18 Apr 2019
Posted in Press Release
Nexi to benefit from Italian wave of payments transformation, says GlobalData
Following Nexi’s successful IPO and subsequent share price dip, the company is under pressure to prove its worth, says GlobalData, a leading data and analytics company.
The trends in the Italian payments market are favourable for future growth for the company. Nexi’s recent IPO allowed the payment services specialist to raise €2.01bn, but Nexi’s stock price subsequently crashed by 6.2%.
Bhavika Shah, Payments Analyst at GlobalData comments, “Given the increased prominence of digital payments in Italy, Nexi will have the opportunity to recoup its fall in share price and maintain investor demand. Italy’s payments market has historically been dominated by cash, however recently the volume of transactions in cash has declined. According to GlobalData’s 2018 Payment Instrument Analytics the volume of transactions in cash in Italy fell from 2013 to 2018 by 9.11%.”
Nexi is already positioning itself strongly in the Italian market as it moves away from cash through recent product launches. For example, Nexi has launched an instant payment service, which allows funds to be transferred in less than 10 seconds, as well as an app that allows merchants full control over their collections and allows merchants to monitor business trends.
Shah adds, “These services help make it more attractive for Nexi’s merchant partners to accept digital payments, taking advantage of the way the market is moving and potentially helping to accelerate the shift away from cash.
“Nexi’s current payment innovation efforts are likely to lead to growth in the medium term and make up its recent shortfall.”