Lawrence Chan, vice president of Asia Pacific Merchants Services at PayPal, shares four e-payment trends that are shaping retail businesses and e-commerce today.
1. Omni-channel retail will create demand for digital marketing campaigns
Digital marketing will spearhead the O2O marketing mix for retail businesses.
"As the boundaries between online and offline become increasingly blurred, marketers will need to design strategies that take into account the growing trend of omni-channel retail businesses," Chan said.
"Marketers will need to create digital campaigns to attract this new pool of potential buyers while still encouraging them to make in-store purchases if that is beneficial to their business model."
2. Mobile commerce will become essential to survival
"If merchants are serious about surviving in the upcoming years, they are going to have to embrace mobile commerce," Chan said.
He suggests starting with small steps such as making platforms mobile-friendly and allowing users to pay on mobile.
3. Mobile wallets will personalise the in-store shopping experience
The future digital wallet can find deals and discounts for items on a personal list once the customer steps inside a store, minimising the chances of the customer missing a discount just because they didn't browse through a particular part of the store.
Customers would be also given more choice in terms of how they want to pay for something, after they have taken an item home.
Chan said, "The digital wallet of the future would offer customers a grace period during which they can switch funding sources, decide to pay over a period of time in installments or use different sources of value to pay by combining things like gift cards, airline miles or loyalty points."
4. Marketers will need to broaden their marketing strategy and campaigns beyond borders
E-commerce enables Asian businesses to extend their sales beyond the local customer base.
"This makes the job for marketers much harder if they are selling products to customers around the world, as shopping platforms need to be both universally accessible yet adaptable to a variety of languages and cultures," Chan said.