The platformization and marketization of care: Business models and competitive strategies of care platforms

Abstract

This study examines the emergence and growth of digital care platforms (DCPs) in Spain, focussing on their business models and competitive strategies amid increasing demand for commodified care services in ageing societies. A multi-method approach was used, combining desk research, netnography of 38 platforms, and 29 in-depth interviews with platform management, workers, and key stakeholders in the care industry. By applying the categorization of business models of DCPs to the analysis of platforms’ strategies, we are able to discern similar patterns and variations in their operational models and competitive strategies. Our findings point to both continuities and discontinuities in domestic and care work mediated by platforms. On-demand platforms mediate basic services and scale easily by expanding their operations across countries. However, their lack of service differentiation makes them vulnerable to competition, leading to frequent mergers and closures. Multiservice platforms often adopt a marketplace model, operating across multiple countries where labour regulations are less restrictive. Digital placement agencies, more institutionally embedded, try to emphasize quality and professionalization to differentiate themselves. Their growth is complex, prompting strategies such as integrating into public systems and forming alliances with insurance companies and healthcare funds. But overall, their emergence and rapid growth is accelerating the commodification of reproductive activities without improving formalization or professionalization, leading us to a new phase in the marketization of care.