CREATING SCALE BY REIMAGINING HOW PAYMENTS ARE DONE Innovation in scale is how banks What’s driving this invisibility and disintermediation? Leaders get it. They are implementing scale can address new competitors, According to our survey respondents, it is customer initiatives, such as consolidation, to grow quickly experience at 28 percent and efficiency at 27 percent. and efficiently and remain competitive. Fiserv, for 12 market oversupply and maintain example, is buying First Data which should enable differentiation. So, when providers in the IIF payments world lose it to offer a wider range of technology-powered speed as a distinguishing factor, they will need payments and financial services—from card issuer There’s a host of digital payment solutions to set their sights on leading in price, service and processing to the Clover™ cloud-based point-of-sale available today, many of them powerful and popular. overall quality. Improving any one of these requires solution. Online payment processor Stripe acquired It has created a global environment of undeniable the ability to act quickly and with precision. a laser focus on, first, principles, smart processes oversupply, despite customers’ increased demand In essence, the must-do play is scale. Being able to and effective hiring to scale its business, growing for instant payments and settlements. Consider that quickly develop secure, convenient and completely its employee base to more than 1,400 people and every year the number of unique fintech payments frictionless payment experiences through digital processing billions of dollars for millions of users 13 companies (that also receive funding) skyrocketed services and capabilities without any significant worldwide. Fintechs, in general, are tapping into 11 the customer base and stable capital pools of banks 97 percent from 2015 to 2018, based on our analysis. increase in costs (including regulatory compliance This is exacerbated by the growing pervasiveness of and IT maintenance/upgrade) isn’t just an operational to reach both customer and efficiency scale. embedded payments that are being completed via aspiration; it’s both a matter of survival and ambition. smart assistants or third-party or branded mobile apps—adding to the abundance of payments options. 9 GLOBAL PAYMENTS PULSE SURVEY 2019 TWO WAYS TO WIN IN PAYMENTS