Half of merchants and retailers across the UK are exploring new payment methods like digital wallets, account-to-account payments, and ‘buy-now-pay-later’ in an effort to drive market penetration, particularly in cross-border commerce, according to fresh research from PXP.

The omnichannel payment platform’s Future of Business Payments report reveals that 64% of merchants now view payment technology as a strategic growth driver and not just an operational necessity, with a similar number (60%) seeing new payment tech as fundamental to enhancing customer experiences.

PXP’s study, based on a survey of 250 payment decision-makers in the UK and US, found that 51% of merchants are now actively leveraging payment systems to create new revenue streams, monetise payment capabilities, and increase their appeal to customers.

More than a third (34%) said they are expanding their payment method offerings to meet market demand, while 20% are actively investing in international payment capabilities.

However, system stability is still a critical factor, with 37% of traditional bricks-and-mortar businesses citing this as a top priority, while 30% are most concerned with having one unified payment platform across all channels.

Over a quarter (28%) of respondents said that payment system and platform reliability during high-traffic and peak sales periods was a make-or-break factor for their operations. 

While around the same number (29%) said this is the most important factor when selecting a payment provider, more (36%) ranked security and fraud prevention as their top priority, aligning with the 35% of businesses most focused on protecting customer transactions across all channels.

Surprisingly, just 31% of businesses said they would look to explore crypto as a payment option in the near future, significantly less than those who want to use payment technology to add payment methods to their checkout (57%), enter new markets (49%), develop their business model (34%), or build new payment architecture (33%).

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“Today’s merchants are discovering that modern payment systems can do far more than just process transactions – they can actively drive business expansion, foster innovation, and create much deeper and more intuitive connections with their customers,” said Kamran Hedjri, group CEO of PXP.

“Our findings paint a clear picture: payment technology has moved from the back office to the boardroom, from a mere business function to a key strategic consideration in business growth planning.

“This shift represents a remarkable evolution in thinking, and payment providers must align with it to help merchants meet their customers’ expectations wherever they are.”