Edgar & Dunn: Advanced Payments & Fintech Report 2025

Title of Report: Advanced Payments & Fintech Report 2025

Report Link: Report: Fintech & Advanced Payments Report 2025

Size of Report: 103 pages.  Published 31 Oct 2024

A large and comprehensive document crammed full of insights and graphics, tables etc highlighting the insight in the payments industry Edgar Dunn bring. The report is set out in a PowerPoint style, so it is easy to navigate through the large volume of slides.

Edgar Dunn covers 14 trends split across 3 broad areas being:

A. Emerging technologies:

1. Artificial intelligence (AI) role in revolutionising payments (pages 13 – 17) with Online marketplaces and gig economy platforms an example where they must adapt to evolving user needs to remain competitive,
2. Blockchains expanding influence (pages 18 – 23) is boosting security, efficiency, and inclusivity, while introducing new compliance and privacy challenges
3. the Internet of Things (IoT) (pages 24 – 30) is reaching widespread adoption and poised to revolutionize the payments ecosystem,
4. The Rise of Alternative Payment Methods (APMs) (pages 31 – 36) has changed the way we pay. Over the next four years, APMs will further solidify their dominance among e-commerce payment methods and become the leading payment method at in-store points of sale, representing 51% of global transaction values.
   o Regions differ: APAC boasts the highest mobile wallet penetration, accounting for 70% of the mobile wallet global transaction value.
   o Middle East and Africa region, mobile money stored value wallets like e& money, M-PESA, MTN MoMo, Orange Money are increasingly popular.
   o But overall globally the mobile wallet competitive landscape is highly fragmented.
5. Central Bank Digital Currencies (CBDCs) (pages 37 – 41) are being researched and piloted. The outcome has formed a divisive set of opinions are revolutionizing payment systems.

B. Financial services inclusion and innovations:

6. Accelerating growth of B2B payment (pages 43 – 50) to overhaul cross-border payments which face delays, high costs, and FX issues with traditional methods, driving a shift to faster, cost-effective fintech solutions.
7. Open banking use cases are well-advanced (pages 51 – 58) but are now evolving into broader Open Finance and Open Data initiatives where use cases are in early stages of development and adoption.
8. Consumer Digital banks (pages 59 – 65) gained market share by offering superior services, but now face the challenge of prioritizing profitability amid a tougher economic climate.
9. Digital P2P digital remittance revolution (Pages 66 – 70) is disrupting costs and transfer methods.
10. Expanding financial inclusion (pages 71 – 76) has surged due to the growing availability of innovative payment solutions that offer viable alternatives to traditional banking.
11. Insurtech companies (pages 77 – 81) are poised to disrupt the traditional insurance industry by leveraging advanced technologies and enhanced data analytics to optimize existing processes are expanding access to financial services for underserved populations and emerging markets.

C. Consumer trends:

12. Innovations in eCommerce and in-store POS payments (pages 83 – 88) as shopping and payment experiences rapidly evolve, retail businesses face the critical challenge of striking an optimal balance between continuously enhancing customer experience and maintaining operational efficiency.
13. Adapting to the Online marketplaces and gig economy (pages 89 – 94) platforms must adapt to the evolving needs of their users to remain competitive
14. Future of cash (pages 95 – 99) despite the decline in cash usage, various factors will likely prevent cash from becoming obsolete.

No major surprise. In Edgar Dunns survey 68% identified rising demand for instant payments as a key trend, while 61% highlighted the growing adoption of mobile payment solutions. This aligns with predictions digital wallet usage will surge, with 88% of professionals expecting increased demand over the next 1 to 3 years. With Instant payments (74%) and in-app payments (64%) forecast to see most growth. 

The APAC region will lead payment innovations for next 3-5 years, with 50% identifying it as the top region, followed by Europe at 23%. APAC’s dynamic growth is fuelled by advancements in mobile and instant payment solutions.

If you enjoyed the content and approach we have taken, here are 4 suggestions of how to engage for more:

1. Follow our Stanchion LinkedIn Page and join our engaged community.
2. Request a call with our author and Chief Growth Officer, Norman Frankel 
3. View our On-demand Webinar series on Payment Fabric and the research IDC did here, additionally we can send you two reports that summarise the output of the research IDC did covering 150 banks.
4. Drop us an email at engage@stanchionpayments.com with your thoughts, we would love to hear from you.

We wish you a successful 2025 delivering on your business priorities, remaining customer relevant, agile in your project change and avoid fraud from the rapidly growth in financial crime as instant real-time payments, QR code-initiated payment adoption and use of ever advancing AI tools continue to accelerate.