Abstract:
This study aimed to identify the factors that affect the adoption of tele birr service usage in
Holeta town and to use the study’s findings to develop strategies for Ethio telecom on how to
take advantage of the rate of adoption. On this study a descriptive and explanatory research
design used. For this study, a quantitative research approach employed and the sources of
data for this study both primary and secondary. Primary data collected from tele birr
customers in Holeta town. The instrument used for the collection of primary data is
questionnaire. After data collected, data processed and analyzed using descriptive data
analysis; the corrected data edited and interpreted using tables, percentages. Correlation
analysis and multiple regression models used to examine the relationship and to identify the
effect of explanatory variables on the adoption of tele birr service. The analyzed data
conducted by using SPSS technology. The study concluded the averege numbers of customers
adopted tele birr service particularly customers use telebirr for sending money, receiving
money, for buying goods, to buy airtime, for paying bills. The study also found the level of
awareness a customer has about their mobile money is one of the main factors influencing
the use of tele birr. The study also concluded the degree to which an customers believes that
using tele birr useful is at good level. The study found that the degree to which a customers
trusts tele birr system is easy to use is at averege level. The study concluded previous
knowledge is one of the factors influencing adoption of tele birr. The study found that the
user's belief about the possible uncertain consequences of mobile money service determines
their adoption of tele birr service. In general, the study clearly shows, among the five factors,
perceived usefulness makes the strongest effect on the adoption of tele birr service usage.
Further, perceived risk makes the medium contribution to explaining the adoption of tele birr
service usage followed by prior knowledge followed by awareness of tele birr service and
followed by perceived easy way of use. The Management of Ethio Telecom expected to
ensure prior knowledge is given the highest importance to improve the adoption of the
telebirr mobile money service.
