04 COVID-19 is affecting business profitability across most industries, due to developments such as lack of supply, displaced workforces and Expect payments companies to new regulatory barriers. • For payments companies, compressed revenues as a result of reduced rethink short-term consumption are driving the most impact. • As a result, expect them to urgently review their costs to offset lost revenues and priorities and minimize layoffs. reduce costs • Hiring freezes, contractor furloughs and reduced customer services will be common across all industries, including payments. in the wake of compressed • Fintechs specialized in lending, and lacking significant funding to weather the revenues storm, could be forced out of business or to sell to better-capitalized competitors. Expect stifled investment in innovation, but an opening up of opportunities for fintech 13 10 Ways COVID-19 is impacting payments