Why Buy Now, Pay Later is Develop Now, Be FinNative
Back in the day when I was a younger version of myself, I was a full-time student and part-time pocket money takin’ teenager.
Buying video games in the 1990’s was a romantic affair – weeks, sometimes months – of visiting a store, picking up the video game box, looking at the back, dreaming of the day I’d be able to afford it. Either my parents will cave to spoiling their child, or I’d have to save up my pocket money.
Target had this great service called ‘Layby’. I could put down a deposit and make regular payments until it was paid off. There were no online orders, no next day delivery and no automated payments. You had to take your receipt in-store and pay on-time and with cadence. The things we did for video games!
Fast forward to 2022: Laybuy, Afterpay / Clearpay, Klarna and even PayPal are in on the Buy Now, Pay Later (BNPL) gold rush. These companies have a combined value in the hundreds of billions of dollars.
How was this possible?
We know as long ago as 2011 that software is and continues to eat the world. Legacy BNPL could not scale the way it does now: only possible through software delivery running at scale globally in the cloud, delivered through cloud native software engineering and architectural practices.
Through software development and delivery to the cloud, companies have been able to become ‘FinNative’ – Financially Native – in that they no longer need to rely on centralised payment gateways (more like gatekeepers) of processing transactions aka accepting payments.
Now, through the drop-in of a few lines of code, any business can integrate in minutes with Stripe, PayPal and the BNPL pièce de résistance – Klarna.
How can your business become FinNative?
- Be Cloud Native – pick a cloud, any cloud. A foot in the door is worth more than one shoe outside. Unless you’re breaking the cloud, you probably don’t need to be on-premise.
- Software Development Teams – developers are the new Kingmakers. Be proud of your developer experience. Developers are your first-class citizens.
- SDLC – Agile? Scrum? Kanban? Scrumban? Optimise, rinse and repeat. SDLC is the DNA of your software development delivery.
- CI/CD – if you don’t know what CI/CD means, you may already be too late. If SDLC is the DNA, CI/CD is the blood. Delivery frequency is one of the single biggest differentiators of winners and losers in business.
- Shift Left – test, rinse and repeat. Code reviews, code quality, unit testing, integration testing, security checks, compliance and policy enforcement. Especially if you’re FinNative, don’t short change what’s left (pun intended).
- Build Once, Scale Everywhere – Kubernetes has forever changed the application delivery landscape. Now, you can have what Google runs on in a matter of minutes, running on any public cloud (AKS, EKS, GKE, et al.). The best way to do this is with GitOps, and the best way to do GitOps is with Weave GitOps.
Where to start?
For most businesses, you won’t be starting from zero. You may have an existing team, paying customers, and cloud infrastructure. The challenge is the “what’s next” – how to improve, grow and scale.
Kaizen (continuous improvement) is the antidote to most business challenges. Constant and continuous improvement, 1% better each and everyday, moving towards your North Star of becoming FinNative – moving from a priori to a posteriori.
In other words, the “unknown unknown’s” of business growth is resolved by the value of a well oiled fast feedback loop, well architectured, cloud native software delivery machine.
How to start?
The best way for your business to start is to accelerate the journey to becoming FinNative. Think of it akin to taking a flight versus driving. While you may have the capacity to get where you’re going, it’s more effective and efficient to accelerate the journey. Especially in the modern landscape of cloud technology. Why wait?
esynergy helps build products, services and platforms that accelerates value for clients and is key to realising their business goals. We work with stakeholders, understand your requirements and define the cadence for value delivered e.g. two week sprints. This ensures value is delivered effectively and continuously (because kaizen), and those 1% improvements become atomic overtime.
We bring the expertise – especially in the ecosphere of becoming FinNative, notably:
- Security (Shifting Left) and CI/CD
- Data Processing, Encryption and Storage
- Two Factor Authentication for transactions
- PCI DSS, GDPR and other regulation compliance
This is but to name a few. esynergy helps you accelerate your journey to becoming FinNative.