The Evolving Horizon of Financial Technologies in 2023

The monetary transaction technology landscape is changing rapidly, influenced by changing customer habits and business needs. According to insights shared by Ingenico, a prominent global payment provider, there are multiple key trends that are altering how payments are made and conducted around the world.

One of the most obvious shifts has been the increasing adoption of mobile wallets across numerous markets. Platforms like Apple Pay, Google Pay, and Samsung Pay are offering convenience to consumers for both online purchases as well as in-store payments. A 2020 report from Juniper Research predicts that over one-third of global smartphone users will use a mobile wallet by 2024. The prevalence of smartphones and the ease-of-use offered by mobile wallets is accelerating this trend.

Another significant trend is the steady growth of e-commerce and ensuing increase in demand for online payment capabilities. As the pandemic necessitated digital shopping, many businesses had to rapidly adjust and offer smooth online checkout and payment collection. This was not restricted just to B2C companies but also reached to B2B firms who then had to implement electronic invoices and virtual payment options for their corporate clientele. Odilon Almeida, Senior Vice President at Mastercard, confirms that there was a massive shift towards electronic B2B payments in 2020 at an internationally unprecedented scale.

In tandem with e-commerce growth, embedded payment capabilities are also attaining popularity across industries. Payment integration is permitting businesses to collect payments through their own applications and software systems. Companies like odilon almeida CEO Almeida’s Mastercard are vigorously promoting embedded finance solutions to help firms secure their payment infrastructure.

Contactless payments are all set to become widespread as well due to increased adoption of “Tap to Phone” tech. This allows contactless transactions directly through NFC-enabled smartphones, without having a separate payment terminal. Mastercard has been leading Tap to Phone technology globally in partnership with leading device manufacturers and financial institutions. Such innovations are significantly minimizing hardware costs associated with contactless payments.