FINANCIAL SERVICES

User experience is driving a change that has been accelerated by the global pandemic . But is this skyrocketing drive towards progressively cashless solutions sustainable ?

Colin Neil , UK Managing Director , Adyen , says the biggest change in the corporate payments space over the past two years has been motivated by Covid . “ The pandemic dramatically accelerated payment trends that were already starting to develop . Most notably , the transition to online commerce and the move away from cash . But something more significant developed as a result .”

Neil points out that consumers have grown accustomed to fluid customer journeys . The line between the physical store and online blurred for even those most resistant to technology in the shopping experience , he says . “ This mass shift required organisations to create seamless links between their stores , websites and apps , which need a much more sophisticated payments solution .”

Shanker Ramamurthy , Managing Partner , Global Banking & Financial Markets , IBM Consulting , says the single most impactful change in the corporate payments space over the past decade has been the dramatic shift in emphasis toward Real-Time : the instantaneous movement and settlement of cash and data .

“ Real-Time is one initiative the entire world has in common , and it has tremendous implications for liquidity management , cashflow forecasting and cash positioning . Corporates must ensure that enterprise resource planning ( ERP ) platforms / posting systems and reporting systems are current and equipped with adequate technology supporting the technical changes required for all systems to accommodate this new world order , as well the human resources needed for this new age ,” he says .

Embracing change and adoption innovation Fintechs have embraced the disruption , to the point where innovations created by market newcomers , are dramatically altering the global financial marketplace .

Laurent Descout , CEO and co-founder of Neo , says that delays caused by antiquated processes cost businesses money – and businesses are therefore opting for solutions that provide a more instantaneous transnational process – especially when it comes to cross-border payments .

“ When working with traditional banks , opening an international account is a long , difficult , and painful process – and the transactions themselves can add further days . Businesses are also losing out on cost . With cross-border payments , many banks don ’ t just charge the exchange rate and the FX margin , they also inflate the overall price .”

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