Thin Is In The Future of Digital Wallets

March 11, 2011

Christina N. White Experience Designer

#ThinIsIn

This is an inspirational talk on

Digital Wallets in the eyes of a consumer

This is an inspirational talk on

Digital Wallets in the eyes of a consumer

3. How do we make it real?

4. How will it change the way we shop?

2. What questions should we be asking?

1. Who’s trying and succeeding?

What’s your wallet personality?

What’s your wallet personality?

What else?

Payment

Method

Financial

Management

Coupons Comparison

Shopping

Tickets/

Passes

Digital Wallet

Who’s trying? 1

Devices

Devices

Phones / Carriers

Financial Management

USAA Mint.com Chase Pageonce

Financial Management

Coupons

Coupon Sherpa Shopkick Groupon CardStar

Coupons / Check-In Incentives

Comparison Shopping

Red Laser Scan & Shop The Find Google Shopper

Comparison Shopping

Tickets / Passes

Japan

Public Transit Pass

Japan

Mobile Airline Check-In

Hong Kong

Octopus Wallet Watch

Tickets / Passes

Payment Method

Who’s close?

Who’s close?

% of respondents

Devices that will be replaced* by mobile phone users

according to mobile phone users worldwide, June 2010

Note: Ages 18+, *within 5 years

Source: Oracle, “Opportunity Calling-The Future of Mobile Communications”, Sept 22,2010

54%

54%

52%

31%

27%

27%

24%

22%

18%

5%

GPS

iPod or MP3 Player

Digital Camera

Credit Card

Personal Computer

Video Recorder

Car Keys

eReader

Personal ID card

TV

What questions should we be asking?

2

Who’s responsible for smartphone security?

Feel the individual is

55%

Feel the phone

manufacturer is

15%

Feel the cellular carrier is

30%

Source: cellphones.org

What’s in your phone?

Who are the players?

Before

After

Who owns the digital wallet?

Financial Institutions Carriers Retailers

Financial Institutions Carriers Retailers

What they

need to

adopt:

What they

bring to the

table:

• Payment Processing

• Credit Card services

• Bank services

• Security Infrastructure

• Customer-Centric

perspective

• Technology to support

• Payment Processing

• Credit Card services

• Bank services

• Security Infrastructure

Financial Institutions Carriers Retailers

What they

need to

adopt:

What they

bring to the

table:

• Customer-Centric

perspective

• Technology to support

• Networks

• OEMs

• Mobile Payment Services

• Mobile Coupon Services

Mobile Carriers The North American Conundrum

OS OS OS OS

OS OS OS OS

OS OS OS OS

OS OS OS OS

OS OS OS OS

OS OS OS OS

OS OS OS OS

OS OS OS OS

OS OS OS OS

OS OS OS OS

OS OS OS OS

OS OS OS OS

• Payment Processing

• Credit Card services

• Bank services

• Security Infrastructure

Financial Institutions Carriers Retailers

What they

need to

adopt:

What they

bring to the

table:

• Customer-Centric

perspective

• Technology to support

• Networks

• OEMs

• Mobile Payment Services

• Mobile Coupon Services

• Standardized handset

and OS

• Payment Processing

• Credit Card services

• Bank services

• Security Infrastructure

Financial Institutions Carriers Retailers

What they

need to

adopt:

What they

bring to the

table:

• Customer-Centric

perspective

• Technology to support

• Networks

• OEMs

• Mobile Payment Services

• Mobile Coupon Services

• Standardized handset

and OS

• Shopping Experience

• Consumer Data

• Point of Sale

• “Everywhere shopping”

Who owns the digital wallet?

Financial Institutions Carriers Retailers

Who influences the consumer?

Financial Institutions Carriers Retailers

Who influences the consumer?

Financial Institutions Carriers Retailers

What needs to happen?

Financial Institutions, Carriers, and Retailers need to work together to

understand how to split up the transaction fees, etc. 1

Figure out how industry will get enough consumers to use the digital

wallet and enough merchants to accept mobile payments. 2

Ensure that the user experience is still easy to use & intuitive 3

Then what?

Consumers don’t want a new way to spend money faster.

Then what?

They want a new way to spend money wiser.

How will we make it 3 a reality?

Remember the telephone?

Evolution of the Phone

SMS Web

Caller

ID

Email

Camera

Mp3

Player

Note

Book Games

Alarm

Clock GPS

Address

Book

Apps, Apps, Apps

Keep It Simple

Phone Wallet

Remember running 1 application?

Avoid clutter

Gradually Enhance

Payment Method Financial Management Coupons Comparison

Shopping

Tickets/Passes

Gradually Enhance

Your life is on your phone.

Your life is on your Facebook feed.

But your private, personal information is in your wallet.

Where does social belong?

Community Feed

Digital Wallet = Social Network

But it will help enable consumers…

…start the conversation

…and continue the conversation.

LOYALTY

LOYALTY

How will it change the way we buy?

4

What’s in your wallet?

What is your wallet?

The Takeaways

• Digital wallet is not JUST paying with your phone

• Think of consumer’s needs first

• Keep it simple. Gradually enhance.

• Make it easy, effortless, and convenient.

• Find its relevant place within the shopping eco-system

• Be patient

• Enable and continue the conversation

Hungry for more?

FK Funderburke & Hilding Anderson

Monday, 3:30pm

Kiosks, Mobile,

and the Evolving Retail Experience