Dynamic Recurring Payments (DRPs) can significantly transform the European payment landscape in the future in the following major areas:
Consumer Convenience
DRPs enable consumers to authorize service providers to initiate payments from their accounts, leading to more seamless and convenient payment experiences.
Market Dynamics
The rise of PayTech and the focus on "value beyond payment" are reshaping the payments landscape, driving the development of new payment propositions that connect merchants and consumers directly, leading to faster, cheaper, and safer payment methods.
Innovation and Technology
The rapid development of new payment technologies, such as open banking, real-time payment rails, digital wallets, and digital currencies, is reshaping the traditional payments landscape and offering new payment capabilities.
Regulatory Impact
The evolving landscape of European payments, including initiatives like the SEPA Payment Account Access (SPAA) Scheme, is revolutionizing payments and offering seamless data access, which can have a significant impact on the way payments are made and processed.
Market Integration and Competition
The increasing adoption of payment solutions from non-European market players and the dominance of international card schemes are influencing the European payment landscape, leading to potential effects on security, sovereignty, and market integration.
These areas collectively demonstrate the potential of DRPs to bring about fundamental changes in the European payment landscape, offering enhanced convenience, driving innovation, and impacting market dynamics, regulation, and competition.
