MasterCard Worldwide logo
Josh Peirez, Group Executive
February 23, 2010
A Platform for Payments.
Personal. Portable. Multi-functional. Powerful
February 24, 2010
Notes: The opportunity lies in the popularity of the mobile phone (more than 4 billion subscribers worldwide), the personal nature of the device (most are carried at all times), and the capabilities of the device. These capabilities include secure storage, processing, transmission and display of information to the consumer, and allowing them to interact with it--all while being mobile. The combination of these factors means that the mobile device can address all current payment occasions (face-to-face in a store, remote via a mobile website) and anticipated future occasions (money transfers) and do it in a way that is more convenient for the consumer, and at least as secure for the financial institutions as current payment platforms.
Why is mobile key to MasterCard business growth? The mobile device is a personal, multi-functional device, and offers a powerful, portable platform for the delivery of consumer financial services, including payment.
Working with telecom providers, we could accelerate growth of our business.
-Capture recurring payments
-New transaction types
Create a seamless experience for consumers with payment options and information services that simplify their shopping and banking experience
Mobile phone used as…
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Payment Device - New 'form factor' for a MasterCard POS Contactless (Mobile PayPass), mCommerce
Value Added Services - Use mobile to enrich.payment experience Alerts, apps, offers / coupons, locators
Payment Channel - Initiate payment transactions mobile top-up, remote payments, P2P
Acceptance Device - Expand acceptance network P2M
Integration with mobile banking is key
Notes:The ubiquity of the mobile phone and consumers growing dependence on it in their daily lives combined with the continual advancement of mobile payment technology creates vast opportunity in this channel. To reach larger consumer segments, with a broader sets of services that they need. Overall mobile strategy : To enable both face to face and remote transactions with the mobile phone to bring new payment capabilities to the mobile phone Develop value added services through the mobile phone, to enhance the payment experience
The mobile phone channel represents a significant long-term growth opportunity for MasterCard, both from the mobilization of existing payment products and from the development of new ones that exploit the mobile channel. Mobile phones also have the potential to be the platform upon which payment innovation occurs in the future.
Mobile PayPass / Tags pilots in various markets around the world
Supporting MobileMoney / MNG solution in LAC Barclays / Orange delivery
Commercialization and roll-out of Mobile PayPass / Tags, MOTAPS
PayPass Tags a "bridge" to integrated contactless payment experience on phone
Continue to support MobileMoney / MNG opportunities (Brazil, Mexico and potentially Poland)
Integration with MoneySend
Mobile as Payment Device (POS, m-commerce)
Mobile as Payment Channel (mobile top-up, remote payments, P2P)
Mobile as Value Added Service (alerts, apps, offers / coupons, locators)
Mobile as Acceptance device
Integration of mobile payments with mobile banking is key
Explore alliance opportunities (Nokia, Smart)
Going Beyond the Card
PayPass changed the game by allowing consumers to pay .with a tap of their card. Today, MasterCard applies the utility of contactless payment to the mobile market. The result is convenience, flexibility, and simplicity never before seen in payments.
Notes: We're not yet ready to describe all the details of our plans – but we're working on:
-Aligning our solutions with handset capabilities, defining richer solutions for smartphones with more robust capabilities, while ensuring that simple solutions that can be deployed on any handset are available in the markets that where they are appropriate
-Aligning our mcommerce solutions tightly with our ecommerce initiatives Understnading the impact that strong authentication of the user can have on the payment services that can be offered – and how we can get them to market in a win-win fashion for our issuing banks, the merchant community and the rest of the mobile payments ecosystem.
Utilize mobile's flexibility and immediacy to add supplemental.value to core solutions
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Mobile-based apps increase functionality and add consumer touch points that help establish loyalty
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Gives U.S. consumers a location-based utility to find and share their favorite picks with friends and family.
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MasterCard ATM Hunter
Helps users easily locate the ATM nearest them, anywhere in the world
Leveraging smart phones as acceptance terminals for payments
Graphic image with text "Accept payments. Everywhere".
Notes: We are growing the MasterCard rePower Load Network in the U.S. With the addition of the Green Dot Corporation last fall, we have over 50,000 locations where consumers with reloadable prepaid cards can add money to their prepaid accounts at retail point-of-sale locations. These include Wal-Mart, CVS Pharmacy, Walgreens, Rite Aid, and Radio Shack. The rePower network represents an opportunity to provide financial services to an estimated 56 million adults in the U.S. who are underserved by traditional providers and we are expanding rePower's footprint to Europe and Mexico this year. (Source: U.S. General Accounting Office, 2002)
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The Heart of Commerce Trade Mark