The traditional payments landscape is in a tremendously dynamic stage of evolution – with markets demonstrating very different characteristics in terms of size, consumer preferences, growth, roles of key stakeholders, and nature of payments related opportunities. Waterstone’s view is that a convergence of new technologies, rapidly changing consumer preferences, and innovative payment models – coupled with rapid device proliferation and broadband connectivity – is blurring traditional stakeholder boundaries. These trends are creating new approaches to value creation, and driving an increased need to consider non-traditional “plays." 

We see discrete value creation opportunities that can be captured by individual participants – as well an increasing number of connected commerce and payments related use cases that require multiple entities to work together to deliver solutions. All this is putting pressure on traditional business models across all key stakeholders – including banks, traditional payment players, merchants, and service providers – as both opportunities and disruptive forces collide. In parallel, there is an increasing interest in separating the hype around many new plays versus those that will demonstrable tangible levels of economic value over time.

While we believe that there are connected and sophisticated consumers in almost every country throughout the world - for the next several years - the dynamics within individual markets will heavily influence the size and shape of payments and commerce related plays, and the role technology will play in enabling growth and market evolution. When evaluating market dynamics, we see a number of key drivers that both define and shape connected commerce opportunities. Understanding the nature of these drivers is critical when considering the size of existing opportunities, but also the individual business imperatives of key stakeholders (banks, merchants, and service providers). In turn, technology companies will need to develop new solutions – often in partnership with multiple parties – as well as adapt business development capabilities to better align with changing consumption models and buyer requirements.

Waterstone brings a holistic and multi-stakeholder view at the intersection of both traditional/evolving payment models and merchant/service provider business strategies to help our technology clients and private equity investors take advantage of emerging opportunities within the connected commerce ecosystem. 

A summary of our offerings and experience in the connected commerce/payments space:

  • Market and business opportunity evaluation (both core and emerging products/solutions)
  • Sales and account management strategy
  • Partnership strategy development – including alliance management, consortium incubation and launch, and demand generation/joint go-to-market planning and execution, and governance
  • Strategic market research design and execution to:
    • Better understand customer needs and evaluate performance
    • Support action planning, product/offer design, and account management
    • Measure performance of customer centric value creation initiatives

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To learn more about Waterstone’s perspective on connected commerce and
the opportunities it presents, please contact us.