Factors Affecting Nepalese Consumers' Adoption of Online Payments: Analyzing Behavior Intention as a Mediating Factor through the Unified Theory of Acceptance and Use of Technology

Behavioral intention is shaped by technology acceptance factors, which in turn influence the adoption of online payment systems. The study identifies the major technology acceptance constructs as performance expectancy, effort expectancy, social influence, and facilitating conditions. The study aims to analyze the impact of these constructs on the adoption intention of online payment among consumers in Nepal. The descriptive and causal-comparative research design was adopted. Using convenience sampling, responses were collected from 384 Nepalese users of online platforms. The questionnaire survey data were preprocessed in Excel, and the analysis was conducted using SPSS and SmartPLS 4. Confirmatory factor analysis was applied to determine the reliability and validity of the model, and factor loadings. Structural equation modeling (SEM) was applied in the study. The findings reveal that the four constructs have a positive and significant impact on the adoption of online payment among consumers. Behavioral intention plays a key mediating role in explaining the relationships between the variables. Social influence does not exhibit a significant association with adoption when mediated by behavioral intention, indicating that consumers’ perceptions of using online payments are not significantly impacted by peers, family, or friends. To encourage adoption, policymakers and corporate executives in Nepal should consider customer needs and demographics while also promoting awareness, accessibility, and trust in online payment systems. Moreover, increasing digital literacy and ensuring inclusive access could encourage broader participation in digital transactions, supporting a shift toward a cashless economy.