globant webinar presentation on mobile payments may 2015 (1)
TRANSCRIPT
©2014 MasterCard. Proprietary and Confidential
Globant Webinar
Mobile Payments
Mario Shiliashki, SVP / Group Head, Emerging Payments @ MasterCard
May 21, 2015
©2015 MasterCard. Proprietary and Confidential
Page 3
Every connected device will become a commerce
device
Shop in store
Shop in aisle
Shop anywhere
Shop at home
Commerce is changing
©2015 MasterCard. Proprietary and Confidential
The path to purchase Plastic Connected Devices
Connected Devices Provide More Opportunity for Engagement and Commerce
Pay: Swipe, dip, tap, type
Secure: PIN / signature
Communicate: Accept or decline
Information: Check balance, status, search, compare, try
Offers: Targeted offers, rewards
Communicate: Connect, consult, share
Before the purchase
During the purchase
After the purchase
Pay: Tap, in-aisle, in-app, online
Secure: Biometrics, alerts
Redeem: Offers, rewards, coupons, shipping
Communicate: Detailed transaction response
Payment history: E-receipt, track, benchmark usage, auto-order, cross-sell, replenish
Loyalty: Earn, keep, track, burn rewards
Communicate: Record, share, celebrate
Page 4
©2015 MasterCard. Proprietary and Confidential
Page 5
Three pronged strategy critical to securing all channels
Online Security Suite
EMV
Tokenization
Dynamic security on device
1
2
3
Mo
bile
Th
rea
ts
MDES
©2015 MasterCard. Proprietary and Confidential
Page 6
Securing digital channels will unlock significant value
• 80% of declined transactions are genuine or “false positive declines”
• Resulting in negative reaction by genuine cardholders
96%
Physical world
Approval rate
80%
Digital world
Approval rate
Fraud rate
Card present rate
Fraud rate
3x card present
rate
Objective: bring digital approval rates in line with
current physical world approval rates
©2015 MasterCard. Proprietary and Confidential
Page 7
Our point of view is that…
Consumer card account numbers will only be visible
on a physical card, and will be replaced everywhere
else by “payment” tokens
In the Cloud On a Mobile Device
Stored Online
©2015 MasterCard. Proprietary and Confidential
MasterCard is the world’s most advanced payment network – our Open API suite is the bridge to it
Page 8
Wearable Device
W Web App
Gas Station
Android
IOS
PHP
Ruby
Java
Smartphone
In-Car Entertainment
MasterCard Open API
<?
developer.mastercard.com
@MasterCardDev
©2015 MasterCard. Proprietary and Confidential
Page 9
For now, consumers prefer their banks and card issuers as mobile wallet providers
Base: Own smartphone & likely to try a payments app
Source: Pheonix Marketing International, September 2014
21%
29%
33%
30%
55%
65%
71%
Apple
Amazon
MNO (Net)
PayPal
Primary Card Issuer
Any Bank (Net)
“Which of the following companies would you consider obtaining a mobile wallet from?”