The payment landscape is changing fast, with more exciting advancements than ever before.
In this article, we’re going to talk about the top payment trends of 2024 that are expected to shape the industry moving forward.
Interested? Let’s get started
The Rise of AI in Payment Technology
AI is making its way into all kinds of industries, from education to healthcare, and PayTech is no exception. Here, one new trend consists of using AI to make digital transactions faster and more efficient.
But AI is helpful for other aspects of payment processing too, like detecting fraud, analyzing transactions, and even automating customer service so that people can get the answers they need in less time.
Clearly, AI is here to stay, and it’s going to continue to change how payments work in 2024 and beyond.
Stronger Security Measures
These days, with cyberattacks happening every 39 seconds, businesses are recognizing the importance of heightening their payment security to protect their clients’ private data.
And progress is being made on this front. For example, a recent report revealed that the percentage of businesses targeted for payment fraud has been decreasing over the past few years.
But there’s still work to do: In 2021 alone, 71% of survey respondents indicated that their organizations had faced payment fraud attacks.
And that’s 71% too many.
So, moving into 2024, there’s going to be a stronger emphasis on improving security through things like tokenization and advanced encryption to keep user data safe.
This year, more and more businesses are adopting embedded payment technology. And for good reason.
In the past, making a purchase online involved getting redirected to a third-party payment provider to complete the sale.
But these days?
Embedded payments provide a much more seamless user experience. Instead of getting redirected, clients can now complete their entire purchase on just one platform thanks to an integrated payment process.
This makes it easier for consumers to focus on what they’re buying instead of having to jump through a bunch of hoops.
More Payment Options with Pay by Bank Technology
Pay by Bank is an emerging trend that allows consumers to make purchases directly from their bank accounts, without needing a card at all.
It’s simple: All they have to do is choose the Pay by Bank option at checkout and approve the transaction through their bank’s designated app.
Once that’s done, the payment is transferred from their bank account to the business – no hassle involved.
Understandably, this technology is expected to expand in the coming years as more people recognize the benefits: Faster, safer transactions, reduced risk of fraud, and more convenience.
Fewer Cash-Based Transactions
More and more, people are moving away from cash and opting for digital payment options instead. In fact, just 17% of Americans have a preference for cash now.
But despite this trend away from physical banknotes, there are still millions of people who prefer using cash and who risk being discriminated against if it’s no longer an option.
This concern has led to pro-cash legislation to protect people’s right to pay using their preferred payment method, and this type of legislation is likely to continue being enacted in the coming years.
More Biometric Payments
With biometric payment technology, consumers can make payments using authentication methods that are by their very nature unique, like fingerprints and facial recognition.
Since one clear benefit of this technology is that it can help reduce payment fraud, its use is going to expand in the coming years.
In fact, the global market for biometric payments is expected to exceed $19 billion by 2029, which would mean an increase of nearly $12 billion between 2022 and 2029.
There you have it! Now you know the top payment trends of 2024 to be aware of.
As you can see, payment trends are constantly evolving to bring consumers more security and convenience.
At Genius Payment Systems, we stay on top of changes in the industry to better support companies in the insurance, healthcare, and benefit carrier spaces.
Our goal? To harness powerful technology so you can enjoy more revenue – and fewer headaches.
If your current payment solutions are:
We’re here to help turn that around for you.
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