蘑菇AV

Funding the consumer watchdog: The Consumer Financial Protection Bureau (CFPB) had a busy year regulating the payments industry鈥攆rom scrutinizing market competitiveness to investigating BNPL providers and credit card issuers. That鈥檚 raised hackles in the industry and may have cost the agency its unique funding mechanism.

Other ways consumers are keeping costs down include changing retailers for a lower price or discount, changing brands or switching to private label brands for a lower price product, and using buy now, pay later. At the same time, many retailers are still struggling to get rid of excess inventories as supply chain issues ease and consumer demand wanes.

Yeah, Susie, David Morris, and I did an episode a year and a half ago where we talked about buy now pay later, and one of our through lines was the BNPL bubble will eventually burst. There were a lot more ideas in that episode than just that, but that's something that we have not been correct on. Buy now pay later is definitely propelling holiday spend this year. Zak Stambor:. Absolutely.

It could also extend to buy now, pay later installment and financing options for their customers鈥攁nd more. Such additions can further strengthen merchant engagement and open more revenue streams. 3 leading digital commerce platforms process merchant payments in-house. Shopify has transformed its digital commerce platform into a payments juggernaut.

And emerging methods hold significant opportunity: Consumers increasingly want to use proximity mobile payments and buy now, pay later, while account-to-account payments can reduce SMB costs relative to card payments. Mobile point-of-sale (mPOS) and software POS (softPOS) technology could attract a wider ambit of SMBs and tighten integrations.

Modern card issuers can help mobile payment services build out and scale financial services offerings beyond cards just as quickly, including buy now, pay later and digital banking. Clients may also have the option to add innovative perks and customized credit card programs, including personalized rewards. To view the full Cash App forecast, click here.

Monzo鈥檚 lending volume almost tripled YoY to 拢759.7 million ($893.5 million) through consumers鈥� usage of the digital bank鈥檚 overdrafts, unsecured personal loans, and its proprietary buy now, pay later (BNPL) feature. Monzo鈥檚 CEO, TS Anil, said the bank鈥檚 profitability was a choice. For several quarters, the neobank chose to reinvest in further growth rather than report profitability.

Klarna: The buy now, pay later company expanded its Ads Manager to the UK and Sweden, but Klarna has been fairly quiet on the retail media front. It risks being overshadowed by other payments companies entering the RMN game. This was originally featured in the 蘑菇AV Daily newsletter. For more marketing insights, statistics, and trends, subscribe here.

Half (51.3%) of UK adults use PayPal to pay online, while 24.0% use Apple Pay and 16.0% use buy now, pay later (BNPL) services, per our survey with Toluna. AI is speeding up service and product discovery鈥攂ut consumers remain cautious.

Its falling valuation and tapering growth show that payment firms must work harder to build volume and attract customers.

It's buy now pay later product is also more affluent skewing in some ways than some may realize out there. And there's other avenues beyond consumer banking that they can explore. There's wealth management and other things that I think could be on the table. What could derail this juggernaut?

Retailers and brands can run seasonal promotions and discounts, offer products in a wider range of price points, and provide more flexible ways to pay鈥攕uch as buy now, pay later. Invest in the omnichannel experience. Ecommerce still remains an important channel as consumers embrace a mix of physical and digital shopping.

Visa, Mastercard, and several paytechs said their businesses were mostly uninterrupted despite ties with the now-collapsed bank.

And buy now, pay later I think is another area of innovation that might stimulate some adoption. Rob Rubin:. Also, I think that we've seen some articles I've read around beginning to incorporate GenAI into the wallet experience to help them choose which products they should buy to make recommendations based on understanding their long purchase history and things like that. Tyler Van Dyke:.

I think one of the things that definitely struck me is the rise in BNPL payment platforms. That's something that continues to go up, which does make you think, is there a ceiling? Is there a certain point where people stop putting things on credit and buying through BNPL, and then those forms of commerce just dry up over time?

Also buy now pay later orders, accounting for 8% of all online orders for Prime, up 16%. I thought was interesting. Footnote here. [inaudible 00:11:02] online store sales, 37% of Amazon's money pie. On that, actually, that's the lowest point for Amazon in terms of how much they're making from online store sales.

In our last episode, we looked at buy now, pay later trends for 2024. Today, we're going to be discussing banking trends that we expect to see this year. We have two guests helping us to do this. We start with our everything analyst, principle for banking and insurance, based in California. It's Tiffani Montez. David Morris:. Woohoo. Tiffani Montez:.

This should include easy mobile transacting, flexible payment options like buy now, pay later, and fulfillment options like click and collect. How Canada compares. Canada is ahead of the US in digital-buyer penetration. In the US, the figure is 77.3% of the population. The UK leads the way among all countries we forecast at 84.9% of the population.

It partnered with OpenAI on a ChatGPT plugin to offer users personalized shopping recommendations.

鈥淏uy now, pay later鈥� schemes should be displayed prominently on the homepage.

As consumers hunt for the best deals, generative AI will drive $194 billion in consumer spending by enabling brands to provide personalized customer service, marketing promotions, and commerce experiences, per Salesforce. Social media advertising will also have an outsized impact on purchase decisions versus traditional marketing efforts.

Fintech stocks and indices underperformed broader financial services and technology stocks last year鈥攈ere鈥檚 why that matters.