Fyp nguyễn ngọc linh trang factors affecting user satisfaction of personal financial Fyp nguyễn ngọc linh trang factors affecting user satisfaction of personal financial
INTRODUCTION
Background of the study
Vietnam's mobile technology landscape has experienced rapid growth, with smartphone penetration reaching nearly 70% of the population (GSMA, 2023) This widespread adoption of smartphones has facilitated the proliferation of PFMA usage among Vietnamese consumers However, the mere availability of these applications does not guarantee their success, as user satisfaction is influenced by various factors beyond technological accessibility Vietnam's economy has experienced remarkable growth, driven by factors such as industrialization, urbanization, and an expanding middle class This economic dynamism has been accompanied by a rapid increase in internet penetration and smartphone ownership, laying the groundwork for the proliferation of digital financial solutions (Tran, 2023)
Customer Value Theory (CVT) posits that customer value is a primary driver of satisfaction and loyalty, emphasizing the trade-offs between benefits and costs perceived by users (Woodruff, 1997) This theory highlights the multifaceted nature of value, which includes functional, emotional, and social dimensions (Zeithaml, 1988) In the context of personal financial management apps, functional value may encompass ease of use, reliability, and effectiveness in financial planning, while emotional value could relate to the sense of control and security users feel Social value might involve the app's ability to connect users with financial communities or support networks TAM provides a useful lens to explore how perceived ease of use and perceived usefulness influence user satisfaction (Davis & Davis, 1989) TAM underscores that users are more likely to be satisfied with technology if they find it easy to use and beneficial in achieving their financial goals Additionally, the ECT posits that satisfaction is contingent on the extent to which users' expectations are met or exceeded by their actual experiences (Oliver,
1980) In this study, I focus on CVT because of its relevance to the PFMA context CVT emphasizes the benefits and sacrifices factor that affects the user, creating user feelings after using that product or service (Prof Savvas Papagiannidis) Users will be able to evaluate and feel based on beneficial and limiting factors to give specific feelings
The usability and intuitiveness of app’s interfaces are critical determinants of user satisfaction (Hassenzahl, 2008) Research suggests that factors such as ease of navigation, visual appeal, and the presence of personalized features significantly impact user perceptions of application quality and utility (Foroughi et al., 2019) Moreover, the compatibility of app’s interfaces with the Vietnamese language and cultural norms is essential for ensuring user engagement and satisfaction (Nguyễn Thu Lan, 2024) Factors such as interface design, navigation simplicity, functionality, and responsiveness can greatly influence users' perceptions of usability and overall satisfaction (Hassenzahl & Tractinsky, 2006; Nielsen, 1993) Amidst the growing prevalence of cyber threats and data breaches, Vietnamese become more concerned about the security and privacy of their financial information when using mobile banking (Ai, 2020) The perceived trustworthiness of app’s platforms, reinforced by robust security measures and transparent data handling practices, is vital for fostering user confidence and satisfaction Studies have shown that factors such as security, reliability, responsiveness, and empathy significantly impact users' trust and satisfaction with digital financial services (Ha & Stoel, 2009; Zhou et al., 2010)
Huh et al (2009) noted that users are more satisfied with financial management tools that reduce the complexity of managing finances, allowing for straightforward budget tracking, expense categorization, and financial goal setting In Vietnam, where digital literacy levels are varied, the simplicity of a PFM app can significantly impact user satisfaction As noted by Nguyen and Gizaw (2014), in the Vietnamese market, user- friendly interfaces and seamless functionality are critical for user retention and satisfaction
Studies by Chen and Hitt (2002) found that users of online financial services place significant importance on the perceived value derived from ease of use, time savings, and enhanced financial control This is particularly pertinent in the PFM app market, where users expect substantial benefits such as effective budgeting tools, insightful financial analysis, and personalized financial advice In Vietnam, the rapid adoption of fintech solutions has underscored the importance of PV in driving user satisfaction Phan and Daim (2011) identified PV as a key determinant in the adoption and satisfaction of digital
13 financial services in emerging markets like Vietnam Their research indicated that users highly value features that simplify financial management, offer security and privacy, and provide cost advantages over traditional banking methods
PFMAs are increasingly popular worldwide, driven by their ability to help users manage their finances efficiently Globally, the personal finance software market is projected to reach approximately USD 1.57 billion by 2031, with a compound annual growth rate of 5.7% from 2022 to 2031 (Jha, 2023) Major apps in this market include Mint, You Need
A Budget (YNAB), and PocketGuard, known for their budgeting, expense tracking, and financial planning features For example, Rocket Money, an app that helps users create budgets that automatically track spending, separate transactions into spending categories, send notifications about upcoming fees or low balances, etc The app has more than 5 million users in many different countries Users will experience the application for free in the regular version and for a fee in the premium version Similarly, the You Need A Budget (YNAB) those who love analytics and zero-based budgeting (KATHERINE HAAN, 2024) app, allows users to sync all their accounts, track monthly spending, stay in touch with bills and save for emergencies YNAB's estimated annual revenue is approximately $49M In addition, there are many other apps used for personal financial management purposes
In Vietnam, the adoption of PFMAs is also rising The country’s young, tech-savvy population and increasing smartphone penetration are key factors driving this trend Specific data of users and revenue for PFMAs in Vietnam is limited, but the global trend suggests a growing market Local apps like Money Lover and MISA MoneyKeeper are gaining popularity, addressing the unique financial needs of Vietnamese users MoneyLover, an application that records expenses and categorizes financial groups according to personal income This program will assist in monitoring and analyzing each user's cash flow patterns and serve as a helpful reminder to keep your spending reasonable and within reason Furthermore, the application generates a monthly revenue and expense chart to facilitate your assessment and comparison of your expenditures for the preceding month Another application is MISA MoneyKeeper, which helps record all income and expenditure, borrow money, set a budget and remind you when spending exceeds the
14 limit In addition, with charts and financial reports describing spending habits, you can adjust your spending behavior appropriately by month, quarter and year The application also supports money management with multiple accounts, savings books and effective investment (Timo) As a practical example, I used the financial management application MoneyLover My goal at that time was to manage the monthly amount of money my parents provided for living expenses In addition, I use the app to save money and avoid the risk of spending too much without knowing it Besides, the statistics from the application help me allocate reasonable expenses In my research, I study PFMA from the perspective of an application that can be used to manage personal finances, so some banking applications that integrate personal financial management are also considered.
Overall, these tools, which include budgeting, spending analysis, and financial advice, help users feel more in control of their finances by providing a comprehensive overview of their financial health (Cocheo, 2023) Moreover, research from Oxford Academic emphasizes that the use of mobile financial apps can lead to tangible financial benefits, such as reduced fees for overdrafts and improved financial planning These apps often incorporate gamification elements and personalized advice, making it easier for users to stay engaged and make better financial decisions (Carlin et al., 2023) Financial institutions are also recognizing the value of PFM apps as tools for customer retention and engagement A Deloitte report noted that banks with robust PFM offerings can position themselves as central hubs of their customers' financial lives, thus fostering deeper customer relationships and enhancing loyalty (Cocheo, 2023) In summary, PFMAs are increasingly recognized for their role in enhancing financial management and literacy
Although the existing literature provides valuable insights into the factors that influence user satisfaction in different contexts, there is still a lack of market-specific research in Vietnam and PFMA context Due to Vietnam's unique socio-economic, exploring these factors in the local context is essential to provide insights for application developers, financial institutions, and organizations, governments, and policymakers to improve the applicability and effectiveness of such applications This study seeks to address this gap by investigating factors that influence user satisfaction with personal financial
15 management applications in Vietnam In addition, currently, technology is developing, smart mobile device users are increasing, and the use of applications on smart devices is increasingly popular Besides, people tend to optimize every process to save time Therefore, the above research topic can support application managers with more information to improve applications and meet customer needs.
Research objectives, research question and scope
This research focus on identify factors affecting user satisfaction of PFMA in Vietnam and measure the extend to which those factors impact user satisfaction of PFMA The following research questions articulate the above purpose:
(1) What factors impact user satisfaction in Vietnam?
(2) To what extent do those factors influence user satisfaction of PFMA in Vietnam?
With the given research topic, the scope of research is in the Vietnamese market In particular, the survey subjects will be people in Vietnam who have used or are currently using personal financial management applications For this topic, I focus on researching user satisfaction with PFMA In particular, we focus on a few factors that directly impact user satisfaction and intermediary relationships.
Research methods
User satisfaction of PFMA in Vietnam is being studied via a questionnaire survey To evaluate the quantitative data collected from 224 respondents who have used PFMA, PLS- SEM) is employed with assistance from Smart-PLS 4 The measurement model and the structural model may be used to examine the data in order thanks to Smart-PLS While the latter is utilized to evaluate research hypotheses, the former allows for the assessment of the validity and reliability of constructs' measurements.
Research findings
The results of this study demonstrate the role of PV in user satisfaction of PFMA Besides, the factors of convenience, control, and risk have an impact on the user's PV At the same time, effort did not exert any influence on perceived value
Structural of the study
There are five chapters in this study The background of the study, its goals and questions, its methodology, its findings, and its organization are all covered in Chapter 1 Chapter 2 provides an overview of the existing body of literature that examines the various factors influencing the user satisfaction of PFMA This section encompasses the development of research hypotheses and the establishment of the study's conceptual framework Chapter
3 outlines the selected research methodology and offers a thorough explanation of the research procedure for the survey design In Chapter 4, research findings and methods for data analysis are given The investigation is concluded in Chapter 5, which addresses the research findings and provides a conclusion In addition, the study's shortcomings are examined and suggestions for greater research are made
LITERATURE REVIEW
User Satisfaction
The concept articulated by Zeithaml et al (1988) highlights that customer satisfaction is fundamentally a result of the discrepancy between what customers expect and what they actually experience This idea hinges on the psychological assessment of perceived service quality When customers' experiences meet or exceed their expectations, they tend to feel satisfied Conversely, if the actual service falls short of their anticipations, dissatisfaction ensues The idea presented by Keller (2006) defines customer satisfaction as the emotional response that arises when a person compares their perception of a product to their initial expectations This definition emphasizes that satisfaction is not merely a rational assessment but a subjective feeling state When customers purchase and use a product, they bring certain expectations based on prior experiences, marketing information, and personal needs The actual experience with the product is then compared to these pre-existing expectations If the product meets or exceeds these expectations, customers are likely to feel satisfied Conversely, if the product falls short, they may feel dissatisfied
Griffiths et al (2007) told that user satisfaction lacks an objective definition underscores the inherently subjective nature of satisfaction Unlike tangible metrics that can be measured and quantified precisely, user satisfaction is a personal and emotional response that varies widely among individuals This variability makes it challenging to establish a universally applicable and objective definition Satisfaction is influenced by individual perceptions, personal expectations, and unique experiences with a product or service These factors are inherently qualitative and subjective, which complicates efforts to measure satisfaction consistently across different users Furthermore, what satisfies one user might not satisfy another due to differences in expectations and personal preferences This intangibility means that businesses must adopt flexible and adaptive approaches to gauge and enhance user satisfaction, often relying on qualitative feedback, surveys, and other subjective measures By acknowledging and addressing this complexity, companies can better understand and improve the customer experience, despite the lack of an objective standard (Griffiths et al., 2007) Therefore, the intangibility of user satisfaction requires a nuanced and individualized approach to effectively meet diverse customer needs and expectations
Sá (2008) proposes that "user satisfaction" can be understood through two distinct definitions based on different methodological approaches: the outcome-oriented and the process-oriented approaches The outcome-oriented approach views satisfaction as a characteristic that emerges from the product or service after it has been consumed This perspective focuses on the end result, considering whether the product or service delivered the expected benefits and value In contrast, the process-oriented approach defines satisfaction as the discrepancy between predicted satisfaction (what the consumer expects before using the product) and accomplished satisfaction (the actual experience after consumption) This method emphasizes the dynamic nature of satisfaction, highlighting the importance of managing and aligning customer expectations with the actual performance of the product or service By examining both the anticipated and realized experiences, this approach provides a more comprehensive understanding of how satisfaction is formed Sá's dual-framework acknowledges that user satisfaction is multifaceted and can be assessed from different angles, each offering valuable insights for improving customer experience and fostering loyalty (Sá, 2008) This nuanced understanding helps businesses to better tailor their strategies to enhance satisfaction by addressing both the outcomes and processes that contribute to user perceptions
Zeithaml et al (1996) said that high levels of customer satisfaction can help to create good image, enhanced brand reputation, and reduced customer churn, all of which are essential for long-term business success Moreover, satisfied customers are likely to provide valuable feedback that can guide improvements and innovations, further aligning business offerings with customer needs and expectations To attract and maintain customers, businesses must develop and implement strategies that consistently meet or exceed customer expectations These strategies might include investing in quality improvements, enhancing customer service, personalizing marketing efforts, and engaging in continuous market research to understand evolving customer preferences By prioritizing customer satisfaction, businesses can build a loyal customer base, which serves as a stable foundation for ongoing revenue and competitive advantage This perspective aligns with the broader view that customer-centric approaches are fundamental to achieving sustained business performance and growth To maintain a high competitive edge in the global market, the main task of the company is to meet customer needs or requirements and
19 achieve customer satisfaction (Ting Wang, 2010) This idea emphasizes the centrality of customer satisfaction in sustaining competitive advantage In the global marketplace, where competition is fierce and consumer choices are abundant, companies must prioritize understanding and fulfilling customer needs Businesses can build brand loyalty, set themselves apart from rivals, and improve their reputation by continuously providing goods and services that either match or surpass client expectations This customer-centric approach is crucial for achieving sustained success and growth To keep their current clientele and draw in new ones, businesses must comprehend what motivates consumer happiness (Samantaray, 2015)
Customers are more likely to return and purchase if they pleasure, fostering long-term relationships and reducing churn rates (Frederick F Reichheld and W Earl Sasser, 1990)
In other words, satisfaction will help businesses create Customer Loyalty and Retention
By collecting opinions from customers who left the competitor, the author believes that after the survey, opinions from users will be obtained From there, increase user satisfaction and they become loyal customers of your business Sharing the same opinion as Frederick F Reichheld and W Earl Sasser (1990), Zeithaml et al (1996) also believes that customer satisfaction helps businesses increase their competitive advantage Besides, it also helps businesses create images and create gaps in differences Anderson et al
(1994) emphasizes the impact of customer satisfaction on a company's finances Specifically, satisfied customers contribute to increased revenue through repeat purchases and higher lifetime value, while also being less price-sensitive From customer feedback, products and services will also be improved and perfected (Fornell, 1996) Through previous research, it can be seen that user/customer satisfaction is important in business
Customer satisfaction and user satisfaction are closely intertwined in various contexts User satisfaction and customer satisfaction are closely intertwined concepts in the realm of service quality and customer experience User satisfaction, as explored in various studies (Andrés, 2019; Bekti, 2023; Citra, 2023) , focuses on the contentment of individuals using specific applications or services, while customer satisfaction, as highlighted in the context of library services (Jiahui, 2020), delves into the overall fulfillment of customers with outcome provided by bussiness Both user satisfaction and customer satisfaction are crucial for organizational success and sustainability, with user
20 satisfaction often being a component of the broader customer satisfaction framework In other words, understanding and enhancing customer satisfaction can positively contribute to user satisfaction levels and vice versa Therefore, combining the understanding of user satisfaction and customer satisfaction will bring research to more diverse analyses of the concept of user satisfaction Besides, in some specific contexts, the research author will choose the appropriate phrase user satisfaction or customer satisfaction
In the e-commerce context, Dao Cam Thuy (2022) defined when a customer uses an e- commerce platform to shop, their expectations and the real customer experience they get determine their level of satisfaction This research focuses on the comparison between expectations and actual experience The emphasis is on the process of evaluating satisfaction based on the discrepancy between what was expected and what was actually experienced, which is a characteristic of the process-oriented approach (Sá, 2008) Additionally, in the Marketing context, (Kotler, 2014) has stated that customer satisfaction in the general marketing context refers to the degree to which a product or service meets or exceeds the customer's expectations This definition emphasizes the result of whether the product or service meets or exceeds expectations, which is an outcome-focused perspective Satisfaction can be influenced by factors such as website usability, product variety, and transaction efficiency It focuses on the satisfaction derived from the overall purchasing experience, which is a result of specific factors, making it outcome-oriented
The primary elements influencing users' satisfaction with financial information systems are identified by Manaf Al-Okaily (2023) The degree to which the FIS fulfills the belief of the user is what determines user satisfaction, which is impacted by a number of variables including system dependability, usability, information correctness, and overall system efficacy in supporting financial duties User satisfaction Neneng Sri Rahayua
(2023), is the extent to which users believe public sector e-learning systems meet their needs and expectations As a mediating variable, user satisfaction influences the connection between user loyalty and the use of online learning platforms.
From definitions from previous studies on user satisfaction from different studies and in different contexts, combining Sá (2008)'s two perspectives on user satisfaction to give the definition in the article his research User satisfaction with a Personal Financial Management (PFMA) is defined as the extent to which the application meets the user's needs and expectations after experiencing and using the application to support Personal financial management assistant User satisfaction is evaluated based on a comparison between the user's needs and expectations with their actual experience using the application The focus is on the difference between what users anticipate and what they actually encounter, which is characteristic of a process-oriented approach (Sá, 2008).
Prior studies on factor affecting user satisfation
2.2.1 Based on Technology Acceptance Model (TAM)
Through TAM (Davis & Davis, 1989), Ashfaq et al (2020) studied about Chatbot pointed out IQ and SQ positively influences consumers' satisfaction Specifically, the research results show that the accuracy, relevance, and completeness of information provided by chatbots combine their reliability, responsiveness, and ability to effectively perform their intended tasks Chatbots bring satisfaction to their users By 2023, also researching Chatbots, (Hsu & Lin, 2023) pointed out that Core SQ, Service Recovery Quality and Conversational Quality all impact user satisfaction In particular, the core service quality is the basic performance of the chatbot, including reliability, efficiency and responsiveness Service recovery quality is the chatbot's ability to handle errors and problems effectively Conversation quality mentioned by the author is the naturalness and human likeness of chatbot interactions Core service quality and overall satisfaction are crucial to driving user loyalty
2.2.2 Based on Customer Value theory (CVT)
Numerous studies have employed CVT to examine factors influencing user satisfaction of information systems For instance, Kim et al (2007) found that perceived value, encompassing both utilitarian and hedonic aspects, significantly affects user satisfaction and loyalty This dual-dimensional approach highlights the importance of both functional benefits and emotional experiences (Wang & Liao, 2007) further demonstrated that PV mediates the relationship between SQ and user satisfaction in e-government services Additionally, Chen and Dubinsky (2003) emphasized the role of PV in online shopping,
22 where perceived product quality and service convenience enhance user satisfaction Recent studies by Zehir et al (2011) reinforced these findings, showing that perceived value directly impacts customer satisfaction and repurchase intentions Collectively, these studies illustrate that perceived value, derived from a combination of quality, emotional benefits, and cost considerations, is a crucial determinant of user satisfaction
2.2.3 Based on Ground theory (GT)
Based on the GT (Glaser & Strauss, 1967; Qi et al., 2024) interviewed short video platform users and related content creators to produce results on factors affecting User Satisfaction Qi et al (2024) employs Grounded Theory for qualitative insights and the CRITIC-VIKOR method for quantitative evaluation The results show that three factors in turn affect User Satisfaction: User Experience (UE), Trusts and Values (TV), Content Quality and interaction (CI) Specifically, the easy-to-use interface and stable operating system combined with a personalized experience directly impact the UE The author also points out factors affecting TV including: Privacy and Security, User Service and Communication and Social Impact and Values In particular, users will feel satisfied when their personal data is protected, good customer service also brings satisfaction and positive impacts on society
Table 2.1 Summary of related theories
Theory Focus Key constructs Application in
TAM User acceptance of technology
Perceived Usefulness, Perceived Ease of Use , Attitude Toward Using, Behavioral Intention
Factors influencing user acceptance and how they predict satisfaction and continued use
CVT Value derived from product/ service
Perceived Benefits, Perceived Costs (Sacrifices), Perceived Value
How the perceived trade- off between benefits and costs influences satisfaction
GT Theory generation based on data
Concepts, Categories, Properties, Hypotheses, Theory
Developing a grounded theory to explain patterns in user satisfaction based on qualitative data
Related Theoretical model of the study
This study investigates factors affecting user satisfaction of PFMA in Vietnam using Customer Value Theory
CVT was developed by Zeithaml (1988) This theory evaluates user satisfaction based on the trade-off between perceived benefits and perceived costs associated with using the application Valarie Zeithaml’s definition of perceived value highlights it as a consumer's overall assessment of the utility of a product, considering both the benefits received and the costs incurred This assessment is subjective and comparative, meaning it varies between individuals and relative to alternatives Zeithaml identifies three key types of benefits that contribute to perceived value: functional, emotional, and social Functional benefits pertain to the practical, utilitarian aspects of a product, such as its features and performance capabilities (Zeithaml, 1988) Emotional benefits fulfill psychological needs by providing pleasure, comfort, or excitement, enhancing the consumer’s experience Social benefits, on the other hand, relate to the social approval or status gained from owning or using the product, impacting the consumer's social image and identity On the cost side, Zeithaml categorizes the expenses into monetary, time, effort, and psychological costs Monetary costs refer to the actual price paid for the product, while time costs involve the time spent in acquiring and using the product Effort costs
24 encompass the physical or mental effort required during the purchase and usage process Psychological costs involve the mental or emotional energy expended, which can include stress or cognitive dissonance associated with the purchase decision (Zeithaml, 1988) By weighing these benefits against the costs, consumers make subjective value judgments A product that delivers high functional, emotional, and social benefits at a lower perceived cost is seen as having higher value Conversely, if the costs outweigh the benefits, the perceived value diminishes Zeithaml’s framework underscores that perceived value is multifaceted, incorporating both tangible and intangible elements, and plays a crucial role in consumer satisfaction and loyalty A study on Grabfood users in Bandung City reveals that Perceived ease of use and Perceived enjoyment significantly affect user satisfaction, supporting the importance of perceived value in user experience (Elan, 2023) In article of Blut et al (2023), the author focused on building a customer value model based on CVT The article focuses on the benefits received compared to the sacrifices made by users, thereby evaluating the perceived value received by customers Research on food delivery robot service, Hong et al (2023) based on CVT and multi-dimensional perspective has proven its functional, price and emotional value to help significantly improve customer satisfaction From there, confirming the close relationship between perceived value and user satisfaction in this context Applying theory to make assumptions and research framework, elements of the Benefits and Sacrifices groups are selected based on model of Blut et al (2023) The reference model is applied to CVT because it includes benefits and sacrifices that directly impact the user's perception (satisfaction/dissatisfaction) or through which the user considers the perception (perceived value) leads to satisfaction/dissatisfaction.
Hypothesis formulation and conceptual framework
In the e-commerce space, user satisfaction is significantly increased due to the convenience of online shopping platforms User experience is influenced by factors including simplicity of use, transaction speed, and availability of product selection (Song et al., 2023) Factors that address convenience including delivery speed, cost, and reliability of courier services have a major impact on user satisfaction when it comes to last-mile delivery services (Vrhovac et al., 2024) Customers are more satisfied when delivery services are quick and efficient because they appreciate being able to receive
25 products on time and reliably Research of Zhao et al (2024) examining user satisfaction with mini electric vehicles emphasized convenience in ease of driving as an important factor affecting user satisfaction with mini electric vehicles For non-mini electric vehicles, the convenience of charging the battery is very important to users As a result, the hypothesis for this investigation is:
H1: Convenience positively affects User Satisfaction of PFMA
Researching online platforms, Martínez-Navalón et al (2021) suggests that user satisfaction is increased when they have control over content and privacy settings Research also shows that on specific applications, when users have control over the information they provide and can manage privacy settings, their trust in the platform also increases significantly In the travel sector, controlling the interactive experience has also been shown to improve user satisfaction (Dağ et al., 2023) For example, the use of augmented reality (AR) in museums, which allows users to control and interact with digital elements, has been shown to increase user engagement and perceived authenticity, leading to a higher level of satisfaction with the overall experience Controlling their interactions with exhibits creates a richer and more personalized experience, thereby increasing visitor satisfaction As a result, the hypothesis for this investigation is:
H2: Control positively affects User Satisfaction of PFMA
A study by Ives et al (1983) in the software industry demonstrated that user participation in the product development process makes it easier for them to learn and use them Therefore, they do not need to put in too much effort, thereby increasing their satisfaction Another study on mobile applications shows that users will feel annoyed when encountering complex problems while using the product Specifically, users easily fall into a state of confusion and frustration, reducing overall satisfaction (Donderi, 2006) Jiang et al (2015) pointed out that customer satisfaction with the online shopping experience is reduced due to complex payment processes and suboptimal website design Shahid Iqbal et al (2018) also suggests that the complex processes users face will hinder and reduce their satisfaction and continued use of the product Therefore, it is assumed that:
H3: Effort negatively affects User Satisfaction of PFMA
Researching online dating applications, Bonilla-Zorita et al (2021) shows that privacy risks reduce user satisfaction, leading to users tending to be more cautious and the frequency of interactions also decreasing significant against that background In the medical field, for personal information stored on online media, risk factors of misinformation negatively impact user satisfaction (Wu & Zhang, 2022) At that time, users will review and weigh factors such as benefits and risks to make final decisions In addition, researching the mobile service provider market in China, Cheng et al (2024) points out that performance and security risks all bring bad experiences to customers All of these factors create a bad impression for users despite the convenience that these services bring Therefore, it is assumed that:
H4: Risks negatively affects User Satisfaction of PFMA
Brown (1990) describes convenience as "minimizing the amount of time and effort that customers must expend in purchasing and using goods and services," emphasizing the time-efficiency and effort-reduction dimensions Similarly, Berry et al (2002) propose that convenience is the "consumer’s perceived time and effort related to a product or service," which highlights the subjective nature of convenience and its dependency on individual perceptions and expectations This aligns with the notion that convenience is not merely a physical attribute but a psychological one, where perceived ease and efficiency are paramount Colwell et al (2008) expand on this by considering convenience as a multifaceted construct that includes decision convenience, access convenience, transaction convenience, benefit convenience, and post-benefit convenience This comprehensive view captures the various stages of the consumer journey, emphasizing that convenience must be maintained throughout the entire process, from information search to post-purchase support Leroi-Werelds (2019) defines convenience as a factor that positively impacts customers through efficiency, ease of use, time saving, highlighting the essential role of convenience in enhancing customer experience and satisfaction This definition underscores the multidimensional nature of convenience, encompassing aspects such as time savings, effort reduction, and simplification of
27 processes By focusing on comfort and ease, it reflects the increasing consumer demand for seamless and efficient interactions in various facets of life, from shopping to service use Therefore, it becomes a critical factor directly impacts perceived value and satisfaction (García-Fernández et al., 2018) studied the impact of service convenience on
Pv in the context of low-cost fitness centers Research results show that the convenience that the service brings is one of the factors affecting customers' perception Because the author believes that low-cost fitness centers usually do not spend much on communication or marketing Having service convenience will be a competitive advantage to attract customers and bring a good image by enhancing customers' perceived value In another study and another context, Pham et al (2018) also pointed out some aspects of convenience in online shopping That is, the ability to access, search and evaluate after purchase all have an impact on the perception of customers in Vietnam From there, the article also concludes that the convenient shopping process has a positive impact on the perceived value of the shopper (customer) As a result, the hypothesis for this investigation is:
H5: Perceived Value sharing mediates the relationship between Convenience and User Satisfaction of PFMA
Bagozzi (1992) describes perceived control as a key factor in customer satisfaction, noting that when customers feel they can influence outcomes, they are more likely to have positive experiences and form stronger attachments to the brand This sense of control is linked to higher levels of engagement and loyalty Leroi-Werelds (2019) emphasizing the importance of empowering customers to manage and influence their interactions and experiences This definition highlights the psychological benefits of control, such as increased confidence and satisfaction, as customers feel more capable and in charge of their decisions Control can be manifested through user-friendly interfaces, customizable options, and responsive customer service, all contributing to a sense of empowerment and autonomy Research on autonomous cars of Huang (2023) has demonstrated that users' intention to adopt new technology and their perception of its worth is highly influenced by their sense of perceived control Users' assessments of the technology's worth rise when they perceive control over their interactions with it Therefore, it impact to people to use technology According to study of Joo and Yang (2023) on streaming commerce, a
28 feeling of control improves consumers' purchase intentions This shows that customers' perceived value increases with their perceived control over the purchasing experience, increasing engagement As a result, the hypothesis for this investigation is:
H6: Perceived Value sharing mediates the relationship between Control and User Satisfaction of PFMA
Zeithaml et al (1996) include effort in their service quality framework, noting that reducing customer effort is crucial for enhancing service quality and satisfaction They argue that customers value simplicity and ease, and businesses must streamline processes to minimize cognitive and physical strain Leroi-Werelds (2019) defines effort as
"customers’ perceptions of the required efforts (cognitive and physiological) when interacting with the offer," emphasizing the mental and physical exertion customers associate with their interactions This definition underscores the significance of ease and convenience in customer experiences, where lower perceived effort enhances satisfaction and loyalty High perceived effort, whether through complicated processes or difficult navigation, can deter customers and negatively impact their overall experience The research by Yang (2022) pointed out that when consumers faced high perceived effort in the decision-making process, their satisfaction and perceived value of online decision support tools decreased significantly As a result, the hypothesis for this investigation is:
H7: Perceived Value sharing mediates the relationship between Effort and User Satisfaction of PFMA
Sweeney et al (1999) show that risk is a factor compared with the ultimate benefit to determine satisfaction Users are often sensitive to money-related issues because they are always worried about losing money and information (Hourahine & Howard, 2004) Based on article Blut et al (2023), placed in the context of PFMA, including financial risk, performance risk, privacy risk Therefore, it is assumed that:
H8: Perceived Value sharing mediates the relationship between Risks and User Satisfaction of PFMA
2.4.9 Perceived Value and User satisfaction
(Zeithaml, 1988) defined PV as the customer's overall evaluation of a product's usefulness based on views of what is given and received, emphasizing the balance between the benefits gained and the costs incurred by the customer Customers evaluate value by weighing the quality, features, and performance of a product against the price, effort, and time they invest A product perceived as offering high value tends to meet or exceed customer expectations, thereby fostering satisfaction and loyalty Dodds et al (1991) examine PV of pricing and quality, noting that customers interpret value as the trade-off between perceived benefits and perceived sacrifices, including monetary and non- monetary costs Research by Chen et al (2023) shows perceived value directly enhances user satisfaction Specifically, improving customer perception when using AI services will increase the satisfaction of those same customers Another study by Deng P (2024) in the field of football, similar results were found regarding the correlation of perceived with user satisfaction This reinforces the idea that value perception is integral to purchase decisions and overall satisfaction Therefore, it is assumed that:
H9: Perceived Value positively affects User Satisfaction of PFMA
Figure 2.1 Conceptual framework of the study (Source:Blut et al (2023))
RESEARCH METHOD
Survey as a quantitative research method
Pinsonneault and Kraemer (1993) defines a survey is a tool used to collect data on the traits, behaviors, or viewpoints of a sizable population In the meanwhile, a survey is defined by Check and Schutt (2012) as the procedure of using a sample of people's responses to inquiries to collect data One of the most obvious features of the survey is the simultaneous collection of data from several cases (Bryman & Bell, 2007; De Vaus,
2002) Because survey are less expensive and take up less time than traditional methods of gathering data through traditional interactions, it is a more natural way to get in touch21 with respondents Using the survey approach has several important benefits, one of which is its capacity to cover a broad spectrum of variables, both in terms of their types and quantities, which can be subject to investigation Moreover, this method demands only a minimal investment in terms of resource allocation for its development and administration and affords a relatively straightforward process of making generalizations (Bell, 2013) However, the primary concern arises from the respondents' lack of comprehension when the questionnaire is not meticulously crafted and the protocol for administration is not adhered to diligently (Johnson & Turner, 2003)
Each survey consists of various stages The initial stage involves identifying the issues that will be investigated in the studies During this stage, the fundamental concepts of the study are clarified before the development of hypotheses and the establishment of a conceptual framework The next step would be to do a pilot test to make sure the questionnaire is as good as possible in terms of its length, substance, and readability for the intended responders The creation of a sample plan comes next, allowing the researcher to ascertain the study's minimal sample size before the questionnaire being formally distributed to a significant number of people The next step is to clean up the data before applying certain procedures or techniques for data analysis Then, the research findings are derived from Bryman and Bell (2007); De Vaus (2002) Two important features of survey design—reliability and validity—have a substantial impact on the credibility of the study findings These will be discussed in more detail in the following sections
The ability to produce consistent study findings across contexts is referred to as reliability This consistency results from a carefully thought-out research process that includes precise idea formulation and measurement, adequate respondent selection, and appropriate data processing procedures Because the study's context may cause the research reliability to alter over time, measurement reliability must be evaluated in every investigation, even ones that utilize known measures (Bryman & Bell, 2007)
According to Bryman and Bell (2007), validity is the integrity of the findings drawn from a study, which are based on internal, external, and measurement validity The issue of internal validity pertains to the clarity of the conclusions derived from research findings (Bryman & Bell, 2007; de Vaus, 2001) Survey designs typically do not ensure absolute internal validity since cross-sectional data merely permits the researcher to identify correlations between phenomena The study's conceptual framework may not have taken into account additional aspects that could have an impact on the research findings (Bryman & Bell, 2007) Secondly, external validity refers to the application of research findings to other contexts This type of validity requires that the population of the study must be clearly specified and the selected sample must be representative (Bryman & Bell,
2007) Thirdly, the question of whether the concepts are actually measured by the measures that were chosen is known as measure validity Construct validity and content validity are the sources of this kind of validity (Bryman & Bell, 2007; de Vaus, 2001) While the latter is concerned with the theories from which constructs are created and assessed, the former relates to the ability to tap distinct parts of a concept by items of its measure The convergent and discriminant validities of a construct measure must be satisfied According to (De Vaus, 2002), a measure of a construct's discriminant validity is its inability to measure or overlap with other constructs, whereas the convergent validity of a measure is its concern for strongly correlated items.
Questionaire design and pilot test
I employed a structured self-administered questionnaire to collect data To optimize the validity of the measures and enable comparison of study results with prior research, construct measures were modified from earlier investigations Mathwick et al (2001); Lin
32 et al (2005); Kleijnen et al (2007); Mathwick and Rigdon (2004); Dabholkar and Bagozzi (2002); (Stone & Grứnhaug, 1993) The purpose of the questionnaire was to gather data about factors affecting the user satisfaction of PFMA in Vietnam The questionnaire consists of three sections: background of respondents, factors affacting perceived value of user, and user satisfaction The questionnaire was created with clarity and understandability for responders in mind for every question
The purpose of this part is to gather background data about respondents, including their gender, age, occupation, income., and whether they know about PFMA and have ever used it This allows me to draw an overall picture of respondents
Section 2: Factors affecting the user satisfaction of PFMA in Vietnam
This section attempts to collect information about various factors that influence actual usage behavior, including convenience, control, effort, risks and perceived value
This last section was created to collect data on how users actually satisfy with PFMA Using the back-translation process, the questionnaire was first created in English and then translated into Vietnamese (Usunier, 1998) I translated the questionnaire into Vietnamese initially, and then a second Vietnamese researcher with a PhD in management accounting—who is currently a lecturer at VNUIS-translated the Vietnamese version back into English
Two copies of the questionnaire are compared, and the Vietnamese version's phrasing is altered to guarantee that every question item's meaning is accurate (Harkness et al., 2010)
To make sure the questionnaire was understandable, a pilot test was carried out by asking a few International School students who would participate in the study to reply to every question A few language and typo corrections were adjusted in response to input received before the large-scale poll Consequently, the feedback obtained enhances the quality of the questionnaire, particularly when it originates from possible responders (Blair, 2013; Norman M Bradburn, 2004; Van der Stede, 2006)
Sample and data collection
The reasearch sample includes mainly young people, focusing mainly on students and working people These subjects are young (often receptive to technology) and have financial resources at different levels From there, different satisfaction results can be obtained Convenience sampling was used in the online survey Online questionnaires were prepared on Google Forms and sent online using Facebook Messenger and Facebook Group The study's objective was made explicit, and respondents' anonymity was guaranteed Within a week, 224 of the initial 235 surveys issued were considered usable for a variety of reasons (e.g., either respondents had never used PFMA before).
Measurement
To evaluate the components of the study of Factor affecting user satisfaction of personal financial management applications in Vietnam, a multi-item scale was used Every research construct was assessed using series of questions, and each item consisted of a single statement that required a seven-point likert scale This research includes ten constructs: convenience, excellence, personalization, control, price, time, effort, risks, perceived value and usersatisfaction Convenience was measured by an adapted from Mathwick et al (2001) Control was measured by two adapted from Kleijnen et al (2007); (Mathwick & Rigdon, 2004) The measure of effort was modified from (Dabholkar & Bagozzi, 2002); Kleijnen et al (2007) Risks were measured by two adapted from Lin et al (2005) and Stone and Grứnhaug (1993) Perceived value and user satisfaction were measured by an adapted from Lin et al (2005) Table 3.1 presents meassures of all constructs of the study
Using PFMA to manage finance is an efficient way to manage my time
Using PFMA to manage finance makes my life easier
Manage personal finances with PFMA fits with my schedule
I have flexibility when using PFMA COT1 (Kleijnen et al., 2007; Mathwick & Rigdon, 2004)
I have control over my information when using PFMA
Using PFMA on my personal device allows me to make many of my own decisions
It is uncomplicated to use PFMA EF1 (Dabholkar &
Understanding how to use PFMA requires me little effort
I found it very easy to learn how PFMA works
I feel my privacy is protected even when using PFMA
I feel safe using the app on multiple devices at once
PFMA has adequate security features
I find spend money to use PFMA would be a better way to spend my money
I believe that my financial investments are progressing well when I use PFMA to manage my personal finances
I believe that with the money I spend on PFMA, I will receive a worthy return
When considering paying to use PFMA's full functionality, I believe that the product will really perform as well as it is supposed to
If I had to pay to use the full functionality of PFMA, I believe the application would deliver the results I expected
I don't wonder about the actual reliability of PFMA when I have to spend money to use the application
Compared with the price I paid, PFMA offers good features
Compared with the tangible and intangible costs I pay, the features and information I get in return are very valuable
I think i am getting good value for the money i spent
I am satisfied with my decision to use PFMA to manage finance
My choice to use PFMA to manage finance was a wise one
I think I did the right thing to use PFMA to manage finance
DATA ANALYSIS AND RESEARCH FINDINGS
Data analysis with PLS-SEM using Smart-PLS
Descriptive statistics were used to examine the characteristics of the data first, and partial least squares structural equation modeling (PLS-SEM), a method of structural equation modeling, was used inferentially to examine the expected correlations between the study components SEM is more suited for studies like this one that include latent or unobserved variables as it has been shown to be especially helpful in concurrently examining complex model interactions (Afthanorhan & Afthanorhan, 2013; Astrachan et al., 2014) Researchers can examine correlations between numerous independent factors and several dependent variables at once using the PLS-SEM kind of multivariate regression approach (Hair et al., 2012) This study conducted a thorough analysis to simplify the theoretical model using a second-order reflective-formative model, as advised by Becker et al (2012) and Sarstedt et al (2019) This strategy was intended to improve the theoretical parsimony of the model and reduce its related complexity Additionally, as noted by Hair et al
(2022), this specific hierarchical component model (HCM) has the capacity to alleviate problems resulting from collinearity and further handle any complications pertaining to discriminant validity As a result, the study uses this technique in an effort to guarantee a more accurate and cohesive model that supports data analysis and interpretation.The two steps of smart-PLS data analysis are the measurement model and the structural model, which are both covered in depth in the sections that follow:
The unidirectional relationship between items that assess a single study concept is examined using the measurement model At this point, the researcher must assess the construct's reliability and validity (Hair et al., 2011) Measure reliability is the inner consistency of constructs' items CA is one approach to examine construct dependability When a measure has a CA of 0.7 or more, it is considered dependable (De Vaus, 2002)
In Smart-PLS, however, composite reliability is employed to evaluate internal consistency (Hair et al., 2022) When the composite dependability of a metric is more than 0.708, it is considered dependable (Bagozzi & Yi, 1988; Hair et al., 2022) If the outer loadings of an object are more than 0.7, it can be kept in the model according to Hair et al (2022)
Fornell and Larcker (1981) suggest that convergent validity of a construct is indicated by an AVE larger than 0.5, while discriminant validity is verified when the AVE square root of each construct is higher than its highest correlation with any other construct in the model
The structural model (the inner model) is used to test the model's hypotheses in the second stage The determination coefficient (R2) is the main criterion for evaluating the effects of exogenous latent variables on endogenous variables at this stage T-statistics are calculated and used to analyze the measurement and structural models' significance levels T-statistics of greater than 1.96 reflect statistical significance of hypotheses investigated (Hair et al., 2012).
Research findings
Table 4.1 Gender of survey’s respondents
Gender Frequency Percent Valid Percent Cumulative
Based on the result from table 4.1, the frequency and percentage of participants by their gender in a study with a total of 224 participants Among participants, female respondents accounted for 74.6% while the remaining is male (25.4%)
Table 4.2 Age of survey’s respondents
Table 4.2 pressent the age group of survey’s respondents It is clear that the number of 36-45-year-old user and older than 45 years old user are the same About 25% of participants are in the age ranging 26-35 (56 people) The majority of are in the age ranging 18-25 (72.32%) This may lead to an influence on the overall results of the research From analytical data, it can be seen that people aged 18-35 years make up the majority of PFMA users Target groups of this age include students, new employees and people with stable income The use of PFMA among students shows that awareness of personal financial management is trending among young people This is also true for new employees Personal financial management with the above two subjects shows the calculated spending trend of today's young people For people who have been working for a long time and have a stable income, personal financial management is quite normal
Occupation in the survey includes 2 subjects: University students (only those who have not yet worked) and working people (including students and graduates) with a stable salary
Table 4.3 Occupation of survey’s respondent
Occupation Frequency Percent Valid Percent Cumulative
Table 4.3 shows that the study included 224 participants with the majority is worker (73.2%) and smaller percentage of graduated student (26.8%) The survey shows that not
41 too few students who are not yet working use PFMA Maybe using PFMA helps students save money and manage monthly expenses
4.2.1.2 Descriptive statistics of factors affecting the user satisfaction of PFMA
This section describes factors affecting user satisfaction of PFMA in Vietnam User say convenience, control, effort, risks and perceived value all have a relatively impact: most means of these five factors are higher than 5.3 with the standard deviation ranging from 0.727 to 1.063
Table 4.4 Descriptive statistics of convenience
Actual range Theoretical Min Max Min Max
Using PFMA to manage finance is an efficient way to manage my time
Using PFMA to manage finance makes my life easier
Manage personal finances with PFMA fits with my schedule
Table 4.5 Descriptive statistics of control
Actual range Theoretical Min Max Min Max
I have flexibility when using PFMA
I have control over my information when using PFMA
Using PFMA on my personal device allows me to make many of my own decisions
Table 4.6 Descriptive statistics of effort
Actual range Theoretical Min Max Min Max
It is uncomplicated to use PFMA
Understanding how to use PFMA requires me little effort
I found it very easy to learn how PFMA works
Table 4.7 Descriptive statistics of risks
Actual range Theoretical Min Max Min Max
I feel my privacy is protected even when using PFMA
I feel safe using the app on multiple devices at once
PFMA has adequate security features
I find spend money to use PFMA would be a better way to manage my money
I believe that my financial investments are progressing well when I use PFMA to manage my personal finances
I believe that with the money I spend on
PFMA, I will receive a worthy return
When considering paying to use PFMA's full functionality, I believe that the app will really perform as well as it is supposed to
If I had to pay to use the full functionality of PFMA, I believe the application would
I don't wonder about the actual reliability of PFMA when I have to spend money to use the application
Table 4.8 Descriptive statistics of perceived value
Perceived Value Code Mean STD
Actual range Theoretical Min Max Min Max
Compared with the price I paid, PFMA offers good features
Compared with the tangible and intangible costs I pay, the features and information I get in return are very valuable
I think i am getting good value for the money i spent
Table 4.9 Descriptive statistics of user satisfaction
User Satisfaction Code Mean STD
Actual range Theoretical Min Max Min Max
I am satisfied with my decision to use
PFMA to manage finance was a wise one
I think I did the right thing to use PFMA to manage finance
4.2.2 An evaluation of measurement model
Researchers can assess measure reliabilities using item loadings, CR, AVE, and discriminant validity of constructs using the measurement model (see Figure 4.4)
4.2.2.1 Assessing the reliability of constructs
Analyzing the indicator loadings, or outer loadings, is the first stage in determining the construct's reliability A stronger correlation between the item and the underlying factor is shown by higher absolute values Reflective indicator loadings above 0.7 are thought to indicate that the latent construct is likely real, according to (Hair et al., 2022) All items having factor loadings more than 0.7 The factor loadings of the model are presented in Table 4.10
Table 4.10 Items loadings and composite reliability (CR) of the constructs
From the table 4.10, all the items have T-statistics larger than 1.96, indicating that the items and the underlying constructs are significant The internal consistency of the items to their respective construction is evidenced by composite reliabilities of all constructs being more than 0.708
Table 4.11 displays the findings for CA outcome The CA statistic reanged from 0.800 to 0.939 According to Hair et al (2022), construct reliability was examined by CA greater than 0.7 Construct dependability is thus proven (from Table 4.11)
4.2.2.2 Assessing validity of the constructs
Table 4.12 Convergent Validity among constructs
The AVE of all constructs is higher than 0.5, indicating that all constructs have convergent validity: the items measuring their corresponding constructs share a significant amount of
49 variances because these items tap into the underlying constructs rather than measurement error, as shown in Table 4.12 (Hair et al., 2012)
The constructs’ discriminant validity is almost met: diagonal elements (in bold), square root of AVE of each construct, is larger than its maximum correlation with any other construct (off-diagonal components) in the model except R ( Table 4.13)
For HTMT score, discriminability is guaranteed when HTMT is less than 1.00 (Garson,
2016) From table 4.14, the values are all less than 1.00 so all variables ensure discrimination ability
4.2.3 Structural model assessment for hypothesis testing
Before testing hypotheses, multicollinearity is identified The VIFs of the model's exogenous variables are significantly lower than 5, as shown in Table 4.15, indicating that an issue of multicollinearity between exogenous variables is not present in the model (Hair et al., 2014)
Table 4.15 VIFs of exogenous variables
4.2.4 Effects different factors on user satisfaction of PFMA
Table 4.16 Results of hypothesis testing ò T value P value Decision
Table 4.16 shows the results of data analysis regarding relationships between factors on User Satisfaction First, in direct effects, the data analysis confirms Convenience (ò 0.139, p