Author Identifier

Senali Madugoda Gunaratnege

Date of Award


Document Type

Thesis - ECU Access Only


Edith Cowan University

Degree Name

Doctor of Philosophy


School of Arts and Humanities

First Supervisor

Associate Professor Justine Dandy

Second Supervisor

Associate Professor Maria Ryan

Third Supervisor

Dr Helen Cripps

Fourth Supervisor

Dr Mohammad Iranmanesh


Payment methods have been expanding rapidly in recent years. To develop effective strategies and to meet individuals’ payment satisfaction, financial institutions need to understand the factors that influence the payment preferences of individuals from different cultural backgrounds. This study aims to investigate the drivers of payment preference at the Point-of- Sale (POS) and the moderating effects of cultural dimensions. Drawing on the Diffusion of Innovation (DOI) Theory and contextual factors a conceptual framework was developed and tested using a two phases approach. In the qualitative phase, focus groups were conducted to explore the similarities and differences amongst Australians, Chinese, and Sri Lankans in terms of salient attitudes toward payment methods at the point-of-sale (POS). Two focus groups were conducted for Australia (n=12) and Sri Lanka (n=12), and individual interviews were carried out with 11 Chinese participants (total n=35). As a result, the initial framework (derived from the literature) was revised. In the quantitative phase, the developed framework for the study was tested. A questionnaire was developed using the key factors identified from the literature review and focus groups. An online survey was employed to collect data from Australia (n= 292), China (n= 358), and Sri Lanka (n= 309) using a convenience sampling technique. The partial least squares (PLS) technique was used to analyse 959 valid responses. The results showed that perceived relative advantage and social influence are positively associated, and perceived risks and perceived rewards are negatively associated, with payment preference. The effects of perceived compatibility and perceived situations on consumers’ payment preferences were non-significant. In terms of cultural dimensions, uncertainty avoidance positively moderated the negative relationship between perceived risks and payment preference. Furthermore, long-term orientation positively moderated the negative relationship between perceived rewards and payment preferences. The findings help banks and other financial institutions to design efficient payment methods and develop effective strategies to promote particular payment methods. In particular, the findings provide useful insights for financial companies in changing the way of offering rewards to their consumers by differentiating themselves from their competitors, thus enhancing the capacity to both acquire and retain consumers. These outcomes supported the conceptual framework developed based on DOI theory and contextual factors and extend the literature on payment preference. Furthermore, the drivers of consumers’ payment preference for different cultures suggests important implications for global marketers

Access Note

Some images are not available in this version of the thesis.