Card payments world shortlist 2013

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Card & Payments World // www.cardworldonline.com

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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

8

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]

Commercial Manager & Subscription Enquiries MaxineWernick Tel +44(0)1572820088 [email protected]

Design GreyCoffee [email protected]

ISSN 0954 8564

SUBSCRIBE TO CARD & PAYMENTS WORLD...ONLINE: www.cardworldonline.com andfollowthe‘SUBSCRIBE’link

CALL: +44(0)1572820088

EMAIL: [email protected]

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

Feature

Continues on page 12

Rob Harper - PayPal

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Feature

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


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



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



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



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



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.



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



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


Category Sponsor:


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



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.


RBS&RSAWorkingtogethertopreventFraud

// Winter 2013 21



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



Describedbythemediaas“thebiggestwatershedinbankingsincethelaunchofthecreditcard”,BarclaysPingitlaunchedon16thFebruary2012isafreemobileapplicationthatallowsthosewithaUKbankaccounttosendandreceivemoneybyjustknowingsomeone’smobilenumber.

Best Initiative in Mobile Payments SHORTLIST

Barclays

Pingit-Buyit


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



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

// Winter 201324



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



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:

// Winter 2013 25



RBSGuseddataanalysisandcommunicationtargetingtoincreaseredemption response rates and on-going engagementintheYourPointsprogramme.Byanalysingspenddataandoverlayingadditionalprofilingdata,aCustomerSegmentationwasdevelopedtounderstandYourPointscustomers.Thisenabledimprovedtargetingandrelevancy,deliveringanimpressive35.5%redemptionuplift.


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



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



Barclaycardcustomers’liveshavebeenmademucheasier,whereunrecognisedtransactionsneedtoberemovedfromtheiraccount.Streamlined,automatedprocesseshavereducedapaperformand25-daywaittojustfiveminuteseitheronthephoneoronlinefor71%ofcustomers.Customersatisfactionisup23.6%

Barclaycard


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


-38% on Q4’12

14k


-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



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.


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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Y K

PMS ???

PMS ???

PMS ???

PMS ???

Non-print 1

Non-print 2

JOB LOCATION:

PRINERGY 3

Non-printingColours

BCD114539 TP3 A5.indd 1 05/06/2013 12:50

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


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:


// Winter 201330



CapitalOnecreatedtheAspireWorldTravelcreditcardtomeetthechangingneedsofconsumersthroughouttheyearbyofferingauniquecombinationofbenefits:cashbackwithouttime-limits/restrictionsanditszeroforexfeesbenefitisforthelifeofthecard.

Capital One

AspireWorldTravel

TherecentlylaunchedEmiratesdualcreditcardisaninnovativenewprogrammethatenablesCustomerstoenhancetheirSkywardsmembershipbymaximisingtheiropportunitytoearnSkywardsmiles.Thisinnovativeproductdeliversapackageofmarketleadingbenefitstomaximisethevaluecustomersreceiveforspendontheircreditcard.



Best New Credit Card Product of the Year SHORTLIST

Category Sponsor:

TherecentlylaunchedEtihadcreditcardisaninnovativenewprogrammethatenablesCustomerstoenhancetheirmembershipbymaximisingtheiropportunitytoearnGuestmiles.Thisinnovativecreditcardprogrammedeliversapackageofmarketleadingcreditcardbenefitstomaximisespendandloyalty on the card.

Etihad Guest and MBNA

EtihadGuestCreditCardAccount

// Winter 2013 31


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?

// Winter 201332


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


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

// Winter 201334


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


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


Documents

Card payments world shortlist 2013