Digital Payment Platforms Research Articles

Privacy as a Public Good: A Case for Electronic Cash

Privacy is a feature inherent to the use of cash. With steadily increasing market shares of digital payment platforms, privacy in payments may no longer be attainable in the future. We explore the potential welfare impacts of reductions in privacy in payments. In our framework, firms may use data collected through payments to price discriminate future consumers. A public good aspect arises because individuals do not internalize the full cost of failing to protect their privacy and reduce social welfare by suboptimally choosing not to protect their privacy in payments. We discuss potential remedies, including the issuance of electronic cash.

‘What would happen if you can’t see your money?’: Visibility and the emergent infrastructures of digital money storage in China

This article adopts an infrastructural perspective to analyse Chinese migrant factory workers’ conceptions of and approaches towards storing money on digital payment platforms. Scholars studying infrastructural systems have emphasised that such systems generally only become visible upon breakdown. However, this article finds that during the emergence of new infrastructures for monetary storage, existing infrastructures – along with the money stored within them – also become rendered conspicuous to users. In such moments, migrant factory workers are forced to assess the differences between existing and new infrastructural systems and make careful decisions over how to store their money. We claim it is necessary to acknowledge the shifting visibility of infrastructures during occasions of systemic transformation. Doing so can help to better understand how users navigate such infrastructures in attempts to solve problems of storage, while in the process re-evaluating their relationships with a variety of entities and institutions.

INTENSI MASYARAKAT DALAM MENYALURKAN ZAKAT, INFAQ, DAN SHADAQAH (ZIS) MELALUI PENGGUNAAN PLATFORM CROWDFUNDING

In Indonesia, the strategy of collecting zakat, infaq, and shodaqoh (ZIS) continues, one of which is through digital collection through the use of a crowdfunding platform. However, the community's intention or intention to distribute zakat, infaq, and shodaqoh through the crowdfunding platform has decreased based on the percentage of raising. The purpose of this study is to test the theory of Technology Acceptance Model (TAM) and Trust (Trust) by analyzing what factors influence the intention of the Indonesian people to distribute ZIS through the use of a crowdfunding platform. The population in this study are people who have used digital payment platforms with a sample size of 385 respondents. This study uses data analysis techniques with the Partial Least Squares-Structural Equation Modeling (PLS-SEM) method. The results of this study indicate that individuals believe that crowdfunding platforms are very easy to use and learn. On the other hand, individuals have high confidence in the crowdfunding platform and have a high perception of usability for the crowdfunding platform. The individual intensity is very high for using the crowdfunding platform. In the SEM-PLS analysis results, it was found that perceived ease of use, perceived usefulness, and trust have a positive and significant effect on behavioral intention. In addition, perceived ease of use and trust have an indirect effect on behavioral intention. This research is expected to be able to provide benefits in relation to policies to increase behavioral intention to distribute zakat, infaq, and Shodaqoh through the use of crowdfunding platforms.

DIGITAL TECHNOLOGY IN BANKING POST DEMONETIZATION

This research investigates the differences in the technology adoption behaviour of customers of Indian banks during the pre and post demonetization phase. The Survey results of 200 bank customers in India find that the Indians are still holding back from embracing the digital platforms to make payments. The study could not establish the constructive effects of demonetization in e-banking adoption behaviour, despite the significant growth in the use of small digital payment platforms like Paytm. However, the usage of Point of Sale (POS) machines for transacting payments has increased tremendously. The research finds drastic reductions in the use of other e-payment modes during and after demonetization. In that sense, the study concludes that the demonetization negatively affects the technology banking adoption behaviour of customers of Indian banks.

Society Intention in Distribution of Zakat, Infaq and Shadaqah (ZIS) through the Use of Crowdfunding Platform

One of the strategy of collecting zakat, infaq, and shodaqoh (ZIS) fund is through digital collection. However, the community's intention to distribute zakat, infaq and shodaqoh through the crowdfunding platform have increased. The purpose of this study is to discover the Technology Acceptance Model (TAM) and trust theory by analyzing what factors influence the intention of the Indonesian people to channel zakat, infaq and shodaqoh through the use of a crowdfunding platform. The population in this study are people who have used digital payment platforms with a sample of population 385 respondents. This study uses data analysis techniques with the Patrial Least Squares-Structural Equation Modeling (PLS-SEM) method. The results found that society intention in distribution of zakat, infaq and shadaqah (ZIS) through the use of crowdfunding platform afected by perceived ease of use, perceived usefulness and trust. This research is expected to provide benefits about policies to increase behavioral intention to distribute zakat, infaq and Shodaqoh through the use of crowdfunding platforms.

A 2020 perspective on “The race to dominate the mobile payments platform: Entry and expansion strategies”

Abstract The race to dominate digital payment markets is still ongoing, with no clear winner in sight. While some of the existing digital payment platforms continue to evolve prompted by increasing user base, others perish, making room for new contenders, such as the global tech companies (Apple, Google, and Samsung) to enter the race. This shift in the competitive environment opens new avenues for researchers to investigate the entry and expansion strategies of these entrants and the strategies, which already existing payment platforms can adopt to defend their market positions.

Has Demonetization Made Indians to Embrace Digital Technology in Banking?

This research investigates the differences in the technology adoption behaviour of customers of Indian banks during the pre and post demonetization phase. The Survey results of 200 bank customers in India find that the Indians are still holding back from embracing the digital platforms to make payments. The study could not establish the constructive effects of demonetization in e-banking adoption behaviour, despite the significant growth in the use of small digital payment platforms like Paytm. However, the usage of Point of Sale (POS) machines for transacting payments has increased tremendously. The research finds drastic reductions in the use of other e-payment modes during and after demonetization. In that sense, the study concludes that the demonetization negatively affects the technology banking adoption behaviour of customers of Indian banks.

“Social” Money and Working-class Subjectivities: Digital Money and Migrant Labour in Shenzhen, China

AbstractScholars of Chinese society have predominantly regarded the region's money to represent an unusually “social” artefact. The dramatic proliferation of “digital money” services within Chinese social media platforms in the last decade would seem to further confirm the social character of Chinese money. I present a comparison of the diverse views held by migrant factory workers in Shenzhen towards different digital payment platforms which, however, suggests that rather than digital money necessarily being more or less social, different platforms instead extend the possibilities of sociality in varying ways. I argue that acknowledging the production of such novel working-class subjectivities through digital money ought to be central to efforts to assess the potential of these technologies for addressing the social, institutional and economic exclusions faced by Chinese migrant labourers. This in turn can enrich our understanding of the emergence of a new “digital working-class” in China by revealing how such contemporary working-class subjectivities are shifting, contextual and processual in nature.

Demonetization and Digitization

Using big datasets from four diverse sources, of both suppliers and facilitators or recipients of digital payment platforms, we conduct a comprehensive analysis of the impact of unexpected demonetization in India on payment digitization. The drying-up of cash due to demonetization leads to a significant increase in the level of payment digitization and the rise applies to both traditional and non-traditional digital payment modes, including card and e-wallet. The usage pattern persists even during the re-monetization period when cash makes a comeback in the economy, indicating the success of demonetization in enabling new digitization technologies to make inroads into consumer payment habits. Heterogeneity tests reveals that regions that are underdeveloped economically, lag in financial inclusion and technology infrastructure and have a population with more conservative demographic characteristics experience a weaker digitization response.

Taxonomy of digital community currency platforms

ABSTRACTCommunity currencies are used to pay for products or services within specific groups defined by geographical boundaries or specific common interests. Financial crises, social emergence in developing countries, and increased access to digital devices have stimulated a growing number of communities worldwide to develop digital currency projects. These projects use technologies ranging from traditional plastic cards to mobile phones and blockchain technologies. Following the design science research approach, this paper analyzes digital community currencies (DCCs) by developing a taxonomy based on platform architecture, governance, transactionality and virtuality. By investigating 22 DCC platforms around the world, 4 groups were distinguished: local, proprietary, commons and cyber. The identification of these four different groups of digital community currencies allows us to better discuss the potentials and limitations of each one of them. The presented taxonomy can be useful to researchers and practitioners both to explain and to design DCC platforms. Discussing each of the emerging categories from the proposed taxonomy helps us to provide insights into DCCs, offering a new theoretical frame for investigating the particular case of digital payment platforms.

Factors Affecting Consumers' Perception towards E-Payment Systems in India

Demonetization by Government of India is a well-planned move towards a cashless economy which came as a bonanza for several digital payment platforms. Various mobile wallets and online payment systems are sprouting to reap the benefits of this opportunity. These vibrant payment systems evaporate the importance of cash as the only method of exchange of value. Perception of consumers towards these payment systems is highly important for future growth. This study aims to discover perception of users towards electronic payment (e-payment). Literature review indicates that factors such as usefulness, ease of use, security, trust, and risk significantly affect users' perception. A conceptual model was developed and tested in this study mainly focusing on factors influencing users' perception towards e-payment. A self-administered questionnaire was developed and disseminated to 200 respondents out of which 150 valid responses were considered for further analysis. Cronbach alpha was used to check the reliability of the questionnaire. Exploratory factor analysis was used to extract the variables. Correlation and multiple regression analysis revealed that usefulness, ease of use, and security significantly impact perception of users towards e-payment. However, results for trust and risk are insignificant. It has been found out that there is a great potential for future expansion of such payment instruments and the challenge is to meet the continuously growing expectations of consumers. Several implications can be drawn from the study for both marketing managers and policy makers which help in developing strategies directed at increasing epayment acceptance, and usage.

Towards A New Market Entry Framework For Digital Payment Platforms

This study presents a framework to understand and explain the design and configuration of digital payment platforms and how these platforms create conditions for market entries. By embracing the theoretical lens of platform envelopment, we employed a multiple and comparative-case study in a European setting by using our framework as an analytical lens to assess market-entry conditions. We found that digital payment platforms have acquired market entry capabilities, which is achieved through strategic platform design (i.e., platform development and service distribution) and technology design (i.e., issuing evolutionary and revolutionary payment instruments). The studied cases reveal that digital platforms leverage payment services as a mean to bridge and converge core and adjacent platform markets. In so doing, platform envelopment strengthens firms’ market position in their respective core markets. This study contributes to the extant literature on digital platforms, market entries, and payment.