Companies with turn-key solutions for Financial Services will have advantage in the market

Alberto España, CEO and Founder of Bid2Pay and Payment Power, discusses financial services and innovation with us.

What are some of the fintech trends driving your innovation?

 I think there are three major trends affecting the industry:

  • Relevance at the Point of Sale. Banks and other want to be present when a customer makes a purchase decision at a store. Emails and webpages are just not effective today in a world that is filled with too much information. How can you be present or in the top of mind of a consumer making a purchase?
  • Building consumer loyalty, especially for retailers and banks. Competition is fierce for credit cards and retailers. New players in the industry, Millenials and others are changing the industry. How can you keep your customers happy and spending more? This is in every organization’s strategic plans today.
  • Innovation – Financial institutions recognize the need to innovate but sometimes cannot do it in house or have to fight for resources. Companies that can help financial institutions with turnkey solutions will have an advantage.

 

What are the most critical components you need to continue your Company’s growth and innovation?

As a company we must help our customers, banks and retailers, to deliver value added payment offers for consumers at the point of sale. The biggest challenge continues to be getting a large organization to make a decision and then move on a new product, but also the expertise and knowledge required to create exciting loyalty programs that truly deliver on the investment.

What Latin American markets are you finding the most receptive to fintech innovation? Why?

When we have approached banks and retailers and our local partnerts in most LAC markets, they are extremely receptive to the idea of building loyalty and being relevant at the point of sale. Effective Loyalty programs are very rare in Latin America and we have found this is where our biggest opportunity lies. In our first market, Costa Rica, the first two banks that we contacted agreed immediately to participate in the launch. Now that we are launching in México we have found the same attitude. A good innovative product that can help increase sales is always welcomed.

 

What are your biggest challenges in connecting your innovation with financial institutions?

As may be expected, getting a large, complex organization that is heavily regulated to move on a new project is our biggest challenge. You must be prepare to spend at least 6 months to get any project going or more. This is why we have developed a product that is turn key for banks and others and can be used quickly. But, the decision process to get the nod to move ahead can be long and ardous. Be prepared financially to wait for a while before revenue comes in.