The advancements in payment methods are revolutionising the way both consumers and businesses interact. Whether it’s the way that customers perform online transactions and check their bank accounts or how merchants accept payments, these technologies are having a huge impact on the ecommerce and digital finance environments.
And, with the coronavirus forcing people to turn from the high street to a more digital way of shopping, it’s safe to say that those businesses that don’t transform their payment methods soon run the risk of falling behind and out of favour with their customer base.
So, which industries have already revolutionised or are in the process of transforming their online payment processing systems?
Banks and financial businesses
Mobile payments directly from your banking app have become part of the new norm. In many countries, the ability to pay via your phone has become a reality. Bringing these technologies into the commercial banking environment has made the consumer journey much more streamlined than ever before.
Another huge technological advancement in the banking sector has been the introduction of AI (artificial intelligence). It can be used for process automation and even online customer service for consumers to get advice or to set up a new account.
Online retail businesses
Online and mobile payment processing platforms are mainly used by those who process transactions in the ecommerce and online auction environment. Some are still using systems that have gained mainstream market acceptance like PayPal, whereas others have moved to platforms like Stripe for example.
With more and more consumers heading for the online retail environment, it’s crucial that businesses are using reliable and safe online payment processing software. Nowadays you’ll see the likes of Visa and Mastercard when you head to make a payment online, this is because credit card processers wanted to capitalise on the growing demand for online payments and ultimately gain further brand recognition.
The credit card industry has benefitted vastly from the rising consumer and business demand for regular and contactless payment methods. In the past few years, many have also introduced Apple Pay and Google Wallet, which has allowed certain retail businesses to become one step ahead of the rest.
Security services and data analytics
This is a crucial element when it comes to making financial transactions. Security software is heavily relied on to ensure online payments are facilitated safely. Even though a major online payment system is yet to suffer from a significant security breach, security services must be able to demonstrate the ability to protect sensitive financial identity information from the threat of theft or fraud.
According to Statista, in the UK there were 39.2 million card payments made per day in 2016. This is predicted to be around 60 million in 2026. With this astonishing number of daily payments, it’s easy to see why so many businesses are looking to overhaul their security services and data analytics to ensure they’re as safe as possible.
No matter the way consumers make payments or businesses process their money, industries that make the most of these technology advancements will remain one step ahead of their competition, and also at the forefront of their customers’ minds.