Press Release April 22, 2014
New York, NY “ CAN Capital, Inc., the market share leader in alternative small business finance, conducted a survey at the Electronic Transactions Association’s (ETA) TRANSACT 14 conference and found that 42 percent of payments professionals believe that new payments technology is the trend that will gain the most momentum in the industry in 2014. Trailing behind new payments technology, product integration (24 percent), increased partnerships (23 percent), and company consolidation (11 percent) were expected to gain the most traction in the year ahead.
As consumers continue to turn to mobile to complete everyday tasks and purchases, payments providers must be able to offer innovative mobile transaction solutions in order to remain competitive, said Daniel DeMeo, Chief Executive Officer of CAN Capital. In our partnerships with companies in the payments industry, we’ve seen firsthand how important it is for both processors and their customers to stay ahead of the curve in terms of new industry technology.
Furthermore, mobile payments technology was identified by 61 percent of payments professionals as the fastest-growing, merchant-focused product offering over the past 12 months. Other merchant-focused product offerings identified as growing over the past 12 months included cloud accounting services (12 percent) and automated business loans (11 percent).
These findings present some interesting opportunities in the payments processing space, and substantiate some of the recent innovations happening at CAN Capital, added DeMeo.
When asked to select the biggest singular threat to their business, respondents chose pricing pressure (29 percent), followed by new technologies (e.g., mobile) (23 percent), and providing additional merchant services (8 percent).
Regarding their small business customers, most payments professionals (34 percent) identified fees on credit or debit transactions as the biggest challenge faced by small business owners in the area of payments processing. This was followed by limited ability to comply with changing payments security standards (22 percent), limited ability for brick & mortar shops to implement mobile and e-payment technology (20 percent) and cost of data breaches (16 percent).
Forty-four percent of payments professionals surveyed indicated that mobile shopping was the consumer behavior that has grown the most in popularity during the past 12 months, followed by online shopping (26 percent), usage of mobile banking apps (19 percent), and usage of mobile wallet (11 percent).
An overall take-away from the data and from TRANSACT 14 is that mobile and other new payments technologies will continue to be key drivers of change, said James Mendelsohn, Chief Marketing Officer of CAN Capital. Our mission is to support the growth of small businesses, and we’re paying close attention to the components that are being identified as essential for that growth.
Visit www.CANCapital.com for upcoming news and resources for payments processors looking to add value to customer relationships.
CAN Capital conducted a survey of payments professionals at the Electronic Transaction Association’s TRANSACT 14 in Las Vegas, Nevada. The survey, conducted on April 8-9, 2014, was developed to gauge the sentiment of the payments processing industry in the coming year. Respondents included professionals from various areas of the payments processing industry. Percentages are based on 201 responses.
CAN Capital, established in 1998, is the pioneer and market share leader in alternative small business finance, having provided access to nearly $4 billion in capital for tens of thousands of small businesses in a wide range of locations and different business types.
As a technology-powered financial services provider, CAN Capital uses innovative and proprietary risk models combined with daily performance data to evaluate business performance and facilitate access to capital for entrepreneurs in a fast and efficient way. Its business evaluation model allows it to help small businesses qualify for more money than they could obtain elsewhere.
CAN Capital makes capital available to businesses through its subsidiaries: Merchant Cash Advances by CAN Capital Merchant Services, Inc., and business loans through CAN Capital Asset Servicing, Inc. (CCAS). All business loans obtained through CCAS are made by WebBank, a Utah-chartered Industrial Bank, member FDIC.
Cristina Martinez, Josette Robinson
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