Survey – what senior payments practitioners thinks about their future business: „instant payments will compete seriously with card payments”

Banks are convinced that payments will be fundamental to their future businesses, and confirm that payments transformation is critical to their digital programmes – but they are less confident in the clarity of their digital and payments transformation strategies, as revealed in a new survey by Finextra, in association with Dovetail, now part of Fiserv.

„There is a strong belief among respondents from all the banking sectors that instant payments will compete seriously with card payments, both online and at point of sale.”, according to the research.

The paper reveals 92% of respondents agree payments are fundamental to growing their banks’ business but feel current systems are hindering that progress. Real-time payments are seen as a must-have to win new corporate business, with 76% agreeing or strongly agreeing this is the case, and investment is in place for open APIs and real-time payments.

They are excited about new opportunities created by the revised Payment Services Directive (PSD2) and the rise of real-time, but they believe that fintechs have driven more payments innovation than banks during recent years.

And while they are collaborating more with fintechs, the banks still have significant concerns about legacy – with many identifying existing systems as the biggest inhibitor to payments transformation.

These are among the key findings of a recent online survey carried out by Finextra, in association with Dovetail, now part of Fiserv, into banks’ views on digital transformation and payments.

The survey was completed by more than 100 senior payments practitioners during August and September 2017. The respondents’ organisations included banks, corporate treasuries, merchant services, payment processors and industry associations.

Source: finextra.com