Financial services and payments, in particular, follow trends we see in society in general. Everything should go faster, easier, and be more convenient for the user. At the same time, security and speed need to be improved as payment services of the future are developed. That is according to Johan Strand, CFO at Zimpler, which develops the next generation of bank payments.
"The market for digital payments and fintech has developed at a rapid pace in recent years. We want to use the technology that can best help make online transactions secure and frictionless. When we started, we achieved this through an invoicing solution with a self-developed identification service. As technology and infrastructure have made it possible for us to build better, faster, and more secure solutions, we have developed and are today an open banking platform, completely focused on real-time bank payments", says Johan Strand
"Sweden has really been at the forefront when it comes to digitizing payments. It has been inspiring to see companies like Swish and Klarna change the way we do business. Right now, Sweden is probably on its way to becoming the first cash-free country. Swedeshave always been early adopters, that is probably why we have been able to build so many global technology companies despite beinga smallcountry. The oligopoly structure in the banking market has also contributed to Swedes adopting digital solutions such as Swish and Bank-ID on a broad front", says Johan Strand.
He sees security and speed as two priority areas for improvement in the digital services of the future. "Security is the key to being able to do business online. In Sweden, we have a low proportion of fraud compared with other countries. There is still so much left to do, especially in new, fast-growing segments such as marketplaces, gaming, or the sharing economy. There,we see a greater degree of transactions between consumers with a higher risk of fraud. Whether itis when you shop on Tradera or when you buy a new avatar in your favorite game, security can be strengthened with new technology. That is why we have invested heavily in KYC and security over the past year", says Johan Strand.
Speed is another crucial factor in making the user's journey easy, understandable, and fast. No more lengthy applications to open an account or register your address and personal information. It endsconversion and adds little or no value.
Zimpler offers real-time payments and payouts that are secure for both end-users and merchants. Zimpler has solved this by integrating KYC and payment flow into one. When a payment is processed, Zimpler's solution also adds KYC information in the same flow. In this way, the transaction flow is made user-friendly but at the same time safe and secure for all parties.
"Digital identification is probably one of the more complex issues to tackle in the future. As we become more global in our way of life, new challenges also arise. Not least when it comes to cross-border payments, for example, to give the end-user a good user experience regardless of where it is located", says Johan Strand.