Consumer Perceptions Towards Digital Payments in Chhota Udaipur District: With Reference to Generation Z

Purpose: This research examines how Generation Z in the rural area of Chhota Udaipur, Gujarat, perceives and adopts digital payment methods. The objective is to identify the primary elements that affect their use of mobile wallets, internet banking, and various other digital payment solutions. Design/methodology/approach: A structured survey was implemented with a representative sample of Generation Z consumers located in Chhota Udaipur. The research assessed their perspectives and behaviors concerning digital payments, focusing on factors like convenience, trust, security, and familiarity with technology. Socio-economic aspects such as income, education level, and exposure to digital technology were also examined, in addition to the influence of government initiatives and participation from local merchants. Findings: The findings reveal that Generation Z in Chhota Udaipur is broadly receptive to the idea of utilizing digital payment systems. Nonetheless, obstacles such as concerns over security, inadequate infrastructure, and low digital literacy impede the widespread adoption of these technologies. The research points to an increasing awareness of digital finance but emphasizes the necessity for focused efforts to enhance usage rates. Originality/Value: This study adds to the scarce literature regarding the adoption of digital payments in rural India, particularly within the younger, technology-oriented demographic. It offers practical recommendations for policymakers, financial institutions, and local enterprises to create inclusive strategies aimed at fostering digital financial literacy and improving infrastructure in less developed regions.