Future of Digital Payments in a Post Pandemic World
Future of Digital Payments in a Post Pandemic World –
Money is expected to be all-digital in the future. The way we perform transactions, transfer money, earn, and all the money-related activities are going digital. Technology has made this possible seamlessly. They ensure secure, instant, and trouble-free methods of payments. Even nowadays, the technologies are allowing the optimization of the payment process to a great extent.
Online business methods are a notable reason for the increase in digital payments. They integrated the payment gateways allowing the customers to pay in their convenient ways. Businesses have found that coherent online payment methods could be a remarkable reason for consumers to choose the store for purchase.
Any type of store, whether big or small in size, prefers digital payment methods. A supermarket or small grocery stores are acquiring digital payments. They ascertain a way to develop their business methods. It is worthwhile for the stores as they allow them to make any engagement of payments online, restricting the consumers any credits while buying.
Today, one of the significant determinants of turning things online is the coronavirus pandemic. It was a circumstance and still is, which made a compulsion to go digital restricting traditional methods that include physical intervention. Virtual payments also experienced the effect of a pandemic. In FinTech, 2020 was the year in which the digital payment segment was valued at $5,204 billion which is the largest amongst all.
Benefits of Cashless Payments –
Businesses found digital payment methods as a more sensible option in comparison to other methods. Businesses are moving online by web development and eCommerce business, hewing the cash flow and moving to digital payments ways. Reasons for using the methods in business are:
Convenience and Instant –
The most basic reason for opting for digital methods is their speed. It brings down instant ease in the money transitions, along with having numerous forms to pay. Users can pay through debit or credit cards, e-wallet, bank transfer, and many other cashless ways just with a few taps and in a few seconds. For this reason, small stores or supermarkets also look for these methods for money flow.
Digitally, anyone can pay easily for any type and size of the order. Businesses ensure every possible way to make digital transaction options available for the consumers. Even while provisions and mega malls choose the grocery app solution, they also look for flawless integrated payment gateways. Solution should provide a coherent online ordering process followed by serene checkout.
Security and Consumer Safety –
Consumers and businesses are most cautious about the security of payment methods. For that, the protocols like PCI DSS Compliance, Real-time transaction alerts, and fraud mitigation measures were implied to the payment methods. This reassures the safety of the payments and users.
In case of any breaches, measures were imposed to safeguard the customers. While any discontinuity in the payments or losing the digital wallets or cards, you block them and stop the finance exposure. Suppose the users can follow the process in time in order to get back the payment. This is not in the case of physical money fraud.
Control Financial Leakage –
The virtual electronic payment methods can cater to the problem of tracking the financial flow to the last mile. Steps like Direct Benefit Transfers (DBT), Public Distribution systems (PDS) can ensure the POS tracking to the business and perks discounts and offers to the consumers. It will reduce the cost of cash handling and cash flow.
Types of Digital Payments Now and in Future –
1. Cards –
Cards have been a popular payment method for a long time. Debit or credit cards are now trusted by everyone as that secured mechanism of making payment. EVM (Europay, Mastercard, Visa) generates the unique code every time they are used for transactions. It magnifies the safety of the process by leaps and bounds. It is a contactless card payment method that ensures domestic or international transactions are a piece of cake.
2. Biometrics –
Nowadays, biometric authentication is also a transpiring method of payment. It involves biometric confirmations like face recognition, heartbeat, or vein mapping to carry out the transactions. These are utilized in order to avoid identity fraud. This could be a reliable method in the subsequent years. In 2021, it is expected that 2.5 million biometric cards could be issued by the end of the year.
3. Wallet –
Wallets are basically in-app wallets that imitate physical wallets. They can accept the money, transfer it and even store it. They have benefits like paying bills, book tickets, get cashback, offers, etc. Moreover, in the future, brands are looking forward to developing brand-specific wallets, which can also be adopted by small stores and supermarkets.
4. Speaker –
One fantastic giveaway of the technology is voice assistants. They made using the devices easy on the command of voice. Payments are on the activity. Voice assistants are used for paying digitally. Interestingly, now smart voice assistants are used for payments. Saturn 35% of the orders are placed from the voice assistants. And 28% of them made the payments or sent money through the voice assistant.
5. Crypto –
A lot of intense discussions are going on about cryptocurrency. This and in the coming year is in the surge in investment banks grabbing the cryptocurrency. Many countries have adopted cryptocurrency in exchange for goods and services. Yet many are about to adopt. The Crypto trend is making consumers crazy for its surging prices. The Tech-savvy Genz generation wants crypto to be as normalized as other payment methods.
Coming days of Digital Payments –
Financial ecosystem trends are towards digital payments. Cashless methods are going to be the future of business transactions. The trends nowadays of digital transactions are shaping the coming time worldwide. Post coronavirus pandemic guide for survival is making it a compulsion. There are several methods of online payments. Come will play a major role in the future; some may even disappear.
Yet, many of the methods will emerge in the payment as resulting in developing technology like artificial intelligence, machine learning, and cloud computing. The above mentioned are the most used methods, and the majority of them are going to survive in the future.
Author Bio –
Brijesh Vadukiya, He is a tech activist, blogger, and internet marketing officer of Elluminati Inc for more than three years. My major concern is to educate people who are interested in technology. I am fond of writing useful and informative content that helps brands to grow business.