In our recent blog posts, we have discussed how traditional business models have changed as the convergence of cloud, mobile and social have ushered in a new wave of digital business. In the new era of the digital economy, digitalization is changing the face of trade, retail, commerce, business and social interactions all over the world. This is creating a new frontier and banking has a special role to play, as speed, convenience and integration across online, mobile and partner channels shift from “perks” to prerequisites. Customers are increasingly expecting to be able to instantly buy products and services from any merchant, at any time, using any payment method on any device they choose. In addition, corporate customers are expecting improved conversion ratios, (i.e. avoid having end-customers abandon an e-purchase at the payment step if the payment service is not convenient or matching their habits.) This is where banks have to propose various and easy to integrated payment services.
How can today’s financial services providers ensure they are creating new revenue streams and remaining competitive in today’s new digital era? The answer is to enable immediate payment services seamlessly linked with other services. Nevertheless, providing immediate payments as a key foundation for digitalization doesn’t come without significant challenges.
Organizations must be prepared for an impatient market, as consumers and businesses alike are already demanding seamless integration and fast payment options that improve the customer experience. Security and regulatory requirements are also expanding, which means it isn’t easy for organizations to rely on legacy core IT systems to handle the “virtual currencies” (i.e. financial messages) of the new digital era.
On top of this, the growth and velocity of digital payments only quickens from this point onwards. At Axway, we believe organizations need to embrace the digitalization approach instead of attempting to “wait and see.” By replacing complex and slow payments with new, fast payment systems, companies can accelerate their digital transformation provided these new services are seamlessly “linkable” with other services and processes. And those that opt to implement such approach together with fast payment systems can benefit from:
- Joining the digital revolution to keep up with new technologies and how people and businesses use them
- Improving the end-customer experience
- Responding to the demand of markets, end users and governments for better payment and settlement services
If you’d like to learn more about how Axway can help you implement a successful digitalization strategy, visit https://www.axway.com/en/industries/financial-services/banking-and-insurance-digitalization-enablement
TOPICS: API Management, Banking, Digital Business, Banking & Insurance