Money isn’t everything, but it certainly helps create choices in life. Yes, investing can be tricky with many options and fine print. Still, the biggest obstacle for the average person is not investing; it is the saving bit. Saving requires discipline and, in some cases, sacrifice. It means spending less than you earn, though you’re surrounded by lots of temptation.
It’s been just a few days since I published my latest report on the digital person-to-person payments landscape in the U.S., and recent announcements in the industry have already made some of the information in the report a little …. well, passé, I guess. This signals the intense competition, continuous innovation, and perceived importance of digital P2P payments as part of the core business model for both financial institutions and alternative providers.
Here’s what’s happening:
Just a few brief years ago, financial institutions (FIs) weren’t really focused on the customer experience. With the exceptions of making sure ATM downtime was minimized, branches were staffed appropriately, contact center calls were answered within acceptable time frames, and the online banking system worked properly, bankers were just doing business as usual. The world has changed dramatically, and many FIs with a focus on the customer experience have created a new department whose primary goal is to ensure every aspect of a new product or process is evaluated in the context of its potential impact on customers.
At its Retail (R)Evolution event in April 2017, Pitney Bowes shared research revealing that 94% of global consumers made a domestic online purchase within the last year, nearly half made purchases monthly, and one-quarter made purchases weekly. Pitney Bowes also found that two-thirds of consumers have made a cross-border purchase in the last year. While digital commerce accounts for a relatively small portion of total global retail sales, its growth is outpacing that of traditional brick-and-mortar sales. Aite Group estimates that in Northern America alone, digital commerce sales will be US$715 billion by the year 2020, equating to 11% of total retail sales, and that represents a huge market for retailers to tackle.
On April 26th and 27th, Finovate returns to San Jose with FinovateSpring, the flagship two-day showcase of the latest and greatest fintech innovations from leading established companies and bleeding-edge startups.