Citi has invested in payments technology company Icon Solutions as it modernizes its payments platform.
The investment, made via Citi Treasury and Trade Solutions, comes as Citi also plans to expand its use of Icon’s payments framework (IPF) to improve its micro-services orchestration architecture, the banking giant said Wednesday (Dec. 6) in a press release.
“We are on a journey to unlock the full potential of the Citi network and respond to the need for a streamlined and efficient payment processing system,” said Debopama Sen, head of payments, Citi Treasury and Trade Solutions.
“Through this relationship, we are removing platform complexity across our multiple products by following a process of ‘de-platforming’ common business services and creating reusable and extensible services that can be orchestrated using the IPF framework,” Sen added.
The investment follows September’s launch of Citi Treasury and Trade Solutions’ new digital asset solution designed to improve cash management and trade finance capabilities.
As noted here at the time, the new Citi Token Services uses blockchain and smart contracts to offer institutional clients “always-on” and programmable financial services, such as cross-border payments, liquidity and automated trade finance solutions.
Also in September, Citi Treasury and Trade Solutions introduced a suite of payment solutions tailored for financial institutions, designed to help them bolster their client experience.
Meanwhile, PYMNTS spoke this week with Terry O’Neil, head of connected commerce and strategic growth for Citi Retail Services at Citi, about the need for connected commerce to move at “the speed of retail” as merchants must embrace new payment methods and options to meet consumer demand for digital channels.
“Merchants should not underestimate the power of a payment product in driving loyalty and repeat purchases,” O’Neil told PYMNTS’ Karen Webster.
And right now, he said consumers — and by extension merchants — want more than just the ability to pay using card brands or digital wallets. Citi’s research, O’Neil said, shows that 90% of consumers want merchants to offer multiple payment options at checkout.
“Increasingly, he noted there’s value to be had by introducing those options at the top of the funnel, even before the checkout is on hand, so that consumers are incentivized well before they decide whether or not to click buy or tender their cards at the register,” that report said.
