Global Fintech Adoption Index Up with Open Finance
EY and Data.ai have released a fintech adoption index every year for the past years. Payment is one of the ASEAN market's most widely used fintech services. Approximately 75% of consumers use at least one service in this category. Consumers prefer fintech payment services because the registration process is much easier than opening a bank account.
For businesses, providing a variety of payment methods also has its own set of benefits. They can access many products and services to improve customer satisfaction. When customer satisfaction increases, it will generally be followed by even better revenue.
The service level in financial service industry must be considered if it wants to continue to be used by the users. This research studies the adoption of Financial Technology (FinTech) services in the terms of trust and risk. The work employs the Technology Acceptance Model (TAM) theory as the theoretical basis combined with trust and perceived risk.
The Fintech sector has seen a significant investment inflow of $10Bn since it started in 2016. This has the potential to greatly improve customer experience and give a boost to the sector. Asean provides one of the largest Startup ecosystem and has been the perfect environment for growth and developments, holding huge potential to bring investments into the region.
When the global pandemic struck in 2020, the adoption of Fintech solutions accelerated even more than before. During the pandemic, Fintech helped businesses and users to rapidly adopt digital payments, money transfer, P2P lending and various types of other fintech products. Pushing the growth of an already rapidly growing financial industry into high gear.
Ayoconnect provides several solutions to small and medium enterprises in gaining more out of their payment services. Here are some of them:
1. Recurring Payment Management Enjoys High Adoption Rate
A recurring payment is a transaction model in which the customer authorizes the seller to withdraw funds from their account (via a debit or credit card account) automatically and regularly at a predetermined time.
Ayoconnect provides Recurring Payment Management solutions to help businesses manage recurring customer payments through the following three services:
- Receivable API
Through a national online and offline payment network, your customers can pay their recurring bills through millions of payment points in a network of retail stores, kiosks, and e-commerce platforms, to digital wallet users throughout Indonesia through Ayoconnect's Receivable API.
- Auto billing
Billing APIs from Ayoconnect connect your business with billing companies (such as PLN, PDAM, cellular operators, financial service institutions, and so on). This applies to online consumer platforms (e-commerce, digital wallets, and mobile applications) and offline (retail franchises, warungs, PPOB) in an integrated ecosystem.
Currently, Ayoconnect's Billing APIs consist of Transaction API and Payment Point API solutions. You can also manage and automate recurring bill payment transactions.
- Digital Products API
Ayoconnect's Digital Products API solution opens access to digital products such as credit, data plans, electricity tokens, water bills, e-money top-ups, game and streaming vouchers, credit card payments, and multi-finance credit. This solution helps online and offline consumer platforms build sales services for various needs. Building online and offline bill payment features will help maximize business profits while increasing your customer loyalty.
2. Direct Debit Lead the Fintech Adoption Index
Then there is the Direct Debit solution, an electronic payment method that connects the customer's debit card as a source of payment funds. Why should you choose the Direct Debit solution from Ayoconnect?
- Widest network
Ayoconnect Direct Debit API connects directly to eight local banks in a single integration, increasing your company's reach while providing customers with more payment options. They include BRI, Bank Mandiri, CIMB Niaga, BNI, Danamon, Bank Syariah Indonesia, Bank Neo Commerce, and NOBU Bank.
- Instant transaction
A direct Debit solution provides customers with a safe and simple payment method. Give your customers the most convenient payment method so they can easily pay and shop.
- Account Opening
For those who develop financial service platforms such as digital loans, it is critical to understand customer data for credit risk assessment purposes. Traditional KYC (Know Your Customer) methods can be time-consuming and inefficient for platforms that are just getting started. This is where Ayoconnect's Account Opening solution helps you.
- Identity Verification API
The Identity Verification API will help you perform secure and standard KYC procedures. This Open Finance-based API will examine your prospective customers' identity information and verify transactions. Build your customers' profile more accurately through national ID (NIK) verification, telecommunication transaction activities, and bank account ownership.
- Income Verification API
Identity alone is not enough to accurately assess your customer's credit risk. For this reason, Ayoconnect offers a solution in the form of an Income Verification API. This API lets you get information about your customer's source income amounts.
Ayoconnect payment services solutions are designed to help businesses move forward by accelerating business growth, improving customer retention, and increasing revenue through technology-based solutions that can be tailored to each company's specific needs.
Ayoconnect connects over 1,000 Indonesian businesses to a centralized Open API ecosystem that connects online and offline retail businesses with financial service providers.