Chris Johnson, Vice President of Global Financial Services for Pitney Bowes, took to the stage this morning to moderate a very informative panel discussion that focused heavily on the trends and future outlook in the global payments space, as well as the increasingly profound impact of fraud on the retail industry.
The panel brought together two experts with decades of experience and thought leadership in the areas of global payment processing, fraud and identity management:
- Kimberly Sutherland, Sr. Director of Fraud and Identity Management Strategy at LexisNexis Risk Solution
- John O’Brien, SVP of Global Enterprise eCommerce at Worldpay, the world’s largest payment processor
5 of the panel’s top takeaways on global payments
1. There is no universal payment experience. This experience is entirely localized and can vary significantly based on geography, due to varying regulations and local players in the payment processing space.
2. We are seeing a global shift in the mix of eCommerce payment methods, where non-card payments now account for over 50 percent of all eCommerce transactions and credit cards comprise 33 percent of transactions.
3. Over the next 5 years, we can expect to see bank transfer transactions grow by 21 percent, while credit card transactions tick up only by 2 percent.
4. Given this shift, retailers must be able to support non-card transactions. That kind of payment support will be significantly important.
5. Merchant-specific approaches to payment methods and processors is critical. The customer experience is everything, and in some geographies, customers will simply expect the local payment players to provide available options for eCommerce transactions.
Credit card fraud should drive retailers to alternative payment methods
Fraud was another major topic of conversation for the panel. With over 700 million global cyberattacks, 1.7 billion bot attacks, and a 200 percent growth in login attacks in 2017, it’s clearer than ever that identity fraud has become too big and too omnipresent for any business to ignore.
But, while credit card and debit card transactions make up the two biggest payment sources for fraud, fraud is still relatively low in the alternative payment space. This underscores the need for retailers to make the shift to non-card payments even more – for at least a short while, alternative payments will provide a respite from the avalanche of fraud attempts and cyberattacks that surround traditional payment methods. And, with customers becoming increasingly mobile and their demand for alternative payments on the rise, shifting into the non-card payment space carries even more advantages for retailers – as well as risks of being left behind for those who don’t make the jump.
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Then, dive into the results from one of the biggest global ecommerce research reports of its kind. The Pitney Bowes 2017 Global Ecommerce Report surveyed more than 1,200 retailers and 12,000 consumers around the world, outlining both retailer and consumer perspectives on the global ecommerce landscape. Download the report to learn how these trends provide key growth opportunities.