PHOENIX — For most of today’s consumers, mobile is the “center of their lives,” Ryan McInerney, president of Visa, said last week at CBA Live.
“As your customers live their daily lives, more and more of the payments that they make are digital — and more and more of those payments don’t even require a card,” he said. “And many times they don’t even require the 16-digit number that’s on the physical card.”
Increasingly, the interactions that customers have with banks are not only digital, they’re mobile, McInerney said, and as millennial consumers go through their daily lives, they are making dozens of payments a week. “They’re ordering meals online, and getting in and out of Uber cars without even thinking necessarily about how and why they’re making that payment,” he said. “They’re done with the phone instantly, and this screen becomes the way that they’re interacting and paying for things.”
Competitors, or more specifically fintech startups, are waiting in the wings to insert themselves into the consumer experience, McInerney cautioned. “To thrive in an environment where the point of sale is literally everywhere, the checking account has become a means to an end, where that end is the actual payment products — and those products are increasingly digital — will require a level of speed, innovation, and partnership that is different [for the industry],” he said. “It is no question that [financial institutions] are able to win, but there a lot of people that want to insert themselves, and put themselves between you and your customer’s relationship.”
Learn more about the tech and disruption in the industry at Auto Finance Innovation 2016, May 11 in Fort Worth, Texas. Visit www.autofinanceinnovation.com
