Amazon Teams Up with Western Union, As Ripple (XRP) waits on the bench by chance.
Western Union, has been around for almost a century and a half. The company specializes in money transfers all over the world. So the announcement that the company was collaborating with the online giant Amazon makes sense. This move is intended to offer Amazon buyers the advantage of buying online and making payments in person, if they wish, in addition to being able to pay in their local currency.
Commenting on this collaboration, Hikmet Ersek, President and Western Union CEO, He says
"There are people in the world who want more access to Amazon's vast selection of products, but paying for such purchases has been a real obstacle for many customers." We are leveraging our monetary movement platform to make buying easier. global and local payment Facilitating the complex process of change and settlement, we are opening more consumer choices and access to online shopping for tens of millions of potential new Amazon customers. "
With this announcement, hopefully, Western Union money remittance platform It will make it easier for customers on amazon.com. At the moment these new features are offered to buyers in selected countries. This move is undoubtedly to smooth out any problems with the Amazon interface with the Western Union agent network.
It is clear that the intention of Amazon is to expand its consumer base by making the buying experience as simple as possible. A paper published by Forrester Research concluded in its analysis that online purchases are going over $ 600 billion by 2022. This is about a fifth of total revenue, from cross-border purchases.
Therefore, some commentators were a little surprised by the fact that a future technology was not used to find a more sustainable solution. This is all the more sensational when an option of this type is available with RIppleNet, a network already developed and used by major banks around the world.
Undoubtedly, Amazonia wanted to connect with a global player with a strong presence all over the world. Western Union perfectly fit the description, in this sense. However, modern economies face a new challenge; that of seamless payment options for consumers who want to shop in an increasingly integrated online economy. It is here that Ripple, with a myriad of tools to get cross-border payments without problems, has an advantage over Western Union.
In fact, in a recent article, Cory Johnson, a Ripple executive pointed out how Amazon he is paying almost a billion dollars in Nostro accounts; this is just so that they can pay their users all over the world. If the company had decided to use Ripple, the tools offered by them would certainly have served Amazon that money
Further, The Ripple XRP digital resource has more options to choose from. xRapid, is one that is fast and has the communication system at the forefront through IRppleNet. Another is xCurrent that processes payments in less than thirty seconds. If these were implemented, not only would the company have saved on a huge recurring but also future-proof cost. Now it will be interesting to see how, if that is the case, Western Union will modernize itself to serve the changing times.