The Influence of Expectations Regarding Performance on the Acceptance of Mobile Phone Banking Services by Smallholder Farmers: A Case of Smallholder Grape Farmers in Dodoma Region, Tanzania

Abstract

This study uses a cross-sectional survey design to examine the influence of expectations regarding performance on the acceptance of mobile phone banking services by smallholder farmers in Dodoma Region, Tanzania. A total of 360 smallholder farmers were selected randomly for the study. The collected data was analysed using multiple linear regression to assess the relationship between expectations regarding performance and acceptance of mobile phone banking services. The study’s findings showed that expectations regarding performance measures (job fit, perceived usefulness, extrinsic motivation, and outcome expectations) have good predictive potential in explaining smallholder farmers' adoption of mobile phone banking services. The findings suggest that smallholder farmers have trust (i.e. perceived usefulness), in using a mobile phone banking system to improve agricultural commercialization. The findings also emphasize that smallholder farmers believe (i.e. job fit) that using mobile phone banking technology is beneficial to them. Furthermore, smallholder farmers believe that people who engage in farming activities are likely to achieve the desired results if rewards and/or incentives are given (i.e. extrinsic motivation). The study draws attention to mobile phone banking service providers to fulfil the expectations of smallholder farmers by providing services that address smallholder farmers’ needs. Finally, policy attention should focus on the expected performance of mobile phone banking services used by smallholder farmers in rural areas.