Mobile payment providers should focus on the simple things, not only beating their competitors, when it comes to innovation—at least according to Fiserv, who noted as much in a recent white paper.
Consumers want friction reduced in their daily tasks, like buying a cup of coffee or withdrawing cash, Fiserv noted in its ‘Four Pillars of Mobile Payments’ white paper, released late last month. Therefore, rushing towards the next big thing simply to beat one’s competition may not be the best approach, the financial technology provider stated.
Fiserv said in the whitepaper:
Many misperceptions in the mobile payments space stem from a misplaced focus on competition. Certainly every organization, whether fintech or financial institution, wants to provide the strongest consumer experience. But that doesn’t make it an arms race toward the shiniest objects in the cascade of new technologies.
Rather, companies should focus on what Fiserv terms “the four pillars” of mobile payments: allowing consumers to pay other consumers, pay retailers, pay billers, and pay themselves. Nearly half of active monthly mobile payment users have used their app to transfer money between accounts at the same FI, Fiserv found.
Take a look at the full whitepaper here.
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