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HOW TO BECOME A FINANCIAL WRITER?

In finance, securities professionals are responsible for managing money, investments, and other financial instruments. But on the publishing side, there is a group of writers and reporters who are tasked with creating content that provides information about and analyzes financial markets, the economy, and all things money-related. 

KEY TAKEAWAYS

  • Unlike other careers, there is no clearly defined path to becoming a financial writer.
  • Attention to detail, especially numbers, is a must-have attribute.
  • There are many different aspects to financial writing, and budding writers might want to focus on one area, such as cryptocurrency or quarterly earnings reports.
  • Financial writing can be derivative and as such requires many citations.
  • Experience writing, especially in a related industry, is a good way to get a foot in the door.

What a Financial Writer Does

Before we delve into the necessary educational qualifications and skill set, it is important to define exactly what a financial writer does. As the name entails, a financial writer creates educational content and market commentary for digital and print publications.

Commentary pieces, social media posts, and blog posts often allow the writer to provide their personal opinion on recent business news or corporate governance issues, such as earnings releases or trends in executive compensation. Educational content can range from articles on various financial topics to comprehensive learning guides, or textbooks that might become assigned reading for students in a college course.

Several financial publishers might hire writers as employees who work on-site; however, in other cases, the writer will work in a freelance capacity and submit their work over the internet. Unlike some other jobs on Wall Street (and throughout corporate America), it is not necessarily a clock-punching “nine-to-five” position. It’s not uncommon for writers to toil at their laptops until all hours of the night, or on weekends, as necessary.

Becoming a Financial Writer

The path to becoming a financial writer is not always as clear as, say, the path to becoming an investment banker. There is a degree of finesse involved that you might not be able to learn in school and attention to detail is more stringent than in other industries. Let’s take a look at some of the qualifications.

Education

Unlike most other careers in finance, there are no set rules regarding education. Publications tend to vary a bit in their preferences. However, it seems that most financial writers have earned a four-year college degree, and have either majored in a business-related discipline, journalism, or digital media. Many have also taken classes—whether through a traditional school or online training provider—or attended seminars/conferences to help them develop their writing skills further.

Are master’s degrees necessary? In most cases, the answer is no. However, earning a master’s degree in management, finance, economics, or journalism can help set an individual apart, allowing them to negotiate for higher pay at some of the more high-profile publications.

Experience

If you take a look at the various profiles of financial writers available online, you will notice that some financial writers have had prior experience in the securities industry. More specifically, they may have previously worked in some capacity as either a retail or institutional stockbroker, an analyst, or a portfolio manager. This may include experience on both the buy-side and the sell-side of investing. Others may have previously worked for well-known financial media companies in the past either as junior writers, editors, reporters, or producers.

Why is this type of background so common? It’s simple. Individuals with this type of experience are more likely to have contacts and sources within the securities industry (which helps them to come up with article ideas). And, because they are better able to interpret financial news than those without a background in finance.

To be clear, an individual who does not have experience in the securities industry or journalism can still become a financial writer. However, getting hired, producing content, and developing a loyal following is generally much harder for those without this experience. Overall, financial writers can produce pieces faster (and more effectively) when they can draw from personal experience and education. A financial writer without these qualifications will have to perform extensive research and, in some cases, interviews with individuals in the industry to produce a piece of the same quality.

The Skills a Financial Writer Needs

A financial writer must be able to generate clear, coherent copy and ask probing questions much like an investigative journalist. The position also demands a person who can make intricate financial transactions and terminology easy to understand for the layperson.

There are other characteristics that every successful financial writer must have, as well. For example, writers must be able to dissect recent news stories for inspiration for an article topic or have the ability to produce a timely commentary piece within a matter of hours (or even minutes) from a news release. It also requires a person with creativity, as the individual must be able to develop content that is both appealing to the masses, and also built in a way that optimizes its findability in search and social channels.

Finally, the writer must be able to tailor their style so that it is consistent with the medium in which they operate. In other words, the writer must be able to adapt the style of writing to web, social, or print as necessary.

Note that print publications typically demand content that contains extensive quotations from industry sources and can vary in length from 1,000 to several thousand words, while web content is generally in the range of 400 to 2,000 words and typically has a more conversational style. Social content can be even shorter and may place a greater emphasis on the creation of accompanying visual media.

Determining a Career Path

Ideally, the earlier you can make the decision to become a financial writer, the better. As mentioned above, it is wise to take courses or major in business or journalism during college. Also, an individual coming out of college should be able to work in some capacity within the securities industry. This hands-on experience will help prospective financial writers understand and interpret financial news later in their careers.

Alternatively, a college graduate could work to secure a position at a financial news or content publisher where their “beat” includes covering the equity markets or even cryptocurrency. This position would be valuable as it would help the individual perfect their writing skills, as well as improve knowledge of the securities industry and the financial markets.

Finally, some financial writers can succeed in this career with only industry experience. Especially in cases where their financial career involved extensive research and written reports on various companies, or face-to-face interaction with clients when advising on their investment portfolios (which often involves breaking a process into laymen’s terms).

What Is a Financial Editor?

A financial editor is someone who checks the work of financial writers. This can be done to ensure that all facts are correct and that the written piece follows the editorial guidelines of that specific publication. Editorial roles are usually managerial, but not always.

How Do I Become a Financial Copywriter?

Becoming a financial copywriter is a bit different than becoming simple a financial writer. To be a financial copywriter, you would need to have either a marketing degree or a background in writing consumer-facing marketing materials.

Is There a Lot of Writing in Finance?

Financial writing can be text-heavy, but it is different from other writing jobs because it requires a great deal of research and understanding of complex concepts. A good amount of a financial writer’s time can be spent doing research and making calculations, even before they begin writing.

The Bottom Line

Regardless of the initial job one chooses right out of school, it is necessary to gain experience writing market commentary or formal research reports before pursuing a career as a full-time financial writer. Finding a company that will help hone your writing skills and improve what you know about how capital markets work, is a good place to start.

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thefintech.info

WHAT DOES FINTECH MEAN? USES AND EXAMPLES

What Does Fintech Mean?

FinTech, or financial technology, is a term used to describe any new technology that aims to improve and automate the use and delivery of financial services. It helps both businesses and consumers better manage their financial processes with the use of specialized software and algorithms used on smartphones and computers.

When the term was first used, it referred to the technology banks and other financial institutions used in their back-end systems, but over time, its meaning has shifted to consumer-oriented services. As such, the definition has also shifted toward consumers.

Fintech now includes retail banking, education, investment management, fundraising and non-profit, and more. What most people are familiar with in fintech though, is the development and use of cryptocurrencies like Bitcoin, Litecoin, and Ethereum, to name a few.

In broad terms, Fintech describes any company that uses the internet, cloud services, mobile devices, or software technology to either connect with financial services or to use them. That money you send to your friend on Venmo for the coffee? Fintech. That PayPal payment you sent for the new shoes you ordered? Fintech. That online-only bank? Fintech. Those fractional stocks do you buy on the market with a smartphone app like Public or Stockpile? Yep. Fintech.

There are nearly 2 billion people across the globe that don’t have bank accounts. And for them, fintech makes it easy to participate in financial services without relying on traditional brick and mortar institutions. With mobile banking, people can use a debit card and ATM, never needing to set foot in a branch. It’s even possible to get credit cards without relying on the traditional banking approach.

Fintech Examples

Blockchain and Cryptocurrency

Thanks to cryptocurrency exchanges like Coinbase, users can buy and sell cryptocurrency. But, the blockchain does more than that. With services like BlockVerify, data stays on the blockchain and ultimately reduces fraud. It’s true, that there’s still some controversy around the blockchain, but it’s grabbed the attention of the investment world.

Open Banking

This concept is highly disruptive to the banking industry. It relies on the blockchain and suggests that third parties have access to bank data to build applications that create a connected network of third-party providers and financial institutions.

Mobile Payments

Want to split the cost of lunch with your friend, without asking servers to split the ticket? Want to pay for something in-store, but realize you left your wallet at home? Apps like Venmo, PayPal, and CashApp make it possible to send money to your friends and family with your phone. Facebook and Google have joined in, making it possible for you to send money in email and private messages. In the store, you’ll need something like Samsung Pay or Apple Pay, where your card is stored on the platform.

The money transfer takes place immediately in many cases, unlike needing to wait several days for a check to clear.

Crowdfunding

Want to start a business? Can’t qualify for a traditional bank loan? No problem! Crowdfunding makes it possible to go straight to your potential customers to invest their support in your company or project. Over the years, crowdfunding has expanded beyond financing businesses and projects, to fundraise for worthy causes and help people cover unexpected medical expenses. Where Kickstarter and Indiegogo once cornered the market, many other platforms have popped onto the scene, and we expect other platforms to continue to pop up for a while.

Peer-to-peer lending platforms like LendingClub, allow people to finance loans to other users, and earn a return on their investment when the loan is repaid.

Stock-Trading

In today’s world, you don’t have to have a large amount of money to start in the stock market. Thanks to apps like Robinhood, Stash, Acorns, and Public, you can invest as little as $5 at a time. With some business models, the robots handle trading for you, but with others, you choose the companies you want to invest in, and how much you want to spend.

With Acorns or Betterment, for instance, you can choose the type of portfolio you want, but you don’t have the control to pick and choose the stocks you want to invest in, because it’s Robo investing, using artificial intelligence, or Robo-advisors, to handle your trades to build wealth in your account. Pubic, on the other hand, lets you choose your stocks, and provides information about what Wall Street thinks about each of them. Fees vary from one app to another but make it more affordable to trade.

Online Financing

For people who do not have or do not want credit cards, but want the freedom and flexibility to make purchases online and pay for them over time, companies like Affirm, Klarna, and Sezzle are there. Depending on the size and nature of the purchase, interest-free options may be available. But, for consumers with little to no credit, the high rates with Affirm still provide a way for customers to secure credit and build their credit history. For e-commerce businesses, offering the ability to pay for orders in installments helps attract customers.

But beyond ecommerce, mortgages are changing shape, too. Better Mortgage aims to streamline the mortgage process and bypass brokers. They give you a digital-only offering, providing a verified pre-approval letter within 24 hours of applying.

Tala focuses on consumers in the developing world with microloans. They do this with a deep data dig on their smartphone to learn more about their transaction history and the types of games they play. Consumers get better options than local banks and unregulated lenders.

Insurance

Fintech has disrupted the insurance industry, to the point where some have even started using the term “insurtech”. You can use Fintech to handle anything from car insurance to home insurance.

The old approach to insurance involves using actuary tables to assign each consumer to a risk level, lumping customers together to ensure the policies are profitable for the company. This means some people end up paying more than they should be based on the level of data they use to group people.

Insurtech makes use of GPS tracking of cars, wearable activity trackers, and other ways to track your car’s data – such as your average speed, braking patterns, and more. Ultimately, this allows insurance companies to build more clearly delineated groups of risks, which allow for products to be more competitively priced.

In recent years, fintech startups, specifically targeting the insurance industry, have begun experimenting with using AI and machine learning to find the right mix of policies for individualized coverage. Though not a reality yet, there’s interest in using apps to pull parts of policies into one to create on-demand insurance for micro-events like borrowing a friend’s car. There’s also the possibility of adopting a peer-to-peer business model to create customized group coverage and encourage people to make good choices with group rebates.

Budgeting

Keeping track of finances is important for everyone, but not a practice many people followed before new technology stepped in. In the past, you had to create your budgets, which involved gathering checks and bank statements and navigating spreadsheets.

Fintech services like Mint and TruBill make it possible for consumers to track income, monthly payments, expenses, and more, all with their mobile devices. It helps consumers make smarter decisions, while still protecting their financial data.

Credit Reporting and Monitoring

Knowing and monitoring your credit score is important, whether you’re in the market for a new car or home or not. The financial services industry has changed as a result of services like Credit Karma and Credit Sesame. They allow consumers to keep a close eye on their credit score with monthly updates (and the option to pay for more frequent updates) so they can track their progress when it comes to paying off debt. They can also use optional add-on data protection services to keep their credit from being harmed as a result of fraud. Users get alerts when a new credit card or loan is reported on their profile. Credit card companies are now offering free credit scores every month, too, to remain competitive.

Fintech and B2B

Before fintech firms came to the scene, businesses would have to go to banks and obtain financing. Thanks to fintech products, however, businesses can access a slew of financial services through mobile technology.

Cloud-based platforms, like PLANERGY, and customer relationship platforms like Salesforce provide services that make it possible for businesses to interact with their financial data to improve their services.

For instance, using PLANERGY to address your procure-to-pay process, you can track spending in several ways. It’s possible to see which departments are spending the most money, which vendors you’re spending the most money with, and more. The cloud-based nature ensures the information is current and always up to date. Using automation technology, you can eliminate several paper-based and manual processes to save time and money, and reduce errors. This in and of itself helps save money.

The Future of Fintech

In 2016, Fintech startups received $17.4 billion in funding. Data shows that 26 fintech unicorns, located all over the world, were valued at $83.8 billion. Updated for the end of 2018, that same research firm found 39 venture capital-backed financial technology companies worth $147.37 billion.

It’s clear consumers want it, and that businesses can benefit from it. Failure to adapt to the emerging technology will put you behind the competition.

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thefintech.info

FINTECH IS THE FUTURE, BUT ACCOUNTANCY & FINANCE PROFESSIONALS ARE NEEDED ‘MORE THAN EVER’

Fintech (financial technology) is a thriving and diverse sector covering a range of areas such as online or neobanks, payment systems, payment gateways/application programming interfaces (APIs), investment banking back-end infrastructure, insurtech, wealthtech, and regtech. It also covers more cutting-edge areas like central bank digital currencies, cryptocurrencies, and non-fungible tokens.

However, the report, Fintech state-of-play: opportunities for finance professionals, also reveals challenges around cyber security risks, emerging standards, and regulations around this new frontier, and provides recommendations to address them. 

ACCA and CA ANZ polled some 5,700 of their members, with 50 percent seeing career opportunities for themselves in fintech, while 14 percent do not. The remainder either don’t know (10 percent) or are undecided (26 percent), perhaps keeping future possibilities open. 

When asked about cyber security risks linked to fintech adoption, 83 percent say they are concerned given the data-driven nature of fintech and the need for it to gain the trust of governments, businesses, and the public.

Respondents are also keen to see government interventions to support fintech adoption, including building links internationally to learn best practices (86 percent) and working with education partners to improve skills and training in fintech (85 percent). 

The report reveals ten different job roles for accountancy and finance professionals within the fintech and illustrates how their contributions and skillsets add value to the organizations that they work with or represent. The case studies span a rich seam of experience from CFOs and auditors to digital transformation experts and entrepreneurs. 

To help them do this, the report recommends that accountancy and finance professionals:

  • Build awareness of the products and services within the fintech landscape globally and the competitive dynamics that will shape it looking ahead. This is a multi-dimensional sector with both business-to-consumer (B2C) and business-to-business (B2B) propositions.
  • Understand the regulatory considerations pertinent to the areas of fintech they’re exploring. In many instances (particularly for emerging areas like cryptocurrencies) there is a need for those who can help to shape the standards and regulatory treatment.
  • Reinforce an innovation and purpose-driven mindset. Fintech is extremely fast-paced and dynamic, and benefits from individuals who are excited about new ideas that can drive sustainable value; and who can pivot fast to changing business requirements

To provide an enabling environment for this to happen, the report further recommends the following to governments and regulators:

  • Collaborate and explore opportunities for common principles to underpin a multi-jurisdiction approach to fintech regulation. There are precedents, such as the EU’s General Data Protection Regulation (GDPR) covering all EU member states. An international regulatory sandbox should be considered to explore minimum global standards for Fintech regulation. Developing labs/sandboxes to support innovation was supported by three-quarters of the accountancy and finance professionals globally who fed into this research.
  • Prioritize secure data management and cybersecurity at the heart of frameworks for government and regulatory approval given the concerns highlighted. There could be various ways to drive public confidence in this regard such as government-backed certification schemes for fintech services and products – particularly those that are B2C to protect end-users. 
  • Governments should also incentivize fintech innovation and growth. Fintech is an industry that attracts talented people and helps to develop high-skill jobs. It aligns with government and privately funded research programs, such as those led by major universities. And technology developed for Fintech can catalyze other sectors, such as health.
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thefintech.info

FIVE LESSONS THAT BANKS CAN LEARN FROM AMAZON

It would come as no surprise if internet retailer Amazon announced it was taking over the world tomorrow. There seems to be very little that it can’t offer customers, whether it’s conquering Christmas lists, watching boxsets through Prime, or managing life admin through the intelligent personal assistant Alexa, almost everyone uses one or more Amazon services regularly.

One common denominator that defines Amazon’s success across all of its platforms is customer experience – providing simple, convenient, and engaging solutions that go that extra mile to ‘wow’ customers and retain their loyalty.

Banks, however traditional or modern, can take a leaf out of Amazon’s book when it comes to engaging with customers and harnessing innovation to continuously improve their offering.

Here are five important lessons banks can learn from Amazon.

  • The customer always comes first

Listening to what the customer wants has been the driving force behind many of Amazon’s products and developments. McKinsey’s CEO guide to customer experience advises that the strategy “begins with considering the customer – not the organization – at the center of the exercise”.

This can often be quite a challenging ethos for the banking sector to buy into, particularly for the more traditional bricks-and-mortar companies where the focus is often on the results of a new initiative, rather than the journey the company must take its customers on to get there.

It’s a case of convincing senior management that the initiative is a risk worth taking and just requires some patience. Amazon originally launched Prime as an experiment to gauge customers’ reactions to ‘Super Saver Shipping’ and it was predicted to flop. Nowadays it’s one of the world’s most popular membership programs, generating $3.2bn (£2.3bn) in revenue in 2017, up 47 percent from 2016.

  • Create trends rather than follow them

To stay ahead of the curve amidst the flurry of digital fintech start-ups, banks need to come up with their own innovative customer experience solutions, rather than allow newcomers to do so first and then follow suit.

From the customer’s perspective, a proactive approach will always go down better than a reactive one. Amazon CEO Jeff Bezos has previously spoken about tech companies obsessing over their competitors and waiting for them to launch something new so that they can ‘one-up’ it. He once wrote: “Many companies describe themselves as customer-focused, but few walk the walk. Most big technology companies are competitor-focused. They see what others are doing, and then work to fast follow.”

What sets Amazon apart is listening to what the customer wants and prioritizing them over competitors.

A great example in the banking sector is mobile-only bank Starling, which recently announced partnerships with several financial service providers that customers can quickly access via its in-app ‘Marketplace’. The first to become available is PensionBee, a digital pension provider that aims to consolidate pension pots into one. Others, including a digital mortgage broker and a digital wealth management service, are soon to follow.

Ultimately, Starling listened to and understood its digitally-minded customer base who, like most people, see shopping around for financial providers as complicated and admin-heavy. One central app where you can seamlessly select a trusted digital partner would no doubt go down as a good customer experience.

  • Use customer data to form any new idea

It’s no secret that Amazon is one of the leaders that has paved the way for analytics. It’s through the company recognizing the need for them which has led to customers becoming accustomed to personalization and expect it as soon as they have had their first interaction with a business.

Banks are no exception to this and, while it may seem like a scary commitment to more traditional firms, it doesn’t have to be complicated. A classic, simple example is Amazon storing customers’ shopping habits and sending them prompts for new products similar or related to those they have purchased in the past.

In the financial world, digital bank Monzo is leading the charge by monitoring customers’ spending habits to offer them financial advice to help them save money and budget responsibly. For example, its data once showed that 30,000 of its customers were using their debit cards to pay for transport in London – so Monzo can advise them they could save money if they invested in a year-long travel card, for instance.

There are endless things banks can do using customer data to provide the customer with an experience unique to them, rather than continuing to make them feel like just another cog in the wheel. At Affinion, we believe in ‘hyper-personalization’, in that these days it’s no longer good enough to just know a customer’s history of transactions with a company and when their birthday is.

Customers are getting more tech-savvy by the day and are expecting real-time responses with a deep insight into their interactional behavior – they won’t remain engaged if follow-up contact is irrelevant and untargeted. Customer engagement has moved on from companies communicating to the masses, it’s about creating tailored, intuitive relationships with them on an individual basis.

  • Widen the offering beyond traditional banking

The way we live as a society is forever changing and, as we get busier and busier, any small gesture to make life that little bit easier goes a long way. The consolidation of services such as banking, insurance, mobile phone networks, utilities, and shopping is a great way to ensure customers remain loyal to a brand as it will – if done right – add value and reduce hassle to their lives.

As an expert at disrupting industries, Amazon has taken note of this growing need for convenience over the years and has expanded its offering for customers, allowing them to carry out multiple day-to-day tasks with one account. In the last few months alone, Amazon has hinted that it may acquire a bank to break into the financial industry and potentially start its own healthcare company.

Regardless of size, banks should always be looking for new areas they could tap into to broaden their offering and show customers that their needs are in front of their minds.

  • Engage with customers through goodwill

A rising factor in the way that customers align themselves with a brand is its stance on ethical issues and its contributions back to society. It’s a shift that seems to be most prominent with Generation Y, as the Chartered Institute of Marketing found that 81 percent of millennials expect companies to make a public commitment to good corporate citizenship and nine in 10 would switch brands to one associated with a good cause.

Amazon has gone that one step further, with its AmazonSmile initiative that allows the customer to choose a charitable organization that will donate 0.5 percent of eligible purchases. Not only does this show Amazon’s commitment to charitable causes, but it also gives the customers control of where their money ends up.

This is an easy win for the banking sector, given that one of its sole purposes is to look after money and move it around. For firms that target younger generations in particular, looking at ways to involve customers in charitable donations in a fun, transparent, and seamless way is a no-brainer for increasing loyalty and advocacy.

It’s time banks took customer engagement even more seriously

For many people, personal finance is perceived as a chore and often quite complicated. Improving the customer experience and building programs to engage them can help greatly with this and banks need to adopt the ‘customer first’ ethos that Amazon showcases so effortlessly. With new fintech disruptors creeping into view, keeping customers loyal and engaged has never been so important.

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thefintech.info

5 FINTECH TWEETS YOU SHOULD SEE!

FinTechs, like any other company, are now embracing social media to tell their stories, engage with their consumers, and leverage influence. Additionally, the data and insights collected from social media platforms, in this case, tweets, can help FinTech companies analyze consumer behavior and preferences, the most critical factor in present times.

Financial institutions have also begun to recognize the opportunities provided by social media in catering to the present generation. With the ever-evolving digital landscape, it has become imperative for banks to offer services that cater to the changing channels of interaction, especially social media.

On that note, here are 5 tweets that Financial Technology enthusiasts should see:

@DanielCGlazer

Congratulations to London-based Paddle on its acquisition of US-based ProfitWell, the leading provider of subscription metrics and retention software!

Recently, IBS Intelligence reported that Paddle, the complete payments infrastructure for SaaS companies, announces it has acquired ProfitWell, the leading subscription metrics, and retention automation software provider. The deal valued at over $200 million in cash and equity is the next step in Paddle’s mission to remove the barriers to growth for SaaS companies worldwide.

@TonyFintech

We go from farms to pharma as Viola Credit, @stableprice, @uMotif, and Crowd Data Systems have nabbed tech funding.

IBS Intelligence also reported that Viola Credit, a global alternative credit asset manager providing customized credit solutions to technology companies and FinTech lenders, announced the final closing of the Viola Credit Alternative Lending Income Fund II (ALF II) with $700 million of investable capital including its flagship fund and related managed accounts.

@Fintechnexus

Over the past few weeks, we’ve been dropping some (not so subtle) hints that brand evolution was coming. We’ve grown our team, our footprint & our subject matter tremendously & it is time to step into a name & brand that reflects our mission. #fintechnexus

Recently, IBS Intelligence reported that following the earliest trickles of innovative startups, a roaring downpour of new ideas led to a tidal wave of change in the fin world. LendIt Fintech is now Fintech Nexus to connect traditional finance and the new roaring ’20s of financial tech.

@boncryp

#Georgian Prime Minister Irakli Garibashvili has offered the CEO of #Ripple, to consider launching a company service center in Georgia, with the offer made at a meeting as part of the World Economic Forum in Davos on Monday.

#XRPCommunity #IOV

@PaymentGal

Behavioral economics reaches deeper into #payments as younger start-ups aim to solve problems of younger consumers #Debbie #fintech

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WHY COMPLEX CROSS-BORDER PAYMENTS NEED SIMPLE UX DESIGN

The global ecommerce market for merchants promises so many opportunities, but with such fierce competition and consumers getting more demanding than ever, the challenges of trying to increase cross-border sales are only getting harder. It’s hard enough to drag down the cart abandonment rate for domestic customers, never mind those in other markets.

So much work goes on in the background to ensure fast checkout processes are in place. Sure, merchants should add as many payment methods as they can, more foreign currencies, and fine-tune their payment funnel to reach more international customers. These are obvious problems with readily-available solutions.

But what persuades online customers to hit the ‘pay’ button? Is it having the biggest product range at rock-bottom prices? Or the most attention-grabbing advertising campaign? No, what’s most important to customers – and merchants – is making complicated payment processes as simple and as easy to use as possible. And UX design is the number-one success factor for merchants looking to attract customers beyond their borders.

Improving the customer payment experience with intuitive UX design will be the key to unlocking international ecommerce sales for merchants, with sales set to reach $1.2 trillion just in 2022 alone.

The best UX design puts customers first

No merchant sets out to make it difficult for customers to buy online, but surprisingly many merchants mistakenly think that their ecommerce site needs to be crammed with as many interactive icons, banners, and images that can fit onto the screen to tempt consumers to buy.

The opposite is true. As cross-border payments get more complicated, merchants need payment gateways and platforms that are easy to use and simple for them and their customers to navigate. Once merchants can understand how their checkouts handle payments, they’ll be able to give their customers the best experience possible. 

Too often, merchants forget to see things through the eyes of their customers. What do customers see when they first enter the merchant’s site, and how easy is it for them to find what they’re looking for? Can they pay using their preferred payment method, in a checkout process with clear steps to follow? 

Understandably, merchants get so laser-focused on selling that they forget a simple truth – customers want the checkout process to be as clear, as quick, and as simple as possible. Don’t over-complicate the payment journey. Investing in intuitive UX design, whether on the front-end or back-end, as soon as possible, pays off massively for merchants in the long run.

The steps to smoother customer journeys

The best UX design looks at the number of interactions between a customer and a merchant interface, how many steps they take to log in, browse and buy products, and shortens the gaps to make the payment journey as smooth and as frictionless as it can be. 

Smoother customer journeys are created when merchants know how their customers find them, how they move through their website, and what entices them to complete transactions. With the right payment gateway harnessing data in a simple-to-use portal, these UX insights provide merchants with the priceless insights they need to strengthen their marketing strategies, speed up customer onboarding, and delight customers with uniquely-tailored incentives that will keep them coming back for more.

Simple UX design takes the complexities out of cross-border payment processing. But it can be a daunting task for merchants which don’t have the time, money, or in-house skills to optimize their checkouts themselves. That’s why making use of all-in-one platforms that are simple to navigate, with clear language and 24/7 help on hand if needed, is the quickest and most cost-effective way of tapping into cross-border ecommerce.

The UX-first approach will cut through the competition

As digital payments get more complex, UX design is the key to making them as simple as possible for merchants and their customers. When payments are as simple and as quick as moving a fingertip, the future of cross-border transaction flows looks exciting, to say the least.

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