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PAYMENTS THE WAY - SEPTEMBER 2021 - PYMNTS.com
SEPTEMBER 2021

  THE WAY
PAYMENTS
 ARE NOW
     DONE

  WHAT DEFINES YOUR CLIENTS’
   PAYMENTS ROUTINE TODAY?
PAYMENTS THE WAY - SEPTEMBER 2021 - PYMNTS.com
TABLE OF CONTENTS
08   Airbase                                               48   EVO Payments                                       88    London & Partners                              116   Spreedly
     The Growing Importance of                                  The Push for a More Digital Payment Experience           More Tech Isn’t Always the Answer                    The Rise of Platforms
     Spend Management for Today’s Companies                     Brendan Tansill, president, the Americas                 Allen Simpson, acting CEO                            (and Payments Orchestration)
     Thejo Kote, founder and CEO                                                                                                                                              Randy Guard, chief product officer
                                                           52   FIS                                                92    Mastercard
12   Amazon Web Services (AWS)                                  Consumers Now Demand Options
                                                                                                                         Account Opening at the Speed of Customer       120   TreviPay
     Contactless Payments Continue                              in Their Payments Experience
                                                                                                                         Expectations                                         The New Normal: B2B Payments Must Be
     to Drive New Waves of Innovation                           Dave Fura, SVP, head of card solutions
                                                                                                                         Jess Turner, EVP, new digital infrastructure         Like B2C Transactions
     Mark Smith, head of payments for financial services                                                                 and FinTech                                          Brandon Spear, CEO
                                                           56   FISPAN
16   Amount                                                     What Post-Pandemic Success Will Look Like
                                                                                                                   96    Mitek Systems                                  124   Versapay
     Transforming Banks Into BNPL Pacesetters                   for Banks and Businesses
                                                                                                                         Cameras, Wipes and Swipes Replace Cash               Breaking Down Barriers Between Customers
     Adam Hughes, CEO                                           Clayton Weir, CEO and co-founder
                                                                                                                         Stephen Ritter, CTO                                  and AR Teams
                                                                                                                                                                              Craig O’Neill, chief executive officer
20   Billtrust                                             60   Forter
     Suppliers Put the Pedal to the Metal                       Retailers Need to Combat Fraud and False           100   Payoneer
     to Convert B2B Buyers to Digital Payers                    Declines to Win Lifetime Customers                       Go Digital, Go Local                           128   Very Good Security
     Steve Pinado, president                                    Liron Damri, president and co-founder                    Charles Rosenblatt, chief strategy officer           The Rise of Virtual Cards
                                                                                                                                                                              Mahmoud Abdelkader, CEO

24   Blackhawk Network                                     64   FortisPay                                          104   Paytronix
     Hybrid Payments: The Key to Unlocking                      Choice and Convenience: Defining Consumer                Today’s Restaurants Take Cues from eCommerce   132   Vindicia
     the Connected Economy                                      Payments Today                                           Charles Gray, chief revenue officer                  2021: An Evolving Digital Future for Payments
     Talbott Roche, president and CEO                           Ron Dichter, CRO                                                                                              and eCommerce
                                                                                                                                                                              Roy Barak, chief financial officer and
                                                                                                                   108   Plastiq                                              chief operating officer
28   CareCredit                                            68   i2c                                                      COVID Drives Small Businesses Re-platforming
     Patients Are Empowered Consumers, and                      Amid a Host of Changing Routines, Agility and            – and a Renaissance in Digital Payments
     They Expect Personalized Payment Options                   Reliability Become More critical Than Ever               Stoyan Kenderov, chief product and             136   YayPay by Quadient
     Alberto Casellas, EVP and CEO at Synchrony’s               Jim McCarthy, president                                  technology officer                                   The Technologies That Are Transforming
     health and wellness platform                                                                                                                                             AP and AR
                                                           72   IDEMIA                                             112   PSCU                                                 Anthony Venus, chief strategy and product officer,
                                                                Mobile Phones: Connecting the Physical and                                                                    accounts receivable automation
                                                                                                                         Touchless Payments: Ease, Convenience and
32   Corcentric                                                 Digital Payment Experience                               Safety Drives Accelerated Adoption
     Why Focusing on the Supplier Experience                    Matt Cole, CEO of secure enterprise transactions         Denise Stevens, SVP, chief product
     Pays Off
                                                                                                                         and digital officer
     Matt Clark, president and COO
                                                           76   Ingo Money
36   Cybersource                                                Increasing the Power and Penetration
     Merchants Face off Against Evolving Fraud Tactics          of P2P Payments
     Andre Machicao, senior vice president, global head         Drew Edwards, CEO
     of product and solutions
                                                           80   Limonetik
40   Digital River                                              Clients’ Payments Routine: A joke or Utopia?
     The Revolution Is Here for B2B Buyers                      Hassan Issa, COO
     Eric Christensen, chief payments officer
                                                           84   LoginID
44   Early Warning                                              The ‘New Normal’ of the Delivery Business
     Faster Payments are Redefining Consumer                    Simon Law, co-founder and CEO
     Expectations
     Lou Anne Alexander, chief product officer
PAYMENTS THE WAY - SEPTEMBER 2021 - PYMNTS.com
33
PAYMENT EXECS
POINT TO        What’s new initially feels unfamiliar, but with
                practice and necessity, ultimately becomes

PAYMENTS’       the ‘new normal.’ In this eBook, 33 C-Suite
                payment executives weigh in on how the

‘NEW NORMAL’    pandemic forced consumers to embrace new
                contactless forms of payment as something
                they needed, until it became something
                familiar and preferable.

                What begins as a seismic shift gradually
                becomes the new normal.

                After all, repetition breeds familiarity. Familiarity
                breeds adoption, until what was once unfamiliar,
                or perhaps even uncomfortable, becomes
                second-nature.
PAYMENTS THE WAY - SEPTEMBER 2021 - PYMNTS.com
The Way Payments Are Now Done

              That’s especially true in payments,    The payments experts who weighed           Most of these behavioral shifts will
              where the pandemic has made us all     in here reflect on the ways FinTechs       remain in place after the pandemic
              shift to new payment modalities, and   have helped bring new ideas to the         is finally in the rearview mirror, the
              any number of alternative payment      forefront of consumer payments.            respondents said – while buy now,
              methods – online, in many cases –      But we’d be remiss in glossing over        pay later (BNPL) options will continue
              with haste.                            the fact that companies have had to        to offer consumers convenience and
                                                     adapt, too.                                visibility into cash flow.
              In this e-Book, we asked 33 C-suite
              executives to give a sense of what’s   After all, the pivot to working from       If there are common themes as
              changed in the past year – and to      home means everything has been             to what are part and parcel of the
              predict what’s to come.                done remotely, which in turn means         new “normal” for payments, they
                                                     that spend management has had to           would be “choice” and “speed.” The
              The way it’s always been done? Well,   abandon slow, manual processes.            lines between physical and online
              that’s anathema – and, increasingly,                                              commerce are blurring, but we
              cash has become anathema, too.         Behind the scenes, infrastructure          all want to be able to make the
              Contactless debit and credit were      considerations have been top               transactions we need to make 24/7 –
              quickly embraced amidst fears of       of mind for traditional financial          with a range of options on hand.
              germs – and now those payment          institutions (FIs), platforms and
              methods are prized for their           merchants, all in a bid to meet            Read on to see what’s changed –
              convenience.                           consumers where they want to be            and the changes that remain just
                                                     met. FIs have had to drastically           over the horizon.
                                                     reconsider the branch setting.

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PAYMENTS THE WAY - SEPTEMBER 2021 - PYMNTS.com
Airbase

                                                            THE GROWING
                                                            IMPORTANCE OF
                                                            SPEND MANAGEMENT
                                                            FOR TODAY’S
                                                            COMPANIES

                                                                       2
                                                                                           021 was a very interesting year – not only for Airbase, but also for the
                                                                                           spend management sector as a whole.

                                                                                            Just take a look at recent activity in this particular area of FinTech
                                                                                           — we’re seeing a significant shift in payment systems for company
                                            THEJO                       spending. This has been made possible by the opening up of the payment

                                             KOTE                       infrastructure, allowing software companies to build deeply integrated workflow
                                                                        products. Companies are waking up to the fact that if they don’t change their
                                        Founder and CEO
                                                                        approach, they face an increasingly archaic world of slow, manual processes.

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PAYMENTS THE WAY - SEPTEMBER 2021 - PYMNTS.com
Thejo Kote

              This has been reflected in the         of approvals, reimbursements and                           management model to provide an
              millions of dollars invested in the    repetitive, manual bookkeeping tasks.                      intuitive, complete platform for all
              industry, with the likes of Airbase,   What’s more, inefficient processes                         non-payroll company spend.
              Ramp and Brex raising impressive       and inadequate tools meant that I
              figures in their respective funding    could not get an on-demand, real-                          Our network is frustrated with
              rounds.                                time view of what we were spending                         legacy systems and processes
                                                     as a company.                                              that create high levels of manual
              I believe the world is becoming                                                                   work, slow monthly closes and
              aware of what spend management         As I learned more, I came to realize                       ineffective cost controls. The rise in
              software is, and that’s seen a major   that the status quo for accounts                           remote workforces triggered by the
              shift in how companies’ payments       payable (AP) in small and mid-                             pandemic further magnified those
              routines have shaped up in the last    market companies was broken. Using                         frustrations. Companies have grown
              year.                                  the concepts that are central to our                       accustomed to a remote working
                                                     product design approach at Airbase,                        approach, and the efficiencies
              The growth in the sector is no         we have taken a holistic view of the                       created by a consolidated spend
              surprise to me. The problem spend      entire process, and have developed                         management platform have offered
              management solves is something         a deep understanding of our users’                         a competitive advantage to globally
              I witnessed myself, and it’s what      needs to solve the problem.                                distributed teams.
              inspired me to create Airbase to
              address the need for one platform to   Spend management frees up time                             This year has shown that my pre-
              manage all company spend.              from manual tasks and provides                             existing concerns surrounding the
                                                     the tools for finance and accounting                       broken systems within companies
              I started the company as a response    professionals to contribute insights,                      and how they manage their spend
              to something I saw too much of         analysis and strategic thinking,                           are valid. Now, the rest of the world is
              while running my first business:       making them more valuable to their                         rapidly starting to take notice — and
              well-educated people sacrificing       companies.                                                 this is just the beginning.
              vast amounts of their time doing
              low-value work. My talented finance    We’re seeing an upward trajectory                          Spend management is a crucial
              team got bogged down in the chaos      of companies adopting a spend                              innovation whose time has come.

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PAYMENTS THE WAY - SEPTEMBER 2021 - PYMNTS.com
Amazon Web Services (AWS)

                                                                   CONTACTLESS
                                                                   PAYMENTS
                                                                   CONTINUE
                                                                   TO DRIVE
                                                                   NEW WAVES
                                                                   OF INNOVATION

                                                                              C
                                                                                                         OVID-19 caused a shift in the way banks and payments providers
                                                                                                         engage with customers as the number of cash transactions and
                                                                                                         in-person visits to branches diminished. As a result, many financial
                                                                                                         institutions (FIs) accelerated their digital transformation journey
                                                                               to provide streamlined, end-to-end omnichannel experiences that include

                                                 MARK                          contactless payments — one-touch or cashierless options — delivered in real

                                                SMITH                          time. I expect that this customer-centric drive toward contactless will continue
                                                                               to inform new waves of innovation in payments and personal finance post-
                                            Head of Payments
                                        for Financial Services                 pandemic.

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PAYMENTS THE WAY - SEPTEMBER 2021 - PYMNTS.com
Mark Smith

              Contactless payments include a wide       biometrics, artificial intelligence                        in its mobile banking app, made
              range of applications, from tap-to-       (AI) and machine learning (ML) to                          by placing a mobile phone near a
              pay debit and credit cards to mobile      prevent fraud on transactions and                          payment terminal. However, the
              wallets installed on a customer’s         ensure customer trust. For example,                        solution needed to comply with all
              smartphone to payment solutions           last year, Venmo, a rapidly growing                        international and country-specific
              that send texts to a customer to          peer-to-peer (P2P) payments app                            standards for its products — and
              complete the purchase without             with over 60 million+ active users,                        mobile contactless payments are
              needing a mobile wallet. A recent         rapidly evolved to quickly respond                         subject to particularly strict rules.
              global Mastercard survey indicates        to market demand for a contactless                         BBVA knew that developing a new,
              that 74% of customers (consumers)         solution among both businesses                             internationally compliant solution
              said they will continue to use            and consumers. Venmo used AWS                              could be expensive and complex
              contactless payments in the future.       services to build and roll out new                         since it operates in 35 countries.
              For consumers, flexible, convenient,      contactless products in as little as                       Using AWS, BBVA was able to build
              touchless transactions are no longer      six weeks.                                                 and implement a PCI DSS-compliant
              a perk — they are a necessity.                                                                       solution and reduced costs by 80%
                                                        “We were able to develop and                               with on-demand scaling.
              Financial institutions are increasingly   release a solution that enabled
              using AWS to harness vast amounts         Venmo customers to present and                             As demand rises for contactless
              of previously siloed data to develop      share a way to receive contactless                         payments – driven by exogenous
              a better understanding of customer        payments and to pay at QR code-                            factors like COVID-19 or interest in
              preferences, provide a holistic           accepting merchants, and went from                         new form factors like wearables –
              customer view to enhance service,         literally zero lines of codes to beta                      payment companies and banks that
              and offer new and relevant products       in six weeks,” said Nick Ciubotariu,                       build applications and platforms
              and services, such as contactless         Venmo CTO, at his AWS Reinvent                             in the cloud, like Venmo and BBVA,
              payments. These firms understand          2020 session.                                              will have an advantage. They will be
              that decisions must be made quickly                                                                  able to identify changes in customer
              and accurately, using historical          Another customer, BBVA, the global                         preferences and quickly and securely
              and real-time data combined with          financial services group, wanted to                        build, test and launch new and
              cutting-edge tools like behavioral        enable contactless payments via                            innovative ways to pay.
                                                        near-field communication (NFC)

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PAYMENTS THE WAY - SEPTEMBER 2021 - PYMNTS.com
Amount

                                                     TRANSFORMING
                                                     BANKS INTO
                                                     BNPL
                                                     PACESETTERS

                                                                 T
                                                                                      he physical constraints and financial insecurity brought on by the
                                                                                      global pandemic last year no doubt set the stage for today’s rapidly
                                                                                      increasing adoption of buy now, pay later (BNPL). While not a new
                                                                                      concept, BNPL options became more attractive to cash-conscious
                                                                 consumers seeking alternatives to unfavorable short-term credit offerings. With
                                          ADAM                   increased transparency, the ability to even out cash flow and budget over a clear

                                        HUGHES                   period of time, BNPL fits the bill. Literally.

                                            CEO

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PAYMENTS THE WAY - SEPTEMBER 2021 - PYMNTS.com
Adam Hughes

              Fast-forward to today: Having been       why Amount is helping our bank                            their own game with more value,
              the only unsecured lending asset         partners do just that.                                    convenience and security, which
              class to experience high-double-                                                                   banks are inherently positioned
              digit growth during the pandemic,        Right now, Amount is one of the                           to do. Banks’ lower cost of capital
              BNPL is now a booming marketplace,       few FinTech companies in the U.S.                         translates to better rates and
              one that is expected to capture          working directly with large FIs to                        greater savings for merchants and
              $995 billion of consumer spend by        empower them to compete and win                           consumers. Heavily regulated and
              2026 – four times its 2021 projected     in BNPL. Hampered by inefficient                          compliant by nature, banks are better
              volume.                                  and inflexible infrastructure, banks                      equipped to meet looming BNPL
                                                       are struggling to provide merchant                        regulations.
              But most financial institutions aren’t   partners with timely, best-in-class
              banking on that BNPL revenue. Well,      BNPL options that drive greater                           By empowering our bank customers
              not yet.                                 conversion, average order size and                        with a modular and flexible BNPL
                                                       repeat purchases.                                         solutions platform, they can embed
              According to McKinsey’s Consumer                                                                   white-labeled BNPL products within
              Lending Pools data, banks stand          Yet when considering existing                             a merchant’s checkout journey,
              to lose up to $10 billion in annual      BNPL providers, the options aren’t                        creating seamless, friction-free
              revenues to the ever-expanding           that great for merchants. Typically,                      payment experiences that turn
              roster of merchant-centric FinTechs,     FinTechs charge merchants high fees                       customers into high-value brand
              which are capitalizing on FIs’           as a percentage of the purchase                           loyalists. It’s a win for the customer.
              inadequate response to increased         amount or high flat fees per                              It’s a win for the merchant. And it’s a
              merchant demand for timely, flexible     transaction. Plus, most of the big-                       win for the bank.
              customer payment options at the          name BNPL players aren’t white-
              point of sale.                           labeled, which is pivotal to driving                      While FinTechs may appear to be
                                                       long-term brand loyalty.                                  winning at BNPL, it’s still early innings
              So, as I see it, there are billions of                                                             – and most banks have yet to even
              reasons that banks need to get into      We realize that the only way                              get in the game. With Amount, that’s
              the BNPL space – which is exactly        banks stand to win against the                            all about to change.
                                                       BNPL providers is to beat them at

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BillTrust

                                                        SUPPLIERS
                                                        PUT THE PEDAL
                                                        TO THE METAL
                                                        TO CONVERT
                                                        B2B BUYERS
                                                        TO DIGITAL PAYERS

                                                                  I
                                                                              n the B2B space where Billtrust’s customers exist, if 2020 was the year
                                                                              of digital acceleration, accounts receivable (AR) teams are going beyond
                                                                              merely speeding up in 2021. They are firmly putting the pedal to the metal
                                                                              to convert their buyers to digital payers.

                                          STEVE                     In early 2020, companies not already embracing a digital payments strategy

                                        PINADO                      found themselves exposed, scrambling to maintain cash flow once their AR
                                                                    teams were sent home and mail delivery became more of a marathon than a
                                          President
                                                                    sprint. If there was any silver lining in the events of the last 18 months, it’s that a
                                                                    normal routine for B2B AR teams now involves conducting targeted campaigns

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Steve Pinado

              to convince their buyers to pay            our technology and tackle the                                It can take a variety of methods to
              electronically. In fact, this is the top   tremendous challenge of delivering                           convert buyers to digital payers.
              area that AR teams want to address         a “complete payment” – capturing                             Whether through strategically
              in the next 12-36 months, according        full remittance in addition to the                           targeted outreach or participation
              to a recent Billtrust-sponsored study.     payment itself.                                              in a payments network like our
                                                                                                                      Business Payments Network,
              In a post-COVID world, many                While changing buyer behavior is                             accelerated digital efforts ultimately
              companies have learned the hard            difficult, there are proven methods                          protect companies’ bottom lines
              way that steering buyers away from         to achieve success, beginning with                           while helping to drive a post-
              legacy payment methods like checks         suppliers offering the digital channels                      pandemic economic rebound.
              is necessary for survival. Although        their buyers prefer, then identifying                        Businesses can never again take
              we are well over a year past the           which customers are most likely to                           cash flow for granted – and I am
              original employee exodus, remote           convert and have the largest impact.                         proud to help lead a company like
              work is still occurring, with the delta                                                                 Billtrust, which has been a catalyst
              variant slowing what many thought          We are happy to report that we’re                            for long-overdue change.
              would be a faster return to the office.    seeing progress. While a 2019 AFP
              Postal delivery speed has also not         study found that paper checks made
              improved. Converting buyers to             up 42% of B2B payments, there
              digital payers and accelerating cash       are good signs that B2B check use
              flow has significant implications on       is slowing, with our recent study
              a company’s financial well-being,          reporting 19% and recent PYMNTS
              and Billtrust is proud to lead the         data showing 25%.
              way in helping companies leverage

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Blackhawk Network

                                                              HYBRID
                                                              PAYMENTS:
                                                              THE KEY TO
                                                              UNLOCKING
                                                              THE CONNECTED
                                                              ECONOMY

                                                                        I
                                                                                    n a time of increasing change for businesses and people, the current
                                                                                    global climate has accelerated the digitization of payments at a much
                                                                                    quicker pace than previously envisioned. For Blackhawk Network, broader
                                                                                    adoption of mobile payments has been critical to reshaping the commerce
                                                                          experience for both retailers and consumers.
                                          TALBOTT
                                           ROCHE                          This digital payment acceleration has become critical to creating a customer
                                                                          experience that is convenient and contactless. And retailers that are leaning into
                                        President and CEO
                                                                          this trend will be rewarded. Blackhawk Network surveyed shoppers and found

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Talbott Roche

              that most will spend more money          incentives to enhance value for                                The brands that are finding success
              with retailers that offer more digital   consumers, in a way that does not                              in recovery and growth are also
              payment methods.                         overtask retailers’ existing operations.                       those that actively seek solutions
                                                       The biggest winners in the next                                to new challenges by creating fresh,
              Along with shopping more frequently      phase of the payments race will be                             seamless experiences to engage
              (69%) and spending more (54%) at         those providing enhanced choice in a                           customers across the channels they
              retailers where they can use digital     seamless experience to consumers,                              find most valuable. The key will be
              payments, most shoppers surveyed         while making it effortless for retailers.                      for retailers to invest in their digital
              (85%) also reported that digital                                                                        platforms.
              wallets have made shopping easier.       Over the last year, we have all
              Furthermore, bar code payments           adopted a more digital lifestyle,
              have allowed an increasing number        and the reality of future payments
              of retailers to sell or retail digital   is hybrid. We have evolved our
              goods, expanding their proposition       expectations in work, in life and
              in-store.                                in payments to expect hybrid
                                                       interactions and transactions. In fact,
              But getting consumers to use their       63% of respondents to our research
              mobile wallets is just the first step    are more likely to shop at a retailer
              – and in a post-pandemic world,          if it accepts the digital payments
              our role is to continue to innovate.     they use. We must better connect
              We must drive additional value into      physical and digital payments to
              an integrated payment experience,        cater to customers’ preferences for
              including coupons, rebates and           both.

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CareCredit

                                                                         PATIENTS ARE
                                                                         EMPOWERED
                                                                         CONSUMERS,
                                                                         AND THEY EXPECT
                                                                         PERSONALIZED
                                                                         PAYMENT OPTIONS

                                                                                     T
                                                                                                          he pandemic has profoundly impacted the healthcare industry,
                                                                                                          spurring innovation and driving transformation in countless areas.
                                                                                                          This includes many financial aspects of healthcare, from how
                                                                                                          providers share cost information and request and receive payment,
                                                                                     to how patients pay for health and wellness purchases and manage their overall
                                                 ALBERTO                             healthcare spending.

                                               CASELLAS                              Focusing on payments specifically, the changes we’ve seen represent an
                                         EVP and CEO at Synchrony’s
                                        health and wellness platform                 acceleration and amplification of trends that were already underway before
                                                                                     the pandemic began. These trends are often summarized by the label of

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Alberto Casellas                                                                                                                                                                                                                     CareCredit

              “healthcare consumerism,” which          seen a notable increase in providers                         of high-deductible health plans, the                                                    For example, we’ve enabled
              reflects the reality that today’s        leveraging contextual commerce,                              need for flexible payment solutions is                                                  healthcare providers to deliver
              patients are behaving more like          which allows patients to engage                              greater than ever.                                                                      personalized customer experiences
              traditional consumers, bringing the      with providers and complete                                                                                                                          within a mobile application, allowing
              same preferences, expectations and       transactions from anywhere at any                            In fact, we partnered with PYMNTS                                                       patients to engage when and how
              behaviors to healthcare that they        time. To make this happen, more                              to conduct a research study this                                                        they prefer, from the security and
              have for other kinds of purchases.       and more providers are assessing                             summer that found patients spent                                                        convenience of their own devices.
                                                       current platforms and processes                              an average of $1,148 on out-of-pocket                                                   Because we already had the
              Specifically, we see patients            and employing new patient-facing                             medical expenses in the past 12                                                         technology and infrastructure in
              demanding a more retail-like             technology and solutions that reduce                         months. Not surprisingly, 45% of
                                                                                                                                      1
                                                                                                                                                                                                            place, we were able to adapt fairly
              healthcare payment experience in         friction and improve the overall                             consumers surveyed said they would                                                      nimbly — and help our clients in
              a few key ways. First, they expect a     patient experience.                                          be interested in using financing to                                                     healthcare and other industries to
              safe, seamless shopping process                                                                       pay for healthcare costs over time.                                   2
                                                                                                                                                                                                            do so — when the pandemic arrived,
              from end to end, including the           Finally, in addition to delivering more                                                                                                              and so many experiences had to
              intuitive integration of technology      effective, seamless experiences                              As these aspects of healthcare                                                          become virtual, digital or contactless
              to enable contactless commerce.          across more channels, patients are                           consumerism have gained traction,                                                       nearly overnight. Now that patients
              This can include things like using       looking for options to help them                             Synchrony has helped many                                                               and providers alike have enjoyed
              QR codes to access online payment        effectively manage out-of-pocket                             healthcare providers navigate this                                                      the benefits of these new payment
              portals or credit applications,          healthcare payments. This has                                transition and offer new and better                                                     routines, we believe they are likely to
              paying balances via digital or mobile    been a focus of CareCredit, part of                          experiences for their patients.                                                         endure long after the pandemic is a
              transactions, and exchanging cost        Synchrony’s health and wellness                              Even before the pandemic, we                                                            distant memory.
              and invoice information via direct-to-   platform, for more than 30 years.                            were investing significantly in our
              device communication.                    CareCredit was a pioneer in offering                         digital capabilities and prioritizing
                                                       dedicated financing for health and                           technology innovation to develop
              Secondly, they increasingly want         wellness expenses not covered by                             new solutions for our clients and
              highly personalized experiences          insurance – and today, with rising                           their customers.
              that fit their specific needs. We’ve     healthcare costs and the prevalence

                                                                                                                    1
                                                                                                                        Consumers’ Healthcare Financial Experiences and Patient Loyalty, PYMNTS.com and CareCredit, July 2021
                                                                                                                    2
                                                                                                                        Ibid.

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Corcentric

                                                                    WHY
                                                                    FOCUSING
                                                                    ON THE
                                                                    SUPPLIER
                                                                    EXPERIENCE
                                                                    PAYS OFF

                                                                                T
                                                                                                     here’s no denying that the pandemic has caused a major shift in
                                                                                                     payments strategies in B2B and B2C transactions. From increasing
                                                                                                     the need for liquidity and cash availability, to supply chain disruption
                                                                                                     and supplier solvency challenges, and practical matters like remote
                                                                                working, the priority for companies to fully digitize has been fast-tracked.

                                                  MATT
                                                CLARK
                                                                                However, automation is not as simple as deciding to move paper check
                                                                                payments to electronic methods like ACH. With what are often already
                                                President and
                                                                                overtaxed internal resources, conducting such a transition may be difficult when
                                        Chief Operating Officer
                                                                                companies do not possess the manpower or data capture security measures

© 2021 PYMNTS.com All Rights Reserved                        32   © 2021 PYMNTS.com All Rights Reserved                                                                              33
Matt Clark

              needed to inspire and facilitate         and offer flexibility in the methods                         service and manage sensitive
              adoption by wary suppliers. Adding to    supported. Ideally, the most effective                       information housed in a highly secure
              the challenge is that some payments      program is designed to provide a                             environment, and where they can get
              programs are too heavily oriented        holistic and programmatic approach                           vital payment status information.
              toward a commoditized approach,          that identifies the best approach for
              emphasizing virtual cards over all       all involved, and enables it easily and                      Lastly, the “cherry on top” of a
              else. Suppliers end up pushing back      securely.                                                    successful digitization program is to
              on electronic payments and feeling                                                                    provide a live contact center that is
              that they are at the mercy of their      The trend we see is that our clients                         supported by your payments partner
              buyers.                                  are no longer comfortable with a                             but branded to your company and its
                                                       “one-size-fits-all” approach, instead                        needs. This should be made available
              This environment is a form of            favoring a supplier-friendly process                         to address any of a supplier’s
              banking by way of payment method,        that enables the buyer to support                            concerns.
              even in the design of payment terms.     and protect their supplier by enabling
              Buyers are looking for longer terms      payment methods that meet both                               These central points for interaction
              to conserve their working capital        businesses’ needs regarding payment                          and support increase supplier
              and improve the return on their          type and timing.                                             satisfaction with your program and
              expenses. For suppliers, who are                                                                      provide answers to critical questions,
              already stretched thin themselves,       In concert with this supplier-                               such as “what is the status of my
              offering extended terms drives the       supporting approach, another key                             payment and when can I expect
              need to increase pricing and seek        element that ensures adoption                                to get paid?” If you answer these
              other cost-oriented approaches to        and success is a “supplier center                            fundamental questions in an easy
              create an offset from that delayed       of excellence,” which provides                               and supplier-friendly way, increased
              capital. That’s why, when it comes to    suppliers with the visibility and                            participation in your electronic
              digital transformation, it’s important   control they desire. We recommend                            payment processing program will
              to employ a payments partner that        the deployment of a centralized                              follow.
              can act as an extension of your team     portal where a supplier can self-

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Cybersource

                                                              MERCHANTS
                                                              FACE OFF
                                                              AGAINST
                                                              EVOLVING
                                                              FRAUD
                                                              TACTICS

                                                                          A
                                                                                                    s businesses expand eCommerce capabilities, more consumers are
                                                                                                    starting purchases in digital channels — and completing them there
                                                                                                    if they can. Unfortunately, higher volumes of digital transactions can
                                                                                                    also bring more fraud attempts to merchants of all sizes.

                                                ANDRE                     Fraudsters are becoming increasingly sophisticated with testing merchants’

                                             MACHICAO                     systems to determine which ones are likely vulnerable or under-protected.
                                                                          Tactics like friendly fraud, card testing, phishing and identity theft are quickly
                                         SVP, Global                      becoming the leading means of attack in the midst of an accelerating shift
                                            Head of
                                                                          toward digital. COVID spurred accelerated growth in digital commerce, and
                                        Product and
                                           Solutions

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Andre Machicao

              what followed was an increase in          can easily become overwhelmed                                external datasets, help manage fraud
              fraud attempts and fraud rates by         by the volume of activity. With that                         accurately and protect revenue – at a
              revenue for around three in four          threat looming, businesses have                              lower cost to the business.
              merchants globally, with merchants        turned to advanced machine learning
              in Asia Pacific and enterprise and        models to automate risk detection                            The world is going digital. Whether it
              mid-market merchants especially           and increase risk scoring accuracy,                          is contactless payments in-person or
              impacted.                                 all while evaluating larger numbers                          eCommerce in general, consumers
                                                        of transactions in real time. In an                          are seeking out new ways to
              When it comes to the tools used           eCommerce setting, with countless                            make everyday purchases. And as
              to fight these new fraud trends,          transactions happening at any given                          consumers change their behaviors,
              merchants are rethinking their fraud      time, minimizing the human element                           so too have fraudsters, opting to shift
              management tactics, opting to rely        goes a long way toward improving                             their tactics online.
              more heavily on a handful of widely       speed, efficiency and accuracy in the
              used solutions as opposed to nice         fraud management process.                                    Tackling fraud is an always-on
              products with specific capabilities.                                                                   effort and can prove challenging for
              In fact, Cybersource’s Annual Fraud       With the massive amounts of data                             businesses that need to balance
              Benchmark Report found that the           occurring with eCommerce, global                             customer experience with security
              average number of tools merchants         scale in your data set will help a                           and efficiency in transactions. As
              have in place has dropped by roughly      machine learning model learn that                            the world continues to embrace
              half, from 10 in 2019 to five this past   much faster and have the ability to                          the shift to digital commerce, tools
              year.                                     train itself on the latest technologies                      like machine learning, coupled with
                                                        and consumer shopping preferences                            customizable business rules, will
              With the rapid growth in digital          (i.e., mobile or BOPIS). Machine                             allow merchants to both fight fraud
              transactions, traditional manual          learning models are better                                   and generate a better customer
              review practices in fraud prevention      positioned to maximize internal and                          experience in the process.

© 2021 PYMNTS.com All Rights Reserved                                                             38   © 2021 PYMNTS.com All Rights Reserved                   39
Digital River

                                                                     THE REVOLUTION
                                                                     IS HERE FOR
                                                                     B2B BUYERS

                                                                                 W
                                                                                                           hether B2B or B2C, our clients are looking for flexibility to meet
                                                                                                           shoppers’ and buyers’ demands. Increasingly, that includes an
                                                                                                           expanding suite of buy now, pay later (BNPL) options. We’re
                                                                                                           seeing the buying power rise for a digital-first generation of
                                                                                 shoppers, who might not have access to credit cards due to inadequate credit
                                                ERIC                             history or are looking for a way to stretch their budgets, without incurring interest

                                        CHRISTENSEN                              payments on credit cards. Even countries where shoppers typically prefer cash
                                                                                 options are seeing a rise in BNPL purchasing.
                                          Chief Payments Officer

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Eric Christensen

              This is not just a B2C phenomenon.          The pandemic pushed people                                   B2B and B2C brands looking to
              In a digital-first world, B2B               who were on the fence about a                                drive customer loyalty and repeat
              companies must also address the             digital-first experience into the                            business are rethinking their payment
              revolutionary changes in customer           eCommerce world. That led to a lot                           options – and there’s no denying
              expectations brought on by both a           of “aha” moments, as buyers of all                           that BNPL is a juggernaut that is
              new generation of buyers and the            generations realized that digital-first                      increasing conversions worldwide as
              permanent shifts from COVID-19              B2B experiences can emulate the                              consumers push for solutions that
              impacts. B2B buyers who require             B2C transactions they have come                              meet their needs. We will continue to
              a variety of payment options,               to know and love. B2B buyers are                             see innovation as open banking takes
              including net terms, now expect             increasingly looking for more self-                          hold, giving more FinTech companies
              their purchases to be transacted            service options and greater control                          the ability to interact directly with
              with the ease and convenience of an         over financing.                                              customers.
              Uber transaction, and to be made
              digitally. With options like our offering   This means that companies looking                            Digital took a giant leap forward
              with TreviPay, which provides a             to evolve their digital strategy find                        during the pandemic. We don’t think
              seamless eCommerce solution with            themselves facing a revolution                               shoppers will turn back the clock,
              net terms and invoicing at checkout,        instead – one that includes                                  and their desire for convenience –
              B2B buyers can enjoy a frictionless         payments. The payoff for brands                              both in how they acquire their goods
              consumer-like transaction – and             will be greater insights into their                          and pay for them – will continue to
              merchants can protect their                 customers, and a more data-driven                            drive eCommerce forward.
              cashflow while scaling their B2B            approach that will drive a better
              programs across the world.                  customer experience and more
                                                          conversions.

© 2021 PYMNTS.com All Rights Reserved                                                               42   © 2021 PYMNTS.com All Rights Reserved                 43
Early Warning

                                                                   FASTER
                                                                   PAYMENTS
                                                                   ARE REDEFINING
                                                                   CONSUMER
                                                                   EXPECTATIONS

                                                                               W
                                                                                                         hen I think about what defines payments today, the word that
                                                                                                         comes to mind is “fast.” And they’re getting even faster.

                                                                                                         Recently, I sent money to a family member who was a few
                                                                                                         states away. It only took a few taps in my banking app, and

                                          LOU ANNE                             she received the funds in an instant, directly into her bank account. It wasn’t

                                        ALEXANDER                              too long ago that a similar payment type would have taken about a week, from
                                                                               writing and mailing a check, to depositing it, to waiting for it to clear. This sense
                                         Chief Product Officer
                                                                               of acceleration is something that many customers now consider part of their
                                                                               standard payments routine that wasn’t the case a year or two ago.

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Lou Anne Alexander

                                        Over the past year, more than $400                          Regardless of their initial reason for
                                        billion flowed through the Zelle                            trying Zelle, once people experience
                                        Network® on transactions just like                          the speed and convenience it offers,
                                        mine. Some of these payments were                           chances are they won’t go back to
                                        sent by users who had leveraged the                         the old way of doing things. What’s
                                        service for a while. In other cases,                        more, they start to expect the same
                                        it was the user’s first time sending                        level of speed and convenience
                                        or receiving a peer-to-peer (P2P)                           across all the payments they make
                                        payment. They needed a fast, safe                           and receive throughout their lives.
                                        and easy – and socially distanced                           Banks and credit unions must
                                        – way to pay back neighbors for                             recognize this evolution in customer
                                        groceries, split expenses or send                           expectations and consider how

              In the age                money to someone to help with
                                        the hardships of the pandemic. Or
                                                                                                    they are equipped to meet their
                                                                                                    customers’ and members’ needs,

              of instant                maybe they needed to pay a small
                                        business or receive an insurance
                                                                                                    both today and in the years to come.
                                                                                                    In the age of instant gratification and
              gratification and         reimbursement.                                              24/7 everything, faster payments are

              24/7 everything,
                                                                                                    becoming table stakes, and no one
                                        It’s important to note that this                            wants to be left in the dust.

              faster payments
                                        increased usage stretches across
                                        age groups and demographics. In a

              are becoming              2020 consumer survey conducted by
                                        Zelle, nearly 50% of seniors (age 55+)
              table stakes,             said they were using P2P payments

              and no one
                                        more frequently since the start of
                                        COVID-19.

              wants to be left
              in the dust.
© 2021 PYMNTS.com All Rights Reserved                                            46   © 2021 PYMNTS.com All Rights Reserved                   47
EVO Payments

                                                                    THE PUSH
                                                                    FOR A MORE
                                                                    DIGITAL PAYMENT
                                                                    EXPERIENCE

                                                                                T
                                                                                                     oday, EVO’s merchants are interfacing with customers (both
                                                                                                     consumers and other businesses) that operate more digitally than
                                                                                                     ever before. The world is experiencing a rapid digital transformation,
                                                                                                     expedited by the pandemic. These electronically savvy end
                                                                                customers have come to expect their bill-paying process to be digital. They want
                                              BRENDAN                           the ability to make payments from anywhere, at any time. Consumers select

                                              TANSILL                           vendors in part based on ease of use. Electronic payments mean more payment
                                                                                options, more security and more control over the bill-paying process.
                                        President, The Americas

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Brendan Tansill

                                        Merchants are responding by not                             In addition, EVO offers a self-service
                                        only adopting electronic payments,                          payment portal where customers
                                        but also digitizing the rest of                             can log on to view invoices, process
                                        the bill paying process, such as                            payments and even sign up for
                                        delivering invoices electronically and                      recurring payments. Customers have
                                        reconciling with the general ledger,                        the ability to save electronic payment
                                        etc. Self-service payment options                           methods in a secure digital wallet,
                                        give customers more control over                            expediting future payments and
                                        their accounts while reducing the                           enhancing security by minimizing the
                                        accounts receivable workload for the                        number of times that a raw credit
                                        merchant.                                                   card is provided.

              Self-service
                                        At EVO, our efforts to please both the
                                        merchant and their end customers

              payment options           has resulted in a greater focus on
                                        integrated technology and more
              give customers            payment options. EVO recently

              more control over
                                        released its proprietary ACH service,
                                        which allows merchants to now offer

              their accounts
                                        both credit card and ACH within a
                                        single solution using EVO’s payment

              while reducing            gateway, PayFabric.

              the accounts
              receivable
              workload for
              the merchant.
© 2021 PYMNTS.com All Rights Reserved                                            50   © 2021 PYMNTS.com All Rights Reserved                  51
FIS

                                                                        CONSUMERS
                                                                        NOW DEMAND
                                                                        OPTIONS
                                                                        IN THEIR PAYMENTS
                                                                        EXPERIENCE

                                                                                   O
                                                                                                              ver the past year, consumers have driven the rise of several
                                                                                                              innovative payment technologies. These technologies have
                                                                                                              reshaped the consumer experience, as well as their preferences
                                                                                                              and expectations when it comes to the payments process. Recall
                                                                                    what the process of paying for something was a year ago: A customer went into
                                                         DAVE                       a store to make a purchase, saw what they were looking for and then took it to

                                                        FURA                        the checkout area. In most cases, they would either pay with cash or use a debit
                                                                                    or credit card.
                                        SVP, Head of Card Solutions

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Dave Fura

              Now, due to shifting consumer             growth is expected to continue                             and mutual benefit they deliver at
              preferences because of the                across generations, as the pandemic                        various phases of the value chain
              pandemic, the checkout process            has shifted things like menus and                          have made them one of the fastest-
              looks completely different. Those         instructions to be viewed on mobile                        growing segments in payments.
              same customers now expect options         device – compelling enough for                             Post-purchase installment loans
              and instant gratification when it         even the most digitally resistant                          give cardholders the flexibility to
              comes to how and when they pay            consumers to start using these                             make larger purchases, and can
              for their items. Whether it is in-        technologies. Drastic consumer                             increase card use and preference
              person or online, consumers are           shifts like these mean that financial                      by offering cardholders more choice
              demanding that the entire process         institutions and retailers must make                       and control. Organizations can use
              is fast, frictionless and safe as well.   sure that paying with a mobile wallet                      post-purchase installment loans to
              This has led to the rapid adoption of     is a viable payment option at their                        add functionality to differentiate their
              technologies such as mobile wallets,      businesses.                                                offerings and increase consumer
              contactless payments and buy now,                                                                    loyalty to their brand.
              pay later (BNPL) solutions.               The buy now, pay later market is
                                                        expected to grow 181% by 2024,                             The payments process is completely
              Respondents to FIS’ 2021 Pace             according to the 2021 Global                               different than what it used to be,
              Pulse survey revealed that COVID-19       Payments Report by Worldpay from                           and it will continue to adapt as new
              restrictions have changed many            FIS. In fact, according to the same                        solutions are developed. Technology
              consumer behaviors. The percentage        report, BNPL services rose nearly                          developers such as FIS are taking on
              of respondents using mobile wallets       78% in 2020 — the biggest leap of all                      a support role for their customers,
              or contactless payments at checkout       payment types – and is projected to                        pairing them with the right payments
              more than doubled from April              account for 4% of global eCommerce                         technology that delivers on any
              2020 to February 2021, while the          spend by 2024. The concept of post-                        expectation the end consumer may
              percentage using mobile payments          purchase installment programs isn’t                        have for their payments experience.
              increased by nearly two-thirds. That      new, but the ease of use, flexibility

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FISPAN

                                                               WHAT
                                                               POST-PANDEMIC
                                                               SUCCESS
                                                               WILL LOOK LIKE
                                                               FOR BANKS
                                                               AND BUSINESSES

                                                                           T
                                                                                                here is no question that innovation in financial services has
                                                                                                dramatically accelerated over the past year or so. Customers are
                                                                                                getting more and more comfortable doing their personal banking
                                                                                                online, and business banking customers are also turning to digital
                                                                           platforms as an alternative to in-person branch visits. Banks are struggling to
                                           CLAYTON                         keep up with this rapid shift in the types of online service offerings their clients

                                              WEIR                         are demanding. Because of this move to digital, paper-based and manual
                                                                           processes just don’t work anymore for most finance teams. Activities such as
                                        CEO and Co-Founder
                                                                           physically walking into a bank branch to submit business data or sending and
                                                                           receiving paper checks from the headquarters have had to be eliminated.

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Clayton Weir

              Because of this, banks are looking      is to partner with agile, innovative                         deliver a product or service that truly
              to deploy innovations that will have    FinTech services. Connecting with                            resonates with their customers and
              an immediate impact on the client       their clients as much as possible and                        meets them where they are with
              experience. This is where we’ve seen    understanding their needs will be                            the current challenges they face in a
              a huge opportunity with embedded        essential in driving the agenda for the                      rapidly growing digital market.
              banking. By embedding the banking       banks’ new capabilities. Leveraging
              experience inside the platforms         tech and automation will manage                              We are looking forward to watching
              that business customers use to          and rise to customer expectations                            banks, payment providers and
              run their businesses (such as ERPs      while still allowing for more face                           FinTech companies launch new
              or accounting software), banks are      time during this transition period                           services and solutions that can
              able to easily provide their business   to explore and better understand                             help small businesses across the
              clients with a more automated and       customers’ needs and wants.                                  country emerge from the pandemic.
              streamlined treasury management                                                                      I think the greatest opportunity for
              process. The banks that are ahead       Banks should continue to be open                             economic recovery and success
              of the curve and partnering with        to new ways of thinking and working                          post-pandemic lies in banks being
              FinTechs are beginning to better        with new partners. In partnering,                            better able to serve their small
              understand how their customers use      serving or investing in innovation by                        business clients.
              their products in context, allowing     way of technology upstarts, financial
              them to innovate smarter and faster.    institutions (FIs) are able to position
                                                      themselves for future growth and
              The best way for B2B banks to           adaptation through real-time, easy
              manage the impact of rapidly            access to products, services, data
              evolving customer expectations          and channels. This enables them to

© 2021 PYMNTS.com All Rights Reserved                                                           58   © 2021 PYMNTS.com All Rights Reserved                   59
Forter

                                                                     RETAILERS
                                                                     NEED TO COMBAT
                                                                     FRAUD AND
                                                                     FALSE DECLINES
                                                                     TO WIN LIFETIME
                                                                     CUSTOMERS

                                                                                O
                                                                                                           ver the course of the past year, the volume of online shoppers
                                                                                                           grew at twice the rate as before the pandemic. New shoppers have
                                                                                                           created opportunities for businesses, but have also introduced
                                                                                                           surface area for fraud and abuse.

                                                    LIRON                        Since new shoppers lack history and context, it’s not surprising that their

                                                   DAMRI                         transactions are five to seven times more likely to be declined than other
                                                                                 customers. To make matters worse, 40% of shoppers who are declined on their
                                        President and Co-Founder
                                                                                 first visit won’t return, and one-third will end up seeking out the competition.

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Liron Damri

                                        The vast majority of those are false                      has been supporting this effort
                                        declines, and so businesses have                          with our Persona Graph. Across our
                                        lost revenue and customers.                               network of customers, we have built
                                                                                                  a dataset of more than one billion
                                        These same new shoppers have                              online personas. Now, when any of
                                        proven (based on our dataset) to be                       our customers interacts with a new
                                        more likely to reuse passwords and                        shopper, they are pattern-matched
                                        less likely to properly secure their                      to the entire dataset. If the shopper
                                        data. As a result, between 2019 and                       has transacted elsewhere, there is
                                        2020, we saw account takeovers                            context on their trustworthiness. If
                                        (when a fraudster attempts to gain                        they have not been seen across the

              40%
                                        access to an account with stolen                          network, personas like theirs can
                                        credentials) decline by 5% while                          be used to offer a precise decision
                                        bad actors harvested data. In 2021,                       on whether to accept or reject a
                                        they put that data into action, with                      transaction.
                                        account takeovers growing by 55%
              of shoppers               year over year.                                           In this way, we are helping

              who are declined
                                                                                                  businesses start relationships with
                                        Therefore, an emerging business                           new shoppers and significantly

              on their first visit
                                        routine includes the effort to make                       growing the customer’s lifetime
                                        better decisions about eCommerce                          value.

              won’t return,             interactions — especially as it
                                        pertains to new shoppers. Forter

              and one-third will
              end up seeking
              out the
              competition.
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FortisPay

                                                                  CHOICE AND
                                                                  CONVENIENCE:
                                                                  DEFINING CONSUMER
                                                                  PAYMENTS TODAY

                                                                            F
                                                                                                 rom swiping a magnetic strip in person to instant orders and payment
                                                                                                 plans, many of us did not anticipate the level of rapid development
                                                                                                 that would expand throughout the payments industry over the last
                                                                                                 two years.

                                               RON                            The buying power and payments preferences once in the hands of businesses

                                           DICHTER                            shifted to consumers the moment our lives went virtual. Consumer behaviors,
                                                                              physical restrictions, changes in purchasing needs and threats of economic
                                        Chief Revenue Officer
                                                                              collapse influenced change and set new expectations for consumers today.

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Ron Dichter

              A year ago, small businesses were        Competitive local eCommerce,                                FortisPay has focused on curating
              struggling to compete with big           third-party connectivity and BNPL                           tailored commerce experiences
              brands emerging in eCommerce.            strategies are innovations that                             that further enable choice and
              Today, the end customer has just as      became reality for the payments                             convenience in payment routines.
              much as of an opportunity to choose      industry this year – but together,
              local goods and services as they do      they’re merely products of the                              Through enhanced core integration
              to order from Amazon.                    choice and convenience that define                          capabilities, payment facilitation,
                                                       consumers’ normal payments                                  third-party connectivity, award-
              Over the last 12-24 months, third-       routine.                                                    winning APIs and strategic
              party connectivity has changed the                                                                   acquisitions – such as with EpicPay
              way customers tackle errands, pay        As technology disruptors bring new                          or Swype at Work – FortisPay
              for services and even order food.        capabilities and integrations to                            helps businesses simplify payment
              The convenience of accomplishing         market, more streamlined functions                          systems and meet their unique
              several tasks in one central location    will inevitably shape our payments                          commerce needs as the industry
              wasn’t as openly available as it is      experience. Open Table, Shopify and                         grows and transitions.
              today. Now, vendor partnerships          Afterpay are all growing examples
              and point-of-sale connectivity allow     of how choice and convenience                               Competitive local eCommerce,
              consumers to book reservations, pay      impact our payments needs and                               third-party connectivity and BNPL
              for gift cards and pre-pay for meals –   expectations. Consumers want                                platforms show us how the industry
              all from the same app.                   personalization and options. Gone                           has transformed since the dawn
                                                       are the days that customers face                            of the pandemic, but payments
              And prior to 2020, layaway was an        limitations at checkout.                                    capabilities will continue to innovate
              almost-forgotten concept left in the                                                                 and evolve. We believe choice and
              90s. As we move closer to 2022,          Our payments ecosystem is rapidly                           convenience for the consumer
              that same concept has been revived       changing – not only because the                             is here to stay, even if today’s
              and rebranded through buy now, pay       pandemic uprooted the industry,                             perception of the “normal payments
              later (BNPL) platforms, which enable     but because consumers have taken                            routine” differs from tomorrow.
              customers to make purchases with         control of their payments needs and
              installment plans.                       expectations. Over the last two years,

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i2c

                                                           AMID A HOST OF
                                                           CHANGING ROUTINES,
                                                           AGILITY AND
                                                           RELIABILITY
                                                           BECOME MORE
                                                           CRITICAL THAN EVER

                                                                      O
                                                                                                 ver the last year, we’ve witnessed a host of changing routines
                                                                                                 across the end-user spectrum, influenced at first by necessity
                                                                                                 and later, it would seem, by a growing comfort with and openness
                                                                                                 toward new payment experiences. From getting food delivered
                                                                       to forgoing bank branches and cash, consumers and businesses have learned

                                              JIM                      dozens of new routines and continued to create new ones amid an abundance

                                        McCARTHY                       of options.

                                             President
                                                                       Sure, the shift to digital payments was well underway before storefronts closed
                                                                       and safety precautions accelerated adoption – but as consumers had to make

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Jim McCarthy                                                                                                                                                                               i2c

              more of their purchases online or via    shifting state of payments, where                          Maybe the ability to dip, swipe or tap   enabled convenience in their day-
              contactless payment methods, many        assumptions are quickly turned on                          a bank-issued smart card without         to-day transactions, it will become
              new routines were introduced.            their heads and agility becomes                            having to unlock a phone or lower        increasingly important that those
                                                       more critical by the day.                                  a mask suits someone just fine in        experiences rest on reliable and
              Did some of our usual resistance to                                                                 one situation, while having the same     secure infrastructures that can
              changing routines wane in 2021? If       At our organization, we’re supporting                      card virtually in an app for making a    handle not only volume growth, but a
              so, is it temporary?                     the transition the way we always                           quick balance inquiry or bill payment    multitude of moments.
                                                       have – by listening to issuers,                            is equally convenient just moments
              The Card Is Still Important              whether they’re banks, FinTechs or                         later.                                   What Will Normal Look Like in
              According to Visa’s recently published   other enablers, and not assuming                                                                    2022?
              survey, nearly 50% of consumers          we know what they need, but rather                         These changing patterns and              It’s difficult to say whether we
              would not shop at a store that did       co-creating with them in whatever                          expectations underscore the              are witnessing a new level of
              not offer contactless payments           way their vision and the environment                       importance of the supporting             openness on the part of end-users,
              at the beginning of the pandemic,        require.                                                   ecosystems and platforms                 lasting shifts in routines, or just an
              and many methods of contactless                                                                     that interconnect them and are           acceleration of trends that were
              payments are up year over year from      As further proof of the shifting                           tasked with delivering varied user       already in the making. Regardless,
              this initial surge, such as the 30%      landscape and need for agility, a                          experiences reliably and consistently.   the stage has been set for an
              increase in tap-to-pay usage among       recent PYMNTS report noted that                            In other words, it’s probably a good     unpredictable world where rapid
              U.S. consumers.                          while Apple still holds a large share                      time to talk about table stakes.         innovation and resilience are vital.
                                                       of the mobile wallet market, in-store                      For example, does the inability to       Maybe next year, you’ll be paying
              While the shift may have started over    mobile wallet use had declined by                          reach customer service in a pinch        for gas with your car, sending a
              health concerns, Oracle finds that       26.2%. I’m not sure very many people                       or a declined authorization not only     remittance overseas to Mom via
              96% of all current users intend to       saw that coming.                                           aggravate the customer, but possibly     cryptocurrency or trying BNPL for the
              continue using contactless payments                                                                 push them away from one routine          first time. If we’ve learned one thing
              post-pandemic. These takeaways           Enabling an Ecosystem                                      and leave them open to another?          over the last year, it’s that almost
              and others not only illustrate the       Why is this? Could it be that as the                                                                anything is possible.
              lasting importance of the card, but      context changed, the practicality of                       As businesses and consumers
              also what feels like a wide-open or      the card came into clearer view?                           come to expect more digitally

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