Visa, a digital payments business, has produced a new research outlining digital payment development potential, particularly among Kenya’s small and medium-sized enterprises (SMEs).
According to the report, 40% of SMEs have used digital payments within the last two years.
This impetus, according to Visa, is driven by the awareness that investments in payment technologies, such as card payments, mobile and digital wallets, are critical for business growth.
Convenience (40%), cost savings (38%), and greater efficiency (37%) are the top reasons given by SMEs for embracing digital payments.
“Kenya’s digital payments landscape is experiencing a dynamic growth, fuelled by a rising preference for innovative payment methods and value-added services that provide enhanced security and streamline operations” Chad Pollock, VP and General Manager, Visa East Africa said..
“This shift presents a significant opportunity to boost both individual prosperity and broader economic development,” he said.
While cash comfort remains a hurdle, the survey finds that almost all digitally equipped SMEs (97%) continue to be concerned about cash security.
This makes a compelling case for pushing digital payments as a more secure and economical alternative.
Furthermore, there is a strong need for improved security measures among organisations that already accept digital payments, with 71% indicating a need for secure B2B payment solutions and 69% requesting advice on payment security best practices.
Given these dangers, the research suggests that promoting secure digital payment solutions is a potential strategy for SMEs seeking to reduce security risks.
‘’Promoting secure digital payment options as a fundamentally safer way to conduct business can help mitigate these risks, fostering trust and further prompting a shift away from cash.’’ the report notes.
Visa’s ‘Value of Acceptance: Understanding the Digital Payment Landscape in Kenya’ analysis, conducted by 4Sight Research & Analytics, investigates the present state of digital payment acceptance, identifying both potential and problems.
The findings are based on face-to-face interviews with 254 SME owners/managers who make critical business choices on a daily basis.
Source: extensia.tech
