75% of C-level executives in the U.S. retail, hotel and restaurant sectors* admit to a seismic shift towards digital commerce according to a study revealed by J.P. Morgan and FreedomPay

Groundbreaking data uncovers new attitudes and strategic change brought about by the historic head-on collision between technology and the global pandemic

PHILADELPHIA,June 9,2021 -- 'PREPARING FOR THE RETURN OF DEMAND How America's Retail & Hospitality Tech Elite Tackle Disruption with New Commerce Investment',an independently conducted analysis of the views of America's primary sectoral IT decision-makers,commissioned by global payments leader J.P. Morgan and commerce innovator FreedomPay is published today. The new study reveals the deepest concerns and actions taken to manage innovation and tech- investment while uncovering dramatic shifts in strategy brought about by,and offsetting the negative impacts of,the Covid-19 crisis.

Over a period of 12 months,researchers interviewed 50 C-suite and Head of Function executives from America's top-ranking food and beverage,retail,and hotel brands with a combined revenue of more than half a trillion dollars. The companies included 8 out of the top 15 US Hotel Groups and one of America's top three retailers.

Initiatedin December 2019,before the COVID-19 pandemic hit,the study was successful incapturing key challenges and barriers of senior decision makers when it comes to growth,technologyinvestmentandtheirviewofthelegacysystems.

Two thirds of respondents (63%) were dealing with issues around the direction of techinvestment and where best to allocate resources – from POS and e-commerce platformstodataanalysisandmobileapps.

One in four respondents (25%) also faced major issues such as data lags in legacy platforms and disparate systems with patchwork processes and silos that were holding them back from investing and training staff on new technology.

Keyfindingsamongseniordecisionmakerssurveyedinclude:

There has been a rapid shift in priority of decision makers in tech investment and data commerce,from focus on low-tech investment and legacy systems to touchless commerce and digital capabilities with 78% of C-suite executives saying the 'Black Swan' moment has re-shaped their future and emphasized the urgent need to focus on integration of digital platforms during lockdown.

69% of technology-focused head of functions surveyed have placed digitalization and data integration at the heart of their business processes. This shows there has been renewed and accelerated demand for digitalization,mobilization and greater integration of real-time,data driven commerce.

There is a recognition that better use of 'big data' and real-time insight is vital to maintain operations,respond to rapid change and support growth. More than two- thirds (69%) of senior decision makers surveyed sought to integrate digital channels and data in order to create new operational models and customer touchpoints to sustain their business during office-closures,staff isolation,premises lockdown and diminished physical footfall. 44% of respondents also perceive value of data has become more important.

"Initiated pre-pandemic,this study had the unique ability to reflect the impact of one of the greatest global economic crises of the modern era on the Retail & Hospitality sector. It hastherefore captured the thinkingof the most influential players,gauging their personal 'front-line' assessment of the true impact of COVID-19 on commerce,customers,employees,andvendors.

"This study uncovered unprecedented insights into how customer purchasing behavior is driving our merchant clients to build more effective payment and data commerce strategies,create new roadmaps and shape vendor relations in 2021 and beyond," commented Molly Walsh,Head of Product for Merchant Services at J.P. Morgan.

"A key takeaway from the study overall,emphasizes that the challenges experienced over the last 12 months are creating new opportunities for tech-investment as retail and hospitality organizations re-evaluate what's really important,added Chris Kronenthal,President & CTO of FreedomPay. "Underpinning this is the recognition that better use of 'big data' - and real-time insight - is now vital to maintain operations,respond to rapid change and support growth."

To download the report visit www.freedompay.com.

NotestoEditors

*OfthoseinterviewedwithintheStudy

50hourlongtelephoneinterviewscarriedoutthroughout2020.

25completedprePandemic(Dec-Mar2020)25during thePandemic(Sept-Nov2020)

Interviewsundertakenin:

Industry sectors: Hotels,Restaurants and Retail

Company Size by sales turnover: (32%) US$5bn+,(24%) US$(2bn-5bn),(20% US$(500m-2bn),(24%) US$ (100m-500m)

Job Functions (All have responsibility for implementation of new technology)

36% C-Suite executives with technology implementation focused remit,64% Head of function with technology implementation focused remit.

Thefindingsofthefullreportfocusonfourprincipalareasthatwillshaperetailandhospitalitydata-commerceinvestmentprioritiesin2021,namely:

- Challengesandopportunities

- Returnoninvestmentandvalue

- Stakeholderexpectation

- Ethicsandcompliance

AboutJ.P.Morgan'sCorporate&InvestmentBank

J.P. Morgan's Corporate & Investment Bank is a global leader across banking,markets and securities services. The world's most important corporations,governments and institutions entrust us with their business in more than 100 countries. With $31.3 trillion of assets under custody and $705 billion in deposits,the Corporate & Investment Bank provides strategic advice,raises capital,manages risk and extends liquidity in markets around the world. Further information about J.P. Morgan is available atwww.jpmorgan.com.

J.P.MorganWholesalePayments

J.P. Morgan's Wholesale Payments combines our treasury services,trade,commercial card and merchant services capabilities and our vision is to enable clients pay anyone,in any currency,anywhere in the world. We are at the forefront of payments innovation,developing cutting-edge solutions to help our clients succeed in an era of service and technology transformation.

AboutFreedomPay

FreedomPay's Next Level Commerce™ platform transforms existing payment systems and processes from legacy to leading edge. As the premier choice for many of the largest companies across the globe in retail,hospitality,lodging,gaming,sports and entertainment,foodservice,education,healthcare and financial services,FreedomPay's technology has been purposely built to deliver rock solid performance in the highly complex environment of global commerce. The company maintains a world-class security environment and was first to earn the coveted validation by the PCI Security Standards Council against Point-to-Point Encryption (P2PE/EMV) standard in North America. FreedomPay's robust solutions across payments,security,identity,and data analytics are available in-store,online and on-mobile and are supported by rapid API adoption. The award winning FreedomPay Commerce Platform operates on a single,unified technology stack across multiple continents allowingenterprisestodeliveran innovative Next Level experience on a global scale.www.freedompay.com

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