High fees derail Saudi Arabia’s digital wallet adoption
The post High fees derail Saudi Arabia’s digital wallet adoption appeared on BitcoinEthereumNews.com. Homepage > News > Finance > High fees derail Saudi Arabia’s digital wallet adoption Saudi Arabia-based businesses are facing an uphill climb in digital wallet adoption, with a new report citing high fees as a significant stumbling block. A recent survey shows that the region’s small- and medium-sized enterprises (SMEs) are reportedly hesitant to embrace digital wallet-based payments for goods and services. The poll, conducted by PYMNTS Intelligence and global payment solutions TerraPay, showed nearly 3,700 Saudi-based consumers and 63 enterprises with transaction volumes of over $10 million over the last year. The survey results, explored in the “Global Money Movement: Saudi Arabia Edition” study, noted that a raft of factors are impeding the enterprise adoption of digital wallets in the Gulf nation. Respondents say high transaction fees are stifling adoption metrics for small and midsize businesses in the country. When compared to traditional payment offerings, many respondents say digital wallet transaction fees are higher despite the perks of faster settlement times. Another reason for Saudi Arabia’s low metrics revolves around security concerns associated with fintech solutions. The report also cites concerns about transparency as another hurdle for SMEs in Saudi Arabia. Despite the raft of reasons provided by surveyed respondents, the report stated that individual consumers do not echo the same concerns. Digital wallet adoption among individuals is at an all-time high in Saudi Arabia, with consumers citing cross-border transaction perks and low fees. The report calls for fintech service providers to reevaluate their offerings for both demographics to rationalize the stark differences between individual consumers and businesses. A concerted effort to lower merchant transaction fees and a push to offer cross-border payment functionalities may trigger a spike in adoption rates. Furthermore, the report advocates instant transfers for businesses and increased transaction transparency. While digital payment adoption is advancing…
The post High fees derail Saudi Arabia’s digital wallet adoption appeared on BitcoinEthereumNews.com.
Homepage > News > Finance > High fees derail Saudi Arabia’s digital wallet adoption Saudi Arabia-based businesses are facing an uphill climb in digital wallet adoption, with a new report citing high fees as a significant stumbling block. A recent survey shows that the region’s small- and medium-sized enterprises (SMEs) are reportedly hesitant to embrace digital wallet-based payments for goods and services. The poll, conducted by PYMNTS Intelligence and global payment solutions TerraPay, showed nearly 3,700 Saudi-based consumers and 63 enterprises with transaction volumes of over $10 million over the last year. The survey results, explored in the “Global Money Movement: Saudi Arabia Edition” study, noted that a raft of factors are impeding the enterprise adoption of digital wallets in the Gulf nation. Respondents say high transaction fees are stifling adoption metrics for small and midsize businesses in the country. When compared to traditional payment offerings, many respondents say digital wallet transaction fees are higher despite the perks of faster settlement times. Another reason for Saudi Arabia’s low metrics revolves around security concerns associated with fintech solutions. The report also cites concerns about transparency as another hurdle for SMEs in Saudi Arabia. Despite the raft of reasons provided by surveyed respondents, the report stated that individual consumers do not echo the same concerns. Digital wallet adoption among individuals is at an all-time high in Saudi Arabia, with consumers citing cross-border transaction perks and low fees. The report calls for fintech service providers to reevaluate their offerings for both demographics to rationalize the stark differences between individual consumers and businesses. A concerted effort to lower merchant transaction fees and a push to offer cross-border payment functionalities may trigger a spike in adoption rates. Furthermore, the report advocates instant transfers for businesses and increased transaction transparency. While digital payment adoption is advancing…
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