One aim of the white paper is to encourage a debate within the industry about what individual stakeholders in the payments world really want, and to examine if these needs are compatible with all other parties. We believe that the gaps in the payments landscape exist because solutions often focus too much on the needs of one group, or even individual vendor, whilst ignoring the needs of others. In payments, competition seems to be the antithesis of collaboration.
Broadly speaking, there are three main stakeholders in payments; consumers, retailers, and financial institutions (banks, issuers, card schemes etc.). Attempting to support these stakeholders are the payment innovators. The extent to which they not only meet the needs of all of the stakeholders, but how they do so without being too disruptive, is critical.
More often than not, the needs of the stakeholders and the goals of the innovators are inconsistent at best. Legacy payment systems are notoriously cumbersome and complex, so only innovations that can bridge the old with new have any hope of bringing all parties closer together. There can be no revolution in payment systems, only evolution through universal collaboration.
Security and convenience are the two fundamentals demanded from all of those with an interest in payments. Each stakeholder has their own individual needs, but trust is the unifying factor. The consumer needs assurances that their funds are safe; the retailer will want to know their investments are future-proofed, and; the bank will require any payment solution to be fully compliant with laws and regulations while enabling new revenue streams or improvements in customer retention.
It can often appear that the more convenient a payment solution is, the less secure it is and vice versa. It is therefore often perception that holds solutions back, rather than a lack of technological advancement. The technology is there, ready and waiting to be used.
The challenges therefore, in achieving this balance between meeting stakeholder demands and retaining customer trust is discussed in our white paper which you can download here.