Trailblazers, Trend-Setters Drive Financial Inclusion

Q: What key solutions does Unlimit provide for e-commerce, and how do these solutions set the company apart from its competitors?

A: Unlimit distinguishes itself from its competitors through its payment-centric DNA and unique approach, encapsulated by borderless payments. We eliminate financial borders and enable businesses to operate both locally and internationally with ease across Europe, the UK, LatAm, APAC, and Africa. We are committed to empowering businesses, including those in Mexico, to seamlessly accept payments from around the world, irrespective of the payment method.

Unlimit offers a more flexible and accommodating platform for various business segments and their needs. One of our standout features is our own acquiring license and direct integration with payment methods. This empowers us to streamline the processing of a diverse range of payment methods directly, eliminating the need for intermediaries and ensuring efficiency. This flexibility ensures that businesses in Mexico can effectively cater to the payment preferences of their customers, ultimately boosting their overall success.

Q: What are the main challenges users face when trying to make payments? How does Unlimit solve these problems?

A: One of the primary challenges users encounter is the limited availability of suitable payment methods, compounded by the high number of underbanked individuals in Mexico. Most users are constrained to credit or debit cards. Mexico has about 70 million debit cards and 30 million credit cards but according to the Mexican Banking Association (ABM) 53% of adults in the country lack a bank account, and 7 out of 10 do not have access to credit in 2021. This situation presents a substantial pool of potential users who are unable to fully participate in e-commerce.  

One of the ways in which Unlimit has been actively helping to drive a shift in financial inclusion and address this underbanked segment is by offering alternative payment solutions, including money-based methods, as well as others that work as a start for the financial world such as digital wallets. This is one of the main reasons why at Unlimit, we have worked hard to compile a comprehensive portfolio of alternative payment methods, and we continue to consistently add new methods.

Q: What are the main reasons behind Mexico’s large underbanked population? 

A: From a banking standpoint, there are few incentives for expansion. Mexico has about 42 institutions with a banking license and this number has remained stagnant over the past five to 10 years. The banking landscape is largely dominated by a few major players and only six banks hold 90% of the market share, which reduces the incentive for expansion. Traditional banks have seen little evolution in infrastructure, operational processes, and corporate culture, making it difficult to expand services to reach underserved populations. 

From a user perspective, while there is a growing appetite for financial services, many people have trouble getting services from traditional banks. Fintech companies have recognized this opportunity and are actively trying to address it.

Q: How is Unlimit actively promoting financial inclusion in Mexico, and what initiatives or products does it offer to cater to underserved populations?

A: We are championing financial inclusion by allowing our merchants to offer their customers the freedom to pay the way they want and prefer, thus eliminating payment borders that would restrict them from obtaining a service or a product. We are proud of the fact that today we offer a portfolio of more than 1000 alternative payment methods worldwide and are continuously adding on to it.  We offer everything – from traditional cash-based methods to more current digital payment methods like SPEI and CoDI in Mexico.

Our approach centers on incentivizing small-scale merchants to participate in the digital economy. We are also introducing innovative initiatives to promote financial inclusion, such as our Banking as a Service solution, which provides businesses with the ability to embed financial solutions into their own offering, like white-label debit cards and multicurrency IBAN accounts. This approach allows these businesses to focus on their core operations rather than getting entangled in the complexities of card issuance for example. 

Unlimit is committed to offering the tools and solutions needed for anyone to partake in the world of commerce, fostering financial inclusion, and enabling businesses to focus on serving their markets without the burden of complex financial logistics.

Q: How does Unlimit view Mexico's position as a fintech and e-commerce hub, and how is the company leveraging this trend?

A: Mexico holds strategic importance for Unlimit, given its pivotal role as a fintech and e-commerce hub in Latin America as the country and Brazil accounts together for about 70% of the region's economy. Unlimit recognizes the necessity of establishing a presence in this dynamic market.

Mexico’s fast-growing economy, in particular in e-commerce, underscores the immense potential it offers.  By the end of 2023, the volume of the Mexican e-commerce market will be US$74.5 billion, 34% growth vs. 2022, according to PCMI projections.
 

Q: How has e-commerce impacted the market in Mexico and how is Unlimit leveraging it?

A: The growth of e-commerce, especially since 2020, opened up opportunities for various payment methods beyond debit and credit cards. For example, the Interbank Electronic Funds Transfer System (SPEI) has seen a remarkable surge in popularity. Sending transfers and managing transactions on a mobile phone has now become a common practice.

This transformation is not limited to user behavior; it extends to the business landscape. A growing number of companies and individual users are establishing their online presence through websites. Whether by setting up an e-store or working as a freelancer, the way businesses operate and interact with their customers has evolved significantly. Unlimit recognizes the changing landscape of e-commerce and is actively leveraging these developments to make it easier for businesses to accept a diverse range of payments, aligning with the evolving needs of both users and the commerce sector.

Q: How does Unlimit enhance client experience through seamless payments and instill confidence in its efficiency and security measures?

A: Unlimit places a strong emphasis on elevating the client experience by seamlessly facilitating payments, while instilling confidence in the efficiency and security measures employed. Our approach involves robust anti-fraud measures carefully implemented to protect both clients and end-users. Partnerships with industry leaders, like Visa and Mastercard, enable us to leverage their sophisticated verification methods, such as 3D Secure, for enhanced security. Our association with these trusted entities extends to licensing, underscoring our commitment to the highest security standards.

We prioritize transparency. If, for any reason, a client encounters an issue or discrepancy, it is essential for them to understand why it happened. We provide a clear explanation of the messages received and the charges associated with each transaction, ensuring that the charges appearing on their statement are accurate and expected. We are committed to providing a transparent and secure payment experience.

Q: Given the dynamic nature of the industry, how does Unlimit stay adaptive and innovative to keep pace with the ever-changing fintech and e-commerce landscape?

A: We offer borderless payments that allow us to swiftly transfer successful solutions from one branch to another. If a branch in another country has effectively resolved a specific issue, we can readily apply the same solution in Mexico.

Q: How does Unlimit envision the future of financial inclusion in Mexico, and what role does the company aim to play in shaping that future?

A: Mexico is making a substantial impact in innovation thanks to creative and disruptive entrants pioneering new and innovative solutions. These innovators are often trailblazers, setting trends and standards that are then emulated and adopted across the rest of Latin America. Unlimit envisions remarkable potential for financial inclusion in Mexico, driven by the dynamic landscape of innovation and emerging possibilities. Our role in shaping this future is to offer the essential tools and resources needed to realize it. Regardless of the industry or the e-commerce aspirations of a business, Unlimit aims to serve as a catalyst in assisting organizations to become integral parts of this exciting wave of innovation in the financial landscape. We want our clients to leave the hassles to us, and focus on their core business.

Unlimit is a global fintech company that offers a large portfolio of financial services, including payment processing, banking as a service (BaaS), and an on-ramp fiat solution for crypto, DeFi, and GameFi. The company’s mission is to deliver solutions that eliminate financial borders, enabling businesses to operate both locally and internationally with ease across Europe, the UK, LatAm, APAC, India, and Africa.