Pushing the boundaries of possibilities with payments

One of the most discussed opportunities for fintech innovation has always focused been around payments. How can we get paid faster? How may we balance user experience with fraud prevention in the payments journey? And how can we best transfer funds across border in a cost-effective manner? While much has changed, there is still much to be done.

Beyond small businesses and consumers, however, the use cases that receive less attention but are equally interesting are larger enterprises, such as GE Healthcare or Xiaomi, where adaptability and localization are crucial to their expansion stories.

Imagine extending your business into a new local market. Beyond the sheer logistics of extending the products and services to a new customer segment, being able to facilitate payments is equally important. After all, if the goods represent the engine of a race car, payment stack is then the?drivetrain— the unsung hero responsible for transferring the engine’s power to the wheels and allow the race car to function properly. This is especially true in today’s environment where companies are trying to lower cost and drive more operational efficiencies, while adapting to economic uncertainty and evolving market needs.

Embracing new opportunities?

Unlocking new digital experiences in a new market segment or expanding into new geographical locations is of course no easy task, and being able to tailor payments experience to meet specific requirements is a critical part of business expansion. Having a trusted partner with deep knowledge of the local markets, for example, allows the business to focus on what it does best, while leaving the heavy lifting of payments to someone else who can help maximize payment acceptance while minimizing fraud . A perfect win-win by transforming the function of payments from a supporting role to that of a?leading character .

As the saying goes, there is no better time to build than now —?when companies can build resilience, capture new market opportunities, and solve real problems. According to?Statista , the United States represents the second-largest e-commerce market in the world, with $856.77 billion in 2022. With e-commerce comprising of about 15% of?retail sales ?in the country, there is a great innovation potential for those looking to disrupt the status quo, which has been dominated by legacy players and experiences that are long overdue for refresh.

“2023 is about doubling down on innovation.” Zack Levine — VP and head of revenue in North America for?checkout.com .

As I often say, look beyond your borders for innovation ideas. When we dive into checkout.com’s partnership and strategy playbook, here are a few things that stand out:?

[1] Unified payments: Meet the customers where they are

• Imagine the ability to go global while being able to access all local payment methods, digital wallets, and global card schemes, via one API integration —?reducing complexity, cost, and time-to-market while maintaining a delightful and consistent customer experience. Localization is especially key when expanding to new locations since customers typically have their own preferences when it comes to payment methods, and they will be less likely to abandon the shopping cart if their preferred payment method is available. Having a dedicated local team with knowledge on the local market can help provide a smoother on-boarding experience and drive continuous innovation and improvement.
• As digital adoption continues to grow, the ability to respond quickly to market needs becomes more important. When the Hong Kong government launched consumption coupons in order to boost retail post pandemic, for example, Xiaomi’s users in the territory were able to receive and use the coupons, powered by the partnership between Checkout.com and?Xiaomi ?in late 2022, which enabled more seamless and diversified payment options for the phone manufacturer.??

[2] Innovation is a journey: Seek, learn, and adapt

• While the future is largely unknown, our ability to adapt is dependent on our actions of today. Having a knowledgeable partner with a holistic vision of the future digital landscape can help guide us through the unknown. With change as a constant in our industry, the ability to anticipate change will help your business stay ahead of the competition and thrive.?
• Being able to tap into highly-skilled talent pool and a vibrant startup community with new ideas is crucial to keep the innovation fire burning. With the launch of a new office in?Tel Aviv , Israel, Checkout.com now has instant access to a global innovation hub with one of the highest number of engineers, scientists, and PhD per capita. Not only does this enable the company to continue to develop and pioneer new applications of technology, their larger ecosystem of customers and partners can also benefit greatly from the collaborations.

[3] Capability, Centricity, and Community

• Having an extensive set of core capabilities to meet evolving customer needs is undoubtedly crucial. From support for multiple local currencies and fraud management to availability of data and insights that can be leveraged to streamline and optimize operations, these are all features that can help future-proof a business. Beyond ease of use and flexibility, it is essential that the solution can be adopted and scaled based on needs at a specific time, without sacrificing cost and time to deployment.
• Against the backdrop of layoffs and inflation, payment methods such as Buy Now, Pay Later, (or?Pay After Delivery ) have become more popular. These value-added services can help merchants stay competitive, capture?new market and revenue opportunities , while adapting to a changing playing field.
• Just as payments is more than about moving money from one stakeholder to another, a solution partner is more than just about technology. A relentless focus on customer needs by a team of experts willing to go the extra mile is just as important to the partnership as the tech stack. While every business is unique with their own set of opportunities and challenges, the tools and the knowhow can help guide the teams to make the right decisions at the right time. And we can achieve more — together.

Agility. Reliability. Security.?

Trust is the foundation for the digital economy, especially when it comes to money movement. Customers need to trust that the goods and services will be delivered as promise; in return, merchants need to trust that their funds will be received on a timely manner. Having a reliable payment stack that can disburse funds easily, quickly, and securely is a great way to build customer loyalty and trust.

Perhaps David Wheeler, Senior Director of Technical Product Management for GE HealthCare says it best. “Checkout.com gives us the confidence to seize new opportunities or overcome issues as they occur. As a result, payments have been transformed from something that was restricting growth to a function that enables it.”

At the end of the day, technology is not a blocker, but rather, a means to an end: An enabler for new opportunities to grow and scale the business beyond borders.?

Now is the time to push the boundaries of what is possible.?

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This post was sponsored by checkout.com. But the pinions are my own and don’t necessarily represent checkout.com’ positions or strategies.

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