Future of Digital Payments

Published: October 25, 2019

Person pulling a card out of their wallet

The future of online payments is mobile. Is there any surprise that that’s the case? With the rise of mobile technology, individuals love the fast and easy digital way of payment as opposed to the hassle of opening a computer, pulling out a credit card or sending a check in the mail.

The growth of mobile payments is a little slow in the U.S. compared to some other countries such as China, which is currently leading the trend according to digital payment statistics. However, the growth is happening fast enough that businesses are noticing its effects.

Today’s Digital Payment Trends

A few of the trends that are emerging along with the rise of mobile payments include:

  • Unified platforming: Powerful computer technology allows businesses to connect users and give them the ability to make payments on a single platform.
  • Paying through voice technology: In addition to mobile payments through typing, many businesses today build relationships with their customers using voice bots such as Siri from Apple and Alexa from Amazon.
  • Data analytics: When people pay for products and services on mobile devices, businesses can collect that data and use it to market to customers. This process is the next step for data analytics in marketing and advertising.
  • Evolving APIs: APIs have the power to connect businesses and customers, and they provide plenty of room for companies to expand and create better customer experiences.

How Could Mobile Payments Disrupt Business Industries?

The challenge of digital payment trends is that they’re replacing other forms of payment. Apps such as ApplePay and GooglePay make it possible to pay for products online in seconds with just the use of your mobile phone. Businesses that have yet to implement or integrate with this type of technology risk falling behind in the ever-evolving consumer market.

A few industries that could see challenges in the future of payments include:

  • Banking: Mobile payments are now and will continue to affect the banking industry in the coming years. Because people are less interested in cash and check transactions than they have been in the past, more banks and credit unions will need to invest in unified mobile technology solutions. There is plenty of potential for banks to improve customer relationships as they adopt digital technology over time.
  • Transportation: The future of digital payments is putting pressure on leaders in the industry to adopt mobile technology due to the convenience it provides to passengers. Rather than having to use tickets or cards, individuals can pay their transport fees almost instantly. Transportation services still using more traditional forms of payment will likely need to start making changes in the near future if they want to compete in the industry.
  • Corporate and small businesses: People love being able to shop and pay for their items and services while on their mobile phones. Many companies, from pharmacies to department stores and gas stations, have either developed their own payment apps or partnered up with other payment apps that allow people to complete transactions anytime, anywhere. This development could make the competition more intense for smaller businesses.

Contact Proactive Worldwide

Market demands will continue to evolve in the upcoming years thanks to advancements in technology, which could present challenges to various industries as they try to adapt. Fortunately, with the help of Proactive Worldwide, you can stay on top of these changes with in-depth marketing research and strategic planning. Stay ahead in your industry by contacting us today to find out how we can enhance your business with a customized competitive intelligence solution.