By: Luke Jones, Published on December 16, 2017 12:54 PM, Last Update on December 16, 2017 09:56 AM
Insurance companies are increasingly searching for ways to make customer experiences more efficient, usually leaning on technology to achieve those goals. The idea of clients paying their monthly auto insurance bills via a social network such as Facebook or WhatsApp may seem left field, but it is not as far away as you may think
The latest yearly study by Payments Canada suggests “social media payments are just around the corner, thanks to new partnerships in fintech.” The annual study is commissioned by the federal government to show the country’s national payment mechanisms.
“If China’s Alipay and WeChat Pay are any indication, a trend to watch is the rise of social media payments,” Payments Canada said in this year’s Canadian Payment Methods and Trends (CPMT) report. “While they have yet to hit the mainstream in Canada, the increased collaboration between new-entrant fintechs and Canadian financial institutions suggests a new level of convenience for banking and payments is on the way.”
The report adds bank customers will receive improved Interac e-Transfers integration with social media platforms.
“Current pilot projects are leveraging traditional payment methods such as credit and online transfers on social messenger services. It is likely the use of the more ubiquitous Facebook, Google, and Apple messenger services will hold the most promise for social media payments in Canada,” Payments Canada observes.
While those payment innovations are close, most Canadians still opt for credit card payments. Credit cards accounted for over $462 billion of transactions in 2016.