By Gigi Lai, Stephen Klaus, Roxana-Maria Cosmaciuc
What’s happening: Mastercard is publishing a white paper examining the appeal of real time payments particularly push to card solution, and recommendations for ways to drive adoption based on a 1,200 sample survey results.
Why it matters: The dynamic landscape of work, commerce, and technology is rapidly evolving, presenting opportunities for push-to-card solutions to revolutionize how individuals pay and get paid. This shift has spurred a considerable increase in demand for faster payments, contributing to the rapid growth of real-time payments (RTP) worldwide. However, the United States trails behind in adoption, with RTP transactions making up just 1.5% of total payments volume in 2023. Modernizing payment methods to align with user expectations is becoming increasingly crucial for business operations.
The big picture: This white paper examines the varying adoption rates of push-to-card solutions among different types of employees and demonstrates the distinct requirements across these segments for faster payments. It offers strategies for optimizing the proposition and pricing to boost adoption and highlights the necessity for businesses to enhance the financial resilience of their workers by providing instant payment solutions.
Key Points:
- The US lags in real-time account-to-account payments adoption, with RTP transactions comprising only 1.5% of the total payments volume in 2023.
- Mastercard is leveraging its expertise to offer instant payment solutions like push-to-card to support financial resilience.
- Based on a 1,200 respondent survey, Mastercard offers recommendations regarding solution positioning and end user pricing for a push to card solution
End users are price sensitive. Businesses should price solution accordingly to optimize adoption.