Factors Influencing the Adoption of Digital Payment among Retail Stores in Bharatpur

Abstract

This study investigates the key factors influencing the adoption of digital payment systems among retail stores in Bharatpur, Nepal. Through a combination of correlation, regression, analyses, the research identifies business owners’ attitudes, technological infrastructure, cost considerations, and security concerns as critical determinants of digital payment adoption.  
The study is based on the field survey using structured questionnaire for two hundred and three small business owners. Among these, business owners’ attitudes emerged as the most influential factor, as evidenced by strong correlation values and statistically significant regression results (p <0.001). Also, security concerns (p < 0.001) and cost factors (p = 0.018) were also found to significantly affect adoption decisions. 
The findings underscore the importance of fostering a positive mindset toward digital payments, addressing security challenges, and offering cost-effective digital solutions. Encouraging digital payment adoption can help retail businesses improve operational efficiency, attract a broader customer base, and contribute to the broader development of Nepal’s digital economy.