PAYMENT SOLUTIONS
“ Historically , BaaS was a buzzword in the industry , but what we are seeing now is the concept reaching a level of maturity where organisations are understanding the true benefits BaaS can offer ,” Ramonia says .
New BaaS sector opportunities One sector that is looking at the potential of BaaS is the automotive industry , where leading car manufacturers are even trying to look at ways BaaS solutions can complement the mainstream adoption of electric cars . “ The current market offering means that , typically , car charging times can be considerable , which could be perceived as a window of opportunity for sales .
“ This could open the door for new partnerships between automotive manufacturers and retailers if implementing embedded finance options , which could help incentivise people to grab a coffee or a bite to eat while their car charges , using their account card in the process . I expect embedded finance solutions to also become widely available across other sectors such as travel .”
“ Historically , BaaS was a buzzword in the industry , but what we are seeing now is the concept reaching a level of maturity ”
ANDREA RAMONIA CONTIS
BaaS in the digital currency market As cryptocurrencies enter the mainstream marketplace and ‘ buy now , pay later ’ options increase in popularity , BaaS is also proving its worth within the sector – as is embedded finance . “ One of the big developments in the BaaS space over the past couple of years has undoubtedly been the explosion of ‘ buy now , pay later ’ schemes , providing credit at the point of sale . Looking ahead , I see an evolution of services that will expand to digital assets , including e-wallets or stable coins , with the ability to offer crypto-as-a-service , for example ,” says Ramonia .
He continues : “ Another possibility to consider is how embedded finance solutions could help organisations reach the holy grail of gaining a greater understanding of their customer through richer data collection . Typically , consumer behaviour patterns are established through monitoring website activity or online purchase activity from that retailer .
“ However , embedded finance solutions within retailers could mean that , when a customer uses cards provided by that business , they can gain access to where the card is being used outside of that store and
92 June 2022