With more than 4.54 billion people now active online, most businesses have moved online. To provide the best user experience, digital payments have become a ubiquitous feature across online platforms. The concept of a cashless global economy finally seems a reality. The digital payment sector is now valued at US$4,769,370 million.
If you are in business today, you have to leverage digital payments to boost your revenues. Digital payment technology is changing fast, and you have to stay up-to-date with the trends.
This guide explores some top trends to observe in the digital payment segment to stay ahead of the competition.
The Role of Gen Z
Generation Z is behind the tremendous growth of eCommerce and this also overs digital payments. Research shows that consumers born between the years 1999-2012 are more inclined to use online payment solutions. 69% of this group uses mobile banking apps daily or weekly.
Shoppers from this group are more willing to share their online payments on social media and make mobile purchases. If this group forms part of your target customers, there’s no better time to integrate digital payment solutions across your online platforms.
Invisible Digital Payment Technology
Unlike using cash or credit cards, digital payment technology continues to become seamless to the point of invisibility. Shoppers choose their products and pay instantly through checkout-free stores and voice technology, among other technologies.
With time, using these forms of payment has made checkout more frictionless. There’s more focus on customer experience and companies have invested heavily in providing a seamless payment experience. For instance, it is now possible for a business to automatically deduct payments from e-Wallets without customers providing payment details.
You can expect payment options everywhere you look, including in some unexpected places. Everyone today can become a merchant and every device can become an acceptance device. Today, intelligent cars have started accepting payments, and this is just the beginning.
Focus on Security
Hackers and payment tech developers have become smarter with time. Now that businesses across the globe appreciate the importance of digital payments, there’s more money going into security technology. The challenge has always been to balance = customer experience with data security.
The use of artificial intelligence (AI), Biometric authentication and other technologies will boost data security in these innovative payment systems. IT consultants now provide tailored data security for companies across all industries. Find more info on available security options for your business.
Near-field communication (NFC) technology has already started making an impact on payment systems. More customers will find these cards more secure and convenient, making them a dominant trend in payment technology.
More businesses have started declining cash payments, and it’s only a matter of time before they adopt this innovative payment system. If you are a merchant, it’s time to upgrade your hardware to meet the expected surge in contactless payments.
The future of commerce is digital, and businesses need to adapt quickly. Payment systems have already gone digital and more people now prefer using online payment options. As a business owner, you have to stay abreast of the latest trends in digital payment options to prepare your business for the future.