Why Financial Technology Is the Driving Force of eCommerce

Today, nearly 100% of retail transactions are eCommerce-focused. Retailers and merchants see this shift as a way to become more relevant to end customers, extend their brand appeal, and increase their online sales revenue. In order to stay competitive in the market and attract more eCommerce-focused shoppers, it’s crucial for retailers to use the most cutting-edge technologies to better serve these customers through their website(s).

The use of eCommerce software can help you streamline operations, offer a seamless shopping experience, and compete with your top competitors. Financial technology integration is one such digital innovation that can boost your eCommerce business. In this article, Fintech professional Ferhan Patel, explores why this digital innovation is so important for your eCommerce business and how you can integrate financial technology into your operations.

Fintech's role in making eCommerce different from traditional commerce

We’re living in an era where consumers are more focused on using technology than ever before. With the help of artificial intelligence and machine learning, digital technology is becoming more and more intuitive. This intuitive nature of digital technology makes it more appealing to consumers, who now expect seamless experiences with their devices and apps.

With the right digital strategy in place, retailers can create an appealing digital experience that allows customers to seamlessly find products, make purchases, and return products without any hassle. With the rise of eCommerce, retailers have been focusing on improving the online shopping experience. Fintech integration is one such digital innovation that can boost your eCommerce business. Below, Ferhan Patel explores why this digital innovation is so important for your eCommerce business and how you can integrate financial technology into your operations.

What do Fintech and eCommerce have in common?

Before we discuss how Fintech can benefit your eCommerce business, let’s explore what Fintech means. Fintech is a catchall term that encompasses both financial services and technology.

Financial technology is the use of advanced computer and telecommunication systems, including computer programming, to manage financial affairs, like banking, investment, and insurance, as well as to provide other services, like managing risk.

Fintech aims to solve the challenges of traditional financial services, like fending off fraud and ensuring data security. However, financial technology can do much more than address these challenges. For instance, it can also improve customer experience, increase operational efficiency, and enhance customer relationship management. With the rise of digital commerce, it’s essential for eCommerce businesses to integrate financial technology.

Why is Fintech essential for eCommerce?

As major eCommerce growth drivers, such as increasing customer engagement, marketing automation, and personalization, will be amplified by the integration of financial technology, it’s clear that Fintech has a huge role to play in the eCommerce sector. In fact, according to Canadian payment specialist Ferhan Patel, more than 58% of retailers are using Fintech to improve the customer-brand-merchandise experience. Although this was an established brand sector, the study also found that even mid-sized businesses are adopting these technologies as part of their eCommerce strategy. A key factor that has helped make these technologies more accessible is the widespread adoption of cloud-based technologies. With the rise of cloud-based technologies, such as software-as-a-service (SaaS) and subscription models, it’s become easier for retailers to manage their budgets and spend less on technology infrastructure.

Conclusion

Fintech has become an important part of eCommerce today because it is changing the way people engage with their finances and their brands. This technology is helping retailers create new ways for customers to engage with brands and gather data on their shopping habits. With the help of artificial intelligence and machine learning, digital technology is becoming more and more intuitive. This intuitive nature of digital technology makes it more appealing to consumers, who now expect seamless experiences with their devices and apps. Realizing the importance of integrating Fintech into your eCommerce strategy, more and more retailers are integrating this technology into their eCommerce platforms to provide a more seamless shopping experience for their customers.