Industry Report: FinTech Policies and Principles, E-Commerce PaymentsApril 7, 2017
The industry of e-commerce came into being sometime in the early 1990’s and from there on it happened to grow really rapidly. With this change, both the business owners as well as customers started using the Internet on a large scale. Both for their own recreational as well as professional purposes. This rapidly changing dynamic was successful in roping in a number of services like email, online shopping platforms and so on, all of which was successful in giving the area of web services, a revamped look. With this addition more and more business owners were successful in selling goods and services, online directly to the users. According to reports and statistics, the value of online sales has risen from around $4.9 billion in the year 1998 to about $342 billion in the year 2015.
The newest addition to the field of web services was the online payments options. Earlier as a customer, you had to be really careful with any kind of identity theft or phishing attacks when it came to online payments with cards. This was mainly the reason as to why many people didn’t really want to make payments online. But this changed with the introduction of payment gateways, these were services like PayPal and E-Pay and so on, or like Paytm, which is an Indian version. These payment gateways work as a mediator on behalf of your account. All you have to do is connect your bank account to these and you can easily make online payments, without sharing any of your bank account details.
All of this is a result of a number of Fintech companies, working towards the improvement of this process. They have introduced and incorporated software programs like API or more commonly known, Application Program Interface software. Here the numerous developers are able to create customised software solutions, which help companies interact with their consumer base, in regards to their products and services, betterment of their analysing processes, encouraging the users to sign up to their particular websites, send payments to the various merchants, as well as receive confirmations of payments sent and so on. Let’s take Amazon.com, this multi-billion dollar firm has taken e-commerce a step ahead, with the introduction of something called dash buttons, these buttons are supposed to help consumers get directly connected to the internet. The way these buttons work is very similar to the manual maintenance of an inventory. Which means, for instance, if any of the users run of a particular brand of washing powder, they are used to using, then they can totally go ahead and order more.
If reports are to be believed, then the month of November 2015 saw about eight of the eighteen Fintech startups, valued over $1 billion all over the world were supposedly offering just payments or transfer systems. One thing is for sure, that in conclusion, the field of Fintech is definitely transforming the way we make payments online, as well as the money transfers. This is being taken note of by a number of Fintech aspirants, who are looking to get trained according to the industry standards from institutes like Imarticus Learning.
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