Innovation strategies for managing payments business in Europe

Abstract

Banks in Europe are continuously contemplating innovation strategies for their payments businesses. This paper discusses the need to revisit the business model for payments as a first step to defining any innovation strategies, and also looks at possible approaches for adopting such new business models. These approaches are further explored through practical examples in financial markets as well as other industries. Innovation strategies for sustainable growth and profitability in payments products and services are advocated as value-added services and renovation of end-to-end client processes beyond application of new technologies.