card payments world shortlist 2013
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Contents //05 EDITOR’S COMMENT Charting the rise of card payments
//06 IMPORTANT TO WATCH • DebitCards“reachingsaturation” • UKrailoperatorstartscontactlesspayments • PoppyDayappealbyNFC&QR • ThreeimportantUKtrends
//07 • Cardusetorise75%innextdecade • UnionPayincreasesglobalcardshare
//08 • MoreLoyaltycardsnowonphonesthan inwallets • Mobilepowersonlinegrowth • BarclaysexpandsPingitmobileapp
//09 • GlobalNFCpaymentsforecastlowered • Amazonlaunches‘loginandpay’service • PayPalstepsuphighstreetefforts withmobileapp
//10 FEATURE Merchant Power! “Whatever we want” say retailers
10 COVER STORY: MerchantPower! 6
//13 THE CARD & PAYMENTS AWARDS 2014
The2014fullshortlistofentries
//31 FEATURE Regulation: PSD2 is coming soon
//33 FEATURE TappingtheBigDatapotential
//34 MOVERS & SHAKERS Followingtheindustryleadersintotheirnewroles
//35 PLACES TO GO PEOPLE TO SEE The‘mustgoto’eventsofthenextfewmonths
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13 The Shortlist
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Editor’s Comment
Editor AnnichMcIntosh [email protected] www.cardworldonline.com
Card & Payments World is published by C&MPublications,3aMarketPlace Uppingham,RutlandLE159QH UnitedKingdom Tel +44(0)1572820088
Production Editor LiamMcLoughlin [email protected]
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SUBSCRIBE TO CARD & PAYMENTS WORLD...ONLINE: www.cardworldonline.com andfollowthe‘SUBSCRIBE’link
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Charting the (unexpected & continuing) rise of card payments//It is no secret that we are living in interesting times. This is indeed a period of
fundamental change for payments. We are at the cusp of a revolution in the way we interact. The mobile device has become central to the way we live our lives.
Weallheartheseandotherequallyprofoundandtruestatementseverytimethereareagroupofpaymentprofessionalstogetherinthesameroom.Butthereisanothertrendquietlyemergingthatisequallyinteresting.Itisthecontinuingriseincardandothertraditionalpaymentmethods.
Historyrarelytakesthepredictedrouteandpaymentsarenoexception.
NFChasn’tburstintowidespreadacceptanceaswasenvisagedfiveyearsago.Contactlessisstrugglingtoreachitsexpectedpotential.Mobilepaymentswillundoubtedlybemassive,butitwon’tbeastraightforwardroutetoubiquityandpaymentsareunlikelytobethedriverforconsumers.Thepaymentspathiscomplicated,fragmented,fragileandwithunexpectedturnsandaboutturns.Ittakesabravepersontomakepredictions.
Takethosecardpaymentsforinstance.mPOS,whichwasintroducedasamobilephonepaymentsterminaltofacilitatemobilepaymentsbysmalltraders,isactuallybeingadoptedheavilybylargeretailerswantingtomovetheterminaloutintotheaisle.Itisbeingusedextensivelytofacilitatecardpayments.
Mobilepaymentswereexpectedtotakeoffforsmallvalueamountssuchascoffeeandsnacks.Peoplesofarprefertopaybycardbecauseitisquicker.Atthesametime,thereishugecautionaboutusingcontactlesscards.Thesearefixableissues,andonceaddressed,thisscenariocouldlookverydifferentbutrightnowmobileisnomorelikelyasastandalonepaymentssolutionthanelectronicpurseswere.
Andwhatdomerchantswant?Everythingtheyaskfor,itseems,accordingtothesewhocommentinourarticleonMerchantPower.
Butintroduceloyaltyasaconceptinthescenarioanditisadifferentconversation.Astudyreportedinthismagazinepointsoutthatcustomersprefertohavetheirloyaltycardsontheirmobilephonesthanintheirwallet.Theyarealsointeractinglessthroughretailloyaltycards.Theseareinterestingtrendsthatarethereverseofwhatishappeningwithpayments.Itpointstotothepotentialofloyaltyasanimportantdriverformobilepayments.
ThisissueofCard&PaymentsWorldcontainsthefullshortlistforTheCard&PaymentsAwards2014whichdisplaysadiverseandinterestingmixofthetraditionalandthegroundbreakingthatreflectstheunpredictablenatureofpaymentstoday.Itmakesafascinating read.
AnnichMcIntoshEditor
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Debit cards “reaching saturation”Results of UK debit survey
//G rowth in the total number of debit cards continues to be slow and the number of cards in issue is reaching
“saturation”, according to The UK Cards Association.
Thenumberofcardsincreasedby0.3%inJuly,comparedwiththe0.1%averagemonthlygrowthinthefirsthalfoftheyear.
Thenumberofdebitcardsincreasedbyaroundamillionto47millionin2012fromthepreviousyear,with245debitcardtransactionsbeingmadeeverysecondintheUKwithacombinedvalueof£337bn(equivalenttonearly25%oftotalUKGDP).
Thesurveyfoundthat91%oftheadultpopulationholdsadebitcard.TotaldebitcardtransactionvolumesintheUKgrewataround6.1%to
10.8billionin2012,whiletransactionvalueincreasedby2.7%to£541bn.In2012onlinedebitcardspendingpassedonlinecreditcardspendingforthefirsttime143%since2007.Around73%ofallspendingintheUKretailsectorismadeusingplasticcards,withdebitcardsaccountingfor50%ofthetotalspend.
Contactless debit cards Thenumberofdebitcardsissuedwithcontactlessfunctionalityrose2.6%inJulytoreach18.5million.Thenumberofcontactlessdebitcardsisprojectedtoincreaseto21.4millionbytheendoftheyear.
Domesticdebitcardspendinggrewby1.3%inJulytoreach£31.1bn,similartothe1.4%monthlyaveragerecordedinthefirstsixmonthsoftheyear.Meanwhiledebitcardtransactionsjumpedby2.7%inJulytostandat693millionafterincreasingby1.5%and1.8%inMayandJunerespectively.(Thesefigurescomparewith0.5%averagemonthlygrowthbetweenJanuaryandApril).
Thedomesticaveragemonthlyspendpercardincreasedfrom£347to£351,continuinganupwardtrendthatbeganatthestartoftheyear.Averagetransactionvalue(ATV)fellto£44.91inJulyfrom£45.50inJuneand£45.65inMay.
Important to Watch
//U K rail operator Merseyrail has started accepting contactless cards
for payments of under £20 – but users will still need to carry a paper ticket for their journey.
MerseyrailhaspartneredwithMasterCardandGlobalPaymentsontheinitiative.Userswillbeabletopaywithcontactlesscredit,debitorprepaidcardsviareadersatmannedboothsinthenetwork’sstations,andtheywillthenbegiventhepaperticketstotravelwith.
Thenorth-westtrainoperator,whichcarriesaround100,000passengersona
normalweekday,says98%ofitscustomertransactionsareunder£20andcontactlesspaymentwillprovideafasterservicewithlessqueuingtime.ItaddsthatmostMerseyrailstationswillbeequippedwiththecontactlesstechnologybytheendofNovember.
Therewillbenoself-servicecontactlessticketingmachinesandtheoperatordoesnothaveanyplanstointroduceLondonOyster–stylereadersatentrygates.
ThefirstphaseofthelaunchwillacceptMasterCardandVisacards,andtheoperatorsaysAmericanExpresswillfollownextyear.
Users will still need a paper ticket
UK rail operatorstarts contactless payments
//Majornewtrendsinunsecureddebt,creditcardwrite-offsandpaydayloanswillheavilyimpacttheUKpaymentsmarket.
Thelevelofunsecuredborrowingincreasedby£8.5bnoverthelast12months–thefirstincreasesincethefinancialcrisisin2008anddrivenalmostexclusivelybystudentborrowing,accordingtoPWC.Theaveragevalueofastudentloanhasincreasedbymorethan2000%sincetheearly1990stocloseto£8,000today.Creditcardwrite-offs,whichpeaked
in2010at£5.3bn,andrepresentedcloseto10%ofoutstandingbalances,havefallendramatically.In2013,writeoffsfelltolessthan3.5%ofoutstandingbalances,lowestinoveradecade.Thefullimpactofthegovernment’sproposednewcaponpaydayloanchargeshasyettoemergebutindependentpaymentsconsultantMarkMcMurtrie,predictsthechangecouldcreatenewopportunitiesforcreditcardissuers.
Three important UK payment trends
Poppy Day appeal by NFC & QR“Tap the poppy” campaign enables donations
//C ollection tins and posters for the Poppy Day appeal in Birmingham
were enabled so those with NFC mobile devices could donate to The Royal British Legion charity.
ProxamaandmobilemarketingplatformproviderPayThruprovidedthe‘tapthepoppy’technologyforthecampaign.
QRcodeswereavailableforpeoplewithnon-NFCdevicesto donate to the appealthroughtheir smartphone.
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Important to Watch
Card use to rise 75% in next decadeMobile payments and ACH in the mix
//C onsumer card use in the UK will go up by 75% over the next ten years, according to the Payments Council which expects
card use to rise from nearly 10 billion payments in 2012 to almost 17 billion in 2022, driven primarily by increased debit card use and acceptance.
Thereportalsopredictsthatthenumberofcashpaymentswillfallfrom21billionin2012toaround14billionin2022,aspeopleincreasinglyusealternativessuchascardsandautomatedpayments.
Other major predictions in the report include:• Consumerchequetransactionsareprojectedtocontinueto decline–from477millionchequesin2012toaround186million in2022.• DirectDebitusebyconsumerswillgrowby20%toaround 3.7billionpaymentsin2022–drivenbyincreaseduptakeof newregularcommitmentsandagrowthinthesizeoftheadult population.
• Mobilepaymentsandinternetbankingwillhelpdriveup consumeruseofone-offpaymentsfromtheiraccountsfrom356 millionpaymentsin2012toaround1.5billionin2022.
• Populationgrowthandeconomicgrowthwillmeanconsumer paymentsareworthover£2trillionin2022,upfrom£1.3trillion in2013.
M-paymentsMobilepaymentsgrowthwillbedrivenbyanumberoffactors,includingthePaymentsCouncil’slaunchnextyearofaservicetomakesecureaccounttoaccounttransfersusingonlyamobilephonenumber.Thenumberofpeoplewithinternet-connectedmobiledevicesisalsosettogrowmarkedly.TheCouncilforecaststhatmanymorepeoplewillbepayingfriends,familyandsmallbusinessesusingphonesandtabletsby2022.
InternetThereportsaysthatplasticcarduseforinternetpurchaseshasseenlargegrowthinpaymentvolumesinrecentyears.Nearly40millionpeopleboughtgoodsorservicesonlinelastyear,mainlyviaplasticcardsanditpredictsthistrendwillcontinueevenmoreoverthenextten years.
Thereportforecaststhatalongsidecontactlesscardsandmobilepayments,e-commercewillbeamajorfactorinthenear-doublingofconsumercarduseto17billionpaymentsin2022.
CashCashpaymentsareforecasttofallbyaroundathirdto14billionin2022,largelydrivenbyanincreaseduseofcontactlesscardsinshopsandmobilephonestopayfriendsandfamily.
Direct DebitRegularhouseholdandpersonalbillssuchasmortgages,utilitybillsandgymsubscriptionswillcontinuetobemadeusingDirectDebit.Thenumberofwagespaiddirectlytobankaccountswillcontinuetogrow.Around13%morewagepaymentswillbepaidtobankaccountsin2022comparedtocurrentlevels.
UnionPay increases global card share- Network still lags in value and volume- Total card numbers up by 12%
//ThecontinuingrapidexpansionoftheChinesecardbasehashelped
UnionPayincreaseitsmarketshareto34%(3.4billion)oftheglobalcardbasein2012.
Despitetheincreaseinitsshareofglobalcards(from31%in2011),UnionPay’svolumeandvalueofpaymentsremainsconsiderablylowerthanthoseofVisaandMasterCard,owingtolowcardusageinChinawheremorethan99%ofUnionPaycardsarefound.Thenumberofpaymentcardsworldwide
increasedby12%in2012toreachalandmark10billion,accordingtodatafromconsultingfirmRBRResearch.Tenbillioncardsincirculationworldwidecorrespondstoanaverageof2.3cardsperadult,butthisvariesfromfewerthantwointheMiddleEastandAfrica(MEA)andCentralandEasternEurope(CEE)tosixinNorthAmerica.AsthebankedpopulationgrowsindevelopingmarketsRBR,predictsthatcardnumberswillincreaserapidlyandthatby2018therewillbe13.6billioncardsincirculationworldwide.
Number of Payment Cards Worldwide, by Type of Card (billions)
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More loyalty cards now on phones than in walletsSupermarkets lose their lead in the mobile world
//F ollowing the surge in smartphone usage, UK consumers now have
access to more loyalty schemes on mobile devices than they do in their physical wallets.
Whilepeoplecarryanaverageoffour traditionalloyaltycards,theynowhave accesstosixloyaltyschemesontheirphones,accordingtoasurveyof2,000peopleconductedonbehalfofmobilewalletproviderCloudZync.
Themostlikelytousemobileloyaltyappswereelectricalretailcustomerswith62%sayingthattheyaccessatleastoneloyalty
schemeforelectricalstoresovertheirphones,followedbyhairdressers(43%)andclothesstores(38%).
Supermarketsstillleadtheuseoftraditionalloyaltycardswith92%claimingthattheyregularlyuseatleastoneloyaltycardforagrocerystore,followedbycoffeeshops(51%)andpharmacies(51%).However,allthreetraditionalloyaltyleaderswerefoundtolagbehindwhenitcomestomobile,withjust36%accessingsupermarketschemesthroughtheirmobile,droppingto33%forcoffeeshopsand27%forpharmacies.Theresearchalsofoundthatloyaltycard
Important to Watch
usershaveonaverage£83worthof redeemablepointsacrosstheirloyaltycardsatanypointintime,andUKshopperscashed
inonover£4bnworthofloyaltycardpointsoverthepastyear.
Consumers that regularly use 1 or more physical loyalty cards or access loyalty schemes via a mobile device, by retail sector.
Barclays expands Pingit mobile appPayments direct from adverts
//B arclays has launched two new features within its Pingit mobile
app, including one that lets users make purchases direct from advertisements. Thefirstfeatureis‘mobilecheckout’,apaymentfeatureforquickandeasypurchasesfromamobileweborappcheckoutpage.Thesecondis‘buyit’,whichthebanksaysbridgesthegapbetweenadvertisingandsalesbyenablingconsumerstopurchaseadvertisedgoodsandservicesimmediately. Barclayssaysthefeaturesareavailablenowforbusinesses,suchasretailers,tooffertheircustomerstomakepayments. ThebanksaysthePingitapp,whichletsusersmakeswiftpersontopersonpaymentsbylinkingtotheirmobilephonenumber,hasbeendownloadedby2millionpeoplesinceitwaslaunchedinearly2012.ItisavailableforApple,GoogleAndroidandBlackBerrydevices. The‘mobilecheckout’featureisoptimisedformobiledevices,withonlyafewclicksrequiredtomakeaninstantsettlementviaa‘PaywithBarclaysPingit’button.Barclayssaysthiseradicatestheneedforthe entry oflargeamountsofpersonaldetails,whichcanbechallengingandtimeconsumingonsmallhandsets.
Mobile powers online growth“Cultural change”
//M obile devices are now behind all online sales growth, according to
new research. AnalysisfromretailtradeassociationIMRGandCapgeminifoundthattherehasbeena“culturalchange”indigitalshoppingwithsalesviadesktopflatlining,andallonlinegrowthnowcomingasaresultofsalesthroughmobiledevices. Thereportfoundthatecommercegrowth,excludingtransactionsmadeviamobile,has
beensteadilydecliningforthelasttwoyears,sincethefirstquarterof2011.Inthesecondquarterof2013itflatlinedaltogether.Bythatpoint,mobiledevicesaccountedfor23%ofallonlineretailsales. IMRGandCapgeminiarenowraisingtheirforecastforonlinesalesin2013to15%growth,duetotherapidgrowthofmobilecommerce.
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Important to Watch
Global NFC payments forecast loweredChina one of few brightspots for technology
//T he healthy growth in sales of NFC handsets has yet to be matched by the adoption and use of handset-based NFC
payments services, with many mobile operators pushing back the launch of NFC-based mobile payment into the final quarter of 2013 or in to 2014 and beyond. Thenumberofcashpaymentswillfallfrom21billionin2012toaround14billionin2022,aspeopleincreasinglyusealternativessuchascardsandautomatedpayments.
ThoseareamongthefindingsofnewresearchfrompaymentsconsultantStrategyAnalytics,whichhaslowereditsglobaloutlookforNFC-basedmobilepayments.TheUK-basedconsultantestimatesthat115millionNFChandsetownerswillspendjustoverUS$48bnusingtheirNFCphonesby2017.Itaddsthat,althoughUS$48bnisalargeamountit“representsadropintheocean”ofthemulti-trilliondollarglobalretailsector.
InsideSecureCEORémydeTonnactoldCard&PaymentsWorldthatNFCisunlikelytobecomethedefactostandardformobilepayments,althoughithasapplicationsinmanyotherareas.
StrategyAnalyticssaidtheloweringofitsoutlookreflectstheslowpaceatwhichoperatorsarepushingNFCpaymentservices,limited
NFCpaymentdeploymentsbyhandsetmakers,andthecontinuedslowadoptionofcontactlesspaymentsbyretailers.
“WiththeexceptionofChina,whereweseesomemomentumfromChinaMobiledeployingitsmobilewalletservice,fewermobileoperatorsthananticipatedlaunchNFCpaymentservicesin2013,”saysNiteshPatel,directoroftheWirelessMediaStrategies(WMS)serviceatStrategyAnalytics.“Furthermore,handset[maker]OEMSamsung,whichannounceditsstrategicpartnershipwithVisaIncinFebruary2013hasyettoofficiallyofferasecurepaymentsservicebasedonthatrelationship.”
TheresearchpredictsthatthevastmajorityofdeploymentswillcontinuetobeinAsiaPacific,followedbyNorthAmericaandthenWesternEurope.
Amazon launches ‘login and pay’ serviceCustomers can make payments at other e-commerce sites
//Amazon is targeting a slice of PayPal’s online payments business
with the launch of a service that lets customers use their Amazon login details to make payments at other e-commerce sites. ThesystemisbeingmadeavailabletoAmazon’s215millionactivecustomersand
couldbeamajorchallengetoPayPal’sonlinepaymentsdominancebyenablingpeopletotransactatanumberofsitesviajustonesetoflogindetails. e-commercesitesthatpartnerwithAmazonwillbegivenasetofwidgetsandAPIstoembedontheirsiteandintegratewith
back-endsystems.The‘LoginandPaywithAmazon’systemusestheOAuth2.0protocol,whichhasbeenbroadlyadoptedforuser-authorisedexchangesacrosssites. Amazonsaysthenewsystemwillenableonlinemerchantstocreatelong-termrelationshipswithmorecustomers.
PayPal steps up high street efforts with mobile appNew offering enables POS payments offers and rewards
//P ayPal has launched a new assault on the offline world with a mobile
app that lets consumers make purchases and redeem offers by scanning a QR code on their mobile device. UsersofthenewPaymentCodeapp,toberolledoutgloballyinQ12014,canalsoreceiveashortfour-digitcodeontheirphonetocompleteapurchase.
PayPalclaimsthattherealvalueoftheappisthatitwillallowconsumerstoautomaticallyredeemanyspecialoffers,giftcards,merchantrewardsprogrammesorotherformsofpaymentthatmightbesavedintheirPayPalwalletinonequicktransaction.NonewPOStechnologyisneededasthesystemutilisesthe2Dbarcodescannersalreadyinstalledatover40millionmerchantPOSaroundtheworld.
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Feature
“Whatever we want” say retailers
//A trend has been developing for some time now that is scaring the hell out
of financial services. It is the growing power of the retailer.
Fasttrackbackwardsto1995foracomparisonofattitudeandinfluence.Twodecadesago,conferenceswereaboutwhatbanksweredoing,whichnewcardlauncheswereimpressingone’speersandwhowasofferingthebestconsumerrewards.
Thisfocusledstraightfromtheissuertotheconsumerinadirectline,leap-froggingoverthemerchantwhowasthesilent,longsuffering,uninterestingpartywithinthe...party.
Andapartyitcertainlywas.Plentyoflaunches,lotsofexcitingtechnology,theinternetgrowinginimportanceandhardlyanythingtostoptheinexorableriseanddominanceofthefinancialinstitutioninthepayments chain.
Itwasn’tthatmerchantsdidn’tcount–ofcoursetheydid.Wasn’ttheBritishRetailConsortium,EuroCommerceorasimilarpressuregroupusuallygivena40minuteslotduringatwodaypaymentsconference?Didn’ttheyalwaysmoanabouthowharddonebyretailerswere,andhowhighinterchangewas–asifbanksandcardcompaniesweregoingtochangethefourpartymodel.Whatanoutrageoussuggestion.
Paymentswastheconcernofthecardcompanies,thebanksandthecardbrands,MasterCardandVisa.Theretailerswereexpectedtokeepoutofwhattheydidn’tunderstand,andletthepeoplewhoknewwhattheyweredoinghandletheriskbasedsideofthebusiness.
Nowfastforwardto2013,postthebankingcrashes,theeconomicrecession,postAmazon,eBayandPayPal,andthesituationcouldn’tbemoredifferent.
InLondonrecentlyforexample,therewasaconferencecalled“Merchants&Payments”–asubjectwhichwouldhaveappalledattendeeseventenyearsago.Andthespeakerlineupcontainedasmany,ifnotmoreretailers,thanitdidpaymentscompanies.AttheMobileWalletSummitEurope,therewereasmanypresentationsaboutconsumerloyaltyandretailerinitiativesastherewerefrompaymentsproviders.
Itseemsthepaymentindustryhaschangeditsoftheardviewofthepreviouscoupleofdecades,that“issuingisthesexypartandmerchantacquiringistheboringbit”andstarted to recognise that it is in fact the merchantthatholdsthepower.Increasingly,theseupstartmerchantsareusingit.
Demanding retailersTheHighStreethashadtobattendownitshatchesinascenariosimilartoaWorldWarTwostyleblitz,butthosetradersthathavecomethroughthevagariesofthelastfewdifficultyearsarestronger,moreknowledgeableandadamnedsightmoredemanding.
Muchofthiscanbeblamedontheinternet.Whystickwiththeincumbentacquirer,whenwithaswishofone’smouse,ahostofhighlycompetitiveinternetstartupscomepouringontothecomputerscreen?
Afteryearsoflobbying,theEuropeanCommission,togetherwithnationalregulatorsfromaroundtheglobeareinsistingthatthepaymentbrandsandthe
banksreduceelectronicpaymentchargesThe“honourallcards”ruleisathingofthepast.
Consumersaregettingusedtobeingtoldtheywillhavetopayextraiftheyusecertain‘expensivetoretailers’paymentproductsandtheyarealteringtheirshoppingpracticesaccordingly.Merchantsareofferingthemethodsthatworkforthem,notthosetheyaretoldtousebytheirbanks.
Andiftheirbankdoesnotmatchtheirexpectations,itisnowactuallypossible,intheUKatleast,tomovetoanother.
So the pressure from retailers is growing, but what does this mean in practice?DaveBirch,directorofConsultHyperion,describedhowitusedtobe:“Forthosetooyoungtoremember,paymentsusedtobeboringbecauseitwaspredictable.Developmentsweredeterminedinsmokefilledroomswherethemostexcitingaspectsofstrategicplanningtendedtobearoundwhetherinthreeyearstime,theyshouldshiftfieldsevenfromonebytetotwobytes.
Merchant Power
Why put up with high interchange and merchant fees if there is an interbank
transfer service available at a fraction of the cost or a
mobile payments provider who will process payments
for nothing?
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“Wehavemadeprogresswithelectronicpayments,”concedesBirch,“butwehavenotdonewellenough.Therearenewstakeholdersnow,andthesearethemerchants.Thisisastateofaffairsthatisonlyjustemerging,andithasbeencausedbythegrowthoftheFAGS(Facebook,Amazon,Googleetc).Butifwedon’tconstructsomedialogue,therewillbesomeperverseoutcomes.”
Thepotentialwin-wins,forthoseinpaymentswhosetupthisdialogue,andworktogetherwithmerchantsisverygreat.Thealternativeisthattheywilllosetheircustomerstonewpaymentsproviders,suchasmobilestartupsandinternetmodels.
Thereareplentyaboutthatseemtobedoingverywellcircumventingtheexistingmodel.
So what should financial institutions and existing payments providers do to reconnect with merchants?ThestrongestrequestfromthemerchantsspeakingattheLondonMerchants&Paymentsconference,istoprovidethemwiththetoolstheyneedtokeepthecustomerscrossingthethreshold,whetherthisisinperson,orvirtually.
Thismeansprovidingthepaymentschannelsthatthenewconsumerwantstouse,inawaythatisuserfriendly,andeasyfortheretailertomanage.Theyarealsointerestedinusingpaymentsdataefficientlyforcustomeranalyticsandinusingexistingsystemsformarketing,especiallyusingsocialmediaandinterestingformsofloyaltyinitiatives.
Mobile paymentsTheironyaboutmobilepaymentssofaristhatitisnottheconsumerthatwillbefirsttoadoptthismethodofpaying,butthemerchantsthemselves.mPOSisalreadybeingusedsuccessfully,notjustforsmalltraderssuchaswindowcleaners,butforlargemerchantswhowanttomovethepaymentsterminaloutfrombehindthecounterandintotheaisle.
Andthereisagreatdealmoretointegratingthemobileintotheshoppingprocessthanjustthepaymentpart.Mobilecanbeusedtoresearch,compare,recommend,collectpointsandcoupons,connectwiththemerchantandwithothershoppers,andstoreeverythingfromguaranteestoshoppingpreferences.Themobiledeviceisofcrucialimportancetoretailerswhowantaseamlessomnichannelofferingfortheircustomers,andapotentialgoldmineforthosewhogetthe proposition right.
DataOneoftheproblemswithgettingbanks
torelatetomerchantsinthewaythatmerchantswanttorelatetoconsumersisthattheydon’tseedatathesameway.Merchantsviewcustomerdataasawaytounderstandshopperbehaviour,andrespondtotrends.Theyincreasinglywanttocommunicatewithcustomers,encouragingproactiveresponsefromshoppersusingsocialmedia,andformingclubsandgroupsthatwillrecommendproductstoeachother.AmassivelysuccessfulexampleofthisisStarbucks,whichisstillbreakingallrecordswithitspaymentsandloyaltycard,andwhichisexploringhowthemobilecanmakethisrelationshipevenmoresuccessful.
Banksandcardcompanies however,arelesscomfortablesharingdata,andfewareusingthisasawaytoaddvaluetoamerchantacquiringrelationship.
Financialinstitutionsarealsoobsessed
withpayments,ratherthanconsideringthewholeshoppingjourney.OlivierDeneckerofMcKinseycommented:“No-onelikestopay,theyonlywanttobuy.ThewholeworldofPOScommerceischangingPOSpayments,notthe
reverse.Thereisanadjacentopportunitytopayments.Itisevaluate,buy,bond.”
New boysPayPalusedtobethenewboyontheblock,butthesedays,itisconsideredratheranoldtimer,andheretoo,thereisanurgencytotakeadvantageofwhattechnologyismakingavailableviamobileinteraction.RobHarper,headofretailservicesEMEAforPayPal,admitsithasgonethroughmanyfacetofacepaymentstrials,butwithitsrelationshipwithDiscover,theonlinepaymentcompanyownedbyeBayisnowreadytomoveseriouslyontotheHighStreet.WorkingwithCloverandFirstData,andputtingtheAmazoncheckoutatthedisposalofmerchants,theintentionforPayPalistomakemoneyonthewholetransactionincludingfromharnessingthedataandmovingintootheradjacentspaces.Askedwhytheyhavetriedsomanydifferentsolutions(thinkfacepaymentforexample,aswellaslotsofothermodifications)
Withanewmobilepaymentmethodbeinglaunchedeveryfewdays,andtheexistingplayerslaunchingnewsoftwareeveryfewweeksinordertokeepupwithdevelopments,thisisnotaraceforthefaint-hearted.Andtherearemassiveinfrastructurechallenges.Merchantsneedtointegrateanynewpaymentmethodintotheirsupplychain.Itmustbeabletoadapttooffers,andtheremustbepaymentserviceintegration.Aboveallitmustbeeasyforconsumers.This,suggestsHarper,iswhereStarbuckswinshandsdown.Thepropositioncouldn’tbemoresimple.Acustomerusesthecardperhapstopre-ordercoffeeonthewaytoashop,orattheveryleasttoearnpointsandpay.Thislackofcomplexityiscreditedwithmuchofthesuccess.Soaretherelessonstobelearnt,notleastbytheNFCbusinesswhichisstillstrugglingtoreachthepointwherethetechnologyismainstream?Harpercomments:“Becauseofregulation,andbecausemerchantsarechangingwhat
“There are likely to be many different types of mobile payment.
It will be fragmented. It is impossible to predict which
technology we will be using in the future. But who would have been able to predict the success of the iPad, or today predict what the next disruptor will look like?”
Rob Harper PayPal
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Rob Harper - PayPal
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theysellandhowtheysellit,choicesofpaymentmethodarebeingmadeonlevelsofefficiency.Thisisaveryexpensivebusiness.“NishatMehta,ofdunnhumbysuggeststhatthereshouldbemorefocusonmarketing.HegavetheexampleofapaymentsapplicationofferedinaNewYorktaxithatenabledhimtopayforhisfarequickerthanthetaxidrivercouldprintouttheautomatedreceipt.Asthissystemalsoenablestaxistobecalledtoaspecificplace,withthedriverabletohomeintothemobilesignal,thisoffersdefinitebenefittoconsumers.“Therehasbeenaprofoundtransformationinthewayweshop,withanenrichmentoftheconsumerexperience,”hemused.
Itisthisbenefitthatretailersareanxioustopinpointanddevelop.Ifthepaymentprovidercanhelpthemtodothis,thenafruitfulandlongtermrelationshipwouldfollow.
RichardBraham,headofpaymentsfortheBritishRetailConsortiumisyettobeconvincedthatpaymentsprovidersarenowonthemerchants’side.Askedtoexplainwhymerchantsdonotsteerconsumerstocontactlessforexample,eventhoughithasthelowestinterchange,hesuggested:“Providersmakemoneyoutofpayments.Iftheywanttobuyinfrastructure,thentheyhavetopayforit.Contactlessis20millisecondsfaster.Whoisthatgoingtobenefit?VisaandMasterCardwantmoretransactionswithacard,itisnotspeedthatisthedriver.ThesameistrueofNFC.Itisexpensive.Whoisgoingtopayforit?”
“…and whatever WE want,” say consumers
WithablurringofthelinesbetweenonlineandHighStreetshopping,andablurringoftherulesofengagementbetweenmerchantandpaymentprovider.Athirdscenariohastobetakenintoconsideration.Themerchantsthemselvesarearguingthatitisnotthemincontrolatall,butverydefinitelytheconsumer.SaidPaoloBonsignore,marketingdirectorEMEAforcoffeecompanyIlly:“Fiveyearsagotherewerethreetouchpoints,thestore,afriendorapurchase.Todaytherearemultipletouchhpointssoitismorechallenging.Thereisnolongerabuyingprocedure.Nowitisaboutthecustomerjourney.”
The 2014 Card and Payments Awards
“//Fortheninthyearrunning,wearepleasedtoannouncetheshortlistforTheCard&Payments
Awards.Thishasbeenaveryinterestingyearforthecardandpaymentsindustry,withthefocusverymuchonprovidingthat‘somethingextra’toboththeconsumerandthemerchant.Whetheritisimprovedproposition,bettercustomerexperience,theuseofloyaltyandrewards,newchannelsorimprovedcustomerinteractiontherehasbeenmuchactivity.Marketingisgettinglivelyandnewproductsarecomingtomarket.
Therehavebeensomenotableinnovationsandapplicationsandpaymentsprofessionalsarechallengedwiththeneedtoconstantlymoveforward.mPOS,NFCcontactlessandotheralternativepaymentsmethodsareincreasinglybeingadopted.Thereisalsothecomplexandcontinuouslychangingregulatoryenvironmenttoconsider.Despitethesehurdlesandthedifficulties,itisanexcitingtimeandthisyear’sentrieshavereflectedthis.Withintheshortlist,thereareexamplesofgreatcreativity,innovation,ingenuityandexcellence.
Withahighnumberofentriesandanextremelyhighstandardofentrythetaskofshortlistingisadifficultoneforourindependentpanelofjudges,chairedbyJohnWoods,ChairmanofMoneyfacts.Howevertheyhavemanagedtodothisandwethankthemwarmlyfortheirefforts.JohnWoodscommented“ThejudgingpanelwerepleasedwiththebreadthofentriesthathavecomeinfrombothtraditionalandnewsupportersoftheAwards.Therearesomeverystrongentriesontheshortlistwhichshowcasetheinnovation,customerserviceexcellenceandotherachievementsbeingdeliveredbytheindustry”
TheCard&PaymentsAwardsGalaEveningattheGrosvenorHouseHotel,ParkLane,Londonisheadingtowardsanothersellout,soifyouhaveyettobookyourtable,bequick!”
Kirsty Perkins
TheCard&PaymentsAwards
Continued from page 11
Just think, pre - 2004, we thought implementing Chip & PIN was challenging. Happy days.
// Winter 2013 13
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The Card & Payments Awards - Shortlist
Couttsisaprivatebankandwealthmanagerwiththreecenturiesofexperience,providingcustomisedsolutionsforitsclients.Followingamajorrefreshedbrandidentity,Couttslookedtobringcohesiontotheirrangeofcardofferings.TheirflagshipcardwasredefinedandlaunchedinApril2013astheSilkCard.
BEST CARD DESIGN OF THE YEAR SHORTLIST
Coutts & Co
SilkCard
TherecentlylaunchedEmiratesdualcreditcardisaninnovativenewprogrammethatenablesCustomerstoenhancetheirSkywardsmembership.TheresultofwhichisacarddesignthatfusesMiddleEasternartwithacontemporaryWesternfeelandfinish.
Emirates Skywards and MBNA
EmiratesSkywardsCreditCardAccountandEmiratesSkywardsEliteCreditCardAccount.
Thelimitededition‘Champions20|13’carddesigncelebratesamomentinhistoryforManchesterUnitedsupporters,withtheiconicboldredasthebasecolour,theManchesterUnitedcrestandtherecordachievementthatnootherEnglishclubhaseverachieved‘Champions20|13’-acardthattrulyrepresentsManchesterUnitedanditssupporters
Manchester United & MBNA
TheManchesterUnited2013ChampionsCredit Card design
Designedtodelightthecustomerwithacardthatstandsoutfromtherestwithavibrantbluefoilandcleanwhitebaseofferingafreshlookandfeel.ThedesignsimultaneouslyevolvesMBNA’sestablishedcarddesignsetaddingstrongerbrandprominenceforstandoutinthemarketplace.
MBNA
The MBNA Everyday Credit Card
Designedtobedifferent-acomplementarytwincardset(AnAmericanExpressandVisaCard)underoneaccountwithcomplementary,yetdistinctivedesignsforcreditcardsthatworkseamlesslytogethersymbolisingtheuniqueMBNA‘MoreRewards’programmeofbothenhancedbenefitsandavastchoiceofrewards.
MBNA
MBNAMoreRewardsCreditCard
Sinceitsre-designinNovember2012Travelex’sCashPassportGlobenowvisuallyalignswiththecard’spurposeasatravelmoneysolutionforglobaltravellersaswellasTravelex’sbrandastheworld’sleadingcurrencyspecialist.CashPassportGlobeisproducedusingmarketleadingtechnologyincarddesignandsecurity.
Travelex and Raphaels Bank
CashPassportGlobe
Welcome to the shortlist for The Card & Payments Awards 2014. The black tie dinner and awards ceremony will be held in The Great Room of The Grosvenor House Hotel, London on 6th February 2014.
For more details on the Awards please visit www.cardandpaymentsawards.com
Prime Sponsor:
Category Sponsor:
// Winter 201314
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The Card & Payments Awards - Shortlist
TheContactlessLondoncampaignsawBarclaycardpartnerwithTransportforLondoninabidtomakeLondoners’liveseasierthroughcontactlesstechnology.Withafullyintegratedcampaignthathadareachofover24m,BarclaycardwereablesignificantlyincreaseBarclaycardbrandawarenessanddailyuseofcontactlesstechnology.
Best Card Marketing Campaign of the Year SHORTLIST
Barclaycard
BarclaycardContactlessLondon
“Toys”wasahighlyintegratedcampaignthatpositionedBarclaycardastheproviderofeasierwaystopayandtheleaderinmobilepaymentstechnology.Byengagingwithconsumersacrossmultiplephysicalandvirtualtouch-points,Barclaycardwasabletodrivesignificantleadershipforbrandperceptionandcontactlessawareness.
Barclaycard
“Toys”
WhenBarclayswantedtoshowcustomerswhytheyshouldbankwiththem,theyknewthattheirfreeBranchDebitReplacementServicewasawinningreasonandtheywantedeveryonetoknow.Sotheydevelopedanintegratedcampaigntopersuadecustomersandnon-customerstomakeBarclaystheirbank.
Barclays
BranchDebitCardReplacement
MBNAandManchesterUnitedpartneredtogethertosuccessfullylaunchabespokepropositiontocelebratethesuccessoftheclubs20thleaguetitle.Thecampaignstronglyintegratedwiththeclubsbranding,providingsupporterswithbespoke20monthpricing,limitededitioncarddesign,leveragingawiderangeofmarketingchannelsneverpreviouslyutilisedforthecredit card programme.
Manchester United & MBNA
ManchesterUnitedCreditCard
InMarch2013,Santanderlaunchedanintegratednationaladvertisingcampaignusingtheirbrandambassadorstopromotethe1|2|3CreditCard.Usingdisruptiveandengagingcreative,Santanderdemonstratedit’scommitmenttogivingvaluebacktothecustomerandshowedonceagainhowcustomerscanearncashbackontheireverydayspend.
Santander UK
123CreditCard
Usingoriginalcreativeandatransparentofferingbasedonwhatmattersmosttocustomers,thiscampaignconsistentlypositionedTescoBankasa‘bankthatthinkslikeasupermarket’.Blendinggeomappingwithamultimediaapproach,TescoBankachievedrecordcreditcardsalesin10weeksandachieved1stpositionforpurchasecards.
Tesco Bank
Bagel
Category Sponsor:
// Winter 2013 15
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The Card & Payments Awards - Shortlist
Theinnovative,market-leadingFreedomRewardscardwaslaunchedinresponsetocustomerresearchindicatinganeedforbettervalueandchoice.Barclaycard’sprogrammegivesbackinawaynootherschemecan;rewardingFreedompointsoneverydayspendregardlessofwhereorhowthecustomerchoosestoshop.
Barclaycard
BarclaycardFreedomRewards
InpartnershipwithcarmanufacturerVauxhall,CapitalOnelaunchedauniquenewrewardscard.ThenewVauxhallRewardscardofferscustomersupto£1500cashbackonanewVauxhallalongwithheavilydiscountedservicing/repairs,makingitnotonlytheonlycardofitskindinthesectorbutoneofthemostgenerouscashbackoffersavailable.
Capital One and Vauxhall Rewards
VauxhallRewards
SilkisCoutts’newflagshipcardwhichcomeswithanextensivearrayofexclusive,handpickedbenefits.Couttshaslaunchedatrulyuniquecardpropositionthatispersonal,authenticandinnovativethatisbuiltaroundthebusylivesitsclientsleadandtheadditionaltailoringtheyrequiretomeettheiruniquelifestyles.
Coutts & Co
SilkCard
HalifaxCashbackExtrasisaninnovativeprogramme;rewardingcustomerswithpersonalizedtargetedoffersfrompopularretailersbasedonthecustomers’actualspend.Customerscanbenefitfromtheschemethroughonlineandmobilebanking.
Lloyds Banking Group
HalifaxCashbackExtras
Thechallengeofcurrentaccountretention/acquisitionincreasedthisyearwithaccountswitchinglegislation.RBSG’sresponse:theUK’ssimplestcustomerloyaltyprogramme–CashbackPlus.JustuseyourVisadebitcardtoearn1-20%cashback.Nofees,minimumdepositsorcatches–nowonder400,000+customersactivatedineightweeks.
Royal Bank of Scotland Group
CashbackPlus“Feelrewardedeveryday”
aquaistheUK’sleadingspecialistcreditcardprovider,offeringcredittoconsumersnotservedbyHighStreetBanks.SAVCreditpassionatelybelieveinmakingcreditworkformorepeopleandhaveprovedthisisbylaunchingaquaCreditChecker;afreecreditcheckingservicewithpremiumbenefitsworth£80.
SAV Credit
aquaCreditChecker
Best Card Benefits Programme of the Year SHORTLIST
Category Sponsor:
// Winter 201316
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The Card & Payments Awards - Shortlist
BarclaycardhaslaunchedanewTransfertoBankpropositionforexistingcustomers.Itworksinasimilarwaytoabalancetransfer,butratherthanhavingthecustomertransferabalancefromanothercreditcard,theirbalanceistransferredfromtheirBarclaycardintotheircurrentaccountasmoney.
Best Card Cross Selling Programme SHORTLIST
Barclaycard
BarclaycardtransfertoBank
BarclaysandBarclaycardhavecreatedapackagetohelpcustomersbuildtheircredithistorywithaBarclaycardFreedomRewardscardandaBarclayscurrentaccount.CustomershaveaccesstobenefitsincludingBarclaysMobileBankingandtheabilitytoearnFreedompoints,makingtheirmoneyworkharderwhileearningthemrewards.
Barclaycard
BetterTogether
WEXCorporatePay’spopularVirtualPrepaidPaymentsolutionisnowavailabletocustomersasacreditbasedsolution.ThedevelopmentcameinJuly2012,whenWEXacquiredCorporatePay.TheadditionofaVirtualCreditoptionandtheflexibilityitaffordsformanagingcurrentandfuturespendwaswelcomedbyexistingprepaidcustomers.
WEX CorporatePay
WEXCorporatePay’sVirtualCreditandVirtualPrepaidProgramme
AmericanExpress,inpartnershipwithAlbionintheCommunity,aimstohaveapositiveimpactonthecommunity,byengagingbeneficiariesininnovativelearninginitiativesandsocialinclusionprogrammes.SinceOctober2012,theprogrammehasexpandedtopositivelybenefitalmost4,500peopleacrossSussex,a45%increaseon2011.
Best CSR Programme SHORTLIST
American Express
‘RealisethePotentialoftheCommunity’
Ikanoactsasaresponsiblecompany,agoodemployerandagoodneighbour,givingsupporttosocialinitatives,whereourhelpcanmakeadifference.Ourfocusoneducationhasmeantthatwehaveformedlinkswithlocalschoolsindeprivedareaswhereactivitiesincludeourfinancialeducationprogrammealongwithemployabilityandbusinesseducationwork.
Ikano Bank
CheeseMatters
BC
D11
458
3 4
2 10
/13
Transfer money to your
bank account...
1 Have your Barclaycard to hand,
plus the debit card, account number
and sort code for the account you’re
transferring into
2 We can transfer money securely
into a Barclays bank account in
your name
3 If you are transferring to a non-Barclays
account in your name, you will need your
Secure Transfer Code which is <<F41>>.
You will not be able to complete your
transfer without the code which will
expire on <<F16>>
4 Call us on 0800 316 8808*.
Transfer offer ends
<<F16>>
transfer. easier
No handling fee applies
Hello <<F38>>
From time to time, you might need quick access to extra money.
So now you can transfer money securely from your Barclaycard
directly into your Barclays account.
It’s fast and secure
We can securely transfer money into a Barclays account in
your name. Just call us on 0800 316 8808*.
By the way...
To keep your 0% interest rate on the money you’ve transferred,
you’ll need to make the minimum repayments on time and
not exceed your credit limit. You’ll find the full terms overleaf.
Kind regards
Paul McWeeney
Head of UK Operations
C M
Y K
PMS ???
PMS ???
V-Purple
V-Black
V-Cyan
V-Grey
JOB LOCATION:
PRINERGY 3
Non-printing
Colours
BCD114583 42.indd 1
10/09/2013 2:01
No handling fee applies
October 2013
Barclaycard Platinum
XXXX XXXX XXXX 9999
Hello Mr Sample
*99999999*
999990
(AB12CDEF5)
09/99999999/DM31240/42
Mr A B Sample
SampleAdd1
SampleAdd2
SampleAdd3
SampleAdd4
AB1 2CD
If you are transferring to a non-Barclays
account in your name, you will need your
Secure Transfer Code which is QB5 57N KXW.
You will not be able to complete your
transfer without the code which will
expire on 31 October 2013.
Transfer offer ends
31 October 2013
// Winter 2013 17
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The Card & Payments Awards - Shortlist
AsthelargestonlineadvertiserinthePFspace,MediaIngenuitysawanopportunitytoimprovecommunicationsinthesub-primesector.CapitalOnewasideallypositionedasthepartnerwiththeirexpertiseinthisfield.Mergingthesecapabilitiescreatedaninnovativepartnership,onethatcouldunlockgreatvalueforconsumers.
Capital One and Media Ingenuity
LumaCreditCard
InpartnershipwithcarmanufacturerVauxhall,CapitalOnecreatedauniquecashbackcreditcardforexistingandpotentialVauxhallowners.Theresulthowever,wasnotastandardcashbackproduct–itwasaninnovativemodelthatoffersconsumersunprecedenteddiscountwhilstdrivingrevenueforbothCapitalOneandVauxhall.
Capital One and Vauxhall Rewards
VauxhallRewards
TheEmiratesSkywardsCreditCard,launchedsuccessfullyinpartnershipwithMBNA,providesexisting,andprospectEmiratescustomerswithaninnovativemarketleadingcard.Acompanioncardwiththeoptionsof‘nonfee’or‘Elite’offeringcreatescustomerchoicealongsidesignificantbenefits.EnhancingSkywardsmilesearningsthroughloyaltytoairlinebrand.
Emirates Skywards and MBNA
EmiratesSkywardsCreditCardAccountandEmiratesSkywardsEliteCreditCardAccount.
ThesuccessfullaunchoftheEtihadGuestCreditCardistestimonytothesolidnewpartnershipbetweenMBNAandEtihad,whohavejointlydeliveredahigh-valuepropositiontothetargetbase,encompassingauniquesuiteofbenefits,whichaimtomaximisecustomerspendandaffiliationwithabest-in-classairline.
Etihad Guest and MBNA
EtihadGuestCreditCardAccount
MBNA&ManchesterUnitedhaveenjoyedanoutstanding15yearPartnership,havingrecentlyrenewedthePartnershipuntil2016.Throughoutthe2012/13footballseasonwehaveexecutedsuccessfulbe-spokeAcquisitionandCustomerMarketingcampaignsaswellasdeliveringRedRewards,exclusivetoManchesterUnitedCreditCardholders.
Manchester United and MBNA
ManchesterUnitedCreditCard
TheISICCashcardistheonlycombinedaffinity,internationalIDandtravelcard.LaunchedinJune2013,theSTAISICCashcardgivesSTAitsowntravelandInternationalIDaffinitycard.ThecardisforstudentsandoffersaprepaidcashcardplusaninternationallyrecognisedstudentIDanddiscountcard–aUKfirst.
STA and IDT Financial Services with Tuxedo Money
STAISICCashcard
Best Affinity or Co-branded Card Programme SHORTLIST
Category Sponsor:
// Winter 201318
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The Card & Payments Awards - Shortlist
TheCashplusBusinessCardisunique.We’retheonlycardwithDirectDebit(includingDebitProtect),anoverdraftfacilityandcanleveragefasterpaymentsinandoutoftheaccount.NotonlydoSMEsuseitbutAPShavesecuredover80%marketshareofLocalAuthoritiesusingacardforbenefitdisbursements.
Best Business Card Programme SHORTLIST
Advanced Payment Solutions
CashPlusBusinessCardProgramme
AirPlusInternationalhasintroduceda majorindustry-changinginnovation:MobileA.I.D.A.,Europe’sfirstmobilecorporatepaymentproduct,offeringcustomersincreasedflexibilityandcontroloftheir travelpaymentprogramme.Ithasalsolaunchedthreeuniquedataenhancements tomaintainitspositionasworldleaderinbusinesstravelpaymentreporting.
AirPlus International
Europe’sFirstMobileCorporate PaymentProduct
Againstabackdropofconstrainedcorporatebudgets,therelaunchoftheCorporateGoldandPlatinumCardshasreinvigoratedthebusinesstravelexperienceforexecutives.AmericanExpresshascreatedmarket-leadingbenefitspackagestohelptheemployeestayrelaxedandproductiveonbusinesstrips,whiledeliveringvaluablecostsavingsto their company.
American Express
CorporateGold&PlatinumCards
ThecardonebankingCurrentAccountforSmallBusinessesfillstheneedforatransactionalbusinesscurrentaccountthatcanbeopenedwithinhoursofapplyingonline.Theapplicationprocessneedsnocreditchecks,physicalpresenceorsignatures,buttheaccountdeliversexceptionalfunctionality.
cardone banking and Wirecard Card Solutions
cardonebankingcurrentaccountforSmallBusinesses
CorporateMultiPayisaninnovativeanduniquebusinesspaymentaccountthatcustomerscanuseforBOTHgeneralpurchasingandT&Eexpenses.Theproductincludesahostofphysicalandvirtualfeaturesdesignedtoimprovebusinesses’abilitytocontrol,analyseandmanagespend.
Lloyds Banking Group
CorporateMultiPay
FollowingsuccessattheTheCard&PaymentsAwards2013,WEXCorporatePay’sVirtualPaymentsolutionhasgonefromstrength-to-strength,withtheintroductionofDirect/Integrationintovariouscoreindustrytechnologypartnersandclients;anenhancedonlineuserinterfaceandnewandenhancedfeaturestosupportthetravelindustry.
WEX CorporatePay
WEXCorporatePay’sVirtualCreditandVirtualPrepaidProgramme
Category Sponsor:
// Winter 2013 19
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Category Sponsor:
The Card & Payments Awards - Shortlist
InMarch2013AIBMerchantServices(AIBMS)launchedAuthipay,anallinoneonlinepaymentgatewayandmerchantservicefacility.Itisaconvenient,safeandeasywaytofacilitatetheacceptance,authorisationandprocessingofonlinetransactionsbydeliveringaservicewithoneinvoice,onesupportnumber, one price.
AIB Merchant Services
Authipay
WirecardAGisoneoftheleadinginternationalprovidersofelectronicpaymentsandriskmanagementsolutions.Wirecardsupportsover14,000companiesfrommanyindustryverticals.WirecardBankAGprovidesaccountandcreditcardservicesbothforbusinessandprivatecustomersandisaPrincipalMemberofVISAandMasterCardandacquirerforJCB,Amex,Discover/Diners,UnionPayandalternativepaymentsolutions.
Setting Trends – Wirecard As An Integral Part Of The Mobile Evolution
WirecardUKandIreland
WorldPaydesignedastrategytoincreasecontactlessadoption.Asaresult,WorldPaysaw70largecorporatesadoptcontactlesstechnology,withtransactionsinthisperioddoubling;increasingfrom1.9millioninOctober2012to4millioninJuly2013,withthevalueoftransactionsgrowingfrom£14mto£28.8mpermonth.
WorldPay
WorldPay‘”Contactless”
Helpingretailersusepaymenttechnologytoimprovecustomerserviceforinternationalconsumers,buildunderstandingoftheirbuyingpatterns,andtheirrevenuepotential.Over300retailersarenowonboardbenefittingfromincreasedsalesand£1.8millioninsharedcommission payments.
WorldPay
GlobalShopper
Best Merchant Acquiring Initiative SHORTLIST
Category Sponsor:
// Winter 201320
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The Card & Payments Awards - Shortlist
Millionsofcardfraudalertsgooutbyphoneeveryyear,butonlywithintheUK.Cardholdersmissmanyofthem,soaccountsremainblockedunnecessarily.Theprocesswastedtimeandmoneyandcreatedanxiety.Ournewtextsystemisworldwide,24/7–faster,cheaperandmuchmoreeffective.
Best Security or Anti-Fraud Development SHORTLIST
Barclays
Textmessagealerts,24/7worldwide
ChasePaymentechEuropeLimitedintroducedSafetechFraudToolsin2012,astateoftheartfraudmanagementplatformincludingpatentedtechnologies,mergedwiththeuniquestrengthsofitsglobalpaymentsprocessingcore.In2013SafetechFraudToolsbecamethemostsuccessfulproductinthefraudmanagementportfolioofChasePaymentech.
Chase Paymentech Europe
SafetechFraudTools
HSBCcollaboratedwithArcot,aCAtechnologiescompany,todeploytransparentrisk-basedauthenticationtotwoofHSBC’sfraud-proneportfolios.Thisdeploymentwascompletedinlessthantwomonths,delivereditsROIinthefirstweekandisoncoursetoachieveestimatedannualsavingsof£3m.
HSBC
‘GroundbreakingCardNotPresentSolution’
EmailTriggersisafullyautomatedemailservice,identifyingtransactionswhichhaveahighpropensityforfraud,thealerttriggersanemailwhichisdelivereddirecttocustomers’inboxesandhashelpedusavoid£1.3minfraudulenttransactions andatthesametimegivingcustomer’sconfidenceinthesecurityoftheir MBNAcard.
MBNA
MBNAEmailTriggers
RBSexpandeditsuseoftheRSAAdaptiveAuthenticationsolutiontopro-activelydefendagainstnewthreatsfromthecriminalunderground.Inadditiontoprotectingagainstthesethreats,RBS wasabletoexpanditscustomercentricinitiatives.CustomersfeelsafeandsecurewhentheybankwithRBSduetotheblendofvisibleandinvisiblesecuritydeliveredwithsecurityvendorRSA–ashighlighted bytherecentWhich?report.
Royal Bank of Scotland Group
RBS&RSAWorkingtogethertopreventFraud
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The Card & Payments Awards - Shortlist
SimplePaymentisaninnovativeelectronicclosedloopprepaidprogrammedeliveringbenefit,pensionandchildmaintenancepaymentstobeneficiarieswhodon’thaveabankaccount.PaymentsaremadeeithertoasecureprepaidcardorinstantlyviaSMSoremail.EncashmentisviathePayPointretailnetworkthroughouttheUK.
Citi & PayPoint
SimplePaymentService
KalixaPayisacontactlessprepaide-walletthatworksacrossmultipledevicesbothonlineandonthehighstreet.Inafragmentedmarket,paymentscanbecomplicated,cumbersomeandconfusingforconsumers.KalixaPayremovescomplexitybyofferingconsumersonewaytopaytomakepaymentssimple,seamlessandsecure.
Kalixa Payments Group
KalixaPay
paysafecardisasemi-openloop,non-re-loadableprepaidprogram,issuedasane-voucherthatenablescustomerstopayinmorethan4,000onlineshopsinthevirtualarea.paysafecardistheleadingprepaidorganizationinEurope,withanhistorictrackrecordof12yearspioneeringtheprepaidpaymentmarketinEurope.
paysafecard
paysafecard–paycash. pay safe.
eccount®money,isdesignedtogivethe1.5million“unbanked”intheUKacrediblealternativetoahighstreetbankcurrentaccount.Theaccountisavailabletoeveryone(18+,UKresident)regardlessofcurrentorpastcredithistory.Sincelaunch,over27,000applicationshavebeenreceived.
Tuxedo Money and IDT Financial Services
EccountMoney
ContinuedinvestmentbyUkashdemonstrates its commitment to empoweringconsumerfinancialinclusion.Newproductlaunchesillustratethiscommitment:TheUkashCashWithdrawalsServiceincludingthefirstevernoncardcashwithdrawalatATMsandtheUkashMoneyTransferService,forthefirsttimeenablingdomesticandinternationaltransfersonline.
Ukash
Ukash
Best Alternative Payments Programme SHORTLIST
Asecure,web-basedportal,createdandlaunchedinundersixmonths,whichenableslocalauthoritiestoinstantlycreateanddistributevoucherstovulnerableresidentsinneedofacrisisgrant.Voucherscanbeissuedforcashoranenergytop-upandareredeemableatanyofPayPoint’s25,000stores.
PayPoint
PayPointQuickCreditVoucher-AReal-timevouchergenerationportal
// Winter 201322
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The Card & Payments Awards - Shortlist
Describedbythemediaas“thebiggestwatershedinbankingsincethelaunchofthecreditcard”,BarclaysPingitlaunchedon16thFebruary2012isafreemobileapplicationthatallowsthosewithaUKbankaccounttosendandreceivemoneybyjustknowingsomeone’smobilenumber.
Best Initiative in Mobile Payments SHORTLIST
Barclays
Pingit-Buyit
Describedbythemediaas“thebiggestwatershedinbankingsincethelaunchofthecreditcard”,BarclaysPingitlaunchedon16thFebruary2012isafreemobileapplicationthatallowsthosewithaUKbankaccounttosendandreceivemoneybyjustknowingsomeone’smobilenumber.
Barclays
Pingit-PicturePayments
CashonTapisthenew,secure,contactlesspaymentserviceforyourEEphone.Justtapyourphoneonanycontactlesscardreaderinover230,000placestopayforanythingunder£20.Coffees,lunch,taxis…Tap,done.Evenwhenyourphone’soff.
EE
PayPhonesareBack!
Traditionally,ithasbeendifficultandexpensiveforsmallbusinessesintheUKtoacceptcards.GlobalPaymentsandIntuitdevelopedamobileapp,IntuitPay,which,usedwithaBluetoothreader,turnsthedeviceintoachip&PINterminal,soanybusinessorindividualcanacceptcardsinexpensively.
Global Payments
Bringingcardacceptancetosmallbusinessesusingmobiletechnology.
PayPalHereUKisagame-changerforsmallbusinessesandtheanswertooneoftheirbiggestchallenges–gettingpaid.Itenablesanybusinesstoacceptdebit,creditcardandPayPalpaymentsanywhere,anytime–businessescangetpaidquickerthaneverandneverneedmissoutonasaleagain.
Payment Card Solutions and IDT Financial Services
PayPalHere
WiththeWorldPayZincservicesmallbusinessescantakecardpaymentswherevertheyareintheUK,usingaChip&PINkeypadandapp.It’sfast,simple,secureandpayasyougowithnocontractlock-insandnomonthlyfees,bringingmobilepaymentstoeventhesmallestbusiness.
WorldPay Zinc
Puttingcardpaymentsinthehandsofmicrobusinesses
Category Sponsor:
// Winter 2013 23
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The Card & Payments Awards - Shortlist
Barclaycardcustomers’liveshavebeenmucheasier,whereunrecognisedtransactionsneedtoberemovedfromtheiraccount.Streamlined,automatedprocesseshavereducedapaperformand25-daywaittojustfiveminuteseitheronthephoneoronlinefor71%ofcustomers.Customersatisfactionisup23.6%
Barclaycard
DisputesTransformation
Payphonesareback!CashonTapisthenew,secure,contactlesspaymentserviceforyourEEphone.Justtapyourphoneonanycontactlesscardreaderinover230,000placestopayforanythingunder£20.Coffees,lunch,taxis…Tap,done.Evenwhenyourphone’soff.
EE
PayPhonesareBack!
Traditionally,ithasbeendifficultandexpensiveforsmallbusinessesintheUKtoacceptcards.Utilisingnewmobilepaymenttechnology,GlobalPaymentsandIntuitdevelopedamobileapp,IntuitPay,which,usedwithaBluetoothreader,turnsthedeviceintoachip&PINterminal.
Global Payments
Usingmobiletechnologytomakecardacceptancearealityforsmallbusinesses.
MBNAsuccessfullylaunchedafullyresponsuveonlineapplicationforminMarch2013usingthelatesttechniquesinauserfriendlyconsistentmannerregardlessofscreenresolution.Itwasdevelopedtomeetcustomerneedsinanevolvingdigitalenvironment.
MBNA
MBNAResponsiveDigitalDesignProgramme
Best Technology Initiative of the Year SHORTLIST
Category Sponsor:
FavouriteTransactionsisaworldfirst,offeringallUKcardholdersconvenient,fastandpersonalisedtransactionoptionstousersatNationwideATMs.Itachievesthisbyrememberingacardholder’sATMTransactionhabits,andthenofferingthemtheirthreefavouritetransactionsthatbestfittheirATMneeds.
Nationwide
FavouriteTransactionsonATMs
Asecure,web-basedportal,createdandlaunchedinundersixmonths,whichenableslocalauthoritiestoinstantlycreateanddistributevoucherstovulnerableresidents in need of a crisis grant. Voucherscanbeissuedforcashoranenergytop-upandareredeemableatanyofPayPoint’s25,000stores.
PayPoint
PayPointQuickCreditVoucher-AReal-timevouchergenerationportal
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AirPlusInternationalhasintroducedMobileA.I.D.A.,Europe’sfirstmobilecorporatepaymentproduct.MobileA.I.D.A.givesbusinesstravellersawaytopayforon-tripexpenseseveniftheydon’thaveacorporatecard.Ittakesearlierconsumermobileinnovationstonewlevelsbyaddingkeyelementsofcontroland data.
Best Industry Innovation of the Year SHORTLIST
AirPlus International
Europe’sFirstMobileCorporate PaymentProduct
Barclaycardcustomers’liveshavebeenmucheasier,whereunrecognisedtransactionsneedtoberemovedfromtheiraccount.Streamlined,automatedprocesseshavereducedapaperformand25-daywaittojustfiveminuteseitheronthephoneoronlinefor71%ofcustomers.Customersatisfactionisup23.6%
Barclaycard
DisputesTransformation
Describedbythemediaas“thebiggestwatershedinbankingsincethelaunchofthecreditcard”,BarclaysPingitlaunchedon16thFebruary2012isafreemobileapplicationthatallowsthosewithaUKbankaccounttosendandreceivemoneybyjustknowingsomeone’smobilenumber.
Barclays
Pingit-Buyit
CashonTapisthenew,secure,contactlesspaymentserviceforyourEEphone.Justtapyourphoneonanycontactlesscardreaderinover230,000placestopayforanythingunder£20.Coffees,lunch,taxis…Tap,done.Evenwhenyourphone’soff.
EE
PayPhonesareBack!
GlobalPAYNowisrevolutionisingthewaycustomerspayinthehospitalitysectorbyusingGlobalPOSLinktoconnectstandaloneterminalstothemerchants’pointofsale(POS)tills.Thisspeedsuppaying,makesreconcilingtakingseasieranddeliversthebenefitsoflargeintegratedpaymentsystemswithoutthecost.
Global Payments
Shavingtransactiontimestounderaminuteinthehospitalityindustry.
FavouriteTransactionsisaworldfirst,offeringallUKcardholdersconvenient,fastandpersonalisedtransactionoptionstousersatNationwideATMs.Itachievesthisbyrememberingacardholder’sATMTransactionhabits,andthenofferingthemtheirthreefavouritetransactionsthatbestfittheirATMneeds.
Nationwide
FavouriteTransactionsonATMs
Category Sponsor:
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The Card & Payments Awards - Shortlist
RBSGuseddataanalysisandcommunicationtargetingtoincreaseredemption response rates and on-going engagementintheYourPointsprogramme.Byanalysingspenddataandoverlayingadditionalprofilingdata,aCustomerSegmentationwasdevelopedtounderstandYourPointscustomers.Thisenabledimprovedtargetingandrelevancy,deliveringanimpressive35.5%redemptionuplift.
Royal Bank of Scotland Group
RBSG&Aimia-YourPoints
IkanoapplyarangeofadvancedanalysistechniquestodrivevalueforcustomersandKarenMillen.Analysisiscombinedwithmodellingtotrackandpredictchangesincustomerbehaviour,overlaidwithsegmentation,maximisestheROIanddeliversacustomercentricprogramme.
Ikano Bank
IkanoturningKarenMillen’sClientdataintovaluableactionableinsight
Barclaycardhavechangedtheirpolicyinordertoacceptmorecustomerrequestsforlimitincrease.Asaresultcustomersachievegreaterflexibility,whichcreatesdeeperengagementwiththebrand.ItalsodrivesgreatervalueforBarclaycard,drivenbyincreasedspendonthecard.
Barclaycard
BarclaycardCreditIncreasePolicy
Best CRM Programme SHORTLIST
AtBarclaycard,ouraimistoprovidethebestvalueandservicesthroughoutthecustomerjourney.Throughourfocusedcustomerretentionprogramme,wehavedoubledoursaverateatthepointofclosureandreducedportfolioattritiontoarecordlowin2013.
Barclaycard
BarclaycardCustomer RetentionProgramme
// Winter 201326
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The Card & Payments Awards - Shortlist
AirPlusInternational,alreadythemarketleaderinbusinesstravelpaymentsinChina,boostedclientcontractnumbers44%andtransactionvolume49%inoneyear,afterasignificantstrategicinvestment.ItsucceededthroughmajorproductcustomisationfortheChinesemarketandbytargetingChinese-ownedcompaniesinadditiontomultinationalcorporations.
Best Overseas Payments Programme SHORTLIST
AirPlus International in China
AirPlusInternationalinChina
BankofAmericaMerrillLynch(BofAML)CorporateTravelcardsprovideexceptionalcapabilitiesfororganisationswithoperationsinEuropeandaroundtheworld.WeofferafullrangeofcardproductstomeettheneedsofourcorporateandgovernmentclientsincludingPurchasingcards,Lodge/CentralTravelAccountsandePayables,withVirtualcardaccountnumbers.
Bank of America Merrill Lynch
CorporateTravelCard
BarclaycardArrivalisalucrativetravelrewardscardofferedbyBarclaycardintheU.S.thatoffersuniquefeaturessuchastheabilitytoearn10%ofmilesbackuponredemptiontomakeearningforthenextfreetripeveneasierandanonlinecommunityforcardmemberstosharetravelreviews.
Barclaycard US
BarclaycardArrival
TheXXImomobilitycardisaVisaprepaidbusinesscardwithautofundreloadfunctionandbuildinpetroland(contactless)publictransportcard.OnefullycompliantVATinvoice,optiontosetservicesbyamount,regionandproducttypepercardholderandtheoptiontofacilitateamobilitybudget.
IDT Financial Services and XXImo
TheXXImoCard
WorldPay’sAlternativePaymentProgrammereferstothecompany’sextensiverangeofalternativepaymenttypesthatitprocessesacrosstheglobe.WorldPayprovidesmerchantswiththegreatestconcentrationofpaymentservices,withalternativepaymentfunctionalityfor200+paymentmethodsworldwide.Morearebeingaddedregularlygivingmerchantsmaximumcustomerreachoverseas.
WorldPay
WorldPay’sAlternativePaymentsProgramme
Category Sponsor:
Contis Financial Services
airBalticPaymentCard
ContisenabledthelargestBalticairlinetoexpanditscommercialinterestsandestablishitselfasamajorplayerininternationalfinancialservices.ByintegratingarangeofVisae-moneymanagementfacilitieswiththeairline’sloyaltyscheme,Contislaunchedabank-beatingfinancialsolutionwhichoffersunparalleledbenefitstocardholdersacrossEurope.
// Winter 2013 27
Card & Payments World // www.cardworldonline.com
The Card & Payments Awards - Shortlist
Barclaycardcustomers’liveshavebeenmademucheasier,whereunrecognisedtransactionsneedtoberemovedfromtheiraccount.Streamlined,automatedprocesseshavereducedapaperformand25-daywaittojustfiveminuteseitheronthephoneoronlinefor71%ofcustomers.Customersatisfactionisup23.6%
Barclaycard
DisputesTransformation
Duringthelast11monthsBarclaycardhavetransformedtheircustomerserviceexperiencebyintroducingtheirMakingtheBasicsGreatstrategyandestablishingawholenewmechanismtodrivecustomeradvocacy.Barclaycardhavelistenedtotheircustomersandhaveeliminatedcustomerfrustrations,increasedtheircustomeradvocacyscoreandcreateddeeplypersonalcustomerexperiences!
Barclaycard
MakingtheBasicsGreat ImprovementStrategy
In2013,GlobalPaymentsrevolutionisedthecustomerexperiencebycompletelydigitisingtheiron-boarding,makingahugeinvestmentinsimplifyinglifefornewcustomerswhileradicallyreducingthenumberoffailedapplications.
Global Payments
Bringingcustomersign-upinto thetwenty-firstcentury.
MBNAEssentialsisarangeofpro-activedigitalcommunicationtoolsdesignedtohelpcustomersstayincontroloftheiraccounts.Builtinresponsetocustomerfeedback,calllisteningandbehaviouralobservations,MBNAhavedeliveredsignificantcustomerjourneyenhancementsaswellasannualsavingsand£1.3moffraudsavings.
MBNA
MBNAEssentials
Best Achievement in Customer Service SHORTLIST
Category Sponsor:
Onallthemeasurestheyused,Nationwide’scustomerservicesbeattheiropponents.Butcouldtheyincreasetheirleadthroughtheirprogramme‘DoingtheRightThing?’Theylistenedtotheircustomersandputinplacechangestheywanted.Theresult:recordcustomersatisfaction.
Nationwide
DoingTheRightThing
MomentsofTruth’transformationisanongoingprogramofworkcentredaroundbringinggreaterconsistencytocustomertouchpointsacrossthedifferentstagesandteamsinvolvedindeliveryofthecustomerjourney.Theassociatedprojectplanisdesignedaroundpolicy,processandpeople,andenhancementsdeliveredalreadyhaveseenasignificantupliftin FRSscoreandatangiblereductionincomplaintvolumes.
Santander UK
MomentsofTruth
Q4’11 Q1’12 Q2’12 Q3’12 Q4’12 Q1’13 Q2’13 Q3’13 After Q3’13Before Q4’11
Priority Line from UKRB to BarclaycardWhat we did: Created a bespoke telephone number to enable branch colleagues to bypass the IVR, connecting directly to an Agent.
Impact: It improved the branch customer and colleague contact experience with Barclaycard. Over 2k calls per week are received.
Chordiant (CCCD) in UKRB branchesWhat we did: Enabled branch colleagues to use CCCD via their desktop to resolve customer’s queries at first point of contact.
Impact: Excellent feedback:
“What a great new system and user-friendly” Andrew Ling, Branch Manager.
CCCD customer searches increased from 130 per week to 4k+.
Call Back SoftkeyWhat we did: Created a bespoke ‘Call Back’ Team to ensure all call back commitments were fulfilled.
Impact: Over 700 Call Backs are made each month.
Knowledge Based Authentication (KBA) What we did: Introduced an intermediary level of identification, asking questions generated from a customer’s credit file e.g. address history.
Impact: Reduced the number of Barclays branch ID&V referrals by c.3000 per month and ‘ID&V’ related complaints by c.54%.
UK Complaints Escalation DeskWhat we did: Created a UK escalation team to support frontline Agents in complaint resolution and to prevent complaint escalation.
Impact: Sales and Service FPOC resolution rate for 2013 is 96% compared with 88% for the same period in 2012.
Agent EmpowermentWhat we did: Empowered Agents to re-price eligible customers.
Impact: Reduced FCA reportable complaints by c.200 p.a.
Created the ‘Fraud Care Team’ What we did: Offered a tailored Fraud Care service to those who need it the most, including proactive contact for vulnerable customers, Premier and frequent users. It also provides a dedicated / named point of contact for victims of fraud.
Impact: FCT agent CSAT scores increased from 80% to 90%. External relationships with the Police, Victim Support and Age UK have also improved.
CMC Payment Solutions WebsiteWhat we did: Created an alternative online collections experience for customers that replicated the options presented within the call centre to grow our digital / self-serve capability.
Impact: Delivered a 92% uplift in payments via our digital channels and reduced the number of payments collected by agents from 34% to 25%.
Direct Debit ChangesWhat we did: Reduced the Direct Debit (DD) setup time from 6 weeks to 9 working days and improved customer communication through revised agent and external communication.
Impact: The changes reduced FCAR complaints by 50 per month.
Transaction Net Promoter Score (TNPS)What we did: TNPS provides real time customer feedback via SMS.
Impact: Since the launch of TNPS scores have increased from 20 to 44 driven by a relentless focus on performance improvement.
CIFAS TransformationWhat we did: Implemented real-time fraud checks prior to application decision.
Impact: Application complaints have reduced by c.64%.
First time in Collections and Cycle 1What we did: Offered a bespoke softer contact strategy that has been rolled out to 90% of Cycle 1 customers who are first time in collections (10% remain in control group.)
Impact: Supported a reduction in Contact Inappropriate complaints by c.50% at both Level 1 and FCA reportable.
Improved FAQsWhat we did: Created a single FAQ database and reduced the content by 50%. The database now provides detailed MI which highlights areas to improve.
Impact: Improvement of FAQs will be measured through customer ratings.
PIN View OnlineWhat we did: Enabled customers to obtain a new PIN instantly through either the mybarclaycard or IVR channel.
Impact: Instant PINs issued –online (306k); IVR (5k).
It will deliver a reduction in calls and cost associated with mailing PINs via post.
Text Reassurance AutomationWhat we did: SMS sent to customers automatically, confirming the action taken e.g. payment confirmation, plan set-up, Direct Debit set-up.
Impact: Increased our ‘Kept Promise’ rates from 85% to 90% and improved customer satisfaction to 84% for first point of contact resolution.
Magic MomentsWhat we did: Delivered training and tools to all agents, empowering them to step outside of their usual servicing of an account. Agents can send a surprise gift to customers’ based on their specific circumstances and create that ‘Magic Moment’.
Impact: c4k Magic Moments to date, with over 100 delivered every week. c.30 customers every week say how great we’ve made them feel!
Barclaycard AppWhat we did: Created a phone app that provides a quick and easy way for customers to manage their credit card wherever they are. It enables them to view their balance and credit limit, pay their bill and view the last 30 transactions.
Impact: 292k downloads, 206k registrations, 3m logins and completed payments worth £32million!
Making the Basics Great
Customer Advocacy
Blow Out Experiences
Go To FraudWhat’s planned: Deliver the ‘Go To’ Fraud experience by improving the customer experience, reducing fraud levels and future proofing the business.
Future impact: Automated recognition and tracking of known fraudsters and greater protection for fraud victims and exposed customers. Never decline a valid customer transaction. Flexible, real-time fraud solutions offering a seamless, channel agnostic experience.
Accelerating our Digital TransformationWhat’s planned: Deliver Digital Transformation, achieving ‘digital switchover’ by 2015 through great experiences across access devices, lower CTS and increased revenue.
Future impact: Significant experience improvement and cost reduction across payments, paper, Digital TOM and cost of servicing.
Smart CallWhat we did: Created a ‘Call Us’ button in the Barclaycard app that allows customers to be verified to Level 3 ID&V through their app login when calling the VCC.
Impact: 950 calls since Smart Call went live, averaging 135 per day which have delivered an ID&V success rate of 82%.
Super Servers OnshoreWhat we did: Delivered a robust, analytical view of the impact of onshore servicing. Routing key call types to onshore agents to provide significant uplift in NPS and improve operational efficiency.
Impact: Early results show positive NPS uplift and fewer complaints escalated.
Service Incentive ModelWhat we did: Introduced a new ‘Customer Delight’ measure based on direct feedback from the customer (today’s TNPS) and reduced the weighting against sales performance.
Impact: Change contributed to NPS increasing from 25 to 40.
Removal of Trailing InterestWhat we did: The interest calculation was confusing for customers, difficult for agents to explain and was a driver of complaints. In partnership with our commercial teams Trailing Interest was stopped.
Impact: Reduced associated L1 complaints by 77% and FCA reportable complaints by 50%.
Super ServersWhat we did: Created a Super Server team consisting of 40 of our best performing agents to handle our most complex calls.
Impact: An average 12 point (28%) higher NPS versus normal agents.
40% better first point of contact fail rate (3 day).
30% better first point of contact fail rate (15 day).
Reduced call transfers by 25%.
Customer Journey MappingWhat we did: Implemented a new programme to sequentially transform our customer journeys leveraging internal and external insight.
Impact: It has enabled teams to identify ‘hot spots’ and improve our key customer journeys.
Online Disputes Through mybarclaycardWhat we did: Improved mybarclaycard to allow access to historical transactions and provided customers’ with the ability to flag as fraud.
Impact: 22% of Fraud cases now filed online with time to complete reduced from 5 days to 5 minutes.
UKC disputesWhat we did: Lombardi application development including upfront chargeback recovery decision and automated account remediation (eg: Block & Reissue or Write-off).
Impact: Disputes reduced from 25 days to 5 minutes.
Paper reduction of 60% for non-fraud and 40% for fraud.
Next day customer refund enabled.
Collections Contact Strategy What we did: Moved to one contact method per day and segmented our customers into low, medium and high risk. We also stopped contacting customers’ on a Sunday.
Impact: Total and FCA ‘Contact inappropriate’ related complaints reduced by c.50%.
47k
FCA Reportable Complaints
1234
Interactive SMSWhat’s planned: Send an instant SMS to customers if Falcon identifies suspect, potentially fraudulent transactions.
Futuer impact: Increase our digital self-serve rate and reduce fraud losses.
CMC/mybarclaycard IntegrationWhat’s planned: Deliver a seamless click-through customer journey between CMC and mybarclaycard dependent on customers’ account status and regardless of which digital channel they log into.
Future impact: Contributes to the target of 85% digital payments.
Speech Enabled IVR (Interactive Voice Response)What we did: Radical overhaul of the IVR by allowing customers to navigate via speech and touchtone. SEI also created the foundation for intelligent call routing. Impact: Agent CSAT scores increased from 83% to 89%. Call handling time reduced by 24.7s average, saving £0.7m per year. IVR CSAT increased to 68% from 41%.
Knowledge Tree TransformationWhat we did: Redesigned, re-wrote and made navigation of the agent Knowledge Tree easier.
Impact: Simplified the content and reduced the number of pages from 2,150 down to 792.
The conversational ‘tone of voice’ text also supports agents in resolving customer queries in a human way.
6 2 8
QR codesWhat’s planned: QR codes on all paper statements enabling convenient payment via Ping-It.
Future Impact: Contributes to the target of 85% digital payments.
‘Track It’ for Level 2 ComplaintsWhat’s planned: Enable customers’ to see the status of their complaint online and without the need to call. Customers’ will be sent an SMS or email when their complaint is logged, explaining how to access, track and review progress.
Future Impact: Improve customer experience (measured by TNPS) and remove bad call volume. Supports our self-serve and digital strategy.
20
NetPromoter
Score
25
NetPromoter
Score
31
NetPromoter
Score
40
NetPromoter
Score
Stopped Statements for Closed AccountsWhat we did: Proactively wrote off of balances <£5 for closed accounts.
Impact: Prevented on-going statements and unnecessary customer contact.
BUPLASWhat we did: Launched an end-to end agent communication development programme. Agents are assessed and coached on the 5 pillars of BUPLAS – Pronunciation, Language, Discourse, Interactivity and Solution Generation – the key factors for call success or failure and strongly correlate to NPS.
Impact: Front line colleagues develop natural sounding speech and clarity. Helps Agents apply interactive strategies and control a call in a more meaningful way.
Improved Agent TrainingWhat we did: Designed and delivered a new induction programme ‘Making it in Barclaycard’ for agents and ‘Effortless Service’ for existing agents.
Impact: Improved listening skills, empathy and focus on providing the right solution for customers. The training has supported the improvement in NPS scores.
BResolved What we did: Created a centre of excellence for the management of Disputes and Chargeback complaints. Supports our vision of end-to-end complaint handling for Barclaycard by a named individual.
Impact: Excellent feedback on the customer experience and reduction in time to resolve complaints.
9k
FCA Reportable Complaints
-38% on Q4’12
14k
FCA Reportable Complaints
-70% on Q2’12
Returned Statement NotificationWhat we did: Created a ‘Statement not received’ SMS to let customers know their paper statement had been returned.
Impact: Encouraged customer to call and update their information and supported complaint reduction.
BConnected What we did: An interactive learning environment to share culture, values, and customer service standards with our offshore front line Agents.
Impact: By developing Agent knowledge of what’s being discussed in the British media or what people are watching on TV, BConnected helps colleagues in India understand and serve customers’ better. It also provides visibility of UK Barclaycard products supporting a reduction in ‘people related’ complaints.
(Over 100+ initiatives delivered)
44
NetPromoter
Score
// Winter 201328
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The Card & Payments Awards - Shortlist
BarclaysandBarclaycardhavecreatedapackagetohelpcustomersbuildtheircredithistoryresponsiblywithaBarclaycardFreedomRewardscardandaBarclayscurrentaccount.Customersarecarefullypre-qualifiedbeforebeingofferedallthebenefitsofaBarclaycardwhileenjoyingthe freedom to manage their moneyresponsibly.
Barclaycard
BetterTogether
In2013,CCUKdesignedanewcreditcard,shout,withresponsiblelendingatitsheart.NotforPR–orcompliancereasons,butbecausethecustomervalueinherentinresponsibilitylogically representsbetterbusiness–highercustomersuitability andreferrals,lowerchurnanddefaults.Resultshave surpassedallhopes,targets andexpectations.
CCUK Finance Ltd and Raphaels Bank
Shout!-TheLaunchofanewvoiceforresponsiblelending
NationwideinvitesallcustomerstowalkthroughtheirOpenDoorsandseehowmanyresponsiblelendinginitiativestheyhaveintroduced,coveringthelifeofthecreditcard.Nationwide’sopen-to-allapproachistotallytransparentandcentraltoitslendingpractices,bringingrewardstoNationwide-andeverycardholder.
Nationwide
OpenDoors
aquaistheUK’sleadingspecialistcreditcardproviderofferingcredittoconsumersnotservedbyHighStreetBanks.aquapassionatelybelieveinmakingcreditworkformorepeopleandtheyhaveactivelyinvestedinvaluablecustomerbenefitstomakegoodcreditmoreaccessible.
SAV Credit
aquaCreditChecker
Most Responsible Credit Card Lending Practices SHORTLIST
KBCBankIrelandhasdeliveredacurrentaccountandMasterCardDebitcardwhichrepresentsanambitiousnewbankstrategytobethefinancialpartnerofchoiceforoverahalfamillionIrishcustomers.Quality,innovation,accessibilityandcontrolunderpin this proposition.
Best New Debit Card Programme of the Year SHORTLIST
KBC Bank
TheBankofYou
PackagedCurrentAccountshavehadabadpressbutNationwidethoughttherewasroomforonewithmarket-leadingbenefitsandpricingthatwasverysimpletooperate.Soithasproved-Nationwide’sFlexPlusaccount,withitsfeature-packedVisacardsatthecore,hasprovidedmassivelypopularwithcustomersandindustryexperts.
Nationwide
FlexPlusAccount
Thechallengeofcurrentaccountretention/acquisitionincreasedthisyearwithaccountswitchinglegislation.Ourresponse:theUK’ssimplestcustomerloyaltyprogramme–CashbackPlus.JustuseyourVisadebitcardtoearn1-20%cashback.Nofees,minimumdepositsorcatches–nowonder400,000+customersactivatedin eightweeks.
Royal Bank of Scotland Group
CashbackPlus“Feelrewarded everyday”
Some things are better together
Speak to a member of our team
18.9% APR Representative (variable). Based on borrowing
£1,200 and a purchase rate of 18.9% p.a. (variable).
Representative example
With a current account you can apply for a Barclaycard (even if you’ve never had a credit card before)
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KBC Bank Ireland plc is regulated by the Central Bank of Ireland.
THE BANK OF ME AND MY Current AccountAll you need to know ABOUT your NEW current account and switching to KBC.
// Winter 2013 29
Card & Payments World // www.cardworldonline.com
ContiswithPerformanceBonushavetransformedthesalesincentiveprogrammeofMotoNovoFinance.Thenewschememetallcommercialandmarketingobjectives,achievingmajorpositiveimpact,drivingcommissionearnings,dealershipprofitsandclearmarketdifferentiation.Ithasgenerated£1m+inpaidrewardsand288%inmonth-on-monthsalesachievement.
Best New Prepaid Card Product of the Year SHORTLIST
Contis Financial Services
MotonovoPrepaidCardwithPerformanceBonus
PCTdeliveredeasyJet’sfirstprepaidcurrencycardinMay2013.Initiallythe cardwasofferedtoalleasyJetcustomersfromitsextensiveCRMdatabase.Tofurtherleveragethebrand,thiswasfollowedbyexternalpromotionofthecardviacomparisonsites,toallholidaymakerslookingforagreatvaluecard.
easyJet and Raphaels Bank with Payment Card Technologies
TheEuroCurrencyCardbyeasyJet
BroughttomarketinDecember2012,theBread4ScrapsolutionaddressedaUKlegislationchangewithintheScrapMetalsindustrythateffectivelybannedtheuseofcashinthesupplychain.Ithasbeenwidelyadoptedwithintheindustrywiththousandsofcardsreusedonadailybasis.
Payment Card Solutions and IDT Financial Services
TheBread4ScrapPrepaidCardSolutionfortheScrapMetalsIndustry
TheISICCashcardistheonlycombinedaffinity,internationalIDandtravelcard.LaunchedinJune2013,theSTAISICCashcardgivesSTAitsowntravelandInternationalIDaffinitycard.ThecardisforstudentsandoffersaprepaidcashcardplusaninternationallyrecognisedstudentIDanddiscountcard–aUKfirst.
STA and IDT Financial Services with Tuxedo Money
STAISICCashcard
TheconsideredapproachtakenindevelopingTravelex’sMulti-currencyCashPassporthasledtoaproductwhichsuccessfullybridgesthegapbetweencustomerandbusinessneeds.Keyfeaturesofthecardincludethefunctionalitytoloaduptosevencurrenciesonthecardandmovefundsbetweencurrencies.
Travelex and Raphaels Bank
Multi-currencyCashPassport
eccount®money,isdesignedtogivethe1.5million“unbanked”intheUKacrediblealternativetoahighstreetbankcurrentaccount.Theaccountisavailabletoeveryone(18+,UKresident)regardlessofcurrentorpastcredithistory.Sincelaunch,over27,000applicationshavebeenreceived.
Tuxedo Money and IDT Financial Services
EccountMoney
Category Sponsor:
The Card & Payments Awards - Shortlist
// Winter 201330
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The Card & Payments Awards - Shortlist
CapitalOnecreatedtheAspireWorldTravelcreditcardtomeetthechangingneedsofconsumersthroughouttheyearbyofferingauniquecombinationofbenefits:cashbackwithouttime-limits/restrictionsanditszeroforexfeesbenefitisforthelifeofthecard.
Capital One
AspireWorldTravel
TherecentlylaunchedEmiratesdualcreditcardisaninnovativenewprogrammethatenablesCustomerstoenhancetheirSkywardsmembershipbymaximisingtheiropportunitytoearnSkywardsmiles.Thisinnovativeproductdeliversapackageofmarketleadingbenefitstomaximisethevaluecustomersreceiveforspendontheircreditcard.
Emirates Skywards and MBNA
EmiratesSkywardsCreditCardAccountandEmiratesSkywardsEliteCreditCardAccount.
Best New Credit Card Product of the Year SHORTLIST
Category Sponsor:
TherecentlylaunchedEtihadcreditcardisaninnovativenewprogrammethatenablesCustomerstoenhancetheirmembershipbymaximisingtheiropportunitytoearnGuestmiles.Thisinnovativecreditcardprogrammedeliversapackageofmarketleadingcreditcardbenefitstomaximisespendandloyalty on the card.
Etihad Guest and MBNA
EtihadGuestCreditCardAccount
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Feature
What are the implications of PSD2?PSD2, the European Commission’s second Payment Services Directive contains an interchange cap, more consumer protection and greater regulation for new players. It has been scheduled for early 2014, although some experts, including lawyers Eversheds are suggesting this date is unrealistic.
//Whenitfinallyarrives,PSD2hasbeentaskedwithpromotingthe
emergenceofnewpaymentsplayersandthedevelopmentof“innovativemobileandinternetpaymentsinEuropeforthesakeofEUcompetitivenessworldwide.”TheECalsowantstoregulatenewpaymentservicesproviders(PSPs)tothesame“highstandardsofregulationandsupervision”asallotherpaymentinstitutions.
Interchange Acapisplannedforinterchangefeesat0.2%fordebitcardand0.3%forcreditcardtransactionsinallEUmemberstates.Thecapswillinitiallyonlyapplytocross-bordertransactions,beforebeingappliedtoalltransactionsafter22months.
TheinterchangereformsarelikelytomostheavilyimpactthemarketsinPoland(wheredebitcardchargesaverage1.6%)andGermany(wheretheaveragecreditcardinterchangerateis1.8%).
Payment Services Directive Inadditiontoenablingthemarketentranceofnewpaymentsplayers,theECsaysitsrevisedDirectivewillalsofacilitateandrendermoresecuretheuseoflowcostinternetpaymentservices.ItaddsthePSDwillincludewithinitsscopenew“paymentinitiationservices”thatoperatebetweenthemerchantandthepurchaser’sbank,allowingforcheapandefficientelectronicpaymentswithouttheuseofacreditcard.
TheECsaystherevisedPSDisrequiredasrecentmarketdevelopmentshavehighlightedcertaingapsinthecurrentlegalframeworkforpaymentsandmarketfailuresinthecard,internetandmobilepaymentssectorsthatneedtobeaddressed.
TheECsaysothermeasuresintheDirectivewill:
-Betterprotectconsumersagainstfraud,possibleabusesandpaymentincidents
(e.g.incaseofdisputedandincorrectlyexecutedpaymenttransactions).Consumersmayberequiredtofaceonlyverylimitedlosses–uptoamaximumof€50(vs€150currently)–incasesofunauthorisedcardpayments.
-IncreaseconsumerrightswhensendingtransfersandmoneyremittancesoutsideEuropeorpayinginnon-EUcurrencies.
InternalMarketandServicescommissionerMichelBarniersaidtheproposedchangeswereneededasthepaymentmarketintheEU“isfragmentedandexpensive”withacostofmorethan1%ofEUGDPor€130bna year.
Biggest losers Thepaymentnetworksclaimthattheproposedchangescouldreducecarduseandthatmerchantswillkeepthemoneytheysavefromcutsinfeesratherthanpassthemontoconsumers.MasterCardcommentedthat“historyhasshownthatthebiggestlosersintheeventofinterchangeregulationareconsumersandsmallbusinesses.WehaveseenthishappeninAustralia,SpainandtheUS,”butthiswashotlydeniedbycommissionerMichelBarnier.
Theregulationoninterchangefees,combinedwiththerevisedPSD,willbansurchargesimposedbymerchantsforcarduse,suchasforpurchaseofairlinetickets.TheECsaidthat,wheninterchangefeesarecappedforconsumercards,retailers’costsforcardtransactionswillbesubstantiallyreducedandsurchargingwillnolongerbejustified.
Three party schemes Premiumcardsandthreepartyschemes,suchasAmericanExpressandDinersaresofarexcludedfromthePSD2regulations,butitwoudbesurprisingiftheyremainoutsideoftherulesindefinitely.Animportantchangeisthattheproposalsincludetheoptionformerchantstorefuse
toacceptthemortosurchargeforthem.ThisfliesinthefaceoftheVisaandMasterCardhonourallcardsrulewhichiswrittenintomostmerchantcontracts.
Separation ConfirmationiscontainedinthePSD2proposition that payment card schemes and the entities that process transactions shouldbelegallyseparated.ThishasbeenpartoftheEC’sSEPAplansforsometime.
TheECsaysthereviewoftheEUpaymentsframework,especiallythePaymentServicesDirective(PSD),andtheresponsestotheCommission’sGreenPaper‘TowardsanintegratedEuropeanmarketforcard,internetandmobilepayments’in2012,ledtotheconclusionthatfurthermeasuresandregulatoryupdates,includingadjustmentstothePSD,arerequired.
AlmosteverybankaccountholderintheEUpossessesadebitpaymentcardand40%alsoownacreditcard.34%ofEUcitizensshopontheinternetandmorethan50%possessasmartphonegivingthemthepotentialtomakemobilepayments.
ButchangeisrelentlessandalreadythereareinitiativesemergingnotcoveredbyPSD2.Bitcoinforexample.Virtualcurrenciesdon’tgetamention,yetthereisalreadythis,andAmazonCoinandAmericanExpressrewardspointsforpayment.HowsoonPSD3?
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Feature
// Q1: What does Big Data mean in the payments realm?
A:Itmeansdifferentthingstodifferentstakeholdersinthepaymentsvaluechain,butthebasicsthatapplytoallarethepremiseofthethreeVs:Volume,VelocityandVariety.Volumereferstotheamountofthedataavailableforanalysiswhereasvelocitydealswithhowquicklyitisanalysed.Intoday’spaymentsenvironmentthisrequiresreal-timeinsteadofbatch.Varietyisperhapsthemostintricateinthatwearenowcouplingstructureddatafromknown,staticfields–thinkofname,accountnumberandbalance–tomoredynamicdatasuchasthatfoundinsocialmediawhichcannotbeaseasilymappedusingtraditionalminingtools. // Q2: There is a lot of information about Big Data already in the market. Why did you write this paper?
A: Thereisindeedalotofbuzzaboutthetopic,andmostoftheanalysisisonthosethathavealreadymasteredit—thelikesofGoogle,Amazon,FacebookandApple.Whenwetalktoourclientsandthemarketatlargehowever,thereisapalpableconcernaboutbeingleftbehindthatiscoupledwithagreaterfearofamajorinvestmentandhavingnotangibleoutputattheendofit.Wewanttodispelsomemyths.TherearesomeinitialstepsissuerscantaketowardsBigDatathatcanyieldsignificantresultswithoutoutlandishrisk.Butwedon’trecommenddelvingintoBigDatasimplyforitsownsake.Specificallyforcardissuers,betteruseofdatarepresentsanopportunitytoaddressstrategicgoalsoffillingrevenuegapsposedbythreatstointerchangebyoptimisingcardholderretentionactivities.
// Q3: Why havent more issuers cracked the code on Big Data?
A:TherearemanyFIsthatneedtobetterunderstandtheusesofdataandhowtodeployaBigDatainitiativeeffectively.Theyneedstrategiesforacquiring,organising,andanalysingvolumesofdatasotheycanuseittoimprovetheir
decisionmaking.It’saboutdeliveringontheconceptofmanymarketsofoneandfine-tuningmodelsandcostanalyses.ButorganisationsshouldalwaysbemindfulthatusingBigDataforitsownsakewithoutapplyingittoaspecificneedwillresultinwastedresourcesandfalsestarts.
// Q4: Big Data is the wave of the future - and always will be. Can you compare and contrast its promise and its current state?
A: Inmanyinstances,there’sasimplefailuretolaunch,asBigDataencompassessomuch.BigDatacanbeintimidating,asfolksknowthatit’saboutmarryingbothstructuredandunstructureddata.Socialmediadataisoftenheldinanunstructuredformat,unsuitableforstorageintraditionaltablebasedrelationaldatabaseswhereit’sorganisedinadirectrelationshippopulatedbystaticfields.Therearenewsoftwaretoolsandframeworksinthemarketthatprovideforafilesystemratherthantraditionaltablebasedstorage.Thisenablesstringsofdata–suchasatweetortextmessage–tobestoredinafilesystemthatcancopewithvolumeandtheneedforanalysis.Butinmanyinstances,thisisjumpingtoarefinementstagebeforeaddressingareaswherethevastmajorityofliftfromaBigDataprogrammewouldcomefrom.
// Q5: So how do issuers start taking advantage of Big Data?
A:Beforebringinginconsultantsandinvesting(inforexample,expensiveserverfarmsspeciallyconfiguredtochewthroughunstructureddatatofullypursue
Tapping the Big Data potential
TSYS has produced a white
paper entitled “How Card
Issuers Can Leverage Big
Data to Improve Cardholder
Retention Efforts”. It analyses
the reasons why financial
institutions (FIs) have been
slow in their use of data
for customer analytics,
and offers suggestions
that spend trends and
transaction characteristics
can help FIs be far more
clever in making offers to
customers as a retention
strategy. The white paper
concludes that leveraging
Big Data can improve the
overall customer experience,
drive loyalty and ultimately
increase revenue through
offering better targeted
promotional offers. Card &
Payments World explores this
and the other concepts from
the white paper with Rob
Hudson, senior director, client
management for TSYS.
// Winter 2013 33
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third-partyBigDatastreamstothe nthdegree),issuersshouldfirstdevelopinitialprogrammesusingmoremanageabledatasets.FIscanrealisethemostsignificantreturnsbytakingadvantageoftheircurrentdatapoints,suchascustomerandtransactionaldata.Thebiggestupliftwillcomefrommanagingthedatatowhichissuersalreadyhaveroutineaccessbutaren’tusingoptimally.Onceissuersmaketrueinroadswiththebasics,theycanenactlater-stageinitiativestoaddresstheremainingmarginalopportunitiesyieldedbylessstructureddatalikethatfromsocialmedia.Jumpingtotherefinementstagewithoutmasteringthebasicswillyieldlesssignificantresultsanddivertresourcesfrompursuingthegreateropportunity.
// Q6: What budgeting guidelines does TSYS offer its issuing clients interested in launching Big Data?
A:Inthepaperweareadamantthatissuersfirstidentifythetypesandvarietyofavailabledatatheycanuse,butalwayswithafocusonhowitcanhelpthemreachtheirbusinessgoals.Budgetingattheinitialstagesissurprisinglystraightforward.Fromahumanresourceperspective,FIscanleverageexistinginternalstaff,suchasdatabaseadministrators,marketintelligenceanalystsandreportwriters.Thereisnoimmediateneedtopurchaseexternaldatafeeds.Themostimportantdataattheonsetisintheissuers’processingplatformdatabase.
// Q7: How can firms accelerate their Big Data drives to increase retention rates?
A:Principally,byidentifyingandmeetingcardholders’individualneedsmorereadily.Untilrecently,issuershavereachedtheupperlimitsonhowwelltheycoulddeliverontheconceptofmanymarketsofone,wherebytheycansegmenttheircardholderbasetoonlyacertain,limitedextent.Bydevelopingmoresophisticatedmodelstoanticipatecardholderneedsandenablingclientstoengagetheircardholdersatthemostopportunetimeandthroughtheirpreferredchannels,TSYSisputtingpeopleatthecentreofpayments,andultimatelystrengtheningthebondbetweenissuerandcardholder.
Feature
RobHudson,seniordirector,clientmanagementforTSYS,explainsthatthereiscautionbecauseofconcernovertheunknown,intermsofbeingabletoestimatehowmuchinvestmentwillbeneededinthefutureandwhatthecommitmentis.
Hesaid:“WesuggesttoFIs(financialinstitutions)thattheyshouldtakeitinstages.Firstweneedtohelpthemgettothestagewherewecancollectdata.FIswillthenseetheadvantage.Itisworthlookingatemergingfinancialservicespropositionstoseehoweffectivelydataanalysisisused.Somehavemadegreatprogress.”
RichardHamilton,productconsultantforTSYSagreedthatretailershavetheedgewhenusingdatatoadvantage.“FinancialInstitutionsareconcernedaboutdataregulation,andtheyhaveadifferentmindsettotowardsdata,”hesaid.
IndefenceofFinancialInstitutions,Hudsonsaid:“Manyplayerswon’thaveacleancanvas,therearemultiplebrands,legacysystemsandhistoricsilosdependentuponhowthebusinesshasevolved.Itisverycomplexandahugeproblem.Newentrantswithlesslegacyarelikelytofindthetaskofaddinglayersofdatausagelesscomplex,insomecasessimplylikeaddinganotherLegobrick!”
BigDatawouldultimatelygivefinancialinstitutionstheabilitytoachieveasingleviewpictureofacustomer,butHudsonadmitsitisagoalforthefuture.“Itisstillaspirational.Togainanalyticsonactivitythatisonlyadayoldisachievableonprocessingforexample,butitwilltaketimetoachievethisacrossthewholebusiness.Thereisahugeamountthatisavailable.Wecanhelpthemunderstandwhatpartsareofbenefitandvaluable,andthengetridoftherest.”
Hudsonstressedtheimportanceoftakingonestepatatime.“Wesuggesttoclientsthattheyaskonequestionabouteverysinglepieceofdataweprovide,andthenthiswillleadtoaroutemapofwheretheywanttogonext.”
Intermsoflimitations,hecommented:“Weunderstandthatfinancialinstitutionsarehighlydiverse.Collectingpaymentsdataisanimportantfirststep,andthenontohelpingcollectinsuranceandmortgagedatatoo.Wecouldapplyalotofgoodprinciplestoadditionaldata.Firstthough,wehavetoconvinceourcustomersofthevalueofthedatatheyhaveavailabletothemnow.”
Big Data is a scary place for someThe TSYS White Paper on Big Data suggests that Financial Institutions are nervous about investment in Big Data initiatives, even though the model is well tested by retailers.
Richard Hamilton, product consultant for TSYS
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Movers & Shakers
// VeriFone appoints Galant as new CEOPOSsystemmanufacturerVeriFonehasappointedPaulGalantasitsnewCEO.Galant,45,hadpreviouslybeentheCEOofCitigroup’sEnterprisePaymentsoperationsince2010,andhefacesthetaskofstabilisingVeriFone’sbusinessinarapidlychangingmulti-channelpaymentsmarket.HereplacesVeriFonechairmanRichardMcGinnwhohasbeeninterimCEOsincethesackingofformerCEODougBergeroninMarch.
// Michael Pirker takes up new paysafecard roleMichaelPirkerhastakenupthenewlycreatedroleofheadofbusinessdevelopmentatVienna-basedprepaidanddigitalsolutionsproviderpaysafecard.Hisrangeofdutiesincludesstrategyandoperationsforcontinuedrevenuesincreasein
newlyopenedmarkets,aswellasexpansionintonewcountries.PriortojoiningpaysafecardhefoundedtheonlineplatformCambeo,andhasalsoworkedasaprogrammemanager(includingatGoogleandDoubleClick)andasasoftwaredeveloper.
// Ex-PayPal exec joins Intelligent EnvironmentsDigitalbankingsoftwarecompanyIntelligentEnvironmentshasappointedformerPayPalexecutiveDeborahDavisasnon-executivedirectortoprovidestrategicoversight.Davishasover25yearsoftechnologyexperiencewith14yearsinvicepresidentrolesatPayPal,eBay,VerizonBusinessandSymantec.
// Alexander returns to mobileVirginMobilefounderandformerEverythingEverywhereCEOTomAlexanderhasjoinedViacloud,acompanyprovidingmobileservices,asnon-executivechairman.Alexanderhasbeenappointedasnonexecutivechairman.ThecompanysaidAlexanderwillusehisleadershipexperienceinthemobileindustry
toassistwithcommercialexpansionbaseduponitsscalablemobileinfrastructureforMVNOsandbrands.HisappointmentfollowstherecruitmentofanewexecutiveteamatViacloud,whichincludesEmanueleAngelidis(CEO)andseniormanagementincludingTimStone(CCO),JonKandiah(CTO),andRichardSchaefer(CFO).
// Identive names Jason Hart as CEO IdentiveGrouphasappointedJasonHartaschiefexecutiveofficeranddirector.HartreplacesAymanAshour,whohasresignedhisexecutiveroleattheUS-basedIDandsecuritysolutionscompany,butwillremainontheboardasnon-executivechairman.NoreasonhasbeengivenforAshoursteppingdownasCEO.Hart,whotakesuphispositionwithimmediateeffect,previouslyservedasexecutivevicepresidentofIdentive’sIdentityManagementandCloudSolutionsdivision.
// First Data recruits new co-general manager for EMEAPaymentsprocessorFirstDatahasappointedMarcOvertonasco-generalmanagerofEurope,MiddleEastandAfrica(EMEA)andheadoftheregion’sretailpaymentssolutionsbusiness.OvertonwillworkalongsideRogerBracken,co-generalmanagerandheadofthefinancialservicesbusiness,fortheregionandbothmenwillreportinpresidentoftheinternationalregions,JohnElkins.OvertonjoinsFirstDatafromEE,thecompanythatrunsOrangeandT-MobileintheUK,wherehewasVPofwholesaleandmachinetomachine(M2M).Priortothis,heheldseniorrolesatleadingmobileandtelecommunicationscompaniesincludingOrange,WanadooandThree(Hutchison3G).
// Michael de Jongh joins Judo PaymentsJudoPayments,aUKcardpaymenttechnologyproviderformobileapps,hasappointedMichaelDeJonghasvicepresidentforsalesandmarketing.HewaspreviouslyglobalheadofsalesformobilebillingandpaymentsatSyniverse.BeforethatDeJonghworkedasasalesdirector
forAntennasoftware,andhehasalsoworkedasdirectorofsalesatSybase365managingmobilecommercesalesacrossEurope,MiddleEastandAfrica.
// MasterCard appoints Thailand and Myanmar country managerMasterCardhasappointedAntonioCorroascountrymanagerofThailandandMyanmar.BasedinBangkok,Corrowillfocusondrivingthecompany’sexpansionstrategyforThailandandMyanmar.HetakesoverfromGreggHirano.HewaspreviouslycountrymanageroftheIndoChinaregionoverseeingVietnam,Laos,CambodiaandMyanmar.
// Andrew Gilchrist joins VocaLinkPaymentssystemproviderVocaLinkhasappointedAndrewGilchristascorporatedevelopmentdirector.Gilchristwillberesponsibleforstrategicrelationshipdevelopment,M&Aandinnovationinvestmentinitiatives.GilchristjoinsVocaLinkfromOptimalPayments
wherehewasexecutiveVP,corporateaffairs,responsibleforexpandingthecorporatedevelopmentbusinessunit.Priortothat,hemanagedcorporatetransactions,IPOsandstrategicalliancesworkingforHSBCInvestmentBankandCannacordGenuityinLondon.
// Secure Electrans appoints executive chairmanPaymentsolutionsdeveloperSecureElectranshasappointedformerBarclayssecuretransactionpaymentsexpertKevinColesasexecutivechairman.Coleshasover41years’experienceinthecreditcardindustryandhasadvisedseverallargeinstitutionsonbusinessstrategiesandpropositiondevelopmentincludingVisa,HSBC,CBAAustralia,UnicreditandBankofIreland.
// Winter 2013 35
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Events
People
// Nordic Card Markets and Future Payment SolutionsDate & Location: 20-21January2014–Copenhagenwww.smi-online.co.uk/2014nordiccard5.asp
// PCI LondonDate & Location:23January2014–Londonwww.pci-portal.com/event/pcilondonjan14
// The Card & Payments AwardsDate & Location: 6February2014–Londonwww.cardandpaymentsawards.comNowinitsninthyear,thisprestigiousindustryeventishighlyregardedandenjoysgreatsupportfromallelementsoftheindustry.TheCard&PaymentsAwardsrecognisecustomerservice,excellenceandinnovationintheUKandIrishcardandpaymentsindustries.Theyareopenacrossthedifferentcategoriestocredit,debit,prepaidandchargecardissuers,co-brands,merchantacquirersandotherpaymentserviceorganisationsintheUKandRepublicofIreland.
// MPE (Merchant Payments Ecosystem)Date & Location: 18-20February2014–Berlinwww.merchantpaymentsecosystem.comTheMerchantPaymentsEcosystem(MPE)isthebiggestinternationalpaymentacceptanceeventandcommunity.BoththeeventandtheonlinegroupsarepopulatednotjustbyEuropeanpaymentexpertsbutareincreasinglyattractingmoreandmoreacquirers,ISOsandPSPsfromUSandAsia.
// Mobile World CongressDate & Location: 24-27February2014–Barcelona www.mobileworldcongress.com
// Connect:IDDate & Location: 17-19March2014–WashingtonDCwww.connectidexpo.com
// Cards & Payments AfricaDate & Location: 18-19March2014–Johannesburgwww.terrapinn.com/exhibition/cards-and-payments-africa/index.stm
// Innovative Cards & PaymentsDate & Location: 20-21March2014–Brusselswww.icbi-events.com/FKP2354CPWW
// IFINTEC International Finance Technologies Conference and ExhibitionDate & Location: 8-10April2014–Istanbul,Turkeywww.ifintec.com
// CEE and CIS Card Markets and Future Payment SolutionsDate & Location: 9-10April2014–Sofiawww.smi-online.co.uk/finance/europe/cee-card-markets
// Prepaid Expo EuropeDate & Location: 17-18April2013–Londonwww.iirusa.com/prepaideurope/welcome
// Cartes AmericaDate & Location: 13-15May2014–LasVegaswww.cartes-america.com
// The Loyalty Awards 2014Date & Location: 10June2014–Londonhttp://theloyaltyawards.com
//PayExpoDate & Location:10-12June2014–Londonwww.payexpo.com/
// SDW 2014Date & Location: 16-18June2014–Londonwww.sdw2014.com
// Internet of Things WorldDate & Location: 17-18June2014–PaloAlto,SiliconValley,USwww.iotconnectevent.com
// Digital Services World CongressDate & Location: 18-19June2014–Londonwww.digitalservicescongress.com
// The Mobile Innovations AwardsDate & Location: 8July2014–Londonwww.themobileinnovationsawards.com
// Winter 201336
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