TransactionExperiences:! A"Design"Research(Approach!

Transaction*Experiences:*! A"Design"Research(Approach!

Gabriele!Ferri,!Shaowen!Bardzell,!and!Jeffrey!Bardzell! Cultural!Research!in!Technology![CRiT]!Research!Group! Indiana!University!School!of!Informatics!and!Computing!

Executive)Summary:!In!late!September,!Scott!Mainwaring!asked!Indiana!members!of!the!ISTCH Social!Computing!project!to!collaborate!on!the!topic!of!transaction!experiences!from!a!design! perspective.!In!October!Scott!Mainwaring!and!Sue!Faulkner!came!to!Indiana!to!participate!in!this! work.!In!this!document,!we!summarize!the!first!milestone!from!our!research!through!designHbased! project.!After!some!initial!brainstorming!and!subsequent!analysis!of!contemporary!transaction! experiences,!we!held!two!consecutive!research!through!design!workshops!with!top!design!students! in!our!MS!and!Ph.D.!programs!in!HumanHComputer!Interaction/Design.!As!a!result!of!this!work,!we! have!composed!a!report!on!the!Transaction!Experience!Workshops!Methodology;!collected!a!Media! Dossier!of!Innovative!Transactions;!developed!the!Transaction!Experience!Model!(TEM)!to!support! designHbased!approaches!to!transaction!experiences;!and!we!iteratively!designed!two!transaction! experience!storyboards!that!suggest!some!interesting!trajectories!for!future!research!in!this!space.! We!also!include!a!PowerPoint!summary!of!all!of!this!work.!

Transaction!Experience!Workshops!!Methodology!and!Early!Results!...... !2!

1.!Preliminary!Mappings!...... !2!

2.!Basic!Categories!of!Transaction!...... !3!

3.!Design!Concepts!Emerging!from!the!Workshops!...... !4!

4.!Exploring!transaction!experiences!and!their!social!context!...... !5!

5.!Acknowledgements!...... !5!

Transaction!Experience!Model!...... !6!

“The!ValueHLaden!Processor”:!Design!concept!from!!the!Transaction!Experience!Workshop!...... !8!

“The!Smart!Zone”:!Design!concept!from!the!Transaction!Experience!Workshop!...... !10!

Media!Dossier!of!Innovative!Transactions!...... !12!

!! Transaction)Experience)Workshops))

Methodology)and)Early)Results)

Gabriele!Ferri,!Shaowen!Bardzell,!and!Jeffrey!Bardzell! Cultural!Research!in!Technology![CRiT]!Research!Group! Indiana!University!School!of!Informatics!and!Computing!

ISTCHSocial!Computing!is!conducting!a!project!on!Transaction*Experiences.!As!part!of!this!initiative,! the! Cultural! Research! in! Technology! [CRiT]! Research! Group! at! Indiana! University! organized! a! research* through* design! workshop! to! explore! some! future! possibilities! in! the! area! of! digital! transactions.!This!report!summarizes!our!processes!and!early!results!of!the!two!workshop!sessions.!

1.)Preliminary)Mappings) A! first! exploration! was! articulated! in! two! paths:! first,! the! outcome! of! a! brainstorming! exercise! concerning!novel!forms!of!transactions!proposed!to!a!group!of!MS!students!was!examined!and!then! a!sample!of!relevant!news!articles!was!collected!and!analyzed.!

A.)Students’)brainstorming.!The!students!were!given!a!wide!definition!of!“transaction”!and!were! asked!to!contribute!to!a!list!of!new!forms!that!are!made!possible!by!digital!technologies.!Amongst! the!167!items!that!they!proposed,!we!identified!some!trends:!

• Sharing) and) lending! of! digital! or! nonHdigital! resources! (e.g.! Lendle! to! borrow! Kindle! books!or!Divvy,!a!bike!sharing!initiative);! • Combinations! of! unusual) digital) and) nonDdigital) elements! (e.g.! Poop) Rewards,! to! promote! the! use! of! public! toilets! in! India! or! Random) Acts) of) Pizza,! in! which! pizzas! are! exchanged!anonymously!between!Reddit!users)! • “On)demand”,)adDhoc!services!(e.g.!Lyft,!an!onHdemand!ridesharing!service!or!WunWun,! an!personal!shopper)! • Social)funding)or)“grassroots”!financial!services!(e.g.!Kickstarter!or!Kiva!microloans)!

B.)Online)media)sampling.!A!small!sample!of!recent!news!texts!was!collected!and!analyzed.!Some! emerging!trends!stand!out:!

• Using!wearable)technologies)and)perceptual)computing!to!facilitate!a!payment!process.! “The* Ukrainian* bank* PrivatBank* [..]* announced* that* customers* will* be* able* to* pay* bills* by* taking*pictures*of*them*[..]*using*Google*Glass”!(text)1,)in)the)attached)dossier).!“LevelUp* tested* an* app* that* allows* Google* Glass* to* work* in* place* of* the* handheld* reader* to* scan* QR* codes.*The*cashier,*wearing*Google*Glass,*would*use*the*touch*controls*and*speak*instructions* to*"push"*the*payment*to*the*consumer's*device”!(text)2,)in)the)attached)dossier).! • Detaching) financial) transactions) from) their) social) context! or,! vice! versa,! making) payment)technologies)aware)of)their)surroundings.!Mobile!technology!will!be!used!to! transfer! money! in! public! to! a! friend! without! others! noticing,! for! example! to! avoid! awkwardness:!“Online*bank*Simple*today*announced*MoneyDrop*«Think*of*the*simplicity*of* AirDrop*filePsharing,*but*for*money»”!(text)3,)in)the)attached)dossier).!Vice!versa,!the!use! Paypal!Beacon!sociallyHsituated!and!well!visible!for!bystanders:!!“[the*system]*will*trigger*a* vibration*or*sound*to*confirm*a*successful*check*in*[in*a*store],*your*photo*will*then*appear*on* the*screen*of*the*PointPofPSale*system*so*you*can*be*greeted*by*name.*Paying*only*requires*a* verbal*confirmation,*and*you’re*done.*No*wallet.*No*card.*Nothing*to*do.*Not*even*touching* your*phone”!(text)4,)in)the)attached)dossier).! • Employing) biometric) and) facial) recognition! (text) 5,) in) the) attached) dossier)! and! generating) instant) gratification! for! customers.! “Peapod,* an* online* grocer,* recently* developed*a*feature*on*its*mobile*app*that*allows*customers*to*restock*household*staples*by* scanning*bar*codes*with*their*smartphones*at*home”!(text)6,)in)the)attached)dossier).! • Allowing!microDtransactions)in)computer)games:!“Grand*Theft*Auto*Online*[..]*will*feature* microPtransactions.*Players*will*be*able*to*complete*inPgame*missions*[..]*to*accrue*cash*to*buy* weapons,*cars*and*houses.*However,*they'll*also*be*able*to*use*real*money*to*buy*inPgame*cash* bundles”!(text)7,)in)the)attached)dossier).! • Alternative,) complementary) currencies! and! mobile) payments.! “Complementary* currency* [..]* relies* on* a* homegrown* form* of* paper* money* that* is* accepted* only* in* a* small* geographical*area*and*is*not*backed*by*the*national*government”!(text)8,)in)the)attached) dossier).!Relatively!lowHtech!mobile!payment!systems!are!popular!in!developing!countries:! for! example! the! MHPaisa! system! “facilitates* the* transfer* of* funds* using* a* mobile* phone* through*Short*Message*Service*(SMS)*and*an*Interactive*Voice*Response*(IVR)*system.*[…]*MP Paisa*offers*access*to*financial*services*anywhere*in*Afghanistan*including:*Person*to*person* money*transfer,*Bill*payments,*Receive*money*from*abroad…”!(text)9)and)9,)in)the)attached) dossier).!

2.)Basic)Categories)of)Transaction) The! Transaction! Experience! research! through! design! workshop! participants! explored! different! variables!in!the!transaction!form.!From!their!work,!we!can!map!an!initial!list!of!general!categories,! and!we!can!imagine!possible!innovations!related!to!them.!

Which)kind)of)value)is)exchanged?!Transactions!are!generally!understood!as!exchanges!of!objects! or!services!that!have!value)for!their!users.!However,!the!examples!in!this!mapping!suggest!very) different)kinds)of)values,!such!as:!

• Monetary!value! • Services! • Personal!data! • Information! • Cultural!capital,!knowHhow! • Introductions,!opportunities,!business!connections!/!personal!contacts! • Trust,!reputation! • Experiences,!stories! • Kindness,!empathy!and!other!emotions! ! The)general)component)of)the)transaction)experience)can)be)represented)on)different)axes.! [Note:!Two!of!these!axes!were!appropriated!from!work!done!within!Intel!by! Maria!Bezaitis! and! used!with!permission].!Different!experiences!can!be!positioned!on!three!continua:!

• Emotional) attachment) to) the) transaction,! to! the! actors! taking! part! to! it! and! to! its! outcomes.!This!axis!may!range!from!indifference!to!deeply*caring.! • Distance)between)the)actors!participating!to!the!transactions.!This!axis!may!range!from! distributed*to!coPlocated.!We!have!noticed!how!this!axis!may!also!be!understood!in!different! ways,!as!physical*distance!but!also!as!temporal*distance!(from!happening*at*the*same*time!to! happening*in*discrete*turns)!and!also!as!cultural*distance!(from!being!specifically*situated*in* a*cultural*context!to!be!culturallyPindependent).! • Ratio)between)humans)and)algorithms! participating!to!the!transactions.!This!axis!may! range!from!all*actors*being*humans!to!all*actors*being*algorithmic.!!

The) technologies) used) and) their) relation) with) the) physical) world.! New! technologies! are! entering!this!field,!such!as!wearable!devices,!perceptual!computing,!iBeacon!(lowHpower!Bluetooth)! and! NFC! (Near! Field! Communication).! Pervasive! technologies! have! the! potential! to! create! unexpected) relations) between) physical) actions) and) the) digital) world! (e.g.,! Poop) Rewards! promoting!the!use!of!toilets!in!rural!India!with!cellphone!airtime!minutes).!Perceptual!computing! might!be!used!to!authorize!transactions!without!other!physical!components!than!the!user’s!body! and!voice.!Geolocation!and!Bluetooth!beacons!can!be!used!to!make!mobile!devices!aware!of!their! physical! context,! present! relevant! information! to! the! user! and! automatically! initiate! certain! transactions!(PayPal)Beacon).!

The)form)of)the)transaction)and)the)relations)between)the)actors)involved.!Buying!and!selling! might!be!the!simplest!form!of!transaction!but!there!are!many!variants.!For!example,!the!ownership! of!the!object!might!change!only!temporarily!(sharing,)lending,)borrowing),!the!object!might!be! given/received!for!free!(making)a)gift,)donating)to)charities)!or!different!buyers!might!add!their! funds!to!reach!a!common,!expensive!goal!(crowdfunding).!Also!the!type!of!actors!involved,!their! relations! might! change! and! actors! can! be! human! or! nonHhuman.! A! vending! machine! is! a! simple! example!of!a!nonHhuman!actor!replacing!a!human!seller!but,!vice!versa,!Kiva!allows!human!users!to! take!the!place!of!banks!(corporate,!nonHhuman!entities)!in!granting!microloans.!We!are!used!to!use! software!to!complete!certain!tasks,!but!a!similar!relation!can!be!seen!in!"on!demand"!services!that! create!temporary!"contracts"!where!a!person!provides!an!ad!hoc!service!–!such!as!repetitive!human! tasks!(Amazon)Mechanical)Turk)!but!also!shopping!(WunWun)!for!a!limited!amount!of!time.!

3.)Design)Concepts)Emerging)from)the)Workshops) Workshop! participants! were! reminded! that! our! main! objective! was! to! explore! concepts,! not! produce!ideas!aiming!to!be!immediately!viable!for!application.!The!workshops!generated!different! interesting!provocations,!including:! • “The)ValueDLaden)Chip”,!a!small!processor!to!be!embedded!in!Arduino!boards!and!similar! products!to!keep!track!of!the!labor!that!makers!put!into!their!projects;! • “The) Smart) Zone”,! an! application! for! linking! physical! spaces! to! digital! contents! (e.g.! pictures!or!songs!to!be!bought!in!a!specific!location)!or!social!rules!(e.g.!“I!want!to!be!quiet,! I’ll!donate!1$!to!the!Red!Cross!for!every!person!that!stays!quiet!in!my!zone”);! • “The)Blackmailing)Object”,!a!mechanism!that!does!not!work!unless!certain!conditions!are! met!(e.g.!“You!will!not!be!able!to!enter!your!house!unless!you’ve!gone!to!the!gym!to!work! out”);! • “Barbecue)Etiquette”,!a!service!for!sending!anonymously!and!invisibly!small!sums!to!hosts! to!contribute!to!their!expenses!after!being!invited!to!dinner.!!

4.)Exploring)transaction)experiences)and)their)social)context) The! relation! between! transactions,! experience! and! social! context! is! a! complex! problem! to! be! addressed.!Some!tendencies!stand!out!and!might!be!explored!further!in!future!research:!

1. Users!enjoy!the!experience!of!purchasing!but!don't!enjoy!the!experience!of!paying:!how)can) merchants) keep) the) two) as) separated) as) possible?) How) can) the) unpleasant) experience)of)paying)be)made)more)enjoyable?!Some!technologies!(credit)cards)in!the! past,! more! recently! Paypal) BillMeLater)! increase! the! time! between! purchase! and! actual! payment,!while!providing!instant!gratification!to!the!customer.!Other!financial!tools,!such!as! cashHback!and!loyalty!programs,!specifically!target!payments!and!try!to!make!them!a!more! rewarding!experience.! 2. Some!types!of!transactions,!while!profitable,!are!perceived!as!negative!and!disruptive!for! the!overall!experience.!Having!to!pay!a!premium!for!priority!boarding!in!a!airplane!might!be! useful!but!is!also!annoying.!Similarly,!inDgame)transactions)in)some)computer)games)are! profitable! but! risk! of! unbalancing! gameplay! and! reducing! the! fun.! How) can) such) transaction)be)designed)in)a)way)that)they)don’t)disturb)the)overall)user)experience?! 3. Some! social! transactions! aim! at! not! being! noticed,! while! others! have! the! objective! of! attracting! attention.! For! example! MoneyDrop) make! the! act! of! giving! money! to! someone! invisible!and!immediate.!Other!examples!(e.g.!Foursquare)!tie!rewards,!cashHback!bonuses! and!other!freebies!to!social!actions!such!as!checking!in!at!a!specific!place.!Others,!such!as! Kickstarter,!encourage!users!to!share!on!social!media!their!support!for!a!certain!project.! How)can)transactions)be)invisible)(or)visible))to)suit)the)user’s)preferences?!

5.)Acknowledgements) We!wish!to!thank!and!give!credit!to!all!the!participants:!Chi!Chen,!Jared!Forney,!Shad!Gross,!Stephen! Hicks,! ChungHChing! Huang,! Matt! Jennex,! Tony! Robert! Kennedy,! Young! Suk! Lee,! Stephanie! Jean! Louraine,!Stephen!Miller,!Angelica!Rosenzweig,!Omar!Sosa,!Michael!Stallings,!Austin!Toombs,!Steve! Turalak,!Sijie!Yang,!Rayne!Zhou.! ! Transaction)Experience)Model)

Gabriele!Ferri,!Shaowen!Bardzell,!and!Jeffrey!Bardzell! Cultural!Research!in!Technology![CRiT]!Research!Group! Indiana!University!School!of!Informatics!and!Computing!

The! Transaction! Experience! Model! (TEM)! is! a! designHsupport! Transac(on! framework! providing! a! multiHscaled! description! of! transaction! products/systems,!value!exchanges,!and!their!user!experiences.!! Micro, Micro, Transac(on! Transac(on! TEM! subdivides! transactions! (such! as! exchanges,! services! or! Micro, Micro, Micro, Micro, activities)!into!clusters!of!micro*transactions,!which!in!turn!are! Interac(on! Interac(on! Interac(on! Interac(on! subdivided! into! sequences! of! micro*interactions! (Figure! 1).! Finally,!transaction,experiences,emerge!from!an!individual’s!fluid! Figure)1:)MultiDScale)Description) of)the)Transaction)System) movement!across!all!three!levels!(Figure!2,!next!page).!!

At!the!heart!of!the!model!are!microPtransactions,!understood!as!the*smallest*act*of*value*exchange* recognizable*by*at*least*two*entities*taking*part*in*a*transaction.!MicroHtransactions!constitute!the! glue!that!binds!the!particularities!of!the!interface/interaction!(i.e.,!the!microHinteractions)!with!the! overall!transaction!experience.*The!model!is!deliberately!agnostic!about!what!kinds!of!values!are! being! exchanged:! transaction! values! can! include! any! combination! of! currency,! goods,! services,! reputation,!trust,!data,!etc.!!

There!are!two!primary!uses!of!TEM.!!

• It)supports)design)processes:!The!model!facilitates!the!move!from!a!transaction!concept! towards!a!fuller!specification!(e.g.,!a!storyboard)!by!scaffolding!generative!thinking!about! material!properties!of!the!product,!its!inputs!and!outputs,!and!its!transaction!flows.!! • It)supports)transaction)experience)analysis.!The!model!offers!a!descriptive!framework! revealing!ways!that!diverse!values/goods!are!transacted!in!relation!to!particularities!of!the! interface! (e.g.,! its! I/O)! and! as! they! enter! into! the! subjectively! felt! user! experience! as! meaningful.!

TEM! was! first! formulated! within! of! a! series! of! research* through* design! workshops! organized! at! Indiana! University! as! part! of! the! Intel! ISTCHSocial! Computing! initiative.! In! these! workshops,! 15! designers! iteratively! sketched! over! 200! transaction! experience! concepts! as! a! way! of! exploring! alternative!framings!of!transaction!experiences!as!a!design!space.!!

Future! iterations! of! the! Transaction! Experience! Model! may! examine! more! closely! the! design! patterns! of! microPinteractions* and! microPtransactions! towards! more! analytically! precise! and/or! design!generative!descriptive!categories.!

! !

Figure)2:)Transaction)Experience)Model)(complete)) !

! ! !

“The)ValueDLaden)Processor”:)Design)concept)from)) the)Transaction)Experience)Workshop)

Design!concept:!Shad!Gross.!Illustration:!Chi!Chen! Workshop!organizers:!Gabriele!Ferri,!Shaowen!Bardzell,!and!Jeffrey!Bardzell! Cultural!Research!in!Technology![CRiT]!Research!Group! Indiana!University!School!of!Informatics!and!Computing! October,!2013! !

Function:! the! “ValueHLaden! Processor”,! an! addHon! for! Arduino! boards,! Raspberry! Pi! and! similar! tools!for!makers!and!hackers,!keeps!track!of!the!work!needed!to!produce!an!artifact.!!

It!monitors!the!construction!of!an!artifact,!automatically!recording!and!storing!a!set!for!data!that! constitutes!its!“history”!and!quantifies!the!maker’s!labor.!The!device!can!be!locked!and!taken!to!the! market!when!the!production!and!testing!phases!are!complete:!potential!buyers!can!examine!the! history! of! the! artifact,! unlock! it! to! for! a! tryHout! and,! finally,! buy! it.! Upon! purchase,! the! device! unlocks! completely,! allowing! the! new! owner! to! add! other! modifications! which! are,! in! turn,! recorded!to!the!device’s!history.!This!mechanism!documents!the!making!process!necessary!to!build! a!device!and!argues!for!an!increase!in!economic!value!over!time!through!hacking.!

! ! “The)Smart)Zone”:)Design)concept)from)the)Transaction) Experience)Workshop)

Design!concept:!ChungHChing!Huang.!Illustration:!Omar!Sosa! Workshop!organizers:!Gabriele!Ferri,!Shaowen!Bardzell,!and!Jeffrey!Bardzell! Cultural!Research!in!Technology![CRiT]!Research!Group! Indiana!University!School!of!Informatics!and!Computing! October,!2013! !

Concept:!the!“Smart!zone”!is!feature!for!mobile!technologies!(cellphones,!tablets,!laptops…)! that! allows! users! to! tie! algorithmic! rules! to! specific! physical! areas! and! share! them! with! other!people.!!

A!user!may!set!a!requirement,!a!location!and!a!consequence!H!for!example,!for!every!people! that!stays!quiet!around!the!user!in!the!library,!he!will!donate!0.25$!to!a!local!charity.!! !

! The! same! mechanism! can! be! adopted! also! for! commercial! transactions,! making! some! electronic!purchases!possible!only!in!specific!zones!H!for!example,!an!artist!might!want!to! tie! some! of! his! products! to! a! place! that! is! particularly! significant! and! offer! a! digital! download!only!to!customer!in!that!location.!!

This! concept! explores! the! relations! between! transactions,! mobile! digital! technologies,! social!relations!and!physical!places.!

! !

Innovative Transactions: Media Dossier

Gabriele Ferri, Shaowen Bardzell, Shaowen Bardzell’s I590 Advanced Prototyping class Cultural Research in Technology [CRiT] Research Group Indiana University School of Informatics and Computing

Transaction Experience Workshop Media Dossier

Document 1

Workshop organizers: Gabriele Ferri, Shaowen Bardzell, and Jeffrey Bardzell Cultural Research in Technology [CRiT] Research Group Indiana University School of Informatics and Computing

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PrivatBank reveals what banking will look like using Google Glass

By Ben Woods, Tuesday, 4 Jun '13, 06:44pm

Article 4 comments

The Ukrainian bank PrivatBank has given customers a glimpse of what they will be able to do using Google Glass once it is of what they will be able to do using Google Glass once it is available on general release.

The bank gave the ﬁrst teaser glimpses of the what customers will be able to do in a video on Tuesday and said that customers will be able to pay bills by taking pictures of them, transfer money or refuel a car with voice commands and pay for purchases by reading QR codes using Glass.

Rather than needing a massive technical overhaul of its systems in order to get up and running on Glass, PrivatBank is simply reusing its existing banking apps and technology on the new platform.

“PrivatBank has become one of the ﬁrst banks in the world to begin implementing QR codes and voice-activated control to its services on a large scale,” Dmytro Dubilet, Marketing Director of PrivatBank, said. “The architecture of our applications suits Google Glass ideally. We don’t even have to adapt anything, everything is ready.”

For example, customers will still be able to pay bills by taking photographs using the bank’s PhotoKassa application, or photographs using the bank’s PhotoKassa application, or SendMoney using voice commands, they just won’t need to use their hands to do it.

PrivatBank is keeping schtum on the speciﬁc date it will enable this functionality for its customers but did say it will be available “in the nearest future after the launch of Google Glass”.

Still, PrivatBank will likely have enough time to perfect the services for Glass use as the consumer version of the augmented reality headset is not expected to go on sale until the ﬁrst half of next year.

You can check out the video for yourself below.

Image Credit - DPA/Getty Images Transaction Experience Workshop Media Dossier

Document 2

Workshop organizers: Gabriele Ferri, Shaowen Bardzell, and Jeffrey Bardzell Cultural Research in Technology [CRiT] Research Group Indiana University School of Informatics and Computing

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One of the early uses for payments that LevelUp tested is an app that allows Google Glass to work in place of the handheld reader it uses to scan QR codes off of a consumer's mobile phone. The cashier, wearing Google 7 Mobile Security Ideas Visa, MC and Amex Should Glass, would use the touch controls and speak Watch instructions to "push" the payment to the consumer's device.

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PaymentsSource editor Daniel Wolfe and American Banker reporter Sean Sposito have shared EMV Migration Forum: Use Single Code for their early impressions of Google Glass' capabilities, and discuss its potential uses with systems Debit Transactions like LevelUp in the video below: Apple's Newest Tech Poses a Threat to Banks, Card Networks The Bitcoin ATM's First Owner Is a Payments- Industry Insider 7 Mobile Security Ideas Visa, MC and Amex Should Watch

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LevelUp offers mobile payments for a variety of retailers though partnerships with processors like REGULATION & REFORM CFPB Pulls Enforcement Attorneys from Its Heartland Payment Systems, mobile payment companies like Shopkeep POS and banks such Exams as First Trade Union Bank. COMMUNITY BANKING The company recently extended its reach in restaurant payments with pcAmerica and NCR. The Prudential Bancorp Completes Second-Step NCR deal allows LevelUp to update its technology at many of the NCR merchants that already Conversion deployed its mobile-payment system.

Despite Priebatsch's enthusiasm, LevelUp is not currently planning to deploy a Google Glass service, though he says some merchants have inquired about Google Glass.

"They said that if we give them glasses for their cashiers they will go with, but given how restricted [Google Glass' current distribution] is, it's probably further off," Priebatsch says.

Google Glass is being introduced gradually, and currently isn't broadly available. Google currently sells the devices to developers and to early adopters who entered a contest to win a chance to buy the headsets at $1,500 each.

Other payment companies have explored the idea of using Google Glass with their own products.

"We're excited about Google Glass, and anyone who is a developer knows it has a lot of potential," says Oren Levy, CEO of ZooZ, a mobile payments technology company.

ZooZ does not have a Google Glass app, but is experimenting with the technology, Levy says. "We see a consumer walking around a shop and seeing a product that they want. Google Glass can scan the barcode and enter that item into the consumer's shopping cart," Levy says. DATA SEE ALL »

Wearable computing technology such as Google Glass can be a way to bring greater context to mobile shopping, says Cyriac Roeding, founder and CEO of shopkick, which offers a sound-based mobile rewards system.

"It's your personal lens on a store, and the pun is almost intended. Google Glass can show you which items you looked at before, what your friend Sally likes at the same store, special offers, etc.," Roeding says.

The form factor for wearable computing still has to evolve, Roeding says. The Google Glass screen is designed to sit just above the user's field of vision, and the "upward gaze" the device's use is awkward, he says, but this awkwardness can be overcome. Debit, Credit Dominate Consumer Payment Choice "The computer is getting closer to the body, it used to be on a desk, then it was in your hand, now it's on your face or arm," he says. "If someone is at a store with a full [literal] shopping cart, they can do hands-free shopping with Google Glass."

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Simple announces MoneyDrop to help you send money to nearby friends | The Verge

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Online bank Simple today announced MoneyDrop, a new feature for its mobile app that Twitter announces tablet- lets users pay each other fee-free. The app uses Bluetooth Low Energy to help you optimized Android app, connect with friends nearby and pay them with a few taps. MoneyDrop is essentially the makes it a same feature offered by banks like Chase which let customers pay each other wirelessly, Samsung exclusive but whereas Chase QuickPay has a clumsy and archaic user interface, MoneyDrop is modern and easier to use. It's more along the lines of something like Venmo or PayPal, Lenovo's IdeaPad A10 is a except payments are instantaneous, fee-free (unlike Square Cash), and you don't have to low-end, Android-powered laptop with no clear add external bank accounts before you start using it. "Think of the simplicity of AirDrop target audience file-sharing, but for money," said a Simple spokesperson. "We want to make it instant, and replace cash." A distant solar system had the ingredients to support life, study finds

http://www.theverge.com/2013/10/9/4817976/simple-moneydrop-send-money-to-friends-bluetooth[10/10/2013 3:33:56 PM] Simple announces MoneyDrop to help you send money to nearby friends | The Verge

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1 day ago 2 comments Of course, you (and the person you're paying) will need Simple accounts to use MoneyDrop, and Simple accounts are available by invite only. The company says it's sending out "thousands" of invites each week, but it could be a while before you get in. Simple has 65,000 users, with at least 100,000 more on its wait list. MoneyDrop is set to debut "in the coming months," according to the company.

Simple has thus far quickly added new features, unlike most banks, which makes it an increasingly interesting prospect for debit card users. Simple is admittedly limited in scope, but until the company launched, you'd have to use one app to manage money (like Mint) and another to send it. Simple still doesn't offer credit cards or any kind of reward points, but has made the idea of "replacing your bank" even more interesting with its integrated approach.

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http://www.theverge.com/2013/10/9/4817976/simple-moneydrop-send-money-to-friends-bluetooth[10/10/2013 3:33:56 PM] Transaction Experience Workshop Media Dossier

Document 4

Workshop organizers: Gabriele Ferri, Shaowen Bardzell, and Jeffrey Bardzell Cultural Research in Technology [CRiT] Research Group Indiana University School of Informatics and Computing

PayPal Beacon: Finally an Easier Way to Pay in Stores Than Swiping a Credit Card | PayPal | Forward

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2453 Sep PayPal Beacon: Finally an Easier Way to 9 Pay in Stores Than Swiping a Credit Card Featuring David Marcus, President, PayPal

6 Comments Mobile

At PayPal, we’re passionate about opportunities to bring greater convenience, value, and fun to people’s lives by building beautiful products that make the payment part of shopping simpler, faster, and a whole lot richer. The new PayPal app is a great example of how we’re helping to solve everyday problems that consumers and merchants struggle with today, even as we deliver exciting new shopping experiences for tomorrow.

Now, instead of finishing a meal at a restaurant by waiting for the server to run your credit card, and then finally return it for your signature, you can simply pay using your PayPal app and leave when you’re ready. And, instead of waiting in a line to pick up and pay for your takeout order, you can order ahead through our new app to skip the line altogether.

But this is just the beginning.

We challenged ourselves to find a better experience than swiping a credit card. And that’s hard. No one wakes up in the morning and thinks, “I wish someone invented something better than swiping a card to pay. I hate it.” We figured the only better way to pay would be to do nothing. Just walk in a store, and, like magic, when you’re ready to pay, money is transferred securely. We played with geo-location leveraging GPS and WiFi. We played with geo-fences in iOS. But, none of these solutions met our standards.

https://www.paypal-forward.com/mobile/paypal-beacon-finally-an-easier-way-to-pay-in-stores-than-swiping-a-credit-card/[10/12/2013 2:21:50 PM] PayPal Beacon: Finally an Easier Way to Pay in Stores Than Swiping a Credit Card | PayPal | Forward

Traditional geo-location requires phone signal and good data throughput to offer a great experience, the indoor resolution isn’t good enough, and keeping it on at all times significantly reduces battery life. Geo-fencing can only be used with a limited number of locations.

So, we started looking at Bluetooth Low Energy, otherwise known as BLE. BLE is a breakthrough technology that will enable connected devices to communicate with each other seamlessly, while keeping the energy consumption at a very low level. The team started working on designing an integrated solution that would enable a transaction to take place without having to open up an app, without GPS being turned on, and even without a phone signal for those places with thick concrete walls (those of you who live in the UK know what I mean).

Today, I’m very excited to unveil PayPal Beacon. This technology is our most significant contribution to date in reinventing the in-store shopping experience. Beacon is a new add-on technology for merchants that will enable consumers to pay at their favorite stores completely hands-free. Consumers will have full control of stores they will want to check in to, those they will want to get prompted to confirm payment for, and stores they will want to enable a complete hands-free experience for. In the latter case, simply walking in a store will trigger a vibration or sound to confirm a successful check in (this happens in milliseconds), your photo will then appear on the screen of the Point-of-Sale system so you can be greeted by name. Paying only requires a verbal confirmation, and you’re done. No wallet. No card. Nothing to do. Not even touching your phone.

Any store running Point-of-Sale systems compatible with PayPal, including Booker, Erply, Leaf, Leapset, Micros, NCR, PayPal Here, Revel, ShopKeep, TouchBistro and Vend, and many more soon, will simply plug a PayPal Beacon device in a power outlet in their store. Once the Beacon is plugged in, they will be ready to offer the best, most personal shopping experience ever.

We value our customers’ privacy, so PayPal Beacon won’t constantly track your location like other technologies. If you enter a store and decline to check in, or just ignore the prompt entirely, no information is transmitted to PayPal or the merchant.

We’re opening up opportunities for retailers and developers.

With the introduction of PayPal Beacon, I believe we’re opening the door to a

fundamentally different way to use technology to make shopping richer and more valuable for consumers and merchants alike. That’s why I’m excited to share the news that we’re giving developers access to the PayPal mobile in-store API to create experiences such as being able to self-checkout on your mobile phone or automatically placing a customer’s usual order as soon as they walk through the door. Take a look at the videos below to see how it works and to get inspired. Developers can submit their ideas at www.paypal.com/beacon for a chance to be chosen as one of the 100 developers that get access to the API and a free developer version of the PayPal Beacon device before we roll this out.

We’ll start piloting Beacon-enabled shopping experiences in Q4, and the full rollout is planned early next year.

I, for one, can’t wait to see what developers do with PayPal Beacon once they get their hands on it. For a chance to be chosen as one of the developers to experiment with PayPal’s mobile in-store API and the PayPal Beacon device, just visit www.paypal.com/beacon to submit your ideas. This is also the place to go for anyone who is interested in learning more about this great new technology, or signing up to https://www.paypal-forward.com/mobile/paypal-beacon-finally-an-easier-way-to-pay-in-stores-than-swiping-a-credit-card/[10/12/2013 2:21:50 PM] PayPal Beacon: Finally an Easier Way to Pay in Stores Than Swiping a Credit Card | PayPal | Forward

receive updates on when it will be available to everyone.

The future of in-store payments is finally here. Now it’s time to start rolling it out and delighting millions of customers around the world.

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https://www.paypal-forward.com/mobile/paypal-beacon-finally-an-easier-way-to-pay-in-stores-than-swiping-a-credit-card/[10/12/2013 2:21:50 PM] Transaction Experience Workshop Media Dossier

Document 5

Workshop organizers: Gabriele Ferri, Shaowen Bardzell, and Jeffrey Bardzell Cultural Research in Technology [CRiT] Research Group Indiana University School of Informatics and Computing

NEWS

...Continued from front page SITA and NEC join It also recommends that social networks Editorial Office: using facial recognition features should provide Elsevier Ltd forces as EU moves to The Boulevard consumers with clear notice about how the Langford Lane feature works, what data it collects, and how automate border gates Kidlington that data will be used. They also should provide Oxford OX5 1GB, UK ITA, the air transport IT specialist, and Fax: +44 (0) 1865 843973 consumers with an easy to use choice not to NEC Europe are to work together to pro- Email: [email protected] have their biometric data collected and used for S Website: www.biometrics-today.com vide an automated border control (ABC) gate facial recognition, and the ability to turn the solution incorporating biometric technology for Publisher: David Hopwood feature off at any time and have the biometric use at immigration control points at airports in data previously collected from their photos per- Editor: Tracey Caldwell the European Union (EU). manently deleted. Email: [email protected] The agreement comes as EU member states Facebook has previously argued against a implement recommendations to move to self- Production Support Manager: Lin Lucas requirement for opt-in consent, during an service border control using ABC gates. Email: [email protected] earlier US government consultation. The SITA/NEC automated border control Subscription Information Finally, the report states, there are at gate incorporates face recognition, and option- An annual subscription to Biometric Technology Today includes least two scenarios in which companies 10 issues and online access for up to 5 users. ally fingerprint verification, against e-passport should get consumers’ affirmative consent’, Prices: data. Passengers can be processed through the !1098 for all European countries & Iran so-called ‘opt in’ before collecting or using SITA/NEC ABC gate in 10 seconds or less. US$1188 for all countries except Europe and Japan biometric data from facial images. ¥146 000 for Japan (Prices valid until 31 December 2012) First, they should obtain consent before To subscribe send payment to the address above. using consumers’ images or any biometric banking Tel: +44 (0)1865 843687 data in a different way than they represented or via www.biometrics-today.com Subscriptions run for 12 months, from the date payment when they collected the data. Secondly, com- French banks, retailers is received. panies should not use facial recognition to identify anonymous images of a consumer to to pilot biometric This newsletter and the individual contributions contained in it are someone who could not otherwise identify protected under copyright by Elsevier Ltd, and the following terms and payment method conditions apply to their use: him or her, without obtaining the consumer’s Permissions may be sought directly from Elsevier Global Rights affirmative consent first. Department, PO Box 800, Oxford OX5 1DX, UK; phone: +44 1865 atural Security has partnered with 843830, fax: +44 1865 853333, email: [email protected]. You a number of French banks, retailers may also contact Global Rights directly through Elsevier’s home page N (www.elsevier.com), selecting first ‘Support & contact’, then ‘Copyright e-borders and manufacturers on a pilot deployment & permission’. In the USA, users may clear permissions and make payments through the Copyright Clearance Center, Inc., 222 Rosewood of a payment method that combines a Drive, Danvers, MA 01923, USA; phone: +1 978 750 8400, fax: +1 978 smart payment card, biometrics and mid- 750 4744, and in the UK through the Copyright Licensing Agency Rapid Countries look to Clearance Service (CLARCS), 90 Tottenham Court Road, London W1P range contactless communication. 0LP, UK; phone: +44 (0)20 7631 5555; fax: +44 (0)20 7631 5500. Other biometrics to fight Customers of Auchan, Leroy Merlin and asso- countries may have a local reprographic rights agency for payments. Derivative Works visa fraud ciated retailers in Angoulême (close to Bordeaux, Subscribers may reproduce tables of contents or prepare lists of arti- South West of France) and Villeneuve d’Ascq cles including abstracts for internal circulation within their institutions. Permission of the Publisher is required for resale or distribution outside srael and Malaysia are moving (close to Lille, North of France) will try out the the institution. Permission of the Publisher is required for all other towards the compulsory registration new way of paying for purchases. derivative works, including compilations and translations. I Electronic Storage or Usage of biometrics of visitors, according to Two biometric technologies will be tested Permission of the Publisher is required to store or use electronically local reports. during the six-month pilot: digital fingerprints any material contained in this journal, including any article or part of an article. Except as outlined above, no part of this publication may In Israel, Ynetnews reports that visitors in Angoulême and finger vein patterns in be reproduced, stored in a retrieval system or transmitted in any form Villeneuve d’Ascq. Customers of partner banks or by any means, electronic, mechanical, photocopying, recording or refusing to provide fingerprints will be otherwise, without prior written permission of the Publisher. Address refused entry. The Interior Ministry has sug- will be invited to visit their bank branch to reg- permissions requests to: Elsevier Science Global Rights Department, at ister their biometric data in their credit card. the mail, fax and email addresses noted above. gested creating a biometric database for all Notice foreigners entering Israel and that a tourist Stakeholders include Banque Accord, BNP No responsibility is assumed by the Publisher for any injury and/ who refuses to provide fingerprints and a Paribas, Crédit Agricole, Crédit Mutuel Arkéa, or damage to persons or property as a matter of products liability, negligence or otherwise, or from any use or operation of any meth- picture of his or her face will not receive an Groupe Auchan, Ingenico and Leroy Merlin. ods, products, instructions or ideas contained in the material herein. entry visa. Because of rapid advan ces in the medical sciences, in particular, independent verification of diagnoses and drug dosages should be made. Foreigners who require entry visas to Although all advertising material is expected to conform to ethical Malaysia will first have to register using a Voice and facial (medical) standards, inclusion in this publication does not constitute a guarantee or endorsement of the quality or value of such product or of biometric system at the country’s embassies to recognition will the claims made of it by its manufacturer. deter visa fraud, reports thehindubusinessline. com. Those who do not comply with the drive mobile finance Immigration Department’s proposed biometric visa will be turned back at the border. alf of business bank account hold- Under the proposal, the fingerprints of ers would be more likely to select 12985 H Digitally Produced by foreigners will be verified at the embassies a bank that could demonstrate robust Mayfield Press (Oxford) Ltd and again at the entry points in Malaysia. 38 authentication methods, according to countries are in Malaysia’s visa list. research by Javelin Strategy & Research.

2 Biometric Technology Today November/December 2012 NEWS

Over 77% of the company’s bank customers have indicated they will adopt the EyeSign unit for online services, particularly at internet online stores, EVENTS government and online banking applications. The customer accesses his or her bank account at home CALENDAR by looking into a small iris reader device that is 15–17 January 2013 connected to their home computer. Dubai, UAE Cairo Amman Bank (CAB) was the first to Intersec 2013 deploy IrisGuard’s EyeBank. The solution is oper- With around 1,000 international exhibitors expected, the 15th edition of Intersec is set to build on its Source: Javelin Strategy & Research. ational at all customer service desks, teller stations reputation as a significant trading platform and and ATMs throughout Palestine and Jordan. networking event for security and safety Javelin predicts that financial institu- Irisguard is extending the EyeSign product professionals in the Middle East. More information: www.intersecexpo.com tions will begin deploying biometric line, to include an OEM camera module, technology in 2013 to authenticate which will be available in the first quarter of 30 January–1 February 2013 2013. “This will permit systems integrators to Alexandria, VA, US their internet banking customers. 6th Annual Biometrics for National Security and “Voice and facial recognition will be the long- embed the OEM module into points of sale Law Enforcement Summit term biometric winners,” says Alphonse Pascual, and kiosks equipment solutions,” says Andrew This summit provides the venue to learn what key Holland, senior vice president for research and decision makers and technology experts anticipate industry analyst, Security, Risk and Fraud at being the future of securing warfighters, citizens, Javelin. “Voice will launch first, as it’s more development at IrisGuard. government employees, and borders. mature and easier to implement in the financial More information: www.biometricsevent.com services industry, especially in the mobile bank- development 11–14 February 2013 ing channel. Financial institutions can easily Barcelona, Spain layer voice biometrics with other authentication BIOSTEC 2013 NIST develops test BIOSTEC brings together researchers and prac- methods to make them more robust than they titioners, including engineers, biologists, health are as standalone authentication measures.” tools for its biometric professionals and informatics/computer scientists, Financial institutions have to implement interested in theoretical advances and applications data standard of information systems, artificial intelligence, signal authentication strategies that meet both con- processing, electronics and other engineering tools sumer preferences and the recent FFIEC regula- in knowledge areas related to biology and medicine. he US National Institute of tory requirements for internet banking security. BIOSTEC comprises four co-located conferences. Standards and Technology (NIST) More information: www.biostec.org Javelin Strategy & Research’s latest authenti- T has developed a software test suite cation report examines the experience and per- 17–21 February 2013 that allows users of NIST’s revised Abu Dhabi, UAE ceptions of customers with a range of authen- biometric standard to gain higher IDEX 2012 The International Defence tication methods. Of business bank account confidence that the correct biometric Exhibition and Conference owners, 50% are more likely to consider IDEX is the only international defence exhibition and information can be shared between conference in the MENA region demonstrating the robust identity verification methods to be very agencies accurately and rapidly. latest technology across land, sea and air sectors of compelling or extremely compelling factors in Biometric Conformance Test Software for defence. It is a platform to establish and strengthen choosing a new financial institution. relationships with government departments, busi- Data Interchange Formats (BioCTS2012) nesses and armed forces throughout the region. includes a test suite designed to test implemen- More information: http://www.idexuae.ae/ IrisGuard Eyesign tations of the biometrics data standard ANSI/ 4–7 March 2013 NIST-ITL 1-2011. Miami, Florida camera offers access Data standards like ANSI/NIST-ITL 1-2011 The 2013 Winter Biometrics Summit Practical deployment strategies, market trends and only work when they are implemented correctly best practices in government and business. to online banking in software applications. NIST researchers More information: http://www.aliconferences.com/ developed the new conformance testing meth- conf/biometrics_summit_winter13/index.htm risGuard has announced an iris rec- odologies and test tools to support the user ognition imager system, the EyeSign 23–25 April 2013 I community, product developers and testing labs London, UK camera, which will offer internet bank- Infosecurity Europe in forestalling problems. ing and online shopping functionality Infosecurity Europe features over 350 exhibitors, Published in November 2011, the standard as well as integration into its EyeBank a diverse range of new products and services, an provides a method for encoding and storing education programme and 12,450 unique visitors solution for traditional banking chan- from every segment of the industry. biometric data digitally so it can be shared by nels such as teller and ATM services. More information: www.infosec.co.uk the various ID systems used by law enforce- Users enroll their iris biometrics at their bank ment, military and homeland security agencies. 24–25 April 2013 branch. Iris scanners are installed at the bank London, UK counter and customers can approach the iris Counter Terror Expo Counter Terror Expo 2013 is an international event to scanner and then withdraw cash at the counter Biometric tech assists mitigate threats, protect against terrorist attacks and without further identification. Cameras are also understand current modern day risks, in a secure envi- built into ATMs allowing customers to with- and IDs drivers ronment. It will feature solutions to protect against threats for: police, emergency services, government, draw cash without a card or pin number military, intelligence and security services, private Over the next six months, the device will be ar makers are increasing the use of sector, large scale sites, oil and gas, cyber, maritime/ deployed at all banks running the IrisGuard Cbiometric technology to both assist anti-piracy and critical national Infrastructure. More information: http://www.counterterrorexpo.com EyeBank solution. Continued on page 12...

3 November/December 2012 Biometric Technology Today Transaction Experience Workshop Media Dossier

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Workshop organizers: Gabriele Ferri, Shaowen Bardzell, and Jeffrey Bardzell Cultural Research in Technology [CRiT] Research Group Indiana University School of Informatics and Computing

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Peapod, an online grocer, lets shoppers restock items from home by scanning bar codes on packages via a smartphone.

By HILARY STOUT Published: October 8, 2013

All the world’s a shopping cart. FACEBOOK

TWITTER A wave of experiments at various GOOGLE+ More Tech companies could take consumer Coverage SAVE News from the convenience (and impulsiveness) to Subscribe to Technology RSS Feeds technology industry, new heights. The ultimate vision is a E-MAIL including start-ups, Technology News Bits Blog form of shopping nirvana, where Internet Start-Ups Personal Tech the Internet, SHARE enterprise and gadgets. consumers can buy what they covet on Business Companies Pogue’s Posts On Twitter: @nytimesbits. Computing the spot — straight from an attention- PRINT Enlarge This Image grabbing magazine ad, for instance, or REPRINTS off a television screen, or even from a MOST E-MAILED RECOMMENDED FOR YOU refrigerator. 1. INDIA INK Mobile Payment Startups Face Reluctant On Tuesday MasterCard plans to Indian Consumers

announce a partnership with Condé 2. TAKING NOTE Nast, the publisher of Vogue, Wired, Vanity Fair and other What the Latest Consumer Credit Report Tells Us popular magazines, that will allow digital readers to instantly buy items described in an article or showcased in 3. YOUR MONEY ADVISER Prepaid Debit Cards Shed Some Fees, but an advertisement by tapping a shopping cart icon on the Face Scrutiny page. The partnership, called ShopThis, will begin in the 4. Consumers Keep Credit Card in the Wallet November tablet edition of Wired, due on Oct. 15.

ShopThis lets consumers click an icon Peapod, an online grocer in the Northeast and Midwest in a magazine ad for product details. 5. that provides home delivery, recently developed a feature Groceries Are Cleaning Up in Store-Brand Enlarge This Image Aisles on its mobile app that allows customers to restock household staples by scanning bar codes with their 6. Craving Those Good Old Dot-Com Days smartphones at home.

“You are finishing the box of Cheerios, pouring your last 7. France Takes Aim at Amazon to Protect Local Bookshops bowl,” explained Mike Brennan, Peapod’s chief operating officer, “and before throwing the box away, you take out 8. DEALBOOK bowl,” explained Mike Brennan, Peapod’s chief operating officer, “and before throwing the box away, you take out 8. DEALBOOK Inquiry Into Illicit Online Marketplace your phone and scan the bar code.” The order goes straight Extends to Britain to the consumer’s virtual shopping basket. 9. Art Collections a Click Away And Paydiant, a company that develops mobile payment platforms for clients in the finance and retail industries, 10. Arrest in U.S. Shuts Down a Black Market has created a technology for scanning a QR, or quick Then they can click again to add the for Narcotics item to their shopping cart without response, code off a television screen to redeem a coupon leaving the magazine. or instantly buy something a viewer fancies in a Presented by Log in to discover more articles commercial or perhaps even during a television show. based on what you‘ve read.

“We have developed it, but we haven’t deployed it,” said Chris Gardner, a co-founder of What’s This? | Don’t Show

Paydiant. “I would imagine someone is going to want us to do that over the course of the next year.”

Such developments seem a natural extension of a culture that has immediate access to information, and more.

“The whole world right now is about instant gratification,” said Matt McKenna, the founder and president of Red Fish Media, a digital and mobile marketing agency based in Miami, who is working with retailers to amp up their mobile sales strategy, including developing personalized digital look books that text new releases to consumers for instant purchase. Baby Hope's mother is questioned; investigators proceed with caution This push for immediate retail gratification is occurring as the delivery wars are escalating Also on NYTimes.com In Times Square, a friendly jab at atheists among some of the biggest e-commerce companies in a dash to get orders to consumers as Watch squatters' paradise lost fast as possible.

EBay and Amazon have initiated same-day service in a handful of cities. Walmart has been looking at ways to use its 4,000 stores as distribution points to fulfill orders the same day to customers outside major metropolitan areas.

Even Google has gotten into the act with Google Shopping Express, a program that allows Northern California residents from San Francisco to San Jose to receive deliveries within hours of ordering from numerous local and national merchants, including American Ads by Google what's this? Eagle, Walgreens, Toys “R” Us and Target. They must pay with Google Wallet, the ChannelAdvisor-Sell More. company’s mobile payments system. Empowering Retailers to Sell More. Learn About Our Ecommerce Platform. www.channeladvisor.com And while many experiments like ShopThis are in very early stages, they have the potential Cheap Non-GMO Food Supply to shake up traditional business relationships among advertisers, consumers and Shocking video reveals sneaky trick merchants as they gain traction. to getting non-gmo food super cheap www.CrisisEducation.com “With any sort of disruptive technology, people want to walk before they run,” Mr. Get Fracking with MTU The MTU Series 4000 engine is built Gardner said. to frac. Rugged & ready for Tier 4. s4000oilgas.mtu-online.com For example, the ability to sell directly to a consumer could squeeze some of the so-called middlemen of commerce like big-name retailers.

“If Sony started selling stuff directly on a TV commercial, Best Buy might not particularly like that,” Mr. Gardner said. “Once you can go directly to consumers, there’s always the possibility of disintermediating one of the middlemen. Efficient markets don’t like middlemen.”

Still, he and others say it is unclear what the effect will be, and established players like Amazon are unlikely to suffer.

In the media world, technology like MasterCard’s ShopThis could change an already precarious relationship with advertisers. Some companies may find it unappealing to buy an advertisement in a publication that may be highlighting a competitor’s product with technology that allows a click through to an instant sale. On the other hand, the ability to generate direct sales from an ad could be tantalizing to advertisers and merchants, spurring competition and bringing new revenue to struggling media companies. spurring competition and bringing new revenue to struggling media companies.

Condé Nast plans to study Wired’s experience before deciding whether to expand the program to its other magazines, but Wired’s publisher, Howard Mittman, said he believes the technology will provide an enormous benefit to advertisers.

“This is a moment of opportunity to provide better service to our advertisers,” Mr. Mittman said.

The MasterCard ShopThis venture in Wired next week starts with about a dozen products in the magazine’s “Gadget Lab” section and in an “advertorial” holiday gift guide. Clicking on the shopping cart icon will initiate a purchase through Rakuten.com, an e-commerce site, using the company’s MasterPass mobile payments system. The company aims to expand to many more vendors, products and titles through individual ads and product pages.

Garry Lyons, the chief innovation officer at MasterCard said, the company has developed this click-through shopping technology to be “digitally agnostic,” meaning it may be made available across several digital platforms, including television, video and movies.

“We believe any device is potentially a device of commerce, enabling the user to buy what they want from within the content without having to leave the content,” Mr. Lyons said. “There is no reason why ShopThis couldn’t be rolled out when watching a movie or video. You see an actor who has a nice shirt on, you activate ShopThis,” he continued. “This is an example of incubation where we move quietly, test, learn, iterate.”

Some consumers, like Kelly O’Neil, a registered nurse in the Boston suburbs, are trying to tailor the convenience of online shopping to a busy routine. A two-hour delivery window at home does not usually work for Ms. O’Neil, who works full time and spends a lot of time driving for her two children’s sports teams.

Recently she started using a new grocery pickup system that Peapod has started in some Northeastern areas in conjunction with Stop & Shop and Giant supermarkets. She drives up to her local store at the appointed time and an employee is outside waiting with her order. She does not even have to get out of her car. And she is not allowed to tip.

“It is so convenient and much more efficient,” she said.

While consumers stand a greater chance to part with their cash in a world of instant shopping, it is not entirely clear who will profit most. Some hope on-the-spot transactions can solve one of the problems of e-commerce Web sites, full shopping carts that are abandoned before clicking to checkout.

The efforts also provide new opportunities for the mobile payments business, which for all the interest has not been terribly successful — after all it is still just as easy to use a credit card as it is to use a phone to pay in the checkout line. But paying outside the store on the fly could change the game.

For all the talk, some efforts still have a far-out feel. Last month MasterCard held a conference for investors in New York called “The Future of Shopping.” A woman was testing a new virtual 3-D fitting room app that takes a photo of a shopper and measurements and creates an avatar to “try on” clothes to show mobile shoppers how the garments might actually look on them. (They looked flattering, of course.) A man wearing a Google Glass, a computer that resembles eyeglasses, demonstrated the ability to find, order and pay for coffee from a nearby cafe with a couple of taps on the frame.

Walking through the showroom, Mr. Lyons speculated that someday refrigerators could be programmed to send alerts when milk or eggs are low or even send orders. Washing machines could do the same with detergent.

“The potential is endless,” he said. “We’re not trying to force people to buy things to drive them into debt but to make people’s life easier. We want to use tech to make your life easier in some cases that will result in a commerce transaction.” easier in some cases that will result in a commerce transaction.”

A version of this article appears in print on October 8, 2013, on page B1 of the New York edition with the headline: For Shoppers, Next Level of Instant Gratification.

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Transaction Experience Workshop Media Dossier

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Workshop organizers: Gabriele Ferri, Shaowen Bardzell, and Jeffrey Bardzell Cultural Research in Technology [CRiT] Research Group Indiana University School of Informatics and Computing

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Inside the Pallin Article history glacier tunnel Exploring a glacier tunnel in Sweden that The upcoming multiplayer mode for Grand Theft Auto V will feature micro- Technology emerged with melting ice transactions – to the dismay of some gamers. Photograph: Dan Talson/Rex Features Games · Grand Theft Auto 5 · Grand Theft Auto Why you should go to At some point two years ago, an accountant at Activision must have · Controversy · Xbox · the London film Xbox One · PlayStation 4 looked at the multiplayer user figures for Call of Duty and thought, "Oh festival · PS3 my God, what have we done?" So far, gamers have spent 25bn hours Xan Brooks looks through the star-packed playing the CoD titles online, and what does the company make out of More from Games blog programme that? Customers pay £45 for a copy of the game, and apart from map on packs, that's it. Years of multiplayer effectively for free – or at least the 8 comments sort of astonishing value that makes accountants wince. Technology Malala Yousafzai on Games · Grand Theft The Daily Show Each time talk of micro-transactions comes up, fans revolt and Auto 5 · Grand Theft Auto Pakistani schoolgirl tells publishers back off. Call of Duty: Elite attempted to add a premium layer · Controversy · Xbox · Jon Stewart when she to the multiplayer experience and micro-transactions were prodded Xbox One · PlayStation 4 realised she was under · PS3 forward in limited quantities for Black Ops 2, but mostly the traditional threat from the Taliban industry giants have stayed well clear, fearing any bad PR. More blogposts

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http://www.theguardian.com/technology/gamesblog/2013/sep/26/gta-v-micro-transactions-console[10/10/2013 3:26:23 PM] GTA 5 and the inevitable future of micro-transactions | Technology | theguardian.com

This week it was revealed that Grand Theft Auto Online, the much- anticipated multiplayer mode for GTA V will feature micro-transactions. Players will be able to complete in-game missions, heists and races to accrue cash to buy weapons, cars and houses. However, they'll also be able to use real money to buy in-game cash bundles. According to a report in Eurogamer, there are four cash cards available. The cheapest, GTA Online hands-on: a £1.99, gets you $100,000, while the most expensive, at £13.49 gets you weekend in Los Santos Keith Stuart: $1.25m. Experiencing life, death World news and a precarious online In a post on the Rockstar news site, the company clarified the offer: connection in Obama's efforts to control leaks 'most Rockstar's Grand Theft aggressive since Nixon', report finds The game and its economy have been designed and Auto V multiplayer balanced for the vast majority of players who will not buy mode extra cash. There is no in-game paywall and nothing that GTA Online: Rockstar should disrupt the balance of the game. You don't have to launches PS3 fix spend real money to attain the cars, guns, clothes, flash and style of a high-roller in Los Santos, but can if you wish GTA Online: to get them a little quicker. The economy is balanced microtransactions disabled differently from the single-player economy, and cash earned in one cannot be taken over to the other. Most players will Rockstar says sorry for earn cash much faster online than in story mode. GTA Online problems

What Rockstar seems to be saying is that its IAP (in-app purchase) GTA Online launches, Art and design but server issues likely model is not offering the dreaded "pay-to-win" scenario, in which gamers Leigh Ledare: the man who are able to buy their way to success. Weapons are priced more highly in GTA5 under fire for photographs his mother having sex - in the online mode than they are in single-player, and the suggestion is graphic torture scene pictures that just a few hours of play will get you to a position where you can afford the most desirable items of mass destruction.

What Rockstar doesn't want to confront its fans with is the standard grind v gold dynamic offered in many smartphone and free-to-play titles, where players become so bored of the process of earning in-game currency (a process commonly referred to as grinding) that they succumb to an IAP.

Rockstar has also made it clear there are no false barriers in the game, no sections that either explicitly or implicitly require in-game payment. The design team knows this is a key suspicion with F2P titles like Candy Crush Saga, in which certain levels appear almost impossible before an World news in-game power-up is purchased. White House calls GOP movement on debt ceiling 'encouraging sign' – live

Art and design Oedipal exposure: Leigh Ledare's photographs of his mother having sex

Change reactions

Reactions have been mixed. The first comment under Eurogamer's news piece reads, "Yet more disgusting price gouging for the dumb sap masses to lap up. I guess more than $1bn isn't enough for them". So far, 181 other readers have agreed.

But the thing is, we're going to have to get used to it. "Monetisation Film through micro-transactions is here to stay and we expect substantially

more use of this model in console games in the coming months and Nymphomaniac orgasm posters years," says Piers Harding-Rolls, head of games at media analysis firm, literally show what's coming soon IHS Electronics and Media.

"While there are an increasing amount of freemium games on consoles, we expect a significant amount of console games to monetise through both retail sales and micro-transactions, which is different from the free trend on app stores and the web."

Already we're seeing that Rockstar isn't alone. Ubisoft is adding micro- transactions to its Assassin's Creed titles, and Jade Raymond, head of the publisher's Toronto studio told the Guardian earlier this year that IAPs and free-to-play models were unavoidable for the industry going World news forward. House speaker Boehner proposes six- EA has placed micro-transactions into Mass Effect 3 and, even more week extension to US debt limit controversially, Dead Space 3, which allows players to bypass the scavenging mechanic and to pay for custom weapons. Earlier this year, the company's chief financial officer, Blake Jorgensen, had to backtrack from earlier comments indicating that EA was putting IAP capabilities into all forthcoming titles.

Generation gain

So why is this happening? If there's a furious kneejerk response from gamers to the idea of console micro-transactions, why are publishers insisting on experimenting with them?

There are two answers. First, is that there's a whole new generation of gamers emerging who have been brought up on free-to-play and IAP models thanks to the huge popularity of smartphone games and free online MMOGs. The kids playing Clash of Clans and Maple Story just expect to pay like that. Supercell reportedly generates a million dollars a day from its IAP-funded titles, CoC and Hey Day.

Justifying the micro-transations in Dead Space 3, the game's producer John Calhoun told CVG, "There are action game fans, and survival horror game fans, who are 19 and 20, and they've only played games on their smartphones, and micro-transactions are to them a standard part of gaming. It's a different generation."

It's a view confirmed by industry analysts. "Commercial models are ultimately the product of consumer demand," says Nick Gibson at research company, Games Investor Consulting. "In a free market, no producer or vendor can push an unpopular model indefinitely and with impunity. Coin-op, pay-per-play, pay-per-minute and even mandatory subscription models have all suffered as gamers have rejected them in favour of what they perceive as more acceptable alternative models.

"Freemium and micro-transactions have become the standard in MMOGs and mobile games, in particular those aimed at mid-core and hard-core gamers; and in spite of the vocal opposition from one corner of this player base, these games have tended to thrive not just in revenues, but, crucially, also in user numbers and usage."

Some argue that F2P and IAP models, though fine in the smartphone and web sectors, won't get past console gamers. There's a theory that consumers will resist the idea of paying £45 for a boxed product and then paying more for in-game items. But quietly it's happening.

Ever since the introduction of digital downloads, gamers have been happily purchasing DLC in the form of map-packs, add-ons and extra missions – this is effectively the gateway drug. Now, we can look at the huge success of Fifa's Ultimate Team option, which adds an IAP card- collection model to a separate mode within the purchased game, effectively ghetto-ising the mechanic. According to EA, Fifa 13 has made $70m (£43.6m) in digital revenue since its launch, much of that coming

from Ultimate Team. Try telling them there's no audience for this concept.

Money talks

Which leads us onto the second reason this is happening: revenue. Think back to that Activision accountant. He knows that developing post- release content for games and providing a taut, functioning multiplayer service, costs millions of dollars a year – and it's all being given away for free. There will be shareholders looking at those figures, scratching their heads and asking: "Erm, isn't there anyway we could monetise these 25bn hours of play?"

Sure, this looks sort of greedy when you think of titles like GTA and Call of Duty that make billions of dollars anyway. But for games further down the ladder, that may cost tens of millions to develop, with less guarantee of success – well, monetising post-launch content no doubt seems like a pretty good idea to those signing off the budgets. It may even take some of the risk out of experimenting on new and original IP.

And the console manufacturers know this – which is why the Xbox One and PS4 are both set-up to allow micro-transactions and free-to-play releases at a systemic level – and both will offer free-to-play titles at launch.

"The current generation of consoles were conceived and designed around an outdated model of a static, unchanging game that was jammed in to a disc and sold on a shelf," says game designer and analyst Will Luton, author of Free-To-Play: Making Money on Games You Give Away. "In the time since the Xbox 360 and PS3's launch, both social web and mobile has shown that physical product pricing isn't the only or best way to generate revenues.

"So there will be a big cultural move towards IAPs in the next console generation and even full free-to-play models – it's inevitable. From a business point of view, allowing your most dedicated fans to spend beyond the ticket price of the game makes sense and for fans that will likely mean a stream of new content for them. Console devs want to do this and the platform holders are obliging, slowly. DLC is the awkward half-way house, full micro-transaction games are the next step for console."

Really, it's going to be all about implementation. As EA has shown with Fifa, adding a well-designed option to an already popular game is a smart Trojan Horse approach to IAPs. Another, of course, is to build interesting little original titles around the model – hence Ubisoft's Mighty Quest For Epic Loot.

Unlike Microsoft, which stormed into the industry earlier this year, promising to revolutionise the way we bought games with Xbox One, only

to make swift reversal, the traditional publishers will continue to probe away, looking for chinks in the outrage armour of gamers. Because for them, allowing an audience 25bn hours of (what they see as) free access just isn't good business sense – especially not in a new console era which will likely add many millions to stretched development budgets.

For developers, the headaches will be around balancing systems, making sure players can't pay to win, ensuring we never end up with fans being expected to hand over real cash for horse armour. But then, for game designers, there are always restrictions and structures in which to create content – that's what they do. And increasingly, the money men are going to be demanding a better return on the substantial investment required by AAA titles.

"While the costs and risks of developing and publishing console games continues to rise and while gamers offer only vocal resistance and little by way of financial resistance to these models, the industry will continue to push the boundaries," concludes Gibson. "Micro-transactions, whether applied to free-to-play titles or to premium titles, will likely form an increasing part of the console market's future.

"How important a part will ultimately depend on consumer demand – i.e. how gamers vote, not with their voices, but with their wallets."

The free-to-play way

Industry analyst Nicholas Lovell has written a book, The Curve, about the free-to-play business. Here he explains how the changing games industry will lead to the wider adoption of the model.

"As the consoles become more niche (meaning that PS3 is unlikely to hit the highs of PS2 and PS4 is unlikely to hit the installed base of PS3) and the big games become bigger (as in GTAV costing $270 million), the revenue model is going to need to shift from, "we need lots of users to spend the same amount of money" to, "the number of users is capped, so we need to let our biggest fans spend lots of money on things they really value".

"So we will enter the era of variable pricing, whereby companies create an experience for their fans, which they will either give away (as in F2P games) or charge for (as in paymium games, a model I think will be dominant on console for a fair while). At the moment, the biggest fan of a console game can spend, maybe $200 directly with the creator. In F2P games, the biggest fans can spend $10,000. Or even $100,000.

"That will come to consoles, because it makes good business sense and, if done right, it is great for players, letting those who love the game spend more to subsidise the experience of those who choose to spend less or no money on the experience.

"As an aside, I expect Paid DLC to come to an end too, as developers and publishers realise that expensive-to-produce content is best given away for free as a retention tool and instead charge for virtual currency or virtual goods that are both cheaper to produce AND have a higher perceived value for players."

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"Complementary" Currency Helps Local Communities

With complementary currency, federal dollars are not the only acceptable form of payment in a community. Over the past 10 years, more than 5,300 Chicago school children from impoverished neighborhoods have tutored their peers and earned free computers for their homes. Five parks in Calgary, Canada, have become pesticide free, and a formerly homeless 70-year-old woman in Madison, Wisconsin, received free crochet lessons in exchange for cooking and cleaning for neighbors. All three of these community success stories can be attributed to a single trend: “complementary currency” programs.

Complementary currency, a form of exchange that aims to ”complement” standard monetary currencies, comes in many forms. So-called local currency systems, like the one that contributed to the pesticide ban in Calgary’s parks , rely on a homegrown form of paper money that is accepted only in a small geographical area and is not backed by the national government . The intention of local currency, explains Gerald Wheatley, a founder of the Calgary Dollars project, is to promote a sense of community and to stimulate the local economy by ensuring that cash stays in the region . One of the greatest benefits of the program, he says, is that it provides “one more resource, one more social networking support for progressive projects .”

Time-based currency, in contrast, is designed to strengthen communities by valuing “the universal characteristics of human beings,” based on the understanding that every individual has something to offer, according to Edgar Cahn, founder and CEO of Timebanks USA. Under this system, every member ’s time is valued equally, allowing for what is effectively a more structured form of barter. When a person performs an hour of service for a neighbor, he or she earns an hour of service from anyone else in the system. In this way, the elderly Madison woman was able to spend an hour cooking for one member of the local time bank and was repaid with an hour-long crochet lesson from a local 15-year-old boy. Alternatively, the Chicago school children were required to give 100 hours each of tutoring services to earn a refurbished computer. These types of programs convert community members who are conventionally recipients of support into active participants in tackling local problems.

Both types of systems have their advantages. Steve Burke, president of the board of directors of the local currency initiative Ithaca Hours in New York state, says such systems are easy to operate because people already understand money and its uses. Small local businesses can also gain a competitive advantage over other retailers, since most large chain stores won’t accept local currency . Ithaca “hours” (dollars) have been in use for 15 years, and with about 1,000 residents circulating them, the system continues to grow. Mr. Wheatley of Calgary Dollars notes that the physical presence of local paper money in people’s wallets reminds them to “think locally.” By providing grants and interest-free loans, his program has been able to promote campaigns such as the one to eliminate pesticide use in parks, bringing more than just economic benefits to the community. Both men attest to the sense of community people feel when exchanging the currency with other members.

Time banks are perhaps even better at incorporating people into local social networks— especially community members who may otherwise be excluded, such as low- income households, retired people, and the disabled, according to a report from the UK-based New Economics Foundation. The systems have seen success in as many as 24 countries, in communities ranging from hospitals and schools to elderly housing facilities . In Washington, D.C., a youth court based on the time- banking system, which uses tactics like placing previous offenders on jury duty, reduced recidivism by 50 percent, notes Timebanks USA’s Cahn. “We think that most efforts to address social problems fail because they equate the person with the problem and they don’t enlist the capacity of every human being to help somebody else,” he says.

This story was produced by Eye on Earth, a joint project of the Worldwatch Institute and the blue moon fund. View the complete archive of Eye on Earth stories, or contact Staff Writer Alana Herro at aherro [AT] worldwatch [DOT] org with your questions, comments, and story ideas.

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M-Paisa

HOME PERSONAL BUSINESS 3G M-PAISA ROSHAN ABOUT MEDIA HELP COMMUNITY ROSHAN RELATIONS

M-PAISA

Welcome to Afghanistan's first mobile money transfer service.

WITH M-PAISA FROM ROSHAN, YOU CAN SEND AND RECEIVE PAYMENTS OR TOP UP YOUR ACCOUNT, EASILY, SAFELY, AND CONVENIENTLY, RIGHT FROM YOUR MOBILE PHONE!

Now, M-Paisa customers in Afghanistan can receive Western Union Mobile Transfer transactions from their families around the world directly into their M-Paisa wallets. Western Union's Mobile Money Transfer service is available in many countries around the world.

To learn how you can use M-paisa and receive money through Western Union call 313, visit a Roshan shop or an authorized M-Paisa agent.

M-Paisa offers safe, reliable and fast access to a range of financial services anywhere in Afghanistan including: Person to person money transfer. Disbursement and repayment of microfinance loans. Airtime purchases. Bill payments. Disbursement and receipt of salaries. Receive money from abroad with Western Union

The service facilitates the transfer of funds using a mobile phone through Short Message Service (SMS) and an Interactive Voice Response (IVR) system. The IVR based menu is available to customers in Dari, Pashto and English, an important feature in Afghanistan where 70% of the population is illiterate. M-Paisa is powered by Roshan's robust mobile network which spans across 230 cities and towns in all of Afghanistan's 34 provinces.

M-Paisa builds on Roshan's position as an innovator in the market, bringing unique products and services that serve the needs of the Afghan population Introduced in Afghanistan in 2008, M-Paisa is part of the Vodafone Money Transfer Group, which has over 22 million M-Paisa/M-Pesa customers worldwide. M-Paisa supports the development of the Afghan economy, extending economic opportunity and financial inclusion to all Afghans, providing an essential service to 97% of the unbanked population in the country whilst eliminating common financial barriers, especially in the remote and rural areas of the country.

M-Paisa is the safest, fastest and most trustworthy way to handle your money

To register and activate an account anywhere in Afghanistan, call 313 or visit your nearest Roshan shop. You can also call this number to learn more about M-Paisa.

To learn how M-Paisa can benefit your business, send an e-mail with your name, mobile number and questions to: [email protected].

Watch M-Paisa video

M-Paisa from Roshan, the original M-Hawala

Click here to view our locations

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Workshop organizers: Gabriele Ferri, Shaowen Bardzell, and Jeffrey Bardzell Cultural Research in Technology [CRiT] Research Group Indiana University School of Informatics and Computing

ABOUTABOUT WORKWORK CLIENTSCLIENTS IDEASIDEAS CONTACTCONTACT

FeaturedFeatured StoriesStories BEYONDBEYOND THETHE HEADLINES:HEADLINES: MOBILEMOBILE MONEYMONEY AFGHANISTANAFGHANISTAN

25 SEP 2013 Toward a 21st Century Social Contract at TEDxCarthage

5 SEP 2013 Adding People into PDIA

NewsNews

Mobile Money Afghanistan was funded by the Institute for Money, 9 OCT 2013 Technology, and Financial Inclusion and frog design, and is totally RebootReboot atat AIGAAIGA DesignDesign independent of Reboot. I was honoured to work on it prior to co-founding ConferenceConference Reboot and, as the project outputs were recently released, I thought I’d Ethan Wilkes and Jennifer Thibault will speak to “Human-Centered Solutions for the Public” at the Head, share some reﬂections on the experience here. Heart, and Hand: AIGA Design Conference in Minneapolis on October 12. They will discuss how Reboot incorporates four disciplines of design—design “So then I gave up my daughter to pay off my debt.” My pen stopped. research, communications design, service design, and interaction design—to create governance and development solutions worldwide. We were in Mazar-e Sharif, a city in northern Afghanistan. The woman in front of me, a poor mother of six, was describing how debilitating debt — to the tune of AFN 140,000, or USD 3,100 — had driven her to give her eldest 4 OCT 2013 daughter to the family’s creditor. NewNew Rebooters!Rebooters! Reboot is thrilled to welcome Faaria Volinski and Lauren Weinstein to our growing family. Faaria joins us as Her voice did not quiver, her eyes did not water. It was a thing of the past, a Writer & Editor, coming on the heels of two years in Her voice did not quiver, her eyes did not water. It was a thing of the past, a Writer & Editor, coming on the heels of two years in China researching and reporting on Islam in rural China. fact of life, something that had to be done. And this mother’s story, while Lauren is our new Associate. A cross-disciplinary designer, Lauren will be contributing to service, systems, unique in particulars, was common in thrust. Indeed, over the course of three programs, and policy design. weeks in Afghanistan, time and time again I was told: in times of great hardship, sacriﬁce is inevitable and exceptional circumstances are the norm. TagsTags Such tales of ‘life, going on’ are documented in the recently released Mobile SERVICE DESIGN Money Afghanistan. This book was born of a study conducted in August 2010, when Jan Chipchase and I traveled through Afghanistan to study the BRANCHLESS BANKING use of mobile money. Local mobile operator Roshan had launched a mobile banking service, M-Paisa, in 2008. Though the young service had been put to DESIGN RESEARCH creative uses, including fighting corruption within the the Afghan National MOBILE SERVICES Police, mass market success was still unsettled. Thus, we were there, with the support of the Institute of Money, Technology, and Financial Inclusion, GOVERNANCE REFORM to explore the opportunities and challenges that lay ahead. And, as services FINANCIAL INCLUSION are inextricably tied to the people and environments in which they exist, naturally, we spent as much time getting to know people as we did the MOBILE JUSTICE products meant to serve them. HUMAN RIGHTS

CIVIC MEDIA

INNOVATION

The ordinary Afghans featured in the book are the people many international groups are working for but — due to constraints security-related or otherwise — are unable to access. Those we met revealed their strategies for managing life in times of chaos and their techniques for navigating systems permeated by graft. They described how they bend systems to their will in order to survive, and even ﬂourish. They shared their hopes for themselves, their children, and their nation. And they showed us how, against the odds, in ways small and large, they are working to realize their ambitions.

As for the role of mobile money? Unsurprisingly, mobile technology has the potential to support Afghan aspirations, but signiﬁcant challenges must be overcome before that potential is realized. Key hurdles common to mobile banking deployments globally include a lack of market awareness, motivating and managing agent performance, and limited customer motivation to adopt the services. Indeed, on the consumer side, a general wariness of institutions coupled with popular preference for the long-established hawala system — coupled with popular preference for the long-established hawala system — “they’ve served me, my father, and my grandfather” — point to the hurdles mobile banking faces in winning over converts.

Other challenges unique to Afghanistan include the absence of a fixed address system. A shopkeeper in Mazar described how he once walked for two hours to find an agent willing to cash out his mobile money transfer. The experience left him wary of mobile banking, and he swore to never place the same burden on a friend. The solution? “Now, I only use Kabul Bank — no matter where you are, everyone knows how to get to the closest one.” Addressing challenges around maintaining agent liquidity, he adds, “And there is never a problem withdrawing cash from the bank — they always have it when I ask for it.” (Granted, this was before the run on Kabul Bank last September.) Textual, financial, and technological illiteracy — mistrust of ‘electronifying cash’ is not uncommon — only add to the barriers.

Despite these challenges, great opportunities remain. To the extent that banking penetration in Afghanistan remains low while mobile penetration is rapidly growing, mobile money represents paths to access, stability, liberation, and power.

Afghanistan’s youth already recognize, and have seized upon, technology’s potential. Mobile in particular factors heavily not just in their daily lives, but in their broader understanding of social empowerment. Female university students in Kabul described how they participated in mass SMS debates on politics and governance. A young man in Jalalabad told us how he and his friends spend much of their day ‘hanging out’ in group conference calls lasting hours on end — gender dynamics in these chat rooms, suﬃce to say, were fascinating. A young woman in Mazar declared that by facilitating direct, private male-female communication, mobile phones are the biggest driver of love marriages (versus traditional arranged marriages) in Afghanistan.

These signs suggest that mobile platforms are increasingly a part of everyday social transactions. To what extent mobile money will emerge as a force social transactions. To what extent mobile money will emerge as a force within these transactions ultimately remains to be seen.

The Afghanistan of the news is not the Afghanistan its people live — no place is. Hopefully, Mobile Money Afghanistan, and the accompanying public materials, provide greater insight into a country many only know from tragic, frustrating headlines.

You can ﬁnd the report here or from the site of my colleague Jan, where you can also download 170 Creative Commons licensed photos [40MB download].

Thank you to all those who helped us along the way. Our team in Afghanistan: Enayat Najaﬁzada, Airokosh Faizi, Mokhtar Hajji, Hamid Tasal, and Farida Rustamkh. Bill Maurer and Jenny Fan at IMTFI for all their support and guidance. Sam Martin and Tom Manning at frog for all their help with the publication. Shainoor Khoja, Zahir Khoja, and Evan Decorte at Roshan for making time for us, and for their insights. Grateful, as ever, to Jan Chipchase for his vision and direction on another ﬁne study. And, of course, thank you to all those in Afghanistan that let us into their lives.

Images: Jan Chipchase Transaction Experience Workshop Media Dossier

Document 11

Workshop organizers: Gabriele Ferri, Shaowen Bardzell, and Jeffrey Bardzell Cultural Research in Technology [CRiT] Research Group Indiana University School of Informatics and Computing

Brainstorming exercise – I590 Advanced Prototyping class, 30 Sept 2013

Most common basic categories to divide the examples of transactions proposed by the students: 1. Sharing, lending, and renting of physical or digital goods. Examples: • OverDrive (Public Library ebook sharing) http://www.overdrive.com/ • Lendle (borrow Kindle books in exchange for putting up your own Kindle books for others to borrow) http://lendle.me/ • Freegal (libraries buy rights to music, and library patrons can download 3 songs per week for free) http://www.freegalmusic.com/ • Sharing videogames (on PS3 and Steam platforms) • Sharing physical resources (Carpooling, Carsharing, Bike sharing, Workspace Shares, co-working) • Sharing knowledge (Skillsharing, trade teaching a class for a prop, Open source code community) 2. Crossing over from digital to physical and vice versa. Examples: • Poop rewards (http://gigaom.com/2011/12/11/poop-rewards-cell-phone- minutes-for-sanitation/) • Random acts of pizza (http://randomactsofpizza.com/) • Reddit Gifts (http://redditgifts.com) • TOMS Shoes “One for One movement” (http://www.toms.com/our- movement/l) • Homeless hotspot station (http://www.npr.org/blogs/thetwo- way/2012/03/13/148506762/turning-homeless-men-into-wifi-hotspots-at- sxsw-ignites-debate) 3. “On-demand”, ad-hoc services. Examples: • Lyft (http://www.lyft.me/) • ReCAPTCHA (http://www.google.com/recaptcha) • TaskRabbit (https://www.taskrabbit.com/) • WunWun (http://wunwun.com/)

x. Technologies mentioned (not a category per se). Examples: • Bitcoin • Square Wallet / register / app (https://squareup.com/stand) • iBeacon (http://en.wikipedia.org/wiki/IBeacon) • NFC • Google wallet • Amazon mechanical Turk