Merchant Payments Digest - 24th Edition

The Merchant Payments Digest is a regular update from Oliver Wyman to keep merchants apprised of developments in the rapidly shifting payments space.


Transformational payments solutions:Square launches a standalone Square Invoicing app to provide sellers a tool for creating, managing, and sending invoices. Previously, Square Invoices was only available through the web or Square’s Point of Sale app. The tool is part of Square’s wider small-business ecosystem and is aimed at getting small businesses paid faster. According to research cited by Square, the average small business gets paid in 21 days, whereas 60% of invoices paid via Square invoicing are paid the same-day. Since its launch in 2014, more than $13 BN has been processed through Square Invoicing, with the app being available in the US, Canada, Japan, the UK and Australia.

Source: Square


Regulatory landscape:

As part of the PSD2 regulation, the European Banking Authority launched a central electronic register, which will provide information on payments and electronic money institutions. This comes as part of a wider initiative in the EU to bring transparency to banking and financial institutions. The register aims to provide consistent information on the identity of authorized payment and electronic money institutions (including payment service providers), the country of establishment of those providers and information on passporting for certain member states. Merchants will be able to use the register for understanding vendor capabilities and conducting vendor due diligences.

Source: European Banking Authority


Customers’ evolving expectations:

Instagram announced that it was launching an in-app shopping capability which will allow customers to check-out for goods advertised and discovered on Instagram. This comes as merchants are adjusting to customers’ changing shopping preferences with the rise of social media. Customers are increasingly learning about products on social media and turning to popular influencers for guidance on purchase trends. Instagram aims to meld product discovery with checkout and hopes that it will drive more advertisers to the site while providing better experiences for users.

Source: Recode


Data:Mastercard announced its acquisition of Ethoca, a technology solutions provider that allows card issuers and merchants to collaborate in real-time to identify and resolve fraud in digital payments. The acquisition will integrate Ethoca’s suite of security products with Mastercard’s current portfolio of fraud and security management capabilities. When Ethoca identifies a fraudulent transaction, it immediately sends an alert to one of its 5,000 merchants, allowing them to confirm or reverse the transaction immediately and avoid the expensive chargeback process. The transaction is expected to close in 2Q19.

Source: Mastercard


New providers:

Apple has teamed up with Goldman Sachs to launch the Apple Card in Summer 2019. The Card will be native to the Apple wallet, and will also be offered as a physical titanium card on the Mastercard network. It is aimed at giving customers a new digital payment experience with features like daily cash back, real-time interest estimation and spending monitoring. The card has no fees and is currently accepting pre-orders.

Source: Apple


  • Chipotle announced the launch of a loyalty program. To reward users, it paid approximately 25,000 customers a total of up to $250,000 through Venmo as the disbursement platform. This is part of a broader push by Chipotle to further engage its customer base and enhance its digital offers and rewards programs.

    Source: Chipotle


  • has entered into an agreement with Mastercard to provide faster payments to small- and medium-sized merchants. The new agreement will offer virtual cards on the Mastercard network to’s more than 3 million merchants. is hoping that by providing alternative methods of bill payment, it can further expand its network of SMBs.



  • Air France, KLM, EasyJet, Lufthansa, and Ryanair have all collaborated with Google Pay to allow customers to save their boarding passes into their digital wallets. Now, when customers book their tickets through the airline’s mobile app, they can seamlessly integrate their boarding pass into their Google Pay wallet. Merchants have increasingly been integrating functionality into wallets to further increase penetration of and reduce friction with digitally conscious consumers.
  • Source: NFC world


Oliver Wyman is a global leader in management consulting with offices in 60 cities across 29 countries. Our Payments practice works with constituents across the payments value chain to deliver insights with real impact, combining deep industry expertise with powerful consulting capabilities. To have a discussion with Oliver Wyman on your payments issues and opportunities, please contact Beth Costa or Rob Mau at

Note that Oliver Wyman believes the curated content to be reliable, but it has not been verified.  As such, Oliver Wyman gives no warranty as to the accuracy of such information.  Oliver Wyman’s curation of such content should not be interpreted as an endorsement of the organizations that published the content.