Long-term success often comes from companies being agile and prepared in the short term.
That's why AI-ID Founder and CEO Shont Sarkisian said on PYMNTS' Future of Payments Series: Quarterly Scorecard that “the first quarter of 2024 is currently on track as planned.” he said.
The end of last year brought to the fore several macroeconomic uncertainties, from geopolitical risks to potential economic softening. However, these anticipated challenges and companies' responses to them unfolded largely as expected.
“Many of the macroeconomic risks that emerged in the fourth quarter raised questions about what 2024 will look like,” Sarkisian said, but despite the turmoil in the geopolitical arena, many companies remain in good health. The company has maintained its balance sheet and revenue stream, demonstrating resilience.
This resilience is particularly evident in sectors focused on deep innovation and technology.
“We've seen a divide between corporate customers and end consumers,” Sarkisian said.
He highlighted that business customers are showing resilience thanks to continued investment in innovation, particularly in artificial intelligence (AI) and security. Meanwhile, consumer companies are facing challenges such as compressed margins and rising costs, making them more cautious with their spending.
“The closer your business is to your consumers, the more pressure you can be under. This is a story of two customers,” Sarkisian said.
This dichotomy highlights the importance for companies to understand the nuanced needs and behaviors of both business-to-business (B2B) and consumer segments in order to effectively align their strategies.
Future trends in the business environment
In today's ever-evolving business environment, staying ahead of the curve is paramount to success, and so is identifying the curve.
In an environment marked by uncertainty, fostering customer loyalty and trust is increasingly important for both growth and differentiation.
“There's a lot of flight to quality going on, and people want companies to be as safe and sound as possible, on the banking and payments side, on the banking-as-a-service (BaaS) side,” Sarkisian said. he said. “For many peripheral businesses, the further we move away from regulatory soundness and ties to 250 years of history, the more customers begin to question whether they should return to more legacy relationships.”
This means that it is important for businesses around the world to strengthen relationships and ensure that they are recognized and seen as trusted partners.
As Sarkissian explained, the return to the flight to quality also highlights the need for companies to prioritize customer authentication methods and Know Your Customer (KYC) processes, and leverage technology to enhance fraud prevention and risk management strategies. doing.
“Regulators will also be forced to react more quickly,” he added.
Agility, innovation and AI define the future
With the challenges and opportunities at hand, companies and their decision makers are increasingly tasked with navigating complex landscapes and making strategic decisions to drive growth, innovation, and customer loyalty. must be lowered.
Despite the economic headwinds, Sarkisian urged financial leaders to embrace innovation amid uncertainty. He said that by resisting the temptation to exit during difficult times, companies can seize opportunities for growth and efficiency that they might have otherwise missed.
Ultimately, embracing today's advances in AI and technology, especially in areas like faster authentication and fraud detection, will help businesses achieve long-term success.
“Identity is the new currency,” Sarkisian said. “This may not be new news, but it has become very important. Companies need to be very proactive and reinvest in their customer authentication methods and KYC programs.”
“The first thing to do is work with partners and vendors who are actually leading in their space,” he said.
Looking forward, Sarkisian emphasized that companies need to not only leverage AI, but prioritize quality and real-world impact over novelty.
As AI becomes increasingly integrated into various aspects of business, from customer service to data management, strategically investing in AI capabilities is essential to staying competitive and relevant in the marketplace. becomes essential.
