Digital Transactions
With more independent software providers and financial-technology companies embedding payment capabilities in their applications, Finix Payments Inc., a provider of payment applications, has seen its transaction volume jump more than fourfold from the second quarter of 2019 through the second quarter of 2020.
Key drivers of the growth include a push by software companies to unlock new revenue streams by owning the payment mechanism within their application. Also, consumers’ desire for more contactless payment options* as a result of the Covid-19 pandemic is adding to growth, Finix says.
“Companies are seeing the power of embedded payments in their software, which is accelerating demand,” says Richie Serna, chief executive at Finix. “The coronavirus has also accelerated the shift in how consumers experience commerce. Prior, contactless payment was a nice-to-have, now it’s table stakes.”
By providing an out-of-the-box payment solution that can be integrated into an existing application, San Francisco-based Finix spares independent software providers and fintechs the cost and time of building a solution in-house or outsourcing management of such an application to third parties. Embedding a payment application also allows software developers to take ownership of the payment experience in their application, Finix says.
*Want to learn more about how COVID-19 has changed the way consumers pay?
TSG conducted a survey of 483 consumers in the U.S., with the goal of understanding the impact COVID-19 has had on the way the U.S. consumer pays for goods and services. The survey was conducted on April 20th, 2020.
Click here to download the infographic based on payment method insights.