Outlook 2022: Fintech, Payments and Beyond
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Outlook 2022: Fintech, Payments and Beyond

Photo by:   Hector Cárdenas
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By Hector Cárdenas - Conekta
CEO and Co-Founder


Latin America is undergoing one of its most interesting evolutions toward the digital economy. It has also become one of the leading regions for financial technology companies worldwide.

Along with this growth has come the development of the financial technology sector, which is among the most relevant industries for the continued progress toward digital adoption in the region. Mexico has become an epicenter for the growth of the sector and is quickly turning into one of the most interesting markets to understand the current and future trends of the industry. 

Mexico has over 4 million SMEs in its economic makeup. In 2020, there was an increase of over 95 percent in the number of small and medium-sized companies selling online, which steadily rolled into a statistic that has maintained throughout 2021: six out of 10 SMEs in Mexico sell online today.

The level of digital penetration among consumers is equally interesting: 86 percent of Mexicans are internet users and smartphones are positioned as the connectivity device with the highest adoption rate. Simultaneously as those of us in the fintech sector continuously emphasize there is a lack of adoption of traditional financial services: less than 40 percent of the Mexican population is banked. 

If we analyze this context, considering the accelerated growth that the fintech sector has already experienced over the past two years, what are the trends that will define its evolution going forward.

Focus on Relevance 

The main precondition for financial technology adoption remains that of relevance and accessibility. If products are not relevant for the population they are intended for, we are establishing a barrier for adoption from the outset. Fintech products must also be accessible, meaning that they should be handy, simple, and safe.

Payment links are a great example of this trend. They are simple links that can be shared through instant messaging or DMs on social media, allowing consumers to click, choose their preferred payment method and conclude a purchase in a matter of minutes. It is no surprise their adoption grew among merchants by over 200 percent during the past year.

Focus on Growth

What could be more relevant for SMEs than financial technology products that facilitate their growth? After the pandemic, it is hard to imagine a different priority for small and medium-sized businesses than implementing solutions that allow them to grow their operation. 

Many SMEs have already turned to the digital economy, so the fintech sector will need to continue developing tools that simplify the everyday lives of everyday businesses as their digital operations become more complex and more integrated into the complexity of the digital economy. 

The opportunity to boost this sector’s growth is outstanding. As I mentioned above, there are over 4 million SMEs in Mexico. What would happen if all 4 million of them could sell online to the more than 86 million internet users? 

Focus on the Experience

Consumers have never been more in touch with financial technology. And they are starting to notice. That is why payments will become an intrinsic aspect of consumers’ e-commerce experience. This trend has already made itself present but we will continue to witness it over the next few years. 

Safety and security for online transactions will remain a key aspect for digital adoption among internet users. Simultaneously, the diversity of payment methods and the possibility to pay anywhere, anytime are cornerstones of the seamless payments experience that consumers expect after the intensive period of digital adoption they have undergone.

The outlook for payments in Mexico and the region is more than exciting and the past couple of years suggest that there is only more growth ahead for the fintech sector. There is ample opportunity in Mexico to close the technological gap between merchants and consumers to create a financial technology ecosystem like no other in the world.

Photo by:   Hector Cárdenas

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