Finextra Survey Reveals Banks Analyzing Mobile Payments

Mobile Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term continues to be an evolving space. While initially the place of small firms and startups, established financial institutions are increasingly evaluating what their strategies will be going forward. Analyzing the payments industry and technology, media group Finextra conducted a survey of more than 183 bankers on the subject of monetization of mobile payments. The research was conducted on behalf of Clear2Pay and NGData. According to Finextra, 76% of respondents were employed by large banks having more than 2500 employees, and were in the IT, C-level executive, business development, or marketing groups.

The survey revealed a growing awareness to mobile wallets as it pertains to their company’s future strategies.

Key highlights of the survey:

• 81% percent of banks want to add value beyond the transaction by making relevant commercial offers at the Point of Sale (POS)
• 67% of banks answered that they want to be the full custodian of a customer’s value and control such things as money, coupons, air miles, etc
• 43% believed that they would launch a mobile wallet in the next 6-12 months
• 49% answered that they would cooperate on an open industry wallet initiative

In regards to Big Data Big Data Big data refers to the collection of data that is too complex and too large for processing by standard database tools. There is no specific quantity of data, which is set as a minimum level to be considered Big data. Image the data collected on global credit card transactions. Many governments used Big data analysis to study the recent pandemic spread. The term Big data was first introduced in 1980 by Charles Tilly.The term Big data was primarily used in computer science, statistics, and econome Big data refers to the collection of data that is too complex and too large for processing by standard database tools. There is no specific quantity of data, which is set as a minimum level to be considered Big data. Image the data collected on global credit card transactions. Many governments used Big data analysis to study the recent pandemic spread. The term Big data was first introduced in 1980 by Charles Tilly.The term Big data was primarily used in computer science, statistics, and econome Read this Term, another topic of the survey, Finextra noted that banks appreciate the value of Big Data but are unsure how to use it to improve customer loyalty. The results also showed that 44% of banks said that they don’t have the resources to take advantage of Big Data. However, 68% believed that mobile efforts will be a large driver of generating data on customers and targeting personalized offers.

Commenting on the research, Mark Hartley, Chief Innovation Officer at Clear2Pay, stated "We truly believe that banks are best positioned to deliver the ultimate customer experience to their clients and move beyond the payment into the heart of the transaction, thereby adding value and meaning to clients and merchants alike. This way people can use the bank's infrastructure from any device for any value: real or virtual or loyalty points with the same security and ease of use they are already accustomed to. This way, the wallet becomes a 'brand wrapper' for the bank instead of a disintermediator."

The research is available for download from finextra.com/monetisingpayments