Determinants of Consumer Behaviour in Subscription-Based Digital Payments: An Empirical Study on Auto-Debit and Digital Wallet Usage in India

Abstract

The rapid expansion of digital payment ecosystems has led to the widespread adoption of subscription-based payment models supported by auto-debit functionalities in digital wallets. This study investigates the determinants of consumer behaviour in subscription-based digital payments, focusing on the role of auto-debit features, financial awareness, and digital payment usage patterns. Primary data were collected from 116 respondents using a structured questionnaire, and statistical tools including regression, correlation, ANOVA, and percentage analysis were applied. The findings reveal that digital payment usage significantly influences subscription cancellation behaviour, while auto-debit usage contributes to both convenience and behavioural risks such as forgotten transactions and overspending. Regression results indicate a strong explanatory power (R² = 0.769), suggesting that consumer behaviour is largely driven by digital usage patterns and subscription comparison behaviour. Correlation analysis further highlights a strong positive relationship (r = 0.8188) between auto-debit usage and forgetting transactions, indicating potential financial management challenges. The study also identifies significant concerns related to transparency, security, and financial control among users. The results contribute to behavioural finance and fintech adoption literature by demonstrating that auto-debit systems act as both facilitators of convenience and drivers of passive financial behaviour. The study provides implications for fintech firms to enhance transparency, security, and AI-driven financial monitoring systems