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Factors influencing the adoption of robo-advisory services in South Africa : Financial services professionals’ perspectives
Journal article   Open access   Peer reviewed

Factors influencing the adoption of robo-advisory services in South Africa : Financial services professionals’ perspectives

Sisandile Cikido-Nkatu and Mamekwa Katlego Kekana
International Journal of Applied Research in Business and Management, Vol.7(5), pp.2700-8983
01/06/2026
Handle:
https://hdl.handle.net/10210/519888

Abstract

Financial Inclusion Financial Technology Robo-Advisory Services Technology Acceptance South Africa
This study investigates financial services professionals’ perspectives on factors influencing the adoption of Robo-advisory services among South African retail investors. An exploratory qualitative design was employed, utilising semi-structured interviews with 20 experienced professionals from major institutions listed on the Johannesburg Stock Exchange. Reflexive thematic analysis yielded five interconnected themes: awareness and perceptions; behavioural biases and attitudes; trust and confidence in digital platforms; platform improvements to drive adoption; and additional contributing factors. The findings reveal that behavioural biases, particularly loss aversion and preference for traditional advisory models, constitute significant barriers. Notably, the South African cultural financial obligation known as Black tax, rooted in the Ubuntu philosophy, emerged as a distinctive contextual factor requiring algorithmic accommodation. Trust is primarily mediated by institutional reputation rather than technical capability. Recommendations include hybrid human-digital models, gamification, multilingual interfaces, and culturally responsive algorithm design. The study contributes to technology acceptance literature by demonstrating how culturally embedded financial obligations mediate perceived usefulness in emerging market contexts.
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Open Access CC BY V4.0
url
https://doi.org/10.51137/wrp.ijarbm.565View
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