Consumer Behavior and Usage Decisions of Mobile Banking in Indonesia

Abstract

The rapid digital transformation within the banking sector has significantly accelerated the adoption of Mobile banking (M-banking) services in Indonesia. This study aims to analyze customer behavior in deciding to use M-banking and to identify the most influential factors shaping adoption. Employing a qualitative approach, the research is conducted through a literature review of academic publications released last five years, focusing on consumer behavior, decision-making, and mobile banking adoption in the Indonesian context. The findings reveal that several core factors strongly determine adoption decisions, including trust, ease of use, service quality, user experience, and socio-cultural contexts such as generational differences and religious values. Trust in system security emerges as a critical driver for ensuring long-term customer loyalty, while perceived ease of use and high-quality digital services significantly enhance satisfaction levels. Furthermore, younger generations, particularly Gen Z and millennials, demonstrate greater adaptability toward M-banking compared to older groups. In addition, religiosity is shown to strengthen adoption intentions within Islamic banking. These findings highlight that M-banking development strategies in Indonesia must holistically address technological, psychological, social, and cultural-religious dimensions to foster sustainable customer satisfaction and loyalty.