Cash or Card: Consumer Perceptions of Payment Modes - Scholarly ...

Questions one and two are based on the assumption that the physical characteristics of
payment mode influence our cognitive and emotional elements, in essence these elements act
as a point of reference and thus influence our behaviour. This Chapter presents the rationale
for electing to position the study within the Framing paradigm and argues for the relevance of
the frame of reference/ (anchoring) and cognitive embodiment concepts. Question Three is
directed by the payment mode literature and the propositions formed reflect current research.
3.2: Background
The central premise of this study is that people in societies that use tokens as mediums of
exchange, over time, a complex psychological relationship with such tokens and that the
agreed value of the token becomes imbued in the actual token- i.e. that representative value is
physically and viscerally experienced. Further that nature of this psychological relationship
affects perceptions and thus judgements when paying for transactions; perceptions that vary
across the payment modes used.
In modern societies, cash tokens as representations of money have acquired meanings that are
time and culture specific. Individual perceptions of such tokens are influenced by such
meanings and by the specific psycho-social meanings that impact the individual. Where
researchers focus on money perceptions, for the most part the focus is on money as a concept.
For example Belk and Wallendorf (1990) identify two categories; The sacred and The
profane. Many of their examples are associated with the purpose/use of ‘money’ as a value
as opposed to the actual token. However that perception of money as a concept influences
how such tokens are perceived is evident in their work and the work of others. For example
giving rare or commemorative coins as a gift can transport the token to the sacred - to the
special. Studies by Webley, Lea and Portalaska (1983) and Burgoyne and Routh (1991)
report that the giving of a cheque as a gift, especially to special people on a special ‘gift’ day
was deemed unacceptable. Though the actual test stimulus was a cheque, results may be more
negative for actual coins and notes - giving a $50 note as a present- may be deemed mundane,
perhaps insulting. Children however, are often given coins for special occurrences - e.g. the
tooth fairy or the like. They also learn to ‘save’ coins and notes and to recognize monetary
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