apple pay-internet-briefing-anreizsysteme-20150303

Field Report

Apple Pay with US Credit and Debit Cards in Switzerland

March 3, 2015 – Dr. Thomas Fromherz

Netcetera | 2

Registration

Purchase Transactions with Apple Pay

Apple Pay in In-App E-Commerce Transactions

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Agenda

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Registration of Card for Apple Pay

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Switch region to “Vereinigte Staaten”

“New” Passbook w/ Apple Pay

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Get Passbook with Apple Pay Capability (cont.)

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Open PassBook

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Registration of Card for Apple Pay

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Click “Set Up Apple Pay“

Click “Use Card on File with iTunes”

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Registration – Citi MC, Card Data Input by Typing

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Enter security code

Verifying …

Agree to T&C

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Registration – Citi MC, Card Data Input by Typing (cont.)

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Verifying Accept T&C

Card verified

3 identification options

Call Citi Apply Pay number, enter

PAN, ZIP, Citi password

automatically verified (or

forwarded to call center agent)

Citi (system?) calls number on file

Citi (system?) texts number on file

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Registration – Citi MC, Card Data Input by Typing (cont.)

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Card ready for Apple Pay

Complete registration:

< 5 min

Activation (from successful

identification to “ready message”):

< 5 sec

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Registration – Citi MC, Card Data Input by Typing (cont.)

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Under “i” card info screen

Direct link to Citi mobile app

On/off switch for card notifications

Transaction history

Contact Citi (link to initiate call)

Card number (PAN), last 4 digits

Device account number (DAN), last

4 digits

Remove card

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Registration – Citi MC, Card Data Input by Typing (cont.)

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Pressing camera icon activates

automatic recognition of card data

from picture

Security code (CVV) to be entered

manually

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Registration – Citi Amex, Card Data Input by Camera

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Enter security code (CVV) manually

Verifying Accept T&C

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Registration – Citi Amex, Card Data Input by Camera

(cont.)

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1 identification option

Call Citi Apply Pay number, enter

PAN, ZIP Citi password

forwarded to call center agent

verification of identity

Apple Pay activation by agent

Card ready for Apple Pay

Complete registration: < 5 min

Activation: < 5 sec

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Registration – Citi Amex, Card Data Input by Camera

(cont.)

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E-Mail with additional instructions on

how to activate card for Apple Pay

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Registration – Citi MC, Amex, Customer Communication

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E-Mail with activation confirmation

and further information

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Registration – Citi MC, Amex, Customer Communication

(cont.)

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Pressing camera icon activates

automatic recognition of card data

from picture

Security code (CVV) to be entered

manually

© 2015 Netcetera AG * BofA = Bank of America

Registration – BofA* Debit, Card Data Input by Camera

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Verifying Accept T&C

1 identification option

Call BofA Apply Pay number

forwarded to call center agent

verification of identity

Apple Pay activation by agent

© 2015 Netcetera AG * BofA = Bank of America

Registration – BofA Debit, Card Data Input by Camera

(cont.)

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1 identification option

Call BofA Apply Pay number

forwarded to call center agent

verification of identity

Apple Pay activation by agent

Card ready for Apple Pay

Complete registration: < 5 min

Activation: < 5 sec

© 2015 Netcetera AG * BofA = Bank of America

Registration – BofA Debit, Card Data Input by Camera

(cont.)

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Under “i” card info screen

Direct link to BofA mobile app

NO On/off switch for card

notifications

NO Transaction history

Contact BofA (link to initiate call)

Card number (PAN), last 4 digits

Device account number (DAN), last

4 digits

Remove card

© 2015 Netcetera AG * BofA = Bank of America

Registration – BofA Debit, Card Data Input by Camera

(cont.)

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E-Mail with activation confirmation

and further information

© 2015 Netcetera AG * BofA = Bank of America

Registration – BofA Debit, Customer Communication

(cont.)

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All 3 cards in PassBook

and in “Settings” app under

“Passbook & Apple Pay”

© 2015 Netcetera AG * BofA = Bank of America

Registration – All 3 Cards in PassBook and Settings App

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In “Settings” app under “Passbook &

Apple Pay”

Set default card

Add 1 billing and 1 shipping address

Add 1 phone number

Add 1 e-mail address

All can easily be picked from

address book entries

Addresses and contact details for in-

app purchases

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Registration – Add Billing & Shipping Address and

Contact Details

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Contactless Payment at Migros POS

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Video shows transaction with

changing card from Amex to

MasterCard

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Contactless Payment at Migros POS

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Holding iPhone against POS, screen

off

Screen turned on, verified Touch ID

(or not )

Transaction successful

Notification on lock screen

Sliding notification opens card info

screen (PassBook/Setting) (s. slide

after next)

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Contactless Payment at Migros POS

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Card info screen can be accessed via

PassBook (pictures left) or via

“Settings” PassBook & Apple Pay”

PassBook shows last transaction on

card screen and card info screen (see

next slide)

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Contactless Payment at Migros POS (cont.)

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Card info screen shows latest

transactions

Citi Mobile app shows transactions as

“pending”

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Contactless Payment at Migros POS (cont.)

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Some Details

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When tapping the terminal Apple Pay

wakes up and displays default card;

If TouchID not pressed, transaction

doesn’t happen

User can choose another card with

typical Passbook gesture also used

for selecting boarding cards, hotel

reservations, or movie tickets

Selected card is used for transaction

(s. movie)

© 2015 Netcetera AG

Change of Card when Paying

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Transaction amount is sent back via

NFC for MasterCard, i.e. always

available, even without data

connectivity (flight mode on)

If no data connectivity available,

merchant name not available

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Merchant Names vs. Transaction Amount

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Once data connectivity available

(flight mode off), merchant name is

sent to iPhone (both notification and

transaction history)

Assumption: sent by issuer

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Merchant Names vs. Transaction Amount (cont.)

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For Amex, amount apparently not sent

back via NFC but - converted into

US$ - via data connectivity from

issuer;

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Merchant Names vs. Transaction Amount (cont.)

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High-value transaction did not require

PIN at terminal

Possible explanation: US cards are

mag-stripe only and TouchID

replaces signature

© 2015 Netcetera AG * BofA = Bank of America

High / Low Value Transactions

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MasterCard: Contactless EMV

Amex: Contactless Magstripe

But: press says “contactless EMV

only”

Acquiring Records

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Contactless EMV vs. Contactless Magstripe

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Acquiring Records – KKiosk

DAN

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Acquiring Records – KKiosk

DAN

Contactless Magstripe

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Acquiring Records – Test Terminal

DAN

Contactless EMV

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Aiming was not an issue; transactions

were done without even thinking

about how to hold iPhone to terminal

Transaction at Migros terminal

(Yomani) was faster than at Kkiosk

(Verdi);

The latter required some patience &

confidence that transaction would go

thru;

Empiric judgment

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Aiming & Transaction Time

Netcetera | 41© 2015 Netcetera AG

Apple Pay in E-Commerce aka In-App-Transactions

Netcetera | 42© 2015 Netcetera AG Quelle: http://www.apple.com/apple-pay

Apple Pay in Apps

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First screens of Apple Store app

Purchase did not go thru due to

address problem

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Apple Pay in Apple Store App

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(c) 2015 Netcetera AG

The content of this presentation is copyrighted material. Reproduction or publication,

in whole or in part, by third parties without prior written permission of Netcetera is

prohibited.

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thomas.fromherz@netcetera.com

+41 44 297 58 18

Dr. Thomas Fromherz – Director Payment & Card Services

Contact

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