E-commerce has been growing rapidly and this evolution can be partially credited to the developments within financial technology (fintech). E-wallets, new payment options, in-app purchasing, and peer-to-peer lending and payments. As consumers are increasingly comfortable with online methods of shopping and payment systems, fintech innovations are making these online transactions even more frictionless. Payment systems are becoming increasingly secure and efficient, making them attractive for consumers and businesses.
Let’s look at three Fintech trends that will continue to evolve the e-commerce industry.
1. Increasing Global Possibilities
One of the primary benefits of new payment innovations is that payments can be seamlessly made across borders. PayPal was the first big company that made it possible for the e-commerce to cater to new customer bases by providing the possibilities for global transactions.
2. Growth Of M-Commerce
While payments via mobile apps are nothing new, widespread acceptance of it is. Visa sales through mobile devices have grown 53% faster than sales made on a desktop computer. This opens up the possibility for e-commerce businesses to go mobile. With innovations such as Apple Pay and Samsung Pay, users can make a purchase easily, safely, and efficiently. As mobile payments get easier, the likelihood of customer “cart abandonment” decreases and e-commerce shops can make more sales. The way payment is made is an important component to customer experience, and fintech has paved the way for an experience rooted in confidence and convenience.
3. Frictionless Experience Through Increased Cost Saving, Efficiency And Accessibility
If payments are easier to make, consumers are more likely to make them. Fintech is helping e-commerce companies to evolve by increased efficiency and accessibility. Paysera, a mobile wallet system providing payment services for businesses and individual consumers offers its users payment services, affordable currency conversion, and streamlined checkout services for e-commerce companies. This removes many of the barriers towards success for e-commerce businesses.
Fintech is changing the way consumers store and spend their money, shaping the future of e-commerce and online financial transactions. Payment innovations make it effortless for consumers to increase spending while also allowing for security, accessibility, convenience, and efficiency.
Consumers initially may have been uncomfortable with the prospect of digitally forfeiting their financial information, making e-commerce a less attractive prospect; however, advanced and increasingly secure payment systems have allowed e-commerce businesses to thrive like never before. As fintech innovates further, e-commerce will continue to evolve as well.
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