The year ahead - possibly
It has been said: “Prediction is very difficult, especially about the future”. But we like a challenge at PayNode – after all, we’re working to change the business aviation payments market forever. We’re constantly monitoring emerging trends in the fintech industry and want to keep you informed of our learnings as we set off on this journey together.
Therefore, as we approach the end of the 1st quarter of the year, here are four areas we believe will surge forward in 2017 and beyond:
Meeting the expectations of Generation Z: people born between the early 1990s and the late 2000s (the so-called ‘Generation Z’) have grown up with the internet wired into their DNA. Unlike their parents and grandparents, younger consumers look with confusion at paper cheques and think of banks as online service providers more than physical buildings. The ease with which Generation Zers manage all other aspects of their lives online must be matched by the fintech community and we expect real progress in this area in 2017. When financial transactions with iconic online retailers like Amazon are so simple, how can you justify payments through your company’s website being so hard?
If you want a better understanding of the fintech expectations of Generation Z, read this article
Mobile payments (mPayments): we may not yet quite live in the paperless society we have long been promised but smartphones have undoubtedly changed the way we manage our lives. So, when the smartphone manufacturers themselves are investing serious money to launch mobile payment systems across multiple devices – think Apple Pay, Samsung Pay and Android Pay – we know mPayment technology is not just desirable but commercially viable too. We believe that by 2020 many people will be leaving traditional wallets and purses at home and using mPayments for almost everything they buy (and we’re not alone, as you can see in this article. Fingerprint identification is increasingly helping to address mPayment security concerns, alongside established PIN authentication. As the cost of the technology falls, expect to see mPayments becoming more common in developing nations too, where low- to mid-range budget handsets are more prevalent than products at the top end of the market.
Putting the experience ahead of the money: peer-to-peer (P2P) money transfer services are evolving at speed. The actual fund transfer process and bank account details are being moved into the background of the user experience. Let’s look at the language used by Google Wallet, for example, which describes “a fast, free way to send money” and highlights how easily you can “send money to someone using just their email address or phone number”. The marketing focuses on the simplicity and quality of the experience, not the technical requirements of the transaction. Banking almost sounds like fun. Generation Zers (and, indeed, rapidly increasing proportions of older generations too) are not remotely impressed by the mere ability to transfer money to their friends and family online. Just as in so many areas of the business jet industry, if you want to impress your future customers, you need to focus on delivering an exceptional experience. You can find a greater insight into how the fintech sector is redefining money transfer services in this article.
Wearable technology: have you ever been looking for your mobile phone, only to realise you are already holding it? We’ve become so used to constantly carrying some mobile devices we might as well be wearing them, so at PayNode we’re not at all surprised by the emergence of wearable technology. In fact, we’d expect this area to grow this year (and many people agree with us, as this article highlights). Although we won’t be introducing PayNode wearable technology any time soon, as we mentioned earlier, understanding the lifestyles of your current and future customers is vital for any innovative business. The concept of ‘everyday’ technology is very different for a Generation Zer than for someone who grew up in the 20th century. Over 250m smart wearable devices could be in use globally by 2018.
With mPayments and wearable technology being a perfectly matched glimpse into the future, are you ready for it?
Do you have your own predictions for the future of business aviation and fintech? We’d love to hear your views. Please feel free to share them here
Written by Magnus Henriksson, Global Business Director, PayNode.