Today In Payments: New Funding Values Tink At $824 Million; Starbucks Shifts 45 Pct Of Stores Toward Drive-Thru, Order Ahead
In today’s top news, FinTech startup Tink raised EUR85 million to bring its valuation to EUR680 million, and Starbucks plans to shift more toward drive-thru and online ordering. Plus, Airbnb shares soared in its first day of trading.
Stockholm-based FinTech Tink announced a new funding round of EUR85 million, which boosts the startup’s valuation to EUR680 million ($825 million). The open banking platform’s valuation is up more than 60 percent from the EUR415 million it was worth in January.
As it said at its investor day, post-pandemic, Starbucks is targeting growth both in the U.S. and internationally — especially in China. Mobile and pickup are the tailwinds underpinning a store expansion that eyes convenience even as the company dramatically expands its new store footprint.
Shares of Airbnb soared more than 110 percent from their initial public offering (IPO) price of $68 to finish out the day at $144.71. Brian Chesky, Airbnb’s CEO, said that prior to Airbnb’s IPO, the company was thinking about changing how consumers arrange their trips, as telecommuting is possible for a number of individuals.
Instagram has officially launched shopping in Reels, a competitor to TikTok. Reels are the short-form videos that now have their own tab in Instagram. The feature is expected to appeal to creators and brands, and will also allow users to add shopping tags to their posts.
Consumers’ newfound affinity for touchless shopping and payment experiences at brick-and-mortar stores is influencing how they shop online, said Keala Gaines, vice president of global payment services for eCommerce marketplace eBay. In December’s The Anatomy of Consumer Payments Playbook, Gaines explains how QR codes and mobile wallets play an important role in driving conversion and loyalty.
As fast and furious as the digital pace has been in 2020, it will accelerate in 2021. Michele Herron, Visa’s Cybersource senior vice president and head of strategy, marketing and SMB solutions, told Karen Webster that the winners are those retailers that were already shifting digital in the pre-COVID-19 world.
Record eCommerce sales will translate into high rates of returns this holiday season. Amid the pandemic, retailers must consider the different ways consumers want to return what they don’t want – in person and/or by mail.