2021 digital payment innovations that improve financial operations
It’s no doubt every business works with a customer-centric approach. The way consumers use their money and pay for products and services has become far more convenient than ever before. In an interview with Global Payments, Google Pay’s Steve Klebe said, “Businesses can no longer underinvest in digital [payment] options.”
Nowadays, transactions are most often quick and online. Thus, businesses must adapt and evolve with these changes to improve their customer experience and growth. Consumers are ready for the next step in commerce iteration. That includes trusting a financial institution with secure data security and service packages.
Now it’s time for the following key players to impact how businesses adopt innovations in digital payments. Seismic changes are coming to the way businesses manage digital payments in terms of B2C. Let’s get to it in the list below!
AI and ML influenced digital payments
Many financial institutions have been using Artificial Intelligence and Machine Learning for fraud detection and process automation for quite some time. With AI-integrated tools, companies have begun using banking chatbots, shown to enhance customer experience. ATB Financial and Bank of America (BoA) were amongst the first banks to use chatbots.
Yet, with the improvement of technology, many more businesses can use chatbots to assist users with any payment difficulties or inquiries more efficiently. Also, another fast-evolving technology is the use of payments via Social Media. Companies like Facebook, Alibaba, and Amazon (building Anytime), have combined payment solutions and messenger apps that give customers a comfortable solution to quick online payments.
International business account
The key to a business’s success is staying international while paying local-like service fees. How? By opening a business account with an all-in-one solution like Satchel, which offers hassle-free international transfers. Not only that, but by also having multiple currencies, processing incoming and outgoing payments, and being located in a country that’s at the crossroads of the biggest single-currency markets (Eurozone) and customs union in the world.
Everything is done online, and when it comes to customers, they’ll only need to know your unique IBAN to send you payments that get processed almost as fast and as easy as a local funds transfer (EU-based and non-EU). It’s a quick and approachable solution for any business looking to open an international account.
Biometric payment solutions
As the world of payments is shifting direction to more digital, payment security is becoming an increasingly important problem to consider. Biometric Authentication helps identify and confirm a person’s identity based on recognizable, distinct, particular, and verifiable data. Biometric Authentication comes in various forms like fingerprint scanners, facial recognition, voice identification, and eye retina scanners.
Not only are biometric payments convenient, reliable, and secure, a market forecast made by Statistics Market Research shows that by 2027, the biometrics markets will be worth $76.64 million. Also, as no PIN is required to use services, customers are more likely to engage with the service/product more often.
Cloud-based payments
A negative impact any business must avoid at all costs is late payments. Therefore, using this cost-effective solution will save you money, time, and, most importantly, your reputation. The automation allows you to have more transparency and insight into all of your clients’ transactions. In turn, your clients are alerted in real-time, guaranteeing that their numbers are correct and eliminating the possibility of a dispute.
A cloud-based ERP accounting solution gives your company the flexibility it needs to keep your financial data safe and secure. This saves a lot of time and work. You also don’t have to keep track of invoices manually – cloud aids automation by minimizing manual processes and human error.
Banking as a Service
In light of quick solutions, communication, and services, large Fintechs can benefit from integrating Banking as a Service for their banking solutions. This allows businesses to adhere to customer demands much faster while escaping extra charges, attaining control, and using a secure API-based solution.
For example, Satchel is an electronic money institution that provides a company to integrate a full range of digital banking services straight into an existing fintech company’s product line. This gives businesses the freedom to use a sophisticated tech stack and acquire a customized payment and finance infrastructure with as a white label solution.
What’s next in digital payment innovations?
Only the world trends will tell. The Coronavirus pandemic has set in stone its effects on the shift to digital payments, and its ongoing tendency won’t stop here. Offering solutions to your business and clients can not only save your business, but it can also offer a step up against your competition. b
Explore more about Satchel’s fintech developments and expertise here.
