Why Do Generation X Consumers Switch from Cash to Digital Payments despite Technological Barriers?

Dian Safitri Pantja Koesoemasari; Ady Achadi; Harsuti Harsuti; Enrico Aziezy; Doddy Setiawan; Rosalina Anindia Sari Kartika

doi:10.59261/inkubis.v8i3.402

Authors

Dian Safitri Pantja Koesoemasari Universitas Wijayakusuma Purwokerto
Ady Achadi Universitas Wijayakusuma Purwokerto
Harsuti Universitas Wijayakusuma Purwokerto
Enrico Aziezy Universitas Wijayakusuma Purwokerto
Doddy Setiawan Universitas Negeri Surakarta
Rosalina Anindia Sari Kartika Sekolah Tinggi Ilmu Ekonomi Satria Purwokerto

DOI:

https://doi.org/10.59261/inkubis.v8i3.402

Keywords:

cashless payment, generation X, push-pull-mooring, SEM-PLS, switching behavior

Abstract

Background: The expansion of digital payment infrastructure does not ensure that all age groups abandon cash at the same pace. Generation X is a particularly relevant segment because long-established payment routines and technology-related concerns may shape its willingness to change.

Objective: This study investigated the factors that move Generation X consumers in Banyumas Regency from cash toward digital payments through the Push-Pull-Mooring (PPM) perspective.

Methods: Survey data from 250 Generation X consumers with experience using both cash and digital payment channels were examined using a higher-order SEM-PLS model in SmartPLS 4. Criterion-based purposive sampling was applied.

Results: Push (β = 0.413; p < 0.001) and pull (β = 0.350; p < 0.001) increased switching behavior, whereas mooring reduced it (β = -0.128; p = 0.002). Push produced the largest contribution, showing that dissatisfaction and perceived risk associated with cash were more decisive than the appeal of digital alternatives. Habit and switching cost remained barriers, but their practical influence was comparatively small.

Conclusion: For Generation X in this small-city setting, the shift toward digital payment is driven primarily by reasons to leave cash rather than by attraction to technology alone.

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