News & Views - Savantor

2018 - The mobile story continues

Sunday, 16 December 2018

As another year draws to a close, we can reflect on the key trends in payments over the past 12 months and anticipate how the industry is likely to evolve during the coming year.

One of the most prevalent trends is the continuing growth in the contactless and mobile markets as consumers become far more comfortable with using the technology. According to figures from MasterCard, almost one in two transactions are now contactless. As at September, during the year to date there was a 95% increase in contactless transactions, with the technology representing 46% of all transactions every month.

The evolution in payment behaviour by consumers who are happy to use their smartphone as the method of choice of facilitating payments, using Apple Pay or similar functionality, together with the continuing movement towards online shopping, is intrinsically linked to the retail market. The challenge for retailers is how they can manage and satisfy the requirements of their customers, particularly in online shopping. It will be interesting to see the year-end figures of payment methods and types once they are available, particularly for the run up to Christmas.

Digital-only banks have continued to grow in popularity with banks such as Monzo, Revolut and Atom. ‘Traditional’ banks are looking to counter this by setting up or becoming involved with digital start-ups to leverage the flexibility that the digital banks benefit from instead of being weighed down by their unwieldy legacy systems. 

At the same time as an increasing dependency of consumers on technology for payments, this year has also seen a number of significant banking and payment system failures. Although the UK banking industry has experienced multiple disruptive system failures – for example TSB, Barclays, RBS, Natwest and HSBC – there have also been more wide-reaching system issues like the Visa network problems experienced in June when Visa customers were impacted on a Europe-wide basis. 

In the UK the closure of bank branches has continued, causing problems to those who are not technically savvy or prefer a face-to-face style of banking.

A number of large company data breaches have taken place again this year, including Ticketmaster, Dixons Carphone and British Airways.

The large technology companies such as Amazon, Apple, and Google continue to make forays into the payments and financial services arena. Research undertaken during the year showed that 65% of US Prime subscribers would be prepared to open a bank account with Amazon.

This year also saw the introduction of Open Banking in January. Initially this has not seemed to have had a major impact, with apparently still only 20% of consumers in the UK even aware of its introduction according to recent figures. Nevertheless, Banks are beginning to offer functionality using Open Banking technology and it could be that its use could show a marked increase next year – providing more is done to make customers aware of it and its benefits. 

The uncertainty around Brexit has increasingly dominated the political landscape and whatever its outcome it is likely to have an impact on the financial sector in 2019.

Savantor wishes the very best for 2019 to all our MarketEye readers.

Savantor Services

Savantor Services

Savantor services are tailored to Client needs based on our core service areas

Specialist Resourcing Payments Strategy Platform Transition Operational Efficiency
Savantor Services

Job Opportunities

Consulting and contracting roles in the payments, mobile and banking arena within the UK and across Europe

View more
Savantor Services

Savantor Views

Find out more from our Savantor brochures, MarketEye back copies and Industry opinion

Collateral Market Eye News & Views Sign Up to receive MarketEye

Client Quotes

Payments Workshop Material

"Savantor helped ACI build a payments onboarding workshop for new technical staff in ACI EMEA. Their extensive experience took our outline and built a great starting presentation of industry facts that we have now customised further into a half day session that is used for all new joiners. Our Americas and APAC regions have also taken the material and customised it for their regions. A great job by Savantor has meant new joiners to ACI hit the ground running."

Richard Sanders, Principal Solution Consultant - ACI - Worldwide EMEA

Acquirer Transformation

"We needed a programme manager for a complex transformation who also brought a broad understanding to help stakeholders through the change. We have been delighted with the delivery and outcomes from this engagement with Savantor."

Michael Liquornik, Executive Vice President - Neovia Financial - UK

Credit Card Launch

"Savantor's knowledge and experience were the key differentiators in selecting them and they contributed greatly to the success of the product launch and the effectiveness of the ongoing operational service."

Toine Schepers, Operations Director - Primeline - The Netherlands

Market Insights

"Savantor did a good job in helping us understand the dynamics of a key growth area for Trionis. Savantor's ability to listen and their degree of commitment have always impressed me. They have been of great help in providing us important market insights and I would not hesitate to work with them again in future."

Ernst Verbeek, Managing Director - Trionis - Belgium

Commercial Card Migration

"Execution at its best. We're delighted that this project has been truly outstanding and received an award from 'The Banker'. Savantor provided crucial expertise that helped us keep all our promises in terms of delivery. The scheduling, planning and control regime throughout was excellent."

Chris Mason, Director - Commercial Cards EMEA - Citi - UK

Interchange Review

"Savantor did a superb job in confirming what we believed was an area of weakness. The detail we now have will enable us to agree internally what we need to do to improve structure, control and income. Nationwide management were very impressed with the quality of the Savantor team."

Adam Slater, Senior Manager - Banking - Nationwide Building Society - UK

EMV Migration Planning

"It was a strategic imperative for the bank to be EMV compliant for our payment cards and the experience that Savantor brought to the company has proved to be invaluable."

Eddie Sweeney, Chief Technology Officer - AIB Bank - Ireland

Payment Specialists

"Working close with Savantor's professionals over the years in the payment arena. I appreciate the skills and knowledge these guys have and will surely engage with them when opportunities arise. The current engagement with Savantor is full to satisfaction and beyond."

Idsert Walta, Head of Banking Categories - Nordea - Scandinavia

Clients - Request Support

Send us a support request and one of our specialists will be in contact to assist you.

Consultants – Upload your CV

Register your CV with us and gain access to a range of job opportunities through our online job search portal.