Payment providers are tapping genAI to personalize marketing offers and virtual assistants while streamlining customer checkout. These tools could help providers monetize transaction data and help merchants drive sales.

Discover the dynamic shift toward digital wallets in the US and the UK in the latest podcast episode of "Behind the Numbers: The Banking & Payments Show." Delve into the compelling discourse on how younger generations' move to digital is rendering traditional wallets obsolete. Join host Rob Rubin, our US-based analyst Tyler Van Dyke, and UK-based analyst Carina Perkins as they unravel trends in digital transactions for dining, shopping, and ID verification. In the "For Argument's Sake" section, we dissect the fierce competition for market dominance among industry giants like Apple and Google, established players like PayPal, rising star Paze, and potential disruptors. Tune in for a forward-looking conversation and hit subscribe for the latest insights. Key insights: - Youth-led shift: Analysis reveals a robust trend among younger consumers pivoting to digital wallets for everyday activities, indicating a cultural and technological shift. - Market dominance debate: We uncover the strategic moves by tech titans and emergent challengers vying to capture the largest share of digital wallet users. - Cross-Atlantic perspectives: Insights from US and UK analysts present a diverse view on the adoption of digital wallets, offering a broader understanding of the global digital economy.

Acquirers, networks, and issuers each play distinct roles in the payments purchasing chain. But those roles are shifting as providers adapt to the rise of software and value-added services, increased payment method choice, and cloud-based innovation.

Digital wallets are fast becoming consumers’ preferred way to pay, both in and out of the store.

The rollout includes AI-powered product recommendations and a one-click checkout experience. But in the fast-moving industry, these features could soon become commonplace among the major wallets

Fintechs, banks, and the government will reshuffle the payments deck in 2024. New features and competition will redefine the digital wallet user experience, and FedNow will pivot payment flows in new directions.

Despite a slowdown in smartphone sales, innovations in advertising, commerce, AI, and even device form-factors will drive mcommerce and mobile advertising growth in 2024.

We capture how payment providers are innovating to meet new preferences and capture this vital volume in four trends

The move can bring in more volume on PayPal’s cards and enhance consumer loyalty

Mobile P2P payments are struggling to capture users in Canada. But banks and digital wallet providers can lean into their respective strengths to create a rosier outlook for growth.

In 2023, 92.3% of the 5.2 million accounts opened digitally will be with incumbent banks, as digital-only banks fall victim to economic uncertainty and intense fintech competition.

Digital commerce platforms are leaning heavily into payment processing to grow revenues and enhance customer engagement. But it’s still early innings: They are ripe for payment provider partnerships that can evolve as the platforms grow.

US adults are fairly evenly split on using mobile payment apps online versus in-store—except with PayPal, where 36% of users use the platform online most often, compared with 29% of users who use the app in-store, according to CivicScience.

Buy now, pay later (BNPL) payment value will rise 14.8% annually from 2023 through 2027, as BNPL fintech leaders adapt to a maturing market by diversifying product offerings and harnessing demographic trends.

As US mcommerce sales approach nearly half of total US online sales, marketers need to adopt mobile-first strategies that improve both the shopping and checkout experience. For those looking to boost adoption for their mobile shopping apps, banner ads are the best deal, though more interactive ad formats could become popular as retailers gamify their apps.

Why big banks are losing market share with younger generations: A report finds fintechs and neobanks have captured 47% of all new checking accounts opened in 2023, and that Gen Zers increasingly see them as their primary accounts.

If marketed properly, the tech can help it stand out from rivals and build customer trust before mass industry adoption.

The pandemic accelerated investment in CX technology to meet rapidly changing needs. But as consumer priorities shift again amid high inflation, UK retailers need to understand which technologies are hitting the mark and which are not.

Mobile P2P payments are reaching market maturity in the US as spending soars, but security challenges threaten to reverse gains. Providers are working to assuage consumer fears while adding a robust array of features to tighten user relationships.

The digital wallet is already the top P2P service among teens. Its youth-facing products could help monetize the app