We can’t ignore the ground-shaking mergers roiling our industry. With three of the largest deals ever in payments having taken place in just the past six months, we expect nothing less than a transformed industry.
The flurry of deal activity raises numerous questions. How, for example, will the expected billions of dollars in savings be achieved, and which services and features might be impacted? Will connections between merchant systems and issuer cardholder systems change the status quo for retail commerce? Can AI and machine learning create new services and revenue? Beyond M&A, the Federal Reserve's announcement of its FedNow real-time payments service figures to impact the payments ecosystem for years to come.
Amid all this change, we’ve been focused on three specific areas over the last few months. We’ve been helping our clients explore investment opportunities in the fintech and acquiring sectors. We’ve also been helping large lenders better identify and control for risk factors in their lending portfolios, a function at the very core of Oliver Wyman’s mission. Finally, we’ve been helping merchants prepare for even more changes to payments requirements and devise digital strategies to meet these challenges.
One thing is certain: In an era of blockbuster deals and breathtaking technological advances, the only safe bet is on continued change.
Payments Plus is a regular update from Oliver Wyman where we share a sample of perspectives drawn from client work across the Payments Industry.
Oliver Wyman is a global leader in management consulting with offices in 50+ cities across nearly 30 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.
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