Facebook is launching Facebook Pay in 2020. This study uses an experimental design to examine whether or not the
availability of Facebook Pay could have a significant effect on perceived financial risk, trust, perceived usefulness,
and perceived use on purchase intention in Instagram. A research model that depicts the purchase intention on
Instagram compared the two groups, 76 respondents as an experimental group and 62 respondents as a control group.
This study tests a research model with structural equation modeling (SEM PLS). This study shows no significant
difference between the experimental & control groups related to perceived financial risk, trust, perceived usefulness,
and perceived use on purchase intention on Instagram. Interestingly, the strong relationship between perceived
financial risk, trust, perceived usefulness, and perceived use and purchase intention in the experimental group is
stronger than the control group. This study's findings could help the practitioners to maximize product and marketing
effort for maximizing Facebook Pay function for social commerce users and give a new understanding of these study
variables for future research. This study has written discussions, limitations, and recommendations for future research.
Keywords
Perceived financial risk, trust, perceived of usefulness, perceived ease of use, purchase intention