Pymnts.com reached out to 40 global leaders from the payments technology industry, including First American's Mike Lawrence, to ask them what they believe will be the biggest innovations and trends in payments for 2018.
Below is an excerpt from their 2018 Forecast eBook. The entire eBook can be downloaded here.
Consumer choice will continue to hold sway, with 2018 being the year of proactive FinTech response. The trickledown effect of the Internet of Things (IoT) has only just begun, with consumer demand driving an ever-broadening array of payment forms. When this first began to gain traction, you had many in the industry working to play catch up. Now, these initial reactive offerings that swelled in the early stages of omnichannel payment behavior are no longer sustainable. Everything is fair game, and I think that’s what excites me the most about the state of the industry right now. Think about the trajectory of a company like First American. Payment processing was our foundation, but payment innovation is our future.
Security remains one of the industry’s evergreen challenges. You’re never finished building that better mouse trap. Now, more than ever, it bears the added responsibility of ensuring a palatable experience from the end user’s standpoint. No one would debate the fact that security measures come at the cost of consumer convenience. Though it’s true today, it needn’t be tomorrow. it’s dismissive to presume we can’t do a better job of merging these concepts, and I think 2018 is the year we will see real traction in this area, specifically.
Collaborative Technology Stacks
There is a reason you can hardly read a single article on the industry without encountering the phrase “payments ecosystem.” With brief precision, it describes the connectedness of every financial entity involved in the movement of money since the origins of the business. The so-called “disruption” of recent years only reinforces this concept, albeit with newly aligned business interests where there were once only competitors. To remain relevant in an ecosystem that’s in a constant state of metamorphosis, we will have to develop payment solutions for technology that doesn’t yet exist. It’s neither efficient nor useful to do so unilaterally.
For First American, this all adds up to an opportunity for unprecedented growth and, perhaps equally important, an environment ripe for conducting business every way other than usual.
Welcome to the diversification renaissance.