Author(s): Samir Ul Hassan, Joel Basumatary
This study thoroughly investigated E-commerce's payment ecosystem, analyzing all facets. The main goal was to understand India's digital payment ecosystem attributes, motivators and influencers across domestic and international E-commerce. A Google form collected primary data on E-commerce consumer payment behavior. The questionnaire addressed payment choices, platform preferences, reasons for avoiding digital payments and perceptions. Multinomial logit model analyzed the determinants of mode of payment. Our study revealed that demographic characteristics significantly influence a person's payment choices (digital or cash). These factors exert different effects on domestic and international E-commerce platforms, with consumers being more hesitant about using digital payments for domestic E-commerce. The findings indicate that not only affluent, privileged, urban and educated groups opt for digital payments, but also factors like platform viability, accessibility, security and trust play crucial roles in shaping payment preferences. This study is the first to empirically demonstrate that the rise in digital payments is influenced not only by factors like convenience, habit, trust, security and awareness of online payment platforms but also by a negative perception regarding cash payments in both domestic and international E-commerce platforms.