An overview of the key payment topics for Luxembourg in 2023.
Payconiq Luxembourg: one foot in the present, one eye on the future.
Digital payments have taken center stage in the past few years and will continue in 2023. According to the World Bank, “two-thirds of adults worldwide now make or receive a digital payment, with the share in developing economies growing from 35% in 2014 to 57% in 2021” . Digital payments are becoming global, cross-border, and accessible to all. In-app purchases and peer-to-peer (P2P) payments have experienced the most considerable growth in the past year.
As a leading mobile payment and payment processing company, we, at Payconiq Luxembourg, are committed to offering simple payment solutions for every situation. In this article, we will explore some key payment topics in 2023, how they impact Payconiq in Luxembourg and consequently how we give you the services you deserve.
Topic 1: E-commerce on the rise, and the need for an Omnichannel Payment Experience
According to an Eurostat survey and a practical guide on e-commerce by the Luxembourg Chamber of Commerce , 72% of Luxembourg residents shop online which is well above the European average of 60%. The Covid crisis certainly had a massive impact on customers buying behaviours resulting in a growth of online shopping. Consequently, e-commerce companies must adapt and innovate to stay ahead of the curve. This means specifically understanding in detail the needs of your consumers, building omnichannel capabilities and offering a seamless payment experience to guarantee the retention of your customers. Indeed, the user experience is everything: consumers want easy check out, and merchants want high rates of transaction completion. Well aware of this, we build at Payconiq Luxembourg an omnichannel payment experience designing account-to-account payment solutions and flexible features on seamless payments.
Topic 2: Cross-border instant payments
In a report released by the International Monetary Fund (IMF) in November 2022, the financial agency of the United Nations, states that “cross-border payment connections between two countries must be tailor-made, which takes “time and significant efforts” to accomplish, highlighting that multilateral cross-border payment platforms are a promising path that can potentially deliver a “transformational impact” in the cross-border instant payment industry”. Ahead of the curve, Payconiq launched cross-border mobile payments in the Belux region in November 2020. With Payconiq, merchants in Luxembourg have access to Belgian Payconiq users, especially cross-border workers, seamlessly and efficiently. Following this trend, the EU proposed to amend existing regulations regarding cross-border instant payments in October 2022. More will come then in 2023.
Topic 3: Contactless payments: More Mobile Banking, More Virtual cards & More wallets
According to a recent study on the payment attitudes of consumers in the euro area by the European Central Bank , consumers have all increased their preference towards contactless payments since the onset of the Covid-19 pandemic. Mobile payment options, such as digital wallets and apps, were also among the preferred payment methods discovered. Respondents cited “speed, convenience, and ease of use” as the top reasons they chose mobile payments. Between 2019 and 2022, “the share of mobile payments tripled from 3% to 10% and rose from 4% to 11% in value. The share of online payments in consumers’ non-recurring payments increased from 6% in 2019 to 17% in 2022”. Intending to always make the life of our clients more accessible, at Payconiq Luxembourg, we connect the digital and physical world with one in-store payment journey based on dynamic or static QR codes. We also help users get paid anywhere with simple payment requests via QR or messaging for fixed (set by the payee) or flexible (set by the payer) payment amounts. No need for a credit card anymore. As a user, you can just scan the Payconiq QR code, and it’s paid. Whether in a shop, restaurant, on an invoice or online, launch the Payconiq Luxembourg application, scan the QR code with the application, and validate the payment with your Face ID, fingerprint, or PIN code.
Topic 4: New Kid on the Block: SoftPoS and the easy QR code integration
The Software Point of Sale, or SoftPoS, is a revolutionary new technology that allows merchants to accept card payments directly on their phones or devices without additional software. This enables businesses to avoid the high costs of paying for Point of Sale (POS) terminals, meaning card readers. This trend is exciting, and there is a lot to look forward to with SoftPoS, notably for SMEs, as it could help them to grow their businesses and improve their offer. Furthermore, implementing the QR code for payments in the SoftPOS system is easy. For instance, Servipay, a payment solutions platform based in Luxembourg, has integrated Payconiq QR code payment on its PAX A920 terminal, which makes life easier for merchants.
Topic 5: Digitalisation of donation collections
Thanks to the Payconiq solution, donations for any charity can be made directly through the payment app by scanning a QR Code. As stated by Eric Anselin, Director of Île aux Clowns “The digitalization of the donation process is a real progress for our donors, as it allows them to express their generosity in a simple way”.
At Payconiq, the better we optimise the user experience of your payment flow, the more retention there will be. Betting on digitalising donations also means betting on increasing donations and greater generosity. Thanks to Payconiq’s expertise and QR code-based, easy-to-use, multi-channel solution, everyone can donate quickly and conveniently. Payconiq Luxembourg has developed a relationship of trust with many associations and ASBLs in Luxembourg, facilitating the collection of donations by providing a simple mobile solution via a QR code or link. Payconiq Luxembourg also offers associations multiple collection points and several QR codes at no extra cost. During the festive season in December 2022, Payconiq Luxembourg donated €1 to a charity for each payment made with Payconiq in shop. Last week, we were very happy at Payconiq Luxembourg to announce that we have been able to donate €12,168 to the associations Ile aux Clowns a.s.b.l. and Fondation Cancer Caritas Luxembourg.
The next one: Mobile banking application: a tool for winning new customers and building loyalty
The Software Point of Sale, or SoftPoS, is a revolutionary new technology that allows merchants to accept card payments directly on their phones or devices without additional software. This enables businesses to avoid the high costs of paying for Point of Sale (POS) terminals, meaning card readers. This trend is exciting, and there is a lot to look forward to with SoftPoS, notably for SMEs, as it could help them to grow their businesses and improve their offer. Furthermore, implementing the QR code for payments in the SoftPOS system is easy. For instance, ServiPay, a payment solutions platform based in Luxembourg, has integrated Payconiq QR code payment on its PAX A920 terminal, which makes life easier for merchants.