Capgemini has published a new report entitled Top 10 Trends in Payments 2017. The report seeks to understand and analyse the trends in the payments industry that are expected to drive the payments ecosystem in the near future.
International leading consulting firm Capgemini recently published a new report – Top 10 Trends in Payments 2017 – which was created to examine the key trends in the payments industry that are currently influencing the ecosystem, or which are expected to impact the payments ecosystem over the next few years.
Summary provided by Capgemini:
Currently, the global payments industry is undergoing a paradigm shift with an influx of technology, demographic, and regulatory dynamics. While the customer- facing part of the value chain continues to witness high levels of innovation, service providers are still grappling with back-end infrastructure enhancements. Trends such as new opportunities in the payments industry in terms of adoption of Open Application Programming Interfaces (APIs), growth in digital payments, innovation in cross-border payments, and challenges from the entry of alternative service providers are impacting the industry in terms of fostering competition, nurturing innovation, and enhancing process and system-related efficiencies.
While the industry is poised towards transformation, non-traditional players are entering the market with solutions that have a quicker time-to-market, thus challenging the incumbents to actively devise differentiated offerings. This fragmentation of the market, coupled with initiatives such as Payment Systems Directive (PSD II) and open banking that aim to open up the market to third- party providers and increasing levels of risk and fraud are driving increased focus toward the implementation of fool-proof identity and authentication measures for customer protection.
Markets across the globe are increasingly witnessing regulatory initiatives that are enforcing standards to maintain stability on the one hand, while implementing frameworks such as sandboxes, with an objective to simplify the process of compliance and reduce costs. Such initiatives are attaining further significance in the wake of increasing complexity in compliance to both older and new regulations. A certain segment of FinTech, named RegTech, has also emerged with solutions leveraging technology for easier compliance.
To see the top 10 trends that Capgemini has identified for 2017 and beyond, read or download the full report by clicking here.