Category: Fintech News
Expert post: Fernando Gregori (CHANGEiT Manager)
Currently can easily be perceive a notable increase in financial operations by electronic means and a decrease in the use of cash. There are even countries like Denmark where electronic transactions have reached the point of being almost mandatory, since the government seeks to reach a cashless society in order to save on financial and administrative costs. And within these transactions, it should be noted a great increase in use that the smartphone currently enjoys to perform them. But this progressive trend is only possible in countries where access to banking has been simple for decades and thanks to the proliferation of new technologies, especially mobile phones.
The advantages of a population with high bankarization rates are many, among others the general decrease in the use of cash. Something that may seem irrelevant, but that improves security levels, especially in areas where the risk of theft is greater. You also get better traceability and easier to control fraud and tax evasion. In addition, access to regulated banking products such as loans, avoiding the usury of non-formal entities.
With a high level of financial inclusion both citizens and government enjoy many advantages, and if there is also a prominent use of digital banking, the citizen enjoys access to financial products 24 hours a day and 7 days a week.
However, there are still a large number of countries and areas of the world where the level of bankarization is weak and access to such facilities and financial products is difficult. This is the case in many countries in Latin America, Africa or even Asia, where access is not easy or there are high rates of ignorance or distrust in the financial system. In order to achieve the correct inclusion of these people, an approach to this system through financial education is needed first. Subsequently the appropriate tool is required to facilitate the transition. It is at this fundamental point that financial technologies, using mobile as the main tool, can contribute to this approach and provide a key solution to enhance financial inclusion.
And this is where CHANGEiT can make a difference as a facilitating tool. In PaynoPain we have managed to create and provide a solution that allows citizens who only have access to cash to enter the financial system through something as common as the mobile phone. CHANGEiT can be the mobile banking of any bank, so that financial institutions in any of those countries can market a digital system. In addition, our technology allows to integrate other types of external systems and offers the possibility of being used as an electronic wallet or eWallet. In this way, the cash could be introduced into the system and used as virtual money to make transfers between users, payments in shops or even the payment of services, in a comfortable and secure way.
Financial inclusion is the main objective of CHANGEiT, which is why it has the capacity to operate worldwide. And to allow adaptation to the peculiarities of each geographical area and market, the level of customization of the tool is almost unlimited, working under a white label and with wide possibilities such as integration with bank cores or other external systems such as the association with VISA cards or MasterCard or even the blockchain. A complete bankarization tool, configurable for any brand and accessible to everyone.Learn More
Marketplaces and sharing economy platforms: 2020’s challenges and Paylands as an all-in-one solution
Expert post: Jordi Nebot (CEO)
Although many of us have used this kind of platforms at some point, not everyone knows exactly what a marketplace or a collaborative economy platform is. Online markets and marketplaces are online platforms created by a company that acts as a neutral third party to put buyers and sellers in contact: what we could summarize as a “store of stores”.
In the case of the collaborative economy, these are digital platforms that function as a meeting place for users who interact to sell and/ or buy products or services between them. Both types of businesses have in common that they usually function as intermediaries in the flow of payments between buyers and sellers.
Marketplaces and collaborative economy platforms increase on the Internet in number and importance day after day. This implies new challenges associated with growth and legal regulations, that has inevitably put the focus on the payment processes of this kind of virtual business because of its particular situation.
However, many of these challenges don’t need to be addressed individually, with the ineffectiveness and cost overruns that this entails. As a payment technology specialized in marketplaces and sharing economy, such as Paylands, it’s a unique solution for many challenges. Let’s see the biggest ones:
– The exemption of the commercial agent is no longer useful. After the recent entry into force of the new European payment regulations PSD2, it has been stipulated that this type of business that functions as intermediaries between two parties will no longer be eligible for this exemption.
Thus, any marketplace or sharing economy business that doesn’t act exclusively on behalf of the seller or the payer and that also owns or controls funds, will need a payment entity license. Paylands allows compliance with banking regulations, being a simple and effective solution for this problem.
– The management of fund movements needs to be automated. When one of these companies starts to grow, the automation of different types of fund movements is essential for productivity. These are businesses with numerous users in both parts of the sales channel and many concepts to consider, such as commissions, transportation costs, user identification… Concepts that the payment provider must automate in an efficient and convenient way for the customer .
– An API is required to facilitate the KYC (Know Your Customer). Security and user identification is especially important in the case of sharing economy platforms. In this type of business, where the seller can also be the buyer, those users who offer services and are going to be financially rewarded must be identified and validated, what is commonly known as performing the KYC, before receiving the funds and, therefore, the payment technology must be able to operate under these circumstances through a specific API.
– Internationalization must be a simple process. A marketplace or a sharing economy platform can (and usually will) be born at a national level, but it’s possible that in the medium term it will take the international leap. For this reason it’s important to have a scalable payment technology from the outset, with the ability to operate and manage the funds in different countries.
There are a few weeks left before Christmas and the families are starting to buy their gifts right now, so it is certainly time to be sure about the strategy you are going to follow this year so your online business has better results than ever. If you are not, we recommend that you apply or at least review these strategies that we shared to sell more on Black Friday and Cyber Monday.
But as we know that all help is little when it comes to selling more, we have decided to share with you the secret to get better results this Christmas and also comply with the new European payment regulations PSD2.
The tool we are talking about is called Paylands, it is our payment gateway with cutting-edge technology and the ability to change the direction of your online store sales. How is it possible? Let’s see it:
Did you know that today 6 out of 10 online shoppers buy through mobile?
So it will be essential that this Christmas you have implemented a payment gateway that adapts perfectly to this device and facilitates the purchase to make it a quick and simple process. This is one of the qualities of Paylands.
Did you know that the average cart abandonment rate is 65%?
And that 11% of them abandon the purchase process for being too complicated and 7% for not finding enough payment methods?
Your goal this Christmas campaign is to reduce the abandonment rate of your online business, and with our payment technology you can simplify the payment process and offer a variety of methods to achieve it (even with cryptocurrencies!). In fact you can offer one-click payments to your regular customers.
But it also allows you to resume unfinished sales by different means, such as e-mail and telephone, so you can remind users to finish their purchases and facilitate the process with the direct purchase link.
Did you know that in Spain 27% of Christmas purchases are made between December 16 and early January?
This can be considered last minute purchases and these are characterized by being much more impulsive. With the one-click purchase that Paylands offers to your regular customers, you will be able to repeat orders that they liked and want to give away to more than one person. A quick purchase process for purchases that need to be fast.
Did you know that your online business (in Europe) must comply with PSD2 before the end of 2020 and that with Paylands you can get it right now?
The new European payment regulations have focused on online payments and have greater security requirements. Updating your payment system before the end of 2020 is necessary if you want to comply with the law, but if you change to Paylands you will not have to do anything at all, apart from enjoying all the advantages it offers.
Contact us today without obligation and in 24/48 hours you will have Paylands running in your online store so this Christmas you will enjoys the best selling results.