Merchant's point of view on the evolving role of payments in check-out. Discussed from 4 angles: Reach, Ease of Use, Conversion, Cost. For each angle posing a provoking thesis and some challenges for the industry.

1. 11
TITELFuture of check-out
InnoPayments 2015
Madrid, June 18th

2. 22

3. 33
Online
Travel
Agency
2002
~110
Hotel Booker ?

4. 44
REACH

5. 55
Trend: Rise alternative payment methods
… however: hassle from merchant perspective

6. 66
Thesis: Reach = Ease of use for merchant
… however: European payment methods don’t
have enough footprint <> rise of global giants

7. 77
Challenge: I welcome them as merchant 
… because: prepared to pay bit more for ease of
use & big reach
=

8. 88
EASE

9. 99
Trend: Further European payments integration
… however: focus on ‘traditional’ payments, online
still too country specific (= hassle)
XS2A

10. 1010
Thesis: Online payments market only mature at a
national level
… because: too fragmented, making it difficult for
cross-border trade & merchants in particular

11. 1111
Challenge: Seamless integration and at a min.
interoperability (ideally full harminization)
… accelerating the API-economy for banks, with
further regulation as potential pressure instrument

12. 1212
CONVERSION

13. 1313
Trend: Alternative identification & authentification
… safe, but simple and ideally integrated
identification & authentification

14. 1414
Trend: … and no trend would be complete
w/o Mobile of course
… once at the booking page, bring clients as fast
as possible to payment w/o need to think
=> 1 (2) - click payment, also on mobile!

15. 1515
Thesis: Mobile not designed for conversion … but
for risk
… because: too much thinking from the ‘old’
desktop world

16. 1616
Thesis: Payment methods (especially alternative
payments) suffer from functionality bloat / overload
… however: getting too much, need to go directly
to payment, no distraction / x-sell at check-out

17. 1717
Challenge: Innovation needs to serve simplification
instead of diversification !
… less is more!
Stick to your core trade ?!

18. 1818
Challenge: Mobile innovation also needs to facilitate
x-border ease of use
… ideally with 1 European protocol for mobile
payments

19. 1919
COST

20. 2020
Trend: Fees are under pressure
… rightfully so, off-line is already pretty efficient,
but still gap with online

21. 2121
Thesis: Not only direct, but also indirect costs need
to go down
… because: payment disruptions cost money and
settlement days still date from the batch days

22. 2222
Challenge: Reduce payment disruptions
… invest again in online payments (tackle legacy)
+ manage perception

23. 2323
Challenge: eliminate T+2/3 settlement days 
… because transactions are more & more real-time,
with also here pressure of further regulation