With all the technological advances and changing consumption behaviour, what does the future of consumer payment look like?
That was the question posed to SlimPay’s CEO Jérôme Traisnel this week at the Paris Fintech Forum, where more than 2,600 attendees from 60 countries gathered to discuss the future of technology within the finance industry.
For Jérôme, the future of consumer payment lies in the shared trust and interaction of each transaction. The sharing economy introduced the idea of trust and social ratings. And that’s going to influence the subscription economy, where consumers can be rated on their payment history — with their consent, of course.
“At the end of the day, the future of consumer payment will be simple. Tech made things more complex, but there is a strong desire to return to our roots. To build trust in one click,” said Jérôme at the panel discussion at the Palais Brongniart in Paris.
The Paris Fintech Forum panel featured CEOs of Billpocket, Viva Wallet, Checkout.com and Rapyd. Each CEO shared their vision on consumer payment from the biggest industry challenges to the role of open banking.
Here are some other highlights:
Undeniable desire for instant gratification
Among the younger generation, this way of life has become the norm for them: quick rewards, instant gratification.
For example, there’s an important soccer match that you would like to watch on demand. You want to watch it right now. But you need to purchase it first. There’s no time to get your IBAN or find your credit card, you don’t want to bothered by the payment process.
“The payment journey should be simple. And instant. That’s the kind of behaviour that is driving the future of payments,” Jérôme concluded.
Consumers are driving the future of payments
Today, there are too many tech complexities and credential requirements that demotivate the consumer. The challenge is to find a way to optimise this so that the conversion rate is better and that merchants are increasing their topline revenue.
With all the European regulations on the horizon, the consumer journey is about to get more complex. To combat the possibility of fraud, consumers have to remember every credential, every prerequisite for stronger authentication. There’s bound to be frustration as a consumer to just simply buy something.
“Consumers will demand a frictionless payment journey,” Jérôme said. “And that is our industry challenge.”