User acceptance of wearable devices: An extended perspective of perceived value

doi:10.1016/j.tele.2015.08.007

Telematics and Informatics

Volume 33, Issue 2, May 2016, Pages 256-269

https://doi.org/10.1016/j.tele.2015.08.007 Get rights and content

Highlights

•
This study examines potential customers’ perceived value of wearable devices.
•
The results show that perceived value is a clear antecedent of adoption intention.
•
Perceived benefit has a greater impact on perceived value than perceived risk.

Abstract

This study develops a research model for analyzing customers’ perceived value of wearable devices. It investigates the impact of each component of perceived benefit and risk on the perceived value of wearable devices, and explores how their attributes affect customers’ perceived benefit. Partial least squares was employed to test the proposed model and corresponding hypotheses on data collected from 375 survey samples (273 potential and 102 actual users). The results show that perceived value is a clear antecedent of adoption intention. Perceived benefit—including perceived usefulness, enjoyment, and social image—seems to have a greater impact on perceived value than perceived risk. Specifically, a significant difference was observed between potential users and actual users. This study discusses a number of implications and contributes useful insights for researchers as well as practitioners.

Introduction

As information technology (IT) continues to develop, mobile devices are getting smarter and have become essential tools for communication (Wang et al., 2014). Mobile device types are diversifying into classes such as smartphones, tablet PCs, and wearable devices. Wearable devices are attracting much attention as the next generation of portable electronics. Nine out of ten smartphone vendors have already entered the wearable device market or are about to ship their first product, whereas, two years ago, only two vendors were at that stage (Gartner, 2014). The global wearable device market is expected to grow by 78% each year, from 19 million units in 2014 to 112 million in 2018 (IDC, 2014).

Wearable devices are used external to the body, either attached as an accessory or embedded in clothes (Raskovic et al., 2004). They can be used in various applications equipped with sensors, internet connections, processors, and operating systems as well as user-friendly interfaces with touch pads/screens. Watch-type wearable device users can receive e-mail, text messages, and phone notifications on their wrists without having to pull out their cellphones. Wristband or necklace-type wearable devices are mainly used to track the user’s health and fitness status in real time. Head-mount display-type wearable devices are suitable for virtual reality content and 3D games.

Despite the positive prospects and functionality of wearable devices, little research has been done on user acceptance and behaviors concerning them because they are still in the very early stage of commercialization. This study focuses on customers’ perceived value of wearable devices as well as its determinants. Its research model is developed based upon previous research that has studied perceived value by incorporating perceived usefulness, perceived enjoyment, and social image. This study examines users’ perceived value of wearable devices to investigate the impact of each component of perceived benefit and risk on perceived value and to explore how the attributes of wearable devices affect customers’ perceived benefit. This study divides users into potential users and actual users to compare the significant factors influencing perceived value.

Section snippets

Perceived value

Schechter (1984) explained that perceived value is composed of qualitative and quantitative as well as objective and subjective factors that jointly form a buyer’s experience. Dodds et al. (1991) defined perceived value as the ratio of perceived benefit relative to perceived sacrifice. Woodruff and Gardial (1996) described perceived value as a trade-off between desirable attributes and sacrifice attributes. The most widely accepted definition of perceived value is that in Zeithaml (1988), who

Research model and hypotheses development

This study develops the research model shown in Fig. 1. It proposes a comprehensive framework for examining the factors of perceived value for wearable devices. In particular, the proposed model includes four antecedents (i.e., functionality, compatibility, visual attractiveness, and brand name) that reflect the characteristics of wearable devices as high-tech electronic devices and fashion items. This study defined each construct and developed a theoretical rationale for the model’s causal

Data

An online survey was conducted and validated for two weeks in June 2015 before it was used to test the research model and hypotheses. A total of 375 samples (273 potential and 102 actual users) were retained for study after samples with missing or erroneous data were removed. Detailed descriptive statistics for the respondents’ demographic characteristics are presented in Table 1. The samples’ demographic characteristics resemble the Korean Population Statistics collected for Koreans from 10 to

Measurement model

This study employed the partial least squares (PLS) method to test the proposed model and corresponding hypotheses using Smart PLS 2.0, an appropriate method given the sample size, the focus on each path coefficient, and the focus on variance explained rather than overall model fit (Chin et al., 2003).

Confirmatory factor analysis was conducted to investigate the convergent validity of each construct. Table 3 shows the cross-loadings of all items, indicating that they load highest on their

Discussion

This research offers a number of findings. Perceived value had a significant influence on both potential and actual customers’ intention to use, supporting the generally accepted belief that perceived value is a very important factor in consumers’ decision to adopt new products or services (Chen and Dubinsky, 2003, Dodds et al., 1991, Zeithaml, 1988). Therefore, customers must be made to perceive value fully in order to ensure that they will adopt and continuously use wearable devices.

This

Conclusions

This research makes several theoretical contributions. This is the first empirical study to examine the user acceptance of wearable devices, which are at an early stage of diffusion. Most IT adoption studies based on perceived value address mobile service adoption, satisfaction, and loyalty or continuance intention (Kim et al., 2007, Turel et al., 2010). This study extends the application of perceived value to the convergence IT device domain by developing a theoretical model based on customer

References (74)

T. Ahn et al.
The impact of Web quality and playfulness on user acceptance of online retailing
Inform. Manage. Amster.
(2007)
H.H. Bauer et al.
eTransQual: a transaction process-based approach for capturing service quality in online shopping
J. Bus. Res.
(2006)
M. Bradford et al.
Examining the role of innovation diffusion factors on the implementation success of enterprise resource planning systems
Int. J. Account. Inf. Syst.
(2003)
J.C.V. Chen et al.
The acceptance and diffusion of the innovative smart phone use: a case study of a delivery service company in logistics
Inform. Manage. Amster.
(2009)
N. Corrocher
The adoption of Web 2.0 services: an empirical investigation
Technol. Forecast. Soc. Chang.
(2011)
D. Cyr et al.
Design aesthetics leading to m-loyalty in mobile commerce
Inform. Manage. Amster.
(2006)
C.-L. Hsu et al.
What drives purchase intention for paid mobile apps? – An expectation confirmation model with perceived value
Electron. Commer. Res. Appl.
(2015)
H.W. Kim et al.
Value-based adoption of mobile internet: an empirical investigation
Decis. Support Syst.
(2007)
M. Mäntymäki et al.
Teenagers in social virtual worlds: continuous use and purchasing behavior in Habbo Hotel
Comput. Hum. Behav.
(2011)
M. Pagani
Determinants of adoption of third generation mobile multimedia services
J. Interact. Marketing
(2004)

D.H. Shin

User acceptance of mobile Internet: implication for convergence technologies

Interact. Comput.

(2007)

J.C. Sweeney et al.

Consumer perceived value: the development of a multiple item scale

J. Retailing

(2001)

J.C. Sweeney et al.

The role of perceived risk in the quality-value relationship: a study in a retail environment

J. Retailing

(1999)

O. Turel et al.

User acceptance of hedonic digital artifacts: a theory of consumption values perspective

Inform. Manage. Amster.

(2010)

H. van der Heijden

Factors influencing the usage of websites: the case of a generic portal in The Netherlands

Inform. Manage. Amster.

(2003)

D. Wang et al.

Adapting to the mobile world: a model of smartphone use

Ann. Tourism Res.

(2014)

P. Ziamou et al.

Promoting consumer adoption of high-technology products: is more information always better?

J. Consum. Psychol.

(2002)

J.C. Anderson et al.

Structural equation modeling in practice – a review and recommended 2-step approach

Psychol. Bull.

(1988)

M. Brucks et al.

Price and brand name as indicators of quality dimensions for consumer durables

J. Acad. Market Sci.

(2000)

Z. Chen et al.

A conceptual model of perceived customer value in e-commerce: a preliminary investigation

Psychol. Market

(2003)

S.-C. Chen et al.

The impact of customer experience and perceived value on sustainable social relationship in blogs: an empirical study

Technol. Forecast. Soc. Chang.

(2015)

W.W. Chin et al.

A partial least squares latent variable modeling approach for measuring interaction effects: results from a Monte Carlo simulation study and an electronic-mail emotion/adoption study

Inform. Syst. Res.

(2003)

F.D. Davis

Perceived usefulness, perceived ease of use, and user acceptance of information technology

MIS Q.

(1989)

F.D. Davis et al.

User acceptance of computer technology: a comparison of two theoretical models

Manage. Sci.

(1989)

F.D. Davis et al.

Extrinsic and intrinsic motivation to use computers in the workplace

J. Appl. Soc. Psychol.

(1992)

N. Dawar et al.

Marketing universals: consumers use of brand-name, price, physical appearance, and retailer reputation as signals of product quality

J. Marketing

(1994)

A.B. del Río et al.

The role of the brand name in obtaining differential advantages

J. Prod. Brand Manag.

(2001)

A. Dhebar

Speeding high-tech producer, meet the balking consumer

Sloan Manage. Rev.

(1996)

W.B. Dodds et al.

Effects of price, brand, and store information on buyers’ product evaluations

J. Mark. Res.

(1991)

G.R. Dowling et al.

A model of perceived risk and intended risk-handling activity

J. Consum. Res.

(1994)

C. Fornell et al.

Evaluating structural equation models with unobservable variables and measurement error

J. Mark. Res.

(1981)

Gartner, 2014. Gartner Says Worldwide Smartwatch and Wristband Market is Poised for Take...

T. Gill

Convergent products: what functionalities add more value to the base?

J. Marketing

(2008)

P.N. Golder et al.

Growing, growing, gone: cascades, diffusion, and turning points in the product life cycle

Marketing Sci.

(2004)

D. Grewal et al.

The moderating effects of message framing and source credibility on the price-perceived risk relationship

J. Consum. Res.

(1994)

M.B. Holbrook

Consumer Value: A Framework for Analysis and Research

(1999)

R.L. Horton

The structure of perceived risk: some further progress

J. Acad. Market Sci.

(1976)

Cited by (454)

Beyond conventions: Unravelling perceived value's role in shaping digital-only banks' adoption
2024, Technological Forecasting and Social Change
Advancements in FinTech and Industry 4.0 have made digital financial services more convenient and cost-effective, leading customers to expect them to be fun and offer higher perceived value. Therefore, this research investigates the determinants of digital-only banks' perceived value and its mediating role on the relationship between behavioural intention determinants and the intention to adopt digital-only banks. The data was collected through an online survey conducted among Klang Valley residents. Stratified random sampling was used to gather the data and structural equation modelling (SEM) was applied for the data analysis. The findings revealed that perceived value is a significant predictor of the intention to adopt digital-only banks. Furthermore, perceived convenience, economic efficiency, functional risk, trust, and environmental concern determined the perceived value of digital-only banks. However, security risk, critical mass, and number of services were non-significant predictors of perceived value. Notably, perceived value plays a significant mediating role between certain determinants and adoption intention. This research adds value by revealing multifaceted determinants of perceived value and incorporating environmental concern that highlights the significance of green perceived value in shaping adoption intention. Furthermore, it provides empirical results on a research gap related to digital-only banks' perceived value mediating effect on the intention to adopt these banks. Finally, the study can assist the practitioners of digital-only banks in attracting and retaining users in this modern competitive banking and financial market.
Consumer acceptance of the autonomous robot in last-mile delivery: A combined perspective of resource-matching, perceived risk and value theories
2024, Transportation Research Part A: Policy and Practice
Following the expansion of e-commerce, the need for transportation services has increased. Moreover, the pandemic has decreased in-person interaction, necessitating contactless technologies. The autonomous delivery robot (ADR) is one such contactless technology used in last-mile delivery (LMD). Hence, consumers’ acceptance of ADRs in last-mile service must be studied to promote the use of this innovative technology. This study investigates the factors influencing customers’ acceptance of ADRs in LMD and aid in resource allocation to encourage acceptance. A combination of resource-matching theory, perceived value theory, and perceived risk theory was applied to develop the theoretical model. The central premise is that customers’ intentions are motivated by the characteristics of ADRs, such as compatibility, reliability, privacy security, and convenience, through the channels of enhanced perceived value and lower perceived risk.. An online survey with 500 respondents was conducted in Singapore and structural model equation analysis was performed. The findings revealed that the effects of compatibility, convenience, privacy security, and reliability on consumer intention are fully mediated by perceived value and risk. This study enriches the literature on ADR acceptance in LMD by developing a holistic model and providing implications for promoting ADR adoption.
Medical professionals' adoption of AI-based medical devices: UTAUT model with trust mediation
2024, Journal of Open Innovation: Technology, Market, and Complexity
The purpose of this study is to identify the factors impacting medical professionals’ adoption intention of AI-based innovative medical devices focused on the mediating role of trust. Drawing on the UTAUT model, we examined the mediating effect of trust in the relationships between these factors (performance expectancy, effort expectancy, facilitating conditions, and social influence). This study collected survey data through convenient sampling from 248 medical professionals working in medical institutions located in the metropolitan areas in Republic of Korea. The result showed that performance expectancy, effort expectancy, facilitating conditions, and social influence have a positive impact on trust, and this trust, in turn, has a significant influence on acceptance intentions. The results emphasize that the success of introducing innovative medical devices in institutions hinges not only on the devices' innovation level but also on the psychological factors of the professionals. By taking into account these factors and building trust, medical institutions can elevate service quality and efficiency, fostering greater acceptance of advanced medical devices.
Exploring the fittest choice model for consumer preference analysis on over-the-top service
2024, Technology in Society
This study analyzed consumer preferences in the over-the-top service market by comparing classical and behavioral economics approaches. Empirical analysis indicated that the reference-dependent choice model based on behavioral economics brought marginal improvement in model explanatory power compared with the discrete choice model based on neoclassical economics. The underperformance of the behavioral model is suspected to stem from the over-the-top service market's characteristics. The performances of the behavioral and neoclassical models were similar, and the results from the behavioral model can be utilized to deliver further insights from the neoclassical model by replacing or complementing it.
Trust in AI-augmented design: Applying structural equation modeling to AI-augmented design acceptance
2024, Heliyon
With the emergence of Artificial Intelligence (AI) 2.0, computers are now equipped with new creative capabilities and are playing an increasingly significant role in design. The use of AI augmentation has the potential to enhance design performance, however, there is limited research on the acceptance of AI-augmented design. The research gap under consideration in this study is addressed by presenting an acceptance model designed for AI-augmented design. This model integrates a range of variables including perceived privacy risk, enjoyment, perceived value, perceived usefulness, perceived ease of use, perceived behavioral control, social influence, and behavioral intention. The proposed model was validated through a questionnaire survey of 249 designers in China.
The results reveal that enjoyment, perceived value, perceived ease of use, perceived behavioral control, and social influence have a significant positive impact on users' intention to use AI-augmented design, while perceived privacy risk has a significant negative impact. Perceived value was found to mediate the relationship between enjoyment and behavioral intention, while perceived behavioral control play a mediation role in the relationship between social influence and behavioral intention.
In conclusion, this study highlights the variables that influence the acceptance of AI-augmented design and provides valuable insights into the potential benefits and drawbacks of integrating AI technologies in design. The proposed acceptance model serves as a framework for future research in this area and can guide the development of more user-friendly and effective AI-augmented design tools and technologies.
Net valence analysis of iris recognition technology-based FinTech
2024, Financial Innovation

View all citing articles on Scopus

View full text

User acceptance of wearable devices: An extended perspective of perceived value

Highlights

Abstract

Introduction

Section snippets

Perceived value

Research model and hypotheses development

Data

Measurement model

Discussion

Conclusions

Inform. Manage. Amster.

J. Bus. Res.

Int. J. Account. Inf. Syst.

Inform. Manage. Amster.

Technol. Forecast. Soc. Chang.

Inform. Manage. Amster.

Electron. Commer. Res. Appl.

Decis. Support Syst.

Comput. Hum. Behav.

J. Interact. Marketing

Interact. Comput.

J. Retailing

J. Retailing

Inform. Manage. Amster.

Inform. Manage. Amster.

Ann. Tourism Res.

J. Consum. Psychol.

Structural equation modeling in practice – a review and recommended 2-step approach

Psychol. Bull.

Price and brand name as indicators of quality dimensions for consumer durables

J. Acad. Market Sci.

A conceptual model of perceived customer value in e-commerce: a preliminary investigation

Psychol. Market

The impact of customer experience and perceived value on sustainable social relationship in blogs: an empirical study

Technol. Forecast. Soc. Chang.

A partial least squares latent variable modeling approach for measuring interaction effects: results from a Monte Carlo simulation study and an electronic-mail emotion/adoption study

Inform. Syst. Res.

Perceived usefulness, perceived ease of use, and user acceptance of information technology

MIS Q.

User acceptance of computer technology: a comparison of two theoretical models

Manage. Sci.

Extrinsic and intrinsic motivation to use computers in the workplace

J. Appl. Soc. Psychol.

Marketing universals: consumers use of brand-name, price, physical appearance, and retailer reputation as signals of product quality

J. Marketing

The role of the brand name in obtaining differential advantages

J. Prod. Brand Manag.

Speeding high-tech producer, meet the balking consumer

Sloan Manage. Rev.

Effects of price, brand, and store information on buyers’ product evaluations

J. Mark. Res.

A model of perceived risk and intended risk-handling activity

J. Consum. Res.

Evaluating structural equation models with unobservable variables and measurement error

J. Mark. Res.

Convergent products: what functionalities add more value to the base?

J. Marketing

Growing, growing, gone: cascades, diffusion, and turning points in the product life cycle

Marketing Sci.

The moderating effects of message framing and source credibility on the price-perceived risk relationship

J. Consum. Res.

Consumer Value: A Framework for Analysis and Research

The structure of perceived risk: some further progress

J. Acad. Market Sci.