Payments, by their very nature, are made using payment instruments. Cash, as an example, is an instrument by which you can pay or make a payment. The same goes for paper checks. That said, digital payments are not a singular instrument but rather an overarching term that is applied to a range of different instruments that are used in different ways.
Since there is no one standard definition of a digital or e-payment, but there are two key dimensions of categorization that are most important when framing out digital payments in your mind:
This is an exciting time in the global payments industry with innovation in online and offline payment technology. Consumers are starting to understand the advantage of using mobile devices for payments, rather than transacting in cash and credit cards. Innovative startups and established Financial Services players are constantly pushing new technologies and solutions in the payments space.
In fact, very few industries have evolved and morphed more over the past decade than the digital payment industry has. From security chips in payment cards crossing the Pacific and Atlantic oceans and companies like PayPal rising to power, the landscape of digital payments continues to change at a rapid pace. Despite that fast evolution, the Globys Research report shows that digital payments continue to be a huge pain point for Enterprise sellers and buyers, as the existing process is cumbersome, expensive, and far too often risky. And though electronic & digital solutions like Globys Payments exist, they’ve been misunderstood as too costly and complex to be accessible to the majority of businesses.
As new forms of digital payments begin to take hold, the old assumptions no longer work. What does it mean to issue a credit card when there is no actual card? How can transactions be risk managed when payment credentials and metadata are masked and scrambled by design? And what is the impact on the loyalty and reward programs that are designed to depend on the presence of card data?
Of all the new innovations and emerging technologies in the payments landscape, blockchain (along with AI) is one of the most talked about. In the future, blockchain will change the way B2B businesses work, and companies in this sector are preparing to take it on head-first. It was frequently in the news throughout 2017 with numerous financial institutions filing patents, conducting research, and further announcing their commitment to blockchain technology as a future solution for faster, more secure transactions.
Whether you’re a small business looking to manage your daily expenses or a global enterprise interested in streamlining your payables processes, its important to find a trusted, efficient digital payment solution designed to fit your needs.