Our CEO, Alastair Graham, has been featured in a new article from Paybefore Magazine. Paybefore, a resource for prepaid and emerging payments industry news, has published a series of predictions from top executives and analysts in the payments industry, in the article Industry Views: What Will 2013 Bring for Prepaid and Emerging Payments.
We’re excited to be sharing Alastair Graham’s views with you below.
January 2013 – Paybefore Magazine
We wanted to start the year off with some perspective from industry thought leaders across the globe to find out what will shape prepaid and emerging payments in the new year. We asked several executives from a variety of companies as well as a few analysts to share their thoughts about what the next 12 months will bring. We also asked about consolidation and competition. Few responded directly to the consolidation question, although it often came up in the discussions of what lies ahead. Not surprisingly, mobile apps and payments features were popular topics, but some experts cautioned that the war on cash has quite a ways to go.
The good news: Growth and innovation are expected to abound as prepaid and emerging payments touch the lives of more consumers every day.
Question: What’s Ahead for Prepaid and Emerging Payments in 2013?
- In 2013 there will be an increase of prepaid cards tied to e-wallets as more of the online payment processors look to provide a connection between virtual currency and physical currency.
- Look for more Americans to switch from credit cards to prepaid cards as the lingering effects of the recession continue to have an effect on the reduction of credit usage, especially among younger demographics.
- The use of mobile money – whether the ability to shift virtual money to cash through smartphones, through the Internet of SMS (or similar) – will continue to build in the emerging markets of India, Southeast Asia and Latin America, where the pent-up demand of the underbanked and unbanked will drive growth. This demand will be augmented by the central banks of these countries that already see the need to bring foreign cash, access to the global financial markets and rural economic financial engines to their countries.
- An increased examination of the financial upside to providing new services for the unbanked and underbanked in the U.S. and abroad.
- Growth in the share of remittances serviced by online and mobile service providers.
- As services converge, customer service will grow in importance as a differentiator and start to drive movement from one online payment service provider to another – or force change to current providers in the e-commerce space.
- The online and mobile disbursement market will grow as it expands beyond small companies into government and large vertical segments such as insurance and retail.
– Alastair Graham, CEO, Payza (Canada, U.K.)