Google today announced it’s partnering with Shopify, giving the e-commerce platform’s more than 1.7 million merchants the ability to reach consumers through Google Search and its other services. The integration will allow merchants to sign up in just a few clicks to have their products appear across Google’s 1 billion “shopping journeys” that take place every day through Search, Maps, Images, Lens and YouTube. The company didn’t offer extensive details about the integration when it was announced during Google’s I/O Developer event this afternoon.
Food for thought from TSG's President, Mike Strawhecker: A year ago, TSG released an article called ‘Confessions of a SMB During COVID,’ which was part of a series of articles on COVID and the SMB perspective. As I mentioned in the article, I am fortunate to have the perspective of a handful of merchants in various industries.
For the merchants in which I am a partner, payments acceptance is typically an afterthought. This is because they may use more than 25 vendors to run their business. However, I was reminded that when payments acceptance doesn’t work, it is NOT an afterthought. continue reading
Paysafe Group Holdings Ltd. said Thursday it is launching in the U.S. market a digital version of its Visa-branded Skrill prepaid card. A Web version is available now, while an app that works with Paysafe’s Skrill wallet coming later this year. As with physical version of the card, the virtual card, issued by New York City-based Community Federal Savings Bank, enables U.S. holders to spend funds stored in their Skrill wallet. Paysafe says the “majority” of U.S. and international e-commerce sites now accept Visa cards. Community Federal began offering the physical version in January last year.
Bitcoin's intensifying sell-off that began last week after Tesla CEO Elon Musk changed his tune on the digital currency has engulfed other cryptocurrencies, as Dogecoin, Litecoin and Ethereum all fell sharply on Wednesday morning. The current plunge in crypto prices — which analysts attributed to extenuating factors such as China's decision to more tightly regulate cryptocurrencies, and a market that's beginning to look overly-speculative — represent a sharp reversal of fortune in a market enthusiastically embraced by retail investors and an increasing number of big banks.
In the world of finance, many people try to keep their activity private. Not on Venmo, where taco and noodle emojis let the world know what diners ate. In less innocent transactions, Venmo users have also been caught buying drugs, getting drinks with exes and overusing the eggplant emoji. There are app-wide trends in emoji use, such as the gift emoji, which Venmo users sent in messages 20% more during the 2020 holidays than during the same period in 2019, Venmo said. "Venmo is very much a community," said Darrell Esch, a senior vice president and general manager at Venmo, "a community of communities with 70 million members, based generally on social activity."
Marqeta has become one of the hottest businesses in digital commerce, even though few consumers have ever heard of it. Its name is about to become much more familiar. Last Friday, the company filed to go public and, in its prospectus to investors, disclosed annualized revenue growth in the first quarter of 123% to $108 million, while its net loss narrowed to $12.8 million from $14.5 million a year earlier. In 2020, annual revenue more than doubled to $290.3 million, and the company recorded a loss of $47.7 million.
Regulations or not, consumers overall appear to love the buy now, pay later experience. It’s very convenient and simple to use, especially online. One of the most telling statistics is the amount of repeat business some of these BNPL companies get. Afterpay reports that 91% of their users are repeat customers. The most frequent BNPL customers use it about 48 times a year, according to Sheridan Trent, research analyst at The Strawhecker Group (TSG). BNPL can cover a range of services, but typically, as the name implies, it gives consumers the option to split a purchase into several equal payments over a few weeks or months with generally no interest due or fees — unless they miss a payment or are late.
Mastercard will soon bring workers back to its New York City office at least two days a week. The payments giant also plans to open its Arlington, Virginia, office to more workers after already inviting more staff back its Sydney and Dubai offices, Chief Executive Michael Miebach said in a memo to staff Wednesday. For most locations across the U.S., the company hopes to have workers in by September. “Human connection is such an important part of who we are and what we do,” Miebach said in the memo. “With that in mind, I want to bring us back together. And it starts by returning to the office.”
Federal Reserve Chairman Jerome Powell has issued a notice to the digital-token market: The Fed is ramping up efforts to develop a digital dollar that could compete against privately issued “stablecoins” now gaining popularity for payments. Powell said Thursday that the Fed plans to issue a discussion paper “outlining our current thinking” on digital payments, focusing on the benefits and risks of a central bank digital currency, or CBDC. He added that the Fed plans to take “a leading role in developing international standards for CBDCs,” working with central banks and regulators in the U.S. and abroad.
On-demand payment fintech, DailyPay raised $175 million from investors this week while the banking payments fintech Amount landed nearly $100 million, they said in press releases. The investments underscore how the industry has become a magnet for money. New York-based DailyPay said in a press release yesterday that in addition to the new equity investment, it also sourced $325 million in credit capital to fuel its business that enables employers to let employees pay themselves before the end of a standard pay period. For a $2.99 flat fee, employees can receive payments from what they’ve earned, ahead of payday. The employer can also agree to cover the fee.
Mobile Money transaction boomed globally in 2020, especially in sub-Saharan Africa which accounted for 43% of all new accounts, according to the GSM Association. More than half of such accounts are in Africa, which is has been the fastest-growing region for mobile phone growth for several years. “Many of the socio-economic and development challenges arising from the pandemic are being tackled with mobile money tools,” says Mats Granryd, the director general of the London-based GSMA, an umbrella body for the mobile industry.
Financial services company Plaid announced Thursday (May 20) it has formed a partnership with Square to help U.S merchants process automated clearinghouse — ACH — payments without having to hold onto sensitive banking info. “Now merchants can accept ACH payments through Square Invoices and developers can enable ACH payments through Square Web Payments SDK, without worrying about bank authentication or any managed payment complexities,” Plaid said in a blog post.
Electronic billing and payments network Paymentus is looking to raise $210 million at a $2.4 billion valuation in an initial public offering. According to an SEC filing, the firm is offering 10 million shares priced between $19 and $21 for the IPO in the US. Paymentus reported first quarter revenues of $92.2 million, up 32% on the same period the previous year, as Americans carried out more online payments, according to Reuters.
The Treasury Department on Thursday announced that it is taking steps to crack down on cryptocurrency markets and transactions, and said it will require any transfer worth $10,000 or more to be reported to the Internal Revenue Service. “Cryptocurrency already poses a significant detection problem by facilitating illegal activity broadly including tax evasion,” the Treasury Department said in a release. “This is why the President’s proposal includes additional resources for the IRS to address the growth of cryptoassets,” the department added.
Nearly a decade after promulgation of Regulation II — better known as the Durbin Amendment — the Federal Reserve Board proposed changes to modernize the regulation by clarifying that the exclusivity prohibition applies to card-not-present transactions, such as online purchases. On March 7, the Federal Reserve Board issued a notice of proposed rulemaking (NPR) requiring debit card issuers to provide at least two unaffiliated networks to process card-not-present debit card transactions.
LexisNexis® Risk Solutions released the findings of its latest True Cost of Financial Crime Compliance Study – EMEA Edition. The survey of compliance professionals identifies the drivers affecting financial crime compliance and highlights spending trends. The study also explores the business impacts of regulatory changes within financial crime compliance and identifies pandemic-related challenges and impacts. The report finds the total annual projected cost of financial crime compliance in EMEA markets now amounts to $117.5 billion, with France, Germany, Italy and the Netherlands reporting higher cost in 2020 compared to 2019 at 18.1%, 20.2%, 26.6% and 22.2% respectively.
The UK's Information Commissioner's Office has fined American Express £90,000 for sending more than four million marketing emails to customers who did not want to receive them. The ICO began investigating when it received complaints from Amex customers who continued to be bombarded with emails despite having opted out from them. The messages spelled out details on the rewards of shopping online with Amex; getting the most out of using the card and encouraging customers to download the Amex app.
Magecart Group 12, known for skimming payment cards from e-commerce websites using JavaScript skimmers, is using an updated attack technique to gain remote administrative access to sites that run an older version of Adobe's Magento software, according to an analysis by Malwarebytes. The latest incarnation of an umbrella group of least seven distinct cybercriminal groups, Magecart Group 12, which was involved in another hacking spree last fall, is using an updated technique that uses PHP web shells, known as Smilodon or Megalodon, Malwarebytes says.
A year ago, as the pandemic ravaged country after country and economies shuddered, consumers were the ones panic-buying. Today, on the rebound, it’s companies furiously trying to stock up. Mattress producers to car manufacturers to aluminum foil makers are buying more material than they need to survive the breakneck speed at which demand for goods is recovering and assuage that primal fear of running out. The frenzy is pushing supply chains to the brink of seizing up.
The procession of Americans heading to the unemployment line fell last week, with jobless claims totaling a fresh pandemic-era low of 444,000, the Labor Department reported Thursday. Economist surveyed by Dow Jones had been expecting 452,000 new claims as the jobs picture improves thanks to an accelerated economic reopening across the country. The total represented a decline from the previous week’s 478,000.
The new Back to Blue Skies report from American Express and American Express Global Business Travel finds that business travel is an important driver in building in-person connections, a company’s culture, career development, and can lead to increased profit and revenue. Corporate travelers and decision makers at U.S. businesses of all sizes and across a variety of industries participated in the survey, which highlights the sentiment around the benefits of business travel.
Adyen, the global payments platform of choice for many of the world’s leading companies, announced the expansion of its acquiring capabilities to include Japan. Adyen’s acquiring capabilities are foundational to the company’s all-in-one payment platform allowing merchants like Microsoft, Foodpanda, VanMoof, Breitling, and G-Star RAW to get the most out of each transaction with local payment processing.
Canadians’ return to restaurant dining will be more digital, and will be complemented by their newfound affinity for delivery, according to a new survey by Clover® from Fiserv. Digital experiences will be integral to in-person dining, from the moment an order is placed to the minute the check is paid, and consumers are ready to embrace the change. Among Gen Z and Millennial respondents (ages 18-34), 57% said they’d prefer to order and pay at the table using their own mobile device, rather than through a server.
CEX.IO, a leading global cryptocurrency exchange, has selected financial technology leader FIS® to provide card management and processing services for a new line of crypto-based consumer cards across Europe. CEX.IO was looking for a proven technology platform to support its planned launch of debit cards for its cryptocurrency customers. The new line of consumer cards will tie traditional debit capabilities to modern cryptocurrency accounts, expanding our existing payment gateway and global acquiring relationship.
Deutsche Bank and Silverflow have announced a cooperation to support the bank’s payments strategy. The partnership will include two new payment services, which are expected to launch in Autumn 2021. Kilian Thalhammer, Head of Merchant Solutions at Deutsche Bank’s Corporate Bank, said, “Deutsche Bank is creating a new digital payment ecosystem, working with best-in-breed tech players like Silverflow. With Silverflow’s cloud-native payment technology, we can offer our customers high-end, best-in-class services that set new standards for bank-supported acquiring services and digital payments.”
Square KDS is launching as a subscription, making the powerful kitchen display software available to all restaurants - including those that don’t need a POS to take orders or for advanced functionality, and simply need a KDS to manage and fulfill orders from online ordering and delivery partners. Square originally announced the availability of Square KDS, a software that helps restaurants display and fulfill incoming orders, last November on Square for Restaurants Plus.
Wells Fargo has launched a 10-year commitment to help unbanked individuals in the United States gain access to affordable, mainstream bank accounts, the company said on Monday. The initiative aims to help Black and African Americans, Hispanics, and Native Americans, who account for more than half of the country's 7 million unbanked households, have easier access to low-cost banking, Wells Fargo said.
Discover, a leading digital bank and payments company, and Eazy Financial Services signed an agreement to expand acceptance for both company’s cardholders. Discover, Diners Club International and network alliance cardholders will now be able to use their card at 95% of point-of-sale merchants and 100% of ATMs in Bahrain. Once Eazy Financial begins issuing its first national cards, its customers will get access to the Discover Global Network and be able to make transactions at more than 50 million merchants in more than 200 countries and territories.
Appetize, the leading digital commerce platform, is introducing Appetize Payments, an all-in-one solution that combines payment processing services along with Appetize’s best-in-class cloud software. Launched at a time when larger venues and hospitality brands are looking to unify their tech stack, Appetize Payments eliminates the need for expensive third-party services, provides transparency in pricing, and offers a single point of support.
i2c Inc., a global leader in digital payments and banking technology, announced a new partnership with fintech, Zolve which provides immigrants moving to or visiting the United States with the financial services tools they need for their journey. Zolve allows users to establish a bank account from their home country for use in the United States, as well as debit and credit services. These accounts come with FDIC protection (through partner bank) for amounts up to $250,000 and can be established completely online before arriving in the USA, with any amount as a starting balance and no upfront fees.
Certegy, a leading ACH payments and risk management company, announced the expansion of its Buy Now, Pay Later (BNPL) solution with the launch of a white label BNPL offering. Certegy clients can leverage new APIs and developer tools to deploy their own merchant-branded BNPL option to accept multiple payments, over time, for a single purchase, increasing their revenue per transaction.
Stax by Fattmerchant, the industry’s only complete all-in-one solution for managing everything in the payments ecosystem, announces its partnership with PayCertify, an innovative, global fintech marketplace and leader in card issuing and payment processing. Through this collaboration, PayCertify now has the abilities of a payment facilitator, without the inherent risk associated with becoming a PayFac, while also providing its customers with a feature-rich payments experience.
