Payments Ecosystem: The Experience Layer

The Experience Layer includes a wide variety of activities with seemingly endless opportunity to add value to payees, payors and other providers of payment related services.

Paytechs in the Experience Layer provide technology that lets a payor and payee interact with a payment. This includes all activities from the decision to transact, to the selection of a payment type and initiation of the exchange, as well as notifications throughout the value chain and the subsequent reconciliation of the payment.

Point-of-Sale (PoS) — including bricks, clicks and contextual

The technology bringing you to the point of payment initiation at the point-of-sale can vary greatly from traditional PoS devices, to mobile phones and tablets, from plastic cards to e-wallets, and online payment services. While PoS has traditionally referred to physical store checkouts, the lines between bricks and clicks are becoming increasingly blurred, and PoS is now equally physical, virtual and even contextual.

Contextual commerce is an emerging space that provides consumers with the ability to make purchases within their current environment—rather than seeking out a way to buy something. Essentially, the point-of-sale is seamlessly transformed into whatever the purchaser is doing at that time. It removes almost all friction in the payment experience, making payments effectively invisible to a payor.

Augmented Reality (AR) technology promises to further blur the lines between bricks, clicks and context, and unlock new possibilities for the payment experience.  

Point-of-Sale examples include:

  • Bricks
    • PoS terminal in a retail store
    • Mobile device or tablet
    • Mobile wallet/e-wallet
    • Proprietary mobile apps (closed-loop)
  • Clicks
    • Website shopping carts
    • Mobile apps
  • Contextual
    • Internet-of-things (IoT)
    • Voice (extension of IoT)
    • In-app
    • Social media & messengers


Banks provide access to various payments types through the following channels:

  • Mobile banking
  • Online Banking
  • Telephone banking
  • Teller
  • ABM


Once a transaction occurs the payee and payor may need to account for it. This has historically been done through a manual process that matches payments to accounting records, however, increasingly this process is becoming automated—helped by a larger amount of data made available by a payment. Many organizations are working in this space to integrate payment messages with notification channels and accounting systems. The ISO 20022 messaging standard will provide the data ubiquity for automated reconciling to occur on a broad scale.