New Report, "The Remittance Revolution: How to Win in Cross-Border Money Movement," explores the future of the global remittance industry
17 October 2024 – Paymentology, the leading global issuer processor, today announces the launch of its latest industry report, The Remittance Revolution: How to Win in Cross-Border Money Movement, developed in collaboration with renowned financial consultancy Fincog.
The remittance industry, which facilitates the transfer of funds between countries, is currently undergoing a transformation. Traditional banks and money transfer operators, once dominant players, are now losing market share to agile global fintechs, local remittance providers, superapps, and even non-financial firms such as retailers and telecommunications companies. Despite the downward pressure on fees, the overall global remittance industry continues to grow. Long-term growth projections vary, but estimates suggest the industry could be worth as much as $1.3 trillion by 2032.
The report provides a comprehensive analysis of the disruption facing the remittance industry and offers insights for firms on how to thrive in this rapidly changing environment.
Key findings of the report include:
- The evolution of the traditional remittance business model, with firms moving beyond simple money transfers to offer a broader suite of products and services.
- The intensifying competition, leading to a “race to the bottom” in cross-border transfer fees, driving remittance firms to enhance customer loyalty through more integrated and "sticky" services.
- A deep dive into the strategies remittance organisations are deploying to meet the changing needs of customers, including the introduction of shopping-related services, discounts on local events, and other non-financial products.
Anna Porra, Chief Revenue Officer at Paymentology: "The global remittance market is at a pivotal point, facing both challenges and opportunities as never before. With rising competition and new entrants, remittance firms must adapt by offering more comprehensive services to deepen customer relationships and remain competitive. Our collaboration with Fincog on this report aims to help organisations navigate this complex environment and secure their position as market leaders in the years to come."
The Remittance Revolution report highlights how the industry will evolve by 2030, with cross-border money transfers becoming part of a larger, more holistic suite of offerings. These will include non-financial products, services, and benefits, such as loyalty programmes and discounts, allowing organisations to stay competitive in an increasingly fragmented market.
To download the report, visit: https://www.paymentology.com/report/the-remittance-revolution
