Analysis of OVO paylater's benefits and sacrifices toward adoption intention through the mediation of perceived value

Digital technology had become an important part of nearly everyone’s life. Most people prefer something that is fast, easy, and convenience to ease their daily activities. The presence of internet, also the easiness to get mobile gadget are used by business players as they try to adapt with the current situation in order to fulfill people’s needs of efficiency and effectiveness, including in conducting payment. The normal e-money’s providers nowadays also provide lending service similar to credit card’s. Based on Value-based Adoption Model, this research aimed to analyze the influence Benefits and Sacrifices Towards the Adoption Intention of OVO PayLater, through the mediation of Perceived Value. This research is a causal study and uses a purposive sampling technique. The total number of respondents is 152 respondents who live in Surabaya, at least 17 years old, know OVO PayLater, had limited experiences in using OVO PayLater (1-4 times) or haven’t used it before. In order to participate in this research, respondents must fill out the questionnaire given by the researcher through Microsoft form. The data that were collected then processed and analyzed by using Structural Equation Modeling technique with PLS as its tool. This research proved that Usefulness, Enjoyment, Technicality, and Perceived Fee has a significant effect on Perceived Value, and Perceived Value has a significant positive effect on Adoption Intention. Perceived Value also mediates all Benefits and Sacrifices elements to Adoption Intention. The suggestions for OVO PayLater are to promote the service more and provide instructions on how to process payment through the application, fix the unavailable issue, and improve their service in order to build the customers’ perceived value which then could lead to a higher adoption intention