Exploring The Impact of Gamification on User Retention in Mobile Payment Application: A Mediating Role of Trust.

Abstract

This study explores how integrating gamification elements into mobile payment systems can enhance user engagement and retention, specifically focusing on Ghana. Despite the popularity of mobile payment applications, user retention remains a significant challenge. Studies have failed to demonstrate how trust mediates the relationship between gamification and user retention. Additionally, there is a lack of research on the post-adoption behaviours of mobile payment applications in developing countries, particularly Ghana. Gamification, which includes features like leaderboards and points, is suggested to build user trust and long-term commitment. The research aims to understand how gamification affects trust and how trust, in turn, influences user retention. Furthermore, the study aims to determine the game elements that significantly influence user trust in mobile payment apps. To achieve the study’s objectives, the study leans on Social Exchange Theory. Using a quantitative research method, data was collected through questionnaires distributed to mobile payment users. The data analysis, conducted with Partial Least Squares Structural Equation Modelling (PLS-SEM), shows that gamification significantly improves user trust and retention. There is a positive correlation between gamification and trust. Also, there is a positive correlation between trust and user retention. Points are game elements that have a significant effect on trust among levels, badges, and leaderboards. The study also found that the impact of gamification varies by demographic factors such as age and education level, with younger and more educated users responding more positively. The study concludes that while gamification can effectively boost engagement and retention, its implementation should be tailored to different demographic groups for optimal results. These insights are valuable for developers and policymakers working to increase the adoption and continued use of mobile payment systems, contributing to financial inclusion and the digital economy in Ghana.