Prior to the pandemic, only 33% of B2B payments were electronic, due to a lack of investment in foundational payments infrastructure as well as a lack of compatibility between electronic payment systems. Post COVID, however, real-time speed and global reach have become mandatory to business. Hence, businesses have accelerated their electronic payments investments. NIUM is optimistic about this.
Business-to-Business (B2B) payments is an attractive FinTech segment where a large market opportunity and relatively limited adoption of digital payments has created significant growth opportunities for digital disruptors. Companies have realised that-
- The current infrastructure for global payments is antiquated and slow.
- The need for global reach is key, as commercial opportunities transcend borders.
- Payments are governed by a complex web of regulations, different for each market.
Therefore, businesses have looked to accelerate their digital payments and enable real-time payments and the market for the same has expanded significantly.
Pratik Gandhi, co-founder and COO NIUM says, “NIUM continues to be optimistic about the $60T B2B payment opportunity that exists and is focused on its core to build the largest global platform for ‘Modern Money Movement’. While the current global slowdown has proven challenging for most, we continue to see strong demand from businesses and SaaS platforms looking to upgrade their global payments with our speed and reach.”
Nium has seen strong growth particularly in the travel sector from the post-Covid travel boom. During the pandemic, NIUM acquired virtual card issuer, Ixaris. Now ‘NIUM Travel’, the business unit is delivering triple-digit growth and has signed several airlines and Online Travel Agents in recent months.
Gandhi adds, “NIUM has not only been focused on building efficient processes, but also being strong financially. We believe that technology in payments will continue to progress regardless of what’s happening in the market”. Nium’s growth is visible as the India office of NIUM has been growing over 30% YOY and continues to hire in Tech and Product roles in India. A flagship office is opening in Mumbai this month.