Interac Driving Innovation In Canadian Businesses
The ability to handle fast and easy to use payments is becoming a vital cog for those wanting to thrive in the modern business environment, and INTERAC’s e-transfer platform is leading the way for small and large Canadian companies alike.
Adjusting to a changing business environment is a natural challenge faced by just about any company, but the pace of change in 2020 has been break-neck. The number of people working and conducting business from home has increased dramatically this year which has forced a significant rethink in how companies reach and interact with potential customers.
According to data from the company itself, driven by the desire for increased safety and security transferring money online, the number of first-time users of Interac’s e-Transfer service grew by 43% this year. The average number of transactions per user is up by 9% year-on-year.
April was a watershed month for the company as it recorded more than 61.3 million transactions to set a new company record. The figure also cemented Interac as the leading e-transfer platform available in Canada. It then broke the record again in August when over 66 million transactions took place.
The adoption of Interac is ubiquitous across the biggest industries in Canada, such as the e-commerce giant Shopify, and the Toronto-based entertainment company Cineplex.
“Our guests expect speed and convenience when they’re purchasing tickets or movie snacks,” said Pat Marshall, Vice President, Communications and Investor Relations, Cineplex Entertainment. “We’re pleased to provide our guests with an even quicker payment option.”
This payment method has been widely utilized in the Canadian gambling scene as well, and popular online casino brands such as 7Bit and Playamo offer it as a convenient and reliable option to their player base.
Moreover, it has simply become revolutionizing for the smallest businesses, like the Vancouver-based Cakes in a Box, and Saunders Farm in Ottawa that has used Interac’s platform to provide contactless and cashless payment options.
“Like most people, we went completely cashless,” says Mark Saunders, director of fun at Saunders Farm. “From paying our bills through Interac e-Transfer transactions to collecting money through Interac Flash, it’s been a game-changer for us.”
The ease of use and adaptability of the platform has made it easier for businesses to innovate and implement new ideas as quickly as possible.
Unique businesses like the Toronto Arts Market have also found innovative ways to use the platform to streamline their business models and simplify the payment process for their customers.
“There are no long leases, no long-term commitments, no red tape, as we try to keep it really, really streamlined for people and for the vendors and artisans,” says Daniel Cohen, owner of the Arts Market, when speaking about why he chose Interac’s solution. “This way they can have their art out in the world without having to worry about all of the normal store stuff.”
Interestingly, the new digital norm is being adopted by everyone, not just the younger generation as is usually the case with modern technology. Interac reported a 40% growth in people 65 and older using the platform between March and May this year compared to the same period in 2019.
To drive home the point, it isn’t even just Interac’s e-Transfer service that has seen phenomenal growth this year. The increasing demand to make in-app and in-browser payments led to a more modest, but still significant, 5% growth in contactless Interac Flash transactions. The growth is in comparison to 2019 and does not take into account the dramatic drop in consumer activity earlier in the year.
The success of the platform is creating a snowball effect for Interac as consumers tend to stick with what is familiar. So once they have become used to using e-Transfer, they will tend to use it wherever it is available. This means the more companies start offering Interac’s e-Transfer, the more attractive – and almost necessary – it will be for others to follow suit.
