A digitisation-driven global space is critically reshaping various integrated sectors, where, the payment approach is tamed to fit with customised customer demands.
FREMONT, CA: The digital payments market has outgrown its potential in recent times, surpassing various monumental sectors, and is likely to be valued at up to 20 trillion USD by 2026. Business leaders in the arena have elucidated that the growth average is almost 24 per cent annually, which is driven by a combination of technological innovation, changing expectations, and changing consumer spending habits.
For instance, the demand for prepaid and e-banking debit payment cards has been growing seamlessly in recent times all across the globe. Hence, the unbanked, underserved, and younger generations are critically driving the transformation in the payment method by switching their choice towards the payment card model. The module has gained critical significance in the market space and is proven to be highly substantial, wherein opportunities for further expansion in the payment arena are expanding.
One such transition that is reshaping the payment card approach is a seamless rise in new generation consumers—millennials and Gen Z—and its demographic groups are established with considerable spending power and economic impacts. With the tension for digital innovation growing between these generations, individuals are embracing digital and smart device payments and virtual cards. Increased adoption of digitised technologies, alongside alternative payment cards, is taming financial services for a more accessible approach and democratising them with technology-driven innovation.
A digitisation-based global arena is witnessed in the current scenario, where consumers have increased their expectations, anticipating tailored products and services that are merely accessed via smart devices. Meanwhile, the services are anticipated to be highly seamless and intuitive and customised to cope with the soaring needs of consumers.
Similarly, unbanked and underserved consumers in the APAC arena are critically high and are often based on young and lower-income households. Prepaid and e-banking options are comparatively inexpensive and secure enough to have emerged as the best payment patterns to meet financial needs. Hence, these alternative payment options have emerged as an integral choice for individuals who seek to explore new opportunities in the arena at the right time. The accelerated adoption of cards among the unbanked and underserved populations is cultivating multiple opportunities in the payment sector for players who operate in the global payment market.
The gig economy has become monumental in recent times, with no signs of slowing down. Flexible contract work is proffering varied benefits for both workers and companies, and the role of payment cards is triggering and indispensable in guaranteeing contract workers receive timely payment for their work. Further, by opting for a gig economy, be it a physical and virtual payment card or payment app, the approach is likely powering a payment revolution in the finance space.
