Which payment firms are anticipated to thrive post-pandemic

In the ever-evolving world of money transfers, two major players, Western Union and MoneyGram, are reportedly set for a shake-up, according to a recent survey analysis. Western Union is reportedly looking to acquire MoneyGram, a move that could significantly reshape the industry landscape.

Meanwhile, lesser-known companies are making waves in the sector. A wealth of these up-and-coming firms were identified in the research, and the industry believes they could have a significant impact. Companies like Currencycloud and Payoneer are pushing platform plays and have been highly rated in the survey. Their differentiated products, such as platform plays, are highly valued by industry peers for supporting growth.

One such company, iBanFirst, has recently closed their Series C round, further bolstering their war chest of cash. This financial buffer can help leading digital-focused players withstand increased cash burn if certain revenue streams dry up, providing them with a competitive edge during challenging times.

The survey results suggest that a strong digital offering is a key competitive advantage for both well-known and lesser-known companies. During the crisis, companies in the industry showed varied resilience and growth patterns. One notable exception is TransferWise (now Wise), which experienced significant expansion by focusing on low-cost, transparent international money transfers.

Incumbents, due to having cash, can take advantage of market opportunities during a crisis. This financial advantage allows them to navigate the volatile market conditions and potentially acquire or partner with other players. The researchers plan to monitor these lesser-known companies for further analysis to understand how they will shape the industry in the long run.

As the money transfer industry continues to evolve, it's clear that a strong digital offering and differentiated products will be key to success. Whether it's through acquisitions, partnerships, or innovative product development, the future of the industry is sure to be an exciting one.