Determinants of consumers’ willingness to use cryptocurrency as a form of payment in retail

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University of the Witwatersrand, Johannesburg
The outbreak of the COVID-19 pandemic has significantly increased the number of online shopping transactions and cryptocurrency has been used as payment in some of these transactions. Some retail consumers are opposed to the use of cryptocurrency and some retail consumers want to be able to use cryptocurrency as payment in retail payments. Woolworths hired Insight, the management consulting firm, to help Woolworths executives find out whether it will increase or decrease Woolworths’s revenue if Woolworths starts accepting cryptocurrency as payment. Insight conducted its research in South Africa. Research participants answered the research questions by completing questionnaires online via the Qualtrics website. People of all ages shop at Woolworths, but for ethical reasons, Insight’s research only took the responses of adult research participants (people aged 18 and over) into consideration. The research approach of this consultancy report is quantitative research. The target population consists of South African adults. This consultancy report gathers data by using questionnaires with close-ended 7-point Likert scale questions. The reliability of this research is measured by Cronbach’s alpha score. The validity of this research is determined with exploratory factor analysis, which is conducted with IBM SPSS Software. The statistical processes that are used to analyse data include multiple regression analysis, correlation analysis, t-tests and ANOVAs. The dependent variables are Gender, Age, Environmental ethics, Ethics regarding criminal activity, Technology proficiency and Customer Equity. The dependent variable is Willingness to use cryptocurrency as payment. Money, time, common method variance and common method bias are limitations of this consultancy report. The anonymity of respondents is respected. This consultancy report takes the responses of respondents who have given informed consent into consideration. This consultancy report found that even though there will be some retail consumers who are opposed to the use of cryptocurrency as payments in retail because of their environmental ethics, there are many more consumers who want to be able to use of cryptocurrency as payments in retail because of the convenience of cryptocurrency payments, the lower transaction costs of cryptocurrency payments and the reduced risk of exposure to credit card fraud and identity theft when making cryptocurrency payment
A research report submitted in partial fulfillment of the requirements for the degree of Master of Business Administration to the Faculty of Commerce, Law and Management, Wits Business School, University of the Witwatersrand, Johannesburg, 2022
Cryptocurrency, Transactions, Consumers, Retail
Potelwa, Myezo. (2022). Determinants of consumers’ willingness to use cryptocurrency as a form of payment in retail [Master’s dissertation, University of the Witwatersrand, Johannesburg]. WireDSpace.