The Payments Industry & Macropay's Adam J Clarke

The payment industry is a critical component to modern society. In this article, we'll take an inside look at how payments are made and why it's important for everyone! Macropay’s Adam J Clarke imparts key insight into the future of the payment industry. 

The Early Days of Payments

The first money was invented when people realized they could trade goods and services with each other. The invention can be attributed to the Sumerians, who created several different kinds such as shells or stones marked on them for accounting units back then; long before any kind of record-keeping system existed!

The history of interest-bearing loans goes back to Mesopotamia. Poor farmers would often borrow money from officials and merchants, but if they fell into arrears their sheep or vines were carried away as collateral until the debts were paid off.

In 1694, a group of London merchants helped England's first king William II start his bank. In return for their commitment and service to royalty these gentlemen were given exclusive rights to establish "The Bank Of England".

In recent years, virtual currencies have become more popular. One of the most well-known and established is Bitcoin which was launched in 2009!

Future & Payments

With the pandemic, people were forced to change their payment behavior. They began using less cash and shopping more online while adopting instant payments for purchases instead of waiting in lines at paying face to face. While the recent changes in financial markets have opened up new opportunities for players, it is unclear whether any of these will become permanent.

Here are the few clear trends that will eventually usher in the new time of payments:

Not Cash Payments

Cash payments declined by 16% worldwide in 2020. This decline in payments indicates the rise of digital and non-traditional payment methods. It also indicates the demand for high-tech payment systems and the accelerated need to fill this gap in the market.

All of these signal a major growth in the payments sector, particularly in FinTech.

Worldwide Payments

In the presence of global unrest and an impending economic crisis, international trade would be affected. Trading and purchasing goods overseas begin with payment. Difficulties in fulfilling overseas orders due to factors like increase in transportation cost or scarcity of supply can affect the total number of purchases. The more people pay online, the cheaper the service gets. However, the less people use online payment services, the more the service will get expensive. This is because people will have to cover the operating cost.

Personal Preferences

Purchasing habits tend to vary from person to person. Regardless of nationality and gender, each customer has their own payment preferences. This signals the need for highly personalised payment experiences. With the current acceptance of open banking data technology, tech companies can access financial information and build relevant services using them. 

Payment Creates Society

Moving forward, the payment industry will surely evolve with humankind. Our trades and necessities like food will always be settled. Payment systems will always be put in place, regardless of whether it's 10 years from now or a hundred. 

At present, the rise of digital payments and its revolutionary effect on the whole world can already be seen. Macropay’s CEO & Founder Adam J Clarke notes that “alternative payment methods are critical. [It is] life or death customer experience.” A business that does not adapt to the trend of offering multiple digital payment methods is always at a disadvantage when it comes to closing sales.