Reflections on the Key Trends in International Card Payments & Remittances
Last Wednesday, Cambrist had the pleasure of hosting a discussion on International Card Payments & Remittances that brought together industry experts:
Andy Patton (CCO Enfuce),
Noyan Nihat (COO Privat 3 Money) and
Luc Gueriane (CEO Moorwand),
hosted by our CCO, Ross Leonard.
The discussion centred on four key trends that will shape the success of Fintechs and Banks in today's International Card Payments & Remittances market.
The panellists noted the continued growth of cross-border payments, driven by the growth of international trade and eCommerce, and the ongoing return in International Tourism and Travel. These trends are expected to drive continued growth in cross-border payments over the next 5-10 years. In addition, as cross-border payments and international card payments are considered more complex for consumers and more challenging for providers due to factors such as increased regulatory requirements and technological innovation, these payments will assume an outsized importance amongst consumers and businesses when selecting their preferred Banking & Fintech partners.
As this segment of the payments market continues to grow, the panellists highlighted their belief that Fintech will play an increasingly important role in facilitating international card payments and cross-border payments. They noted that fintech firms are disrupting traditional payment providers and bringing innovative solutions and more competitive pricing to the market. Fintech firms are often leveraging significant pricing discounts vs. traditional providers to attract new customers. This pricing advantage is supported by greater operational efficiency and digitization of customer journeys. The panellists noted that Fintechs are particularly well-suited to address the changing nature of the cross-border payments industry, given their agility and ability to innovate.
The panellists also emphasized the increasing specialization of Fintech providers in building market share in International Card Payments and Remittances. This specialization is the key to success for Fintechs in the cross-border payment market, as Fintechs leverage their agility to tailor solutions to individual customer segments. This specialisation enables Fintechs to build customer loyalty and some pricing power vs. more generalist providers. The panellists highlighted the importance of understanding the regulatory and compliance requirements of the markets they operate in, as well as the cultural and linguistic nuances of their target customer segments.
Finally, the panellists discussed the importance of partnering with best-in-class providers to remain competitive in International Card Payments and Remittances. As customer expectations evolve and the level of competition in this space continues to grow, customer facing businesses need to build highly efficient and reliable payment operations and treasury functions to stay ahead of the competition. Selecting the right partner can help Fintechs and Banks maintain a competitive array of product functionality while developing a low-cost operational foundation. This is particularly relevant in the context of the increasing volume and complexity of payments data that Fintechs and Banks have to process in order to deliver an effective international card payments and remittances proposition. The panellists also noted that partnering can help Fintechs and banks to overcome regulatory and compliance challenges, by working with providers that have deep expertise in these areas.
In conclusion, the discussion highlighted the importance of International Card Payments and Remittances to individuals, businesses, and economies around the world. The panellists emphasized the critical role that fintech firms are playing in disrupting traditional payment providers and bringing new and innovative solutions to the market. The panellists also noted that specialization is key to success for Fintechs in this market, and that partnering with best-in-class providers is the best option for Fintechs and banks to remain successful in this segment of the payments market.