If there is one thing that is definite in our very dynamic market, it is that payment processing and the ecosystem around it will always be evolving. Times change, our customer’s needs change, and the way merchants will serve their customers will also change in order to survive and sustain the business.
For example, once a new smartphone with great payment processing features comes out, we’d expect more buyers to use this new device to purchase goods and services. These buyers may only use the tech once just for the novelty of it and may not continue using it after the initial excitement is one. How a company convinces a customer to continue using that service will depend on how sustainable the tech supporting these features turns out to be.
The merchants are not passive players in this kind of dynamic either. They have to keep up with these payment processing trends if they want to continuously please their clientele. After all, the client is the key resource in ensuring the sustainability of a business.
This year, more companies have become more aggressive in creating innovative solutions and tech that can improve payment processing. We’ve taken note of these trends and have listed what we believe are the 5 most groundbreaking:
1- The emergence of safe zones for payments
For online shoppers, security will continue to become the main issue especially with the uncertainty of who they may have been dealing with to make the purchase. This is the concern that led to the creation of “Safe Exchange Zones” in Yorktown and Hampton of Virginia, USA. The safe zones installed 24/7 surveillance cameras so residents can complete their purchase transactions in a monitored area than in their homes. The safe zone prohibits the exchange of illegal items and is meant for person-to-person transactions so items must not be dropped off and left unattended.
2 - Easy shop via Google search
When making online purchases, sealing the sale is the most important part to ensure profit, and a new feature from Google is helping merchants making the sale faster. Surfaces from Google is a Merchant Center program that allows products to be seen by customers, at no cost to the merchant, in unpaid Google search results. This new feature in the Google search engine will show the most popular products from stores around the web, which customers can filter and browse. Once buyers have chosen the best item for them, they can just click on the item that redirects them to the official store.
3 - Artificial Intelligence for fraud prevention
The downside of payment processing has always been the number of fraudulent activities that kept victimizing the merchant and buyer. The creativity behind fraud and other cybercrimes is so immense that Kount, a digital fraud prevention company, is now using artificial intelligence or AI to combat fraud. This AI emulates an experienced fraud analyst that can possibly detect fraud attacks in real-time and make recommendations on how risk can be managed.
4 - Adobe analytics to improve BOPIS experience
It seems that more customers are now vying for the “buy online, pick up in-store” or BOPIS shopping option, which caught merchants in a panic as to how they could meet the operational and logistical demands of this kind of setup. Adobe found a solution by introducing Customer Journey Analytics for retail. It provides “actionable insight into how to remove pain points from the customer conversion process and deliver positive experiences in the moments that matter most.”
5 - Fintech and cars form a mutual relationship
When we talk of financial technology or fintech, it often refers to new technology that seeks to improve and automate the delivery and use of financial services. Fintech has surely created the avenue for payment processing to show up in places you least expect them to, and that includes smart cars and other automobiles. In their research, Ukranian custom software development company Intellias revealed how in-car integrations can help drivers for specific transport-related activities such as paying for parking and paying for fuel, among others.
Innovation and technology have always been one of the main drivers of change, and they also have a large influence on consumer behavior. More merchants are taking note of emerging technologies and are keeping an eye on what would potentially become a trend in the market so they can easily adapt and change their systems if necessary.
As up-and-coming merchants, knowing these trends will help you gain that competitive advantage over your contemporaries. These serve as essential guides that can drive more traffic, customers, and potential income to your business.
If you want to know more about the trends of payment processing, Agapay can expertly help you. Call us at 800 644 3909 or reach us here.