Based on an overview of cash in commerce, Central Bank (Banxico) suggests that, cash is still the leading payment method at the checkout with a 95% preference for personal expenses such as transportation, food and pantry, while 8% prefer debit card, 4% credit card and a similar percentage uses pantry vouchers.
With all the talk around payments innovation, Elite considers that now is the time to look further, envision the personalization of payment methods for customers and increase conversions, while unlocking the data potential for all involved parties.
Hiring an electronic terminal is still a difficult decision, since banking institutions require to cover a minimum billing which will represent an expense more than an advantage if such amount is not reached. However, banks are starting to understand that their competitive position is about to change followed by innovative FinTech business models that are leading the path of disruption.
Banks and FinTech companies complement each other. Banks bring their credibility, high security standards, and a strong customer base, and FinTechs come with the latest technology, a great user experience, and the agility to respond to changing market trends. Despite predictions that FinTechs will disrupt the banking industry, what we see in practice is that they act as enablers for financial institutions. We’re witnessing an evolution, rather than a transformation, of business models and market approaches. This is exactly where Elite wants to be, we wanted to keep it simple and safe.