The platformed money ecosystem: Digital financial platforms, datafication, and reimagining financial well‐being

Abstract

Digital financial platforms have become an integral part of consumers' lives-resulting in the datafication of

Cashless gambling: Qualitative analysis of consumer perspectives regarding the harm minimization potential of digital payment systems for electronic gaming machines.

“…Platforms typically operate within business models based on data monetization, aggregating vast amounts of identifiable customer data linked to their transaction records and exchanging these data with other actors in the platform ecosystem (e.g., advertisers, credit ratings agencies) in ways that are largely hidden from the consumer (Christl, 2022; Hörnle et al, 2019; O’Dwyer, 2019). A key trade-off consumers (often unwittingly) make in adopting digital payment systems therefore involves yielding a degree of privacy in exchange for greater perceived convenience and personalization in the consumption experience, as well as potential loyalty rewards (Ekpo et al, 2022).…”

“…In a phenomenon termed the "new sociability of money" (p. 204), economic sociologists Guseva and Rona-Tas (2017) identify an important paradox about cashless payments: Although cashless payments may feel impersonal (Singh, 2004), the vast amount of data captured about the consumer's spending patterns and preferences makes digital transactions far more personal than anonymous cash-based transactions. The traceability of digital transactions facilitates organizations using these infrastructures and data to engage in practices that have wide-ranging implications for consumer privacy and financial well-being (Barros Pena et al, 2022;Ekpo et al, 2022;Ferrari, 2022;Lauer, 2020;Mützel, 2021;Westermeier, 2020). For example, digital payment platforms may impact consumer financial well-being (and more specifically, financial freedom of choice; Consumer Financial Protection Bureau, 2015) through the relative friction involved in transferring funds to and from the platform.…”

No card, no service: Challenges faced by vulnerable populations of a cashless society

“…Because payment alternatives may have significant advantages over cash to many consumers, the new alternative payment mechanisms may "crowd out" the more mundane and potentially more expensive cash alternative. Simultaneously, these products and their attendant advantages might not be as accessible as cash to some members of society (Ekpo et al, 2022). Certain vulnerable groups may lack awareness, understanding, or a requisite funding source (e.g., a bank account) for newer payment mechanisms such as peer-to-peer applications like Venmo.…”

“…However, these offerings imply that there is a choice to be made. Indeed, the Consumer Financial Protection Bureau (CFBP) in the United States denotes present and future financial choices as fundamental to consumer financial well‐being (Ekpo et al, 2022; Ratcliffe, 2015). Vulnerable populations may perceive little choice, however, in making these financial decisions (Cook & Sadeghein, 2018).…”

Editorial: Can the sharing economy contribute to wellbeing? Exploring the impact of the sharing economy on individual and collective wellbeing

“…This special issue explores how different facets of the sharing economy can contribute to or hinder individual and societal wellbeing. Wellbeing, a highly researched topic in the field of psychology (Ryan and Deci, 2001 ), has attracted attention in consumer studies (Lee and Ahn, 2016 ; Lin et al, 2022 ), in particular among transformative consumer researchers (Mick et al, 2012 ; Ekpo et al, 2022 ). In the extant literature, wellbeing is linked to happiness and life satisfaction (Oral and Thurner, 2019 ) as well as personal growth, autonomy, and self-acceptance (Ryff and Keyes, 1995 ).…”