What to watch out for in 2023
We recently chatted with Stephen Culligan, VP Product at Prommt, to hear what he thinks will be trending this year in the world of remote payments:
1. Remote payments become more human
Picture it. You’ve picked out the perfect venue for your wedding, you and your partner are ecstatic with excitement for the big day. And then you receive an email from the venue to transfer £10,000 to the attached bank account. Shudder. We’ve all been that anxious payer crossing our fingers that we typed the IBAN correctly and that the large sum of money won’t get lost. Well worry no more – with Prommt’s Pay by Bank we’ve made bank transfers as simple as a card payment. We help to make remote payments more human. We’re just getting started on our Open Banking journey and already we’ve eliminated that stress for thousands of payers.
2. Bank account-to-account payments will become the norm for high value purchases
When was introduced in Spring 2022 we wondered how payers would adapt to seeing this new payment method appear in the checkout. Would they understand it? Would they click on it? Would they complete the payment even though it was less familiar? These were big risky questions we couldn’t find out until we launched. The answer was a resounding yes! For accounts where PBB is enabled you can expect to see up to 50% of payment volumes flow through open banking with an average of 14% across enabled merchants. Not only that, but payers are clearly choosing bank for higher value transactions.
3. But card stays an important payment method
Rather than signal the end of card what we’re seeing is the increased speed, security and digitisation of payments as a whole. As illustrated by the automotive dealership below, card payments have stayed consistent at ~£200k MoM whilst the introduction of Pay by Bank cannibalised payments that were done by offline bank transfer or cash. Card payments and bank payments work together. We’ve introduced Smart Payment Routing to help merchants better direct their customers down the route that makes most sense for the payment. More on that soon but if you’re one of the many Prommt merchants that have been experimenting with us over the last 6 months then thank you for your willingness to be at the forefront of payments!
4. And finally, maximising payment success is about making it as easy as possible for your customer to pay
Prommt payment requests aim to bring merchants and payers closer together. We’re reintroducing the human touch to what has been a traditionally cold remote payment experience. This means ensuring a seamless process, even when things don’t go as expected. With Prommt’s messaging and orchestration controls, merchants can easily route customers to a different channel or payment type. For example, if a payment fails due to an expired card or insufficient funds, Prommt can automatically send a bank payment request instead.
Founded in 2017, Prommt is a payments platform that is revolutionizing payments for enterprises and their clients. Its innovative solutions enable fast, frictionless card and open banking payments anytime, anywhere. Prommt is an enterprise-grade solution that is built for teams, supporting multiple locations, and provides powerful, reporting, and alerting capabilities. Headquartered in Dublin, Ireland, Prommt is used by businesses today across Europe and North America and was this year’s winner of the Best Open Banking Service Initiative awarded by Global Payments Innovation Awards and is a finalist for the Best Open Banking Payments Project within the Open Banking Expo Awards 2023.