Psychological needs and financial well-being : the role of consumer spending self-control
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Date
Authors
Du Plessis, Laureane
Jordaan, Yolanda
Van der Westhuizen, Liezl-Marie
Journal Title
Journal ISSN
Volume Title
Publisher
Springer
Abstract
Financial service providers continually strive to develop innovative financial products and services that address customer
needs and aim to improve customers’ financial well-being. Previous studies discovered that psychological need satisfaction
is positively associated with psychological well-being and growth, while psychological need frustration is associated with
problematic behaviour and ill-being. However, uncertainty still exists as to whether psychological needs are associated with
financial well-being. Furthermore, whereas psychological need satisfaction is associated with positive day-to-day behaviours
such as exhibiting self-control, psychological need frustration has been associated with irresponsible spending. Spending
can be a psychological coping mechanism, and as such, the regulation of spending behaviour may aid financial well-being.
Therefore, the main purpose of this article is to explore the relationship between psychological needs and financial wellbeing,
and to assess whether consumer spending self-control can act as a regulating mechanism in this relationship. Data were
collected by means of a self-administered questionnaire distributed via an online paid-for consumer panel to credit-active
South African consumers. The results revealed that CSSC had a mediating effect on the relationships between psychological
needs and financial well-being. This highlights the importance of developing and promoting consumer spending self-control
as a strategy for financial well-being.
Description
Keywords
Psychological needs, Consumer spending, Self-control, Well-being, Financial well-being, SDG-01: No poverty, SDG-03: Good health and well-being
Sustainable Development Goals
SDG-01:No poverty
SDG-03:Good heatlh and well-being
SDG-03:Good heatlh and well-being
Citation
Du Plessis, L., Jordaan, Y. & van der Westhuizen, LM. Psychological needs and financial well-being: the role of consumer spending self-control. Journal of Financial Services Marketing 29, 1197–1206 (2024). https://doi.org/10.1057/s41264-024-00270-.y