Welcome to this week’s global payments news roundup. We unwrap holiday sales predictions for the UK – up 3.5%-4%, according to Coresight and the US up 3.8%-4.2% expected by the National Retail Federation. When it comes to converting clicks to bricks, a new report from Retail TouchPoints and TimeTrade offers growth strategies on how to get online shoppers into bricks and mortar stores. Payments companies were involved in four of the top 10 mergers and acquisitions valued at $94.1 billion. Research shows 60% of consumers prefer physical gift cards compared to 40% who like digital gift cards, so put that on your Christmas list.
Our roundup continues with Amsterdam-headquartered Ingenico’s new China payments alliances with Alipay, WeChat Pay, and UnionPay. Germany’s Wirecard is out with a new flexible B2B2C payment installment plan for e-commerce consumers. A new Mercator survey shows small businesses prefer cards over cash with 65% citing ease of handling. Target and Toys “R” Us will be putting toys under consumer Christmas trees, thanks to a new partnership. We look at the challenges banks are having in going digital and meeting higher digital customer expectations. Finally, we wrap up with a joint CFTC, FinCEN, and SEC statement on anti-money laundering (AML) and counterterrorism. All in a week’s global payments news you can use.
UK 2019 holiday retail outlook is upbeat and online
It’s beginning to look a lot like Christmas and online sales all throughout the UK. The good news according to the latest findings from Coresight Research is that 2019 holiday sales are expected to be up 3.5% to 4% compared with last year. That puts holiday retail sales on track to reach a midpoint estimate of £83.7 billion ($103.02 billion). The bad news is Brexit remains a nagging uncertainty in the minds of some UK consumers. Read more…
Converting clicks to bricks: Five new retail growth strategies
While e-commerce only makes up 11% of total US retail sales, that’s changing fast and retailers need to be nimble in finding new ways to convert clicks to bricks. Retail TouchPoints and TimeTrade are out with new research and a playbook that looks at five ways retailers are transforming digital shoppers into loyal in-store customers. Let’s look at five retailers and the tactics they’re using to get more digital customers into their stores. Read more…
2019 US holiday sales should grow 3.8%-4.2%
The National Retail Federation (NRF) predicts sales this holiday season should be up 3.8%-4.2% over last year. Despite concerns about a hangover from China-US tariff disputes, the NRF is hoping US holiday sales will reach between $727.9 billion and $730.7 billion, excluding auto, gasoline and restaurant sales. Read more…
Payments deals dominate 2019’s fintech M&A
Payments companies drove merger-and-acquisition activity in the financial-technology sector in 2019’s first nine months, according to a new analysis. Payments firms were involved in four of the top 10 deals tracked by New York City-based investment bank Berkery Noyes Securities LLC. The value of the payments mergers totaled $94.1 billion, or 72% of the $130.9 billion total valuation of the 10 deals. Read more…
Mobile wallets dominate the news, but most consumers still want physical gift cards
While preference for digital cards is growing, some 60% of consumers still prefer plastic cards or paper certificates, according to the research released by Brookfield, Wis.-based financial-services technology firm Fiserv Inc. All of the remaining 40% prefer digital cards, mainly because of the ease of sending and receiving them. As with other digital payment cards, digital gift cards can be stored in e-wallet apps, which enables easier tracking of spending and balances. Read more…
Ingenico upgrades payment integration with Alipay, WeChat Pay in China
Ingenico Group said it launched a suite of payment methods for international e-commerce firms operating in the Chinese market. Ingenico, based in Amsterdam, said that the company is working with Chinese mobile wallet platforms like Alipay, WeChat Pay, and UnionPay. It said it is one of the first international payments firms integrate with WeChat Official Accounts and Mini-Programs, which allow the 1.1 billion WeChat users to complete purchases in the app without leaving the WeChat environment. Read more…
Wirecard launches installments payment plan
Wirecard has announced a new installment payment plan for online shops in Germany, available via the company’s digital financial commerce platform. The new offering benefits both merchants and consumers thanks to its B2B2C approach. Merchants are able to boost e-commerce sales by offering customers the option to pay in installments while still receiving full settlement when the shopper completes the order. Consumers can afford premium items thanks to flexible payment options. Wirecard acts as the acquirer and also processes all transactions. Read more…
Small businesses prefer card payments over cash
A Mercator Advisory Group survey reveals more small businesses are selling online (59%) than are selling in a physical store (47%). However, the bulk of share of sales is coming from in-store sales rather than online sales. Further, about one-third of small businesses (35%) report that they are selling via a mobile app. Small businesses report their preferred method of payment is from card networks rather than cash or any other method. The primary reason for preferring a certain kind of payment is the ease of handling (65%); only 4 in 10 mention lower cost. Read more…
Target partners with Toys “R” Us
ToysRUs.com relaunched today with videos and articles on the latest toy trends and brands. It has in-depth product reviews, hot toy lists to help shoppers pick out the perfect toys and gifts for kids of all ages. Ready to buy something? The site will automatically link you to the same product page on Target.com to make the purchase. Read more…
Banks seek ways to create personalized experiences in digital age
Banks are under a lot of pressure these days to go digital and create personalized experiences for customers, but many are still trying to figure out what sort of experience to deliver. And some may be trying a little too hard, according to a few bank execs. “There are banks spending hundreds of millions of dollars that just are not differentiating themselves all that much from things you can get from third-party buyers off the shelf,” Shawn O’Brien, consumer banking group executive at Atlantic Union Bank, said on a panel at 2019 Bank Customer Experience Summit in Chicago recently. Read more…
Leaders of CFTC, FinCEN, and SEC issue joint statement on activities involving digital assets
The leaders of the US Commodity Futures Trading Commission, the Financial Crimes Enforcement Network, and the US Securities and Exchange Commission (the “Agencies”) today issued the following joint statement to remind persons engaged in activities involving digital assets of their anti-money laundering and countering the financing of terrorism (AML/CFT) obligations under the Bank Secrecy Act (BSA). AML/CFT obligations apply to entities that the BSA defines as “financial institutions.” Read more…
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