7 Payment Trends to Look for This Year
You’ve heard a lot in recent years about how businesses need to adapt to accommodate the wants, needs, and demands of an emerging millennial market. Now, a new generation is emerging: Gen Z. This new generation has grown up with smartphones, social media, and other popular digital trends. By 2020, Gen Z, will account for 40 percent of U.S. consumers.
As a business owner, you need to begin making plans now to accommodate the payment preferences of Gen Z so you can meet their needs and secure their business. With the rise of this generation, expect to see growing demand for a seamless, secure banking experience with an emphasis on mobile banking and payments. These are the top payment industry trends you can expect in 2019.
Consumers are focusing on mobile apps for their banking and accessing these apps with greater frequency. They want easy access to their banking information all hours of the day and night and every day of the week.
You can’t go very far today without finding a new mobile wallet. There are many great options available to consumers and new ones on the horizon; some of the latest trends also address cryptocurrencies, which may take on even greater importance as 2020 approaches. For now, the three major mobile wallets consumers employ are:
- Apple Pay
- Google Pay
- Samsung Pay
As the use of mobile wallets increases among young, tech-fluent consumers, you might recognize growing usability of these mobile wallets. For instance, some vending machines now accept Apple Pay for payment of sodas and snacks. Venmo, another digital wallet, allows friends to share payments for things like restaurant bills, cab fares, and more.
Consumers are looking for virtual assistants that offer even more assistance by performing a greater variety of tasks and functions. They also want businesses to adopt better AI-driven bots and algorithms to perform increasingly complex finance-related functions and tasks.
User Experience (UX)
The overall customer experience is expected to become a much bigger focus when it comes to payment trends for 2019. This includes convenience and ease of use as well as the ability of merchants to accept multiple forms of payment. Gone are the days when the ability to accept only cash was sufficient. Today’s consumers want stores that can accept a larger variety of payment options, including forms of payment, like:
We may even see growing demand for businesses to accept cryptocurrencies despite great reluctance in financial circles.
Gen Z understands more about the capabilities and limitations of technology than perhaps any other prior generation. They can’t remember a time when technology hasn’t dominated their landscapes. Computers, mobile phones, and the internet have been front and center in both their educational experiences and their daily lives. As such, they understand the security challenges that these technologies represent. They also understand the security challenges that represents.
Payment processors are facing increased demand and scrutiny when it comes to providing a secure experience for the financial and personal data of users of all ages. The right merchant services can take the burden off small businesses to protect data while providing a secure experience for your customers’ information.
Customers love the idea of being able to tap their mobile phone or even just hold it near the payment device to make their payments. Younger audiences believe contactless payment is faster, easier, and carries fewer risks than bringing out their credit cards for every single transaction. Especially since they are never asked to swipe their cards for this payment process. Many consider swiping to be the greatest risk with accepting credit card payments.
Customers of all ages love the option to opt into reward and loyalty programs. Being rewarded for purchases they would make anyway is an appealing idea to customers. The right merchant services can help you incorporate a rewards program for your business that allows your customers to earn rewards seamlessly while they shop. It’s a highly cost-effective way for even small businesses to build staunch customer loyalty.
Choosing your merchant services provider wisely can help you stay on top of the latest payment industry trends for 2019 and beyond. Bank Card Services offers a variety of features designed to help you keep up with evolving trends while protecting your customers’ data, information, and privacy.