The pandemic has accelerated the digitisation of retailers, with digital payments becoming increasingly important. In addition, recent months have seen consumer preference for alternative payment methods to traditional ones.
2020 will probably be remembered as one of the most relevant years in terms of the transformation in the payment industry, caused by the increase of digitalisation in the purchasing processes and the change in customers’ consumption habits, seeking to improve the experience and offering value-added services.
In a short period of time, many retailers have been “forced” to adapt to the digital transformation in which the consumer was already immersed, and thus allow them to purchase their products omnichannel, with a fast, efficient, and secure purchase process, which improves the customer journey and achieves brand loyalty.
In addition, another factor that boosts digitalisation in the checkout process in shops is the entry into force on 10 July of the Anti-Fraud Law, which limits the maximum amount that can be paid in cash to 1,000 euros.
All these aspects and trends make consumers adapt their behaviour. Thus, we can detect new social trends adapted to consumption and, more specifically, to payment:
Amongst the social trends that are most affecting the development of the market, the following stand out:
- Buy Now Pay Later: Many consumers have seen their income reduced in the last year, leading to the growth of this modality. It allows consumers to buy and enjoy products on the spot and pay in instalments.
- Buy Better, Pay Smart: Consumers are not only looking at price when making a purchase, they are also looking at aspects that link the product to sustainability, preferring to make a “better buy” even if the price is increased.
- Social Payments: An increasing number of retailers are using social media as a product showcase and sales channel. This allows users to pay for the product they have viewed without leaving the application and with just one click.
- Voice commerce: A trend in the ecommerce sector that uses Artificial Intelligence through voice recognition, with the aim of expanding online sales opportunities, allowing payments to be processed through a voice assistant.
- Cashless societies: We are moving towards a cashless society with a clear upward trend towards digital payments, using physical or virtual cards, wallets or other payment methods. In addition, the emergence and rapid adoption by consumers of applications that allow them to receive and send money in real time between people and that also allow them to pay at merchants, are causing the traditional payment method to be disused in our country to date.
Sipay, a platform specialising in payment solutions for merchants, stresses the importance of knowing how to adapt to the latest social and market trends and emphasises the need to rely on technology to generate business opportunities and contribute to an improved customer experience and personalisation throughout the purchasing process.