James Allum, VP Europe, Payoneer, brings a wealth of experience and knowledge to this session as he unpacks the key payment trends of 2020 and identifies the lasting changes that will affect retailers in the 'new world' of total commerce in 2021 and beyond.
In this session hear:
James Allum, VP Europe, Payoneer, told Linn Academy 2020 delegates that the year was dominated by five factors. These include regulation; digital identity; instant payments; merchant adaption to alternative payment methods and the move to cashless and contactless.
The latter has been particularly driven by the global pandemic, whilst the merchant adoption of alternative payment methods is about convenience and a faster checkout method demanded by customers.
Globally he outlined three main trends – an increasing dependency on cross border flows - of which the UK is a significant player; improvements in speed, cost and efficiency of domestic payments; as well as cross border transactions for remittance purposes.
For small businesses he said the pandemic had meant a particular challenge with cashflow. “Customers struggle with cashflow, particularly if they are a newly-established business and a lot of SMBs are reporting using their own personal funds for business purposes,” he said.
New financial products being launched to capitalise on changing market conditions and new trends
Allum revealed that Payoneer had launched a new product to deal with that behaviour pattern and said many fintechs were offering similar. “We expect that trend to continue, where alternative finance providers will account for a much bigger market share over the coming years,” he said.
Moving to 2021 and beyond he identified several trends that will continue to grow in importance, particularly in light of the pandemic. These will include tighter cashflow management; a shift towards contactless payments and online shipping being here to stay. He said he also expected companies to include some form of digital payments within their strategy and infrastructure. “It will be seen much more as an investment rather than just an expense,” he said.
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