The end of summer primer for the payments planning season
This post makes great summer reading in preparation for the autumn planning cycle. It is long with lots of enthusiasm but the points being made are dead on. I paraphrase the highlights here but if you are actively planning for your bank/ payment company this is a thought provoking piece worth the read with an open mind.
Six points are made but I chose to highlight three that brilliantly challenge payments as we know them today.
Interchange Fees Are Hosed
The one positive outcome is that the discussion has forced the payments industry to acknowledge that merchants are, in fact, a key customer worth listening to and one that has power to influence the direction of the industry.
The Cloud Rules
The future of payments isn’t about devices: it’s about the software that enables commerce (more on this later) across a variety of environments.
It’s Not About Payments
At that point, card issuers become a series of 12 “X’s plus the last four digits and the expiration date. All branding is lost and so is the nature of consumer engagement in a physical wallet world.
Traditional Loyalty And Rewards Die