A new report has stated that payment profits are becoming a big problem for top-tier banks.
The report, entitled The Payments Transformation Race: Criteria for Success, is by Aite Group.
High costs, low margins and increasingly commoditised business models were cited as key issues to profitability.
65% of banks ‘struggle’ with payment profitability.
What does this mean?
The report looks at the issues faced by senior executives at the world’s top-tier banks. A key focus is currently customer retention, especially with new disruptors in the payments space.