mobile payment is widely used by a large number of people,

other factors that negatively affect the acceptance level of using online

payment should also be emphasized in order to give suggestions to further

improve the willingness to use and accept online payment systems. Factors

such as lack of

security, poor network connectivity, less digital awareness, and technology

illiteracy must be included in conducting the study.

The related literature and studies that are collected show the relevance

and relationship to the research study as mobile or online payment

transactions

are popular among businesses such as fast-food establishments and this was

used by many people in their transaction behavior. The collected literature

and studies serve as one of the bases to identify the factors of the acceptance

level of customers to online payment transactions in fast-food establishments.

37

Chapter 3

Research Methodology

3.1. Research Design

The type of research design that the researchers will use is

Quantitative method research.

 The researchers use quantitative methods. Based on Sreekumar

(2023) on Research.Life, in quantitative research, factors of interest are

described, predicted, or controlled through the collection and analysis of

numerical data. The study used quantitative data to determine the result of the

level of acceptance of customers on online payment using numerical data.

Under the quantitative method, the researchers also use a correlational

method as a tool to identify the significant connection between the variables of

the study. According to voxco.com, correlational research is a non-

experimental research strategy that uses statistical analysis to analyze the

relationship between variables.

3.2. Respondents of the Study

The participants of the study will be the students of Paranaque City

College as they are also considered as customers who use online payment

systems in purchasing foods in fast-food restaurants at barangay San

Dionisio, Paranaque City. According to the Office of the College Registrar of

PCC, the total population of the students is 2,001 as of September 25, 2023.

3.3. Population and Sampling Technique

Sample Size

Based on the estimation of Raosoft.com, a website sample calculator,

the recommended sample size is 323 respondents. With 5% as the margin of

error, confidence level of 95% and 50% for the response distribution.

Margin of Error 5%
 Confidence Level 95%

Population Size 2001

Response Distribution 50%

Recommended Sample 323

Size:

Table 1: Sample Size (www.raosoft.com)

Sampling Technique

The researchers use the convenience sampling method. It is a non-

probability method wherein the units are chosen for inclusion of sample or

respondents because they are the most easily accessible to the researcher. In

this study, the researchers selected one of the schools at barangay San

Dionisio which is Paranaque City College as the respondents.

3.4. Research Instrument

The instrument that will be used to collect the data for the research of

the study is the survey questionnaire and Likert scale format made by the

researchers where it serves as the primary source of data. The researchers

will 39
utilize the Google Form to distribute the research instrument to

the respondents. It will be used to evaluate the satisfaction and acceptance

level of the respondents in using online payment systems on their

transactions.

3.5. Construction and Validation of the Instrument

 The questionnaire will be composed of five parts and has a total of 33

questions. The first part is the demographic profile of the respondents

consisting of age, sex, and employment status.

The second part is the multiple-choice type questionnaire determining

the current acceptance level of customers in online payment transaction. The

third and fourth part of the instrument is in Likert scale form consisting of

factors and barriers that affect and influence the level of acceptance of

customers on online payment.

The fourth part will also be multiple-choice type containing the

relationship between the barriers and acceptance level on online payment.

The fifth part will also be in Likert scale form containing the implementation of

online payment transaction.

The main instrument that will be used in this study is the researcher-

made questionnaire developed by the researchers. The self-made

questionnaire has to go through content validation from the research adviser.

The questionnaire received the approval from the adviser, it also needed to go

through content validation by two people from academic professionals and

two people from tourism professionals as well.

Once the request has been approved, the researchers will carry out the

collection of data.

40

40
3.6. Data Gathering Procedure

1 The researchers will pass an approval form to department officials of BSTM

to conduct a survey

2 The questionnaire made by the researchers validated by the professionals

both by academe and other tourism profession will be distributed.

3 Researchers will ask the respondents consent to participate in the study.

The respondents of around 324 will be from the students of Paranaque City
College

4 The questionnaires will be distributed to the respondents and let them

answer for at least 5 minutes.

5 The researchers will record, tally, and analyze the result of the survey after
gathering the data.

6 The accumulated data will analyze and interpret.

 Figure 4: Data Gathering Procedure

The researchers will conduct procedures for the approval and

validation of the data before conducting a survey. The researchers will get

approval from

Paranaque City College to conduct a survey. After getting an approval the

survey questionnaire will be distributed and researchers will ask the

respondents if they can participate in the study. The respondents will ask to

answer the questionnaire for at least 5 minutes. The data gathered will be

recorded and tallied and the accumulated data will analyze and interpret.

3.7. Statistical Treatment of Data

Frequency. is the total number of observations for every potential value of a

variable (Turney, 2023).

Percentage. is an expressed value divided by 100 (Unacademy,

41
2022). Frequency and Percentage are both tools that will be

used in analyzing the data concerning the demographic profile of the

respondents.

Mean. Is the total of the values in a set divided by the total number of values

in the set (Hurley and Tenny, 2023).

Standard Deviation. Is a measure of the distance of each result from the

mean
(Bhandari, 2023). Mean and standard deviation will be used to analyze the

data for factors affecting the respondents’ level of acceptance in using online

payments and their level of acceptance in utilizing these kinds of payment

methods.

One-way Analysis of Variance (ANOVA). ANOVA is a statistical test that

examines how the means of more than two groups differ from one another

Bevans (2023). Furthermore, one-way analysis of variance (ANOVA) is the

test used to compare the means of study target groups to see whether they

differ statistically from one another (Chatzi and Doody, 2023). This will be

used to ascertain the significant difference of customers’ level of acceptance

in online payments when grouped according to their demographics.

Post-Hoc Test. If there is a significant difference as shown by the one-way

ANOVA, this test is employed to identify which pairwise mean comparisons

are responsible for the overall significant difference seen in the F statistic

42
computation (Montelpare, 2020).

3.8. Ethical Considerations

Prior to starting the study, the participants will be asked by the

researchers for their consent and given a brief explanation of the purpose of

the study. The subject participant will willingly decide to take part after

providing their consent. Additionally, the respondents will be assured that the

privacy of their personal information will be maintained. In order to prevent

potential harm, researchers will adhere to the Data Privacy Act when

protecting research participants' identities.

43

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