The Future of Payments

By Mark Brousseau

When NCR Corp. considers the future of payments, it envisions the evolution of multi-channel payments optimization, Stephen Reade, vice president and general manager of global software and technology services, told attendees of TAWPI’s Payments Automation Conference this week in Ft. Lauderdale, FL.

“Ultimately, our goal is to enable faster, easier customer interactions, across multiple channels. Many financial institutions consider this business process optimization,” Reade said during a keynote presentation. To enable these multi-channel opportunities, financial institutions will have to enhance their operations infrastructure. But the effort can pay big dividends, Reade said.

“Multi-channel consumers spend more, and they spend more consistently,” he said. “Our clients are starting to recognize this.” Reade pointed to an Aberdeen Group study that found 38.3 percent of multi-channel consumers are significantly more profitable than single-channel consumers. “They’ll spend more on a single transaction,” Reade said, “and they’ll use multiple payment types.”

The broadening mix of payments channels also is forcing financial institutions to address multi-channel optimization. “Once a financial institution begins to establish a relationship with a customer via a particular channel, it’s almost impossible to turn it off,” Reade said, noting that despite the growth of mobile banking, financial institutions are still seeing strong interest in ATM-based channels.

“Consumers will always assume and expect self-service,” Reade said.

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