Application of TOPSIS for ranking the perception of benefits and problems associated with Digital Payment system in suburban India

Abstract

Presently in India, Digital payment systems are given a big thrust by the government. Making the consumers of products and services to adopt digital transaction needs a clear understanding on the perceived benefits and problems associated with the same. Thus the main objective of the study is to analyse the consumers’ perception of benefits and problems associated with digital transactions and rank the various groups of customers, differentiated by their occupation, education level and age using TOPSIS. Primary data was collected from 122 respondents who use digital payment modes in a suburban area of Virudhunagar in India. Data was collected using a structured questionnaire with five point Likert scale. It is found that self-employed individuals consider the benefits associated with digital payments more important than the problems associated with it while private employees consider the problems associated with digital transactions more important. Respondents with lowest education consider both benefits and problems equally while deciding on the adoption of digital payments while older respondents attach least importance to all factors which are considered to be benefits of digital payments. The outcome of the research reveals that people in different categories prioritise the benefits and problems associated with digital payments differently. Thus managers need to customize their marketing communications for digital payments according to the differing perception of the demographics.