Financial technology, or Fintech, remains one of the most dynamic and innovative startup sectors. From online lending, mobile and online payments, to financial management, Fintech firms are implementing new technologies to update existing financial processes and services. Such advancements are not only changing how consumers access and interact with financial services, but also improving upon existing systems.
One area of important Fintech innovation has been secure online payment technology. Driven by the continued expansion of the online marketplace, consumers and businesses have increased the demand for technology solutions which securely facilitate the payments of goods and services. Not surprisingly, during 2015 private payment companies received over 3 billion in funding. Accordingly, the trend continues, with payment companies seeing two-straight quarters of funding growth in 2016.
Safe and secure global payment systems are the backbone of the massive e-commerce market. Expected to reach over $2.3 trillion in sales in 2017, online transactions are heavily reliant on consumer trust for the integrity and security of networks processing payments for services or goods. Serving to underscore the importance of security, a recent study found that slightly over a third of consumers hesitate to make online purchases for fears of data theft.
Seizing on increasing demand for payment technologies, Switzerland based SecurionPay focuses on providing online merchants with a secure payment gateway. Led by CEO and Co-founder Lucas Jankowiak, SecurionPay is an example of the growing breed of technology companies working to ensure the continued vibrancy of the global e-commerce market.
I had the opportunity to speak with Lucas and discuss his business, Fintech, the European startup sector, and his views on entrepreneurship. Hope you enjoy!
CG: Tell me about SecurionPay. What does your company do and how did you conceive the idea for the company?
LJ: SecurionPay is one of the most innovative payment gateways for online businesses that is also available on mobile devices. If you are a merchant with an online shop that wants to receive payments for the products and services you sell, our solution is for you. SecurionPay simplifies credit card processing, making it much more user-friendly and easy for online merchants and their customers to use.
Our mission is to deliver products and services in an excellent way that wins us over with clients. Our API is the number one choice for developers, thanks to its ease of implementation and robustness. Our unique and one-of-a-kind drag and drop implementation technology allows merchants to add payments to their websites instantly. The technology is so easy to use that it doesn’t matter if the merchants are developers or have little technical knowledge.
Thanks to our features, such as Checkout (payment in the popup form) and custom form (payment form embedded into the website), SecurionPay gives merchants the payment solution that boosts their sales and increases conversion in the last step of the payment process.
The idea of creating a gateway to simplify payments grew in my head for years when I worked for an European payment processor. I was constantly analyzing the market and saw how my clients struggled with the implementations, never ending compliance processes, PCI requirements, general onboarding and different platforms technological shortcomings. These platform shortcomings were the main reason for not being able to fully meet the requirements of different online shops. Major revenue and time were lost due to these factors. Finally, the day came when my co-founder and I decided it was time to change all the problems with payments for online businesses. SecurionPay was born out of this frustration and the need for much better online payments.
CG: SecurionPay provides secure payment solutions for online merchants. How has the growth of mobile consumers changed the traditional e-commerce model?
LJ: The mobile revolution has happened. All online businesses need to take that into consideration and adjust their value proposition for mobile users. The same applies to e-commerce businesses and from my point of view, the growth of mobile consumers is a good thing for online merchants and gives them a vast channel of customer acquisition. People are no longer chained to their laptops and can buy anything they want on the go. On the other hand, I know from experience that the growth of mobile devices and mobile consumers has been a real challenge for existing online businesses. Many of them have failed to prepare their product, UX or marketing activities for the revolution. The less agile companies struggle to keep their business growing while many challenging startups with a different mindset were created and are constantly winning over some of their customers. The same situation exists in the Fintech and payment space, where new players are appearing thanks to new technology that allows them to compete with huge multinational banks or payment processors still suffering from old legacy systems and dated technology. It’s not new technology, we should be afraid of, it’s old technology that is scary.
CG: From a data security perspective, what are the challenges and risks facing e-commerce businesses and online merchants? How can these challenges and risks be mitigated?
LJ: The biggest challenges and risks facing online merchants are fraudulent transactions and customer’s data getting stolen (credit card numbers or other personal information). If such an event happens, it’s a big problem for an online business due to the loss of trust and current customers leaving. We are perfectly aware of this and security for merchants and their customers are written deep in our company’s DNA. We mitigate these risks by various security features (ie. we tokenize each transaction or use the best anti-fraud tools) and cooperation with banks on a daily basis. This allows us and our customers to have full control over unwanted or suspicious transactions. We have developed a set of tools that allows our partners to effectively manage the risk properly by keeping them and their customers safe while buying online.
CG: Switzerland is ranked as one of the world’s most innovative countries. What is your view of the Swiss startup scene, and more broadly speaking the European startup scene as a whole?
LJ: I agree that Switzerland is one of the world’s most innovative countries and we’re proud to have been a part of the Swiss startup scene for more than two years. Switzerland is a groundbreaking country that values new technology in all aspects of life. This is very visible in the Fintech space and there are lots of Swiss companies trying to revolutionize wealth management, online banking, or crypto-currencies. Switzerland is the heart of banking in Europe, so it’s not a surprise that all the participants of the banking industry are eager to pursue innovation and be on top of the game.
The European startup scene is rather fragmented and the level of innovation differs significantly from country to country. However, the differences between the two are decreasing each year and there are now more successful startups in Europe than ever before. Cities such as London, Berlin, and Paris are betting on startups as a new source of economic growth, therefore competing against each other for the title of European capital of innovation.
CG: The Fintech space is one of the most exciting startup sectors. How do you see the sector currently and where do you see it going?
LJ: It’s true, Fintech is an extremely exciting space. We’re glad to be a part of it and to actively reshape a significant part of one of Fintech’s major verticals, which are online payments. I believe that Fintech, as a startup sector, is only beginning its journey and that’s why it’s so attractive to observe. Even though there are new players appearing on the market every day, there are still industries that will be disrupted by technology. Mobile growth, wearable technology, the internet, big data, and social media are ways industries like banking, wealth management, and others can be revolutionized. Moreover, cryptocurrencies (like bitcoin) are extremely interesting trends that will shape how the money we know can be replaced by online-only currencies.
CG: Entrepreneurship is rife with challenges and obstacles. What advice do you have for other entrepreneurs seeking to follow in your footsteps?
My advice is to get ready for one of the biggest battles and also one of the most exciting times of your life. You will get to know yourself and what you’re capable of better than ever before.
A friend once told me: “going from working for someone to becoming an entrepreneur is like going from being a kid to become and an adult.”
Fifteen years working for others has taught me a great deal. I was fortunate enough to participate in different industries. I worked in different departments and had roles in small, medium and big companies. Experience is a great teacher, but the learning curve becomes smaller the longer you stay in one place. Your work becomes a repetitive task and your development stops.
Let’s focus on two aspects that are important to consider before you make a move to go out on your own: managing money and managing yourself (stamina, discipline, and persistence).
When you are working for someone else and receiving a monthly paycheck, you can spend more than you normally would anticipating that it will be ok when funds are deposited in your bank account again at the end of the month. It feels good and gives you an illusion of peace and comfort. It’s also addictive. It makes you vulnerable and weakens your senses. Welcome to the comfort zone!
It’s amazing how fast priorities change when you are on your own. Things that were “necessary” become irrelevant. Even if you manage to save some money at the start of your journey, it disappears faster than you ever could have anticipated.
There is no better life lesson than starting your own business and dealing with your own money. Especially when you realize that you need to spend money to make it. It takes time to get yourself into that mindset. There are mixed feelings involved, such as fear, panic, doubts, sleepless nights, panic and panic again.
Stamina and persistence. Doubt kills more projects than failure ever will. It’s really important to keep your mind focused and train yourself to handle at least 5 jobs at once in the beginning of your startup life.
Do you remember the time when you were killing yourself for your boss and thought it was your top? Great! Now, forget it because you will push yourself beyond that. You will go way beyond what you thought yourself capable of and beyond what you imagined yourself doing. That is the beauty of it. You will rediscover yourself. New skills, new abilities and a new set of goals.
Never give up. Never back down. “The biggest opponent in your life is the person that looks back at you in the mirror.” Time to fight!
CG: Any parting words?
LJ: We have created SecurionPay to change buyer’s experience with online payments. We believe that people who care can help to make things better. Online payments were in need of serious upgrades. Only a few companies have figured out how to combine technology with the best user experience and bring card payments to the next level. This revolutionary change has taken place in the past few years and it’s clear that it will continue its strong growth reshaping online payments worldwide.
We are extremely happy that the SecurionPay platform and our solutions help to improve people’s lives. Starting with developers, which are our greatest group of fans, to online shop owners and then end-users who are able to buy online in a fast, simple, and safe way on any device.
None of that would be possible without our fantastic team who is a huge part of our success. It is due to their commitment and strong belief in changing the existing status quo of online payments that SecurionPay solutions can easily compete with much bigger players and is already making waves in Europe.
We keep up with the rapid pace of platform constant developments and new revolutionary products will be released soon. I hope online shops will appreciate what we have to offer and feel free to test our platform at any time.
The future of Fintech looks bright and SecurionPay is definitely here to stay.
CG. Thank you.