In this featured article, our Director of Market Engagement, Steve Gilde, comments on the impacts of COVID-19 on the payments industry and shares tips for organizations to survive the crisis and take advantage of future opportunities
The COVID-19 crisis will have a profound and long-term impact on people, processes and policies across the globe. The payments industry is already experiencing significant pandemic-related issues, with others sure to surface before we begin to recover. While the current level of uncertainty makes it impossible to predict what the “new normal” will be, we are starting to see indications of where the market is heading.
In addition to these consumer driven changes, there will likely be new legal and regulatory requirements for the payment industry. There is no question that payments are an “essential service” that must be preserved during an emergency, but we should expect regulators to demand that the industry enhance protection plans and protocols for consumers and employees, boost data privacy and security efforts, as well as increase Business Continuity Plan (BCP) rigor and testing.
In order to survive the current crisis and take advantage of future opportunities, the payments industry must evolve more rapidly. Some organizations have been better prepared than others to navigate through the COVID-19 emergency, but it seems certain that every financial services company will find gaps in their BCP that need to be addressed before “the next time.”