Day 2 of the EPCA Payment Summit started with a keynote presentation from Shikko Nijland of Innopay, who shared with the audience the results of a payment survey and the identified trends that will change the way consumers pay, such as new payments contexts, POS interaction from simple hardware to customer experience, the trend towards a truly seamless shopping experience, technologically empowered consumers, the shared economy trend, and forecasting cross-border eCommerce growth.
Topics such as the war of digital wallets, loyalty, NFC and biometrics attract increasing attention compared to the event’s past editions. Sarah Clark from PayPal presented her company’s digital wallet strategy based on four key components for success: customer value propos, reach/distribution, merchant value proposition and business model. PayPal’s approach has evolved significantly: everything is built for mobile, nothing for online.
Guido Mangiagalli, Head of Prepaid and Mobile Store Value at Visa, discussed the benefits and opportunities offered by commercial payment cards such as controlling expenses and improving reporting, fundamental drivers of customers’ success, saving them time and money, and decreasing the burden on administrative activities. Due to the changes in the commercial card space and business needs, the range of commercial cards being offered is moving beyond credit and charge cards and expanding to both prepaid and debit cards.
Understanding the context and requirements of biometrics and the biometric authentication methods was the topic of an interesting presentation from European Biometrics Group, which highlighted the growing influence of biometrics in the digital world, as a “key enabler of trusted transaction control”. Biometrics is a “strategic” technology: the core technical principles have a direct impact on strategic parameters, such as security risks, cost of ownership/ROI and operational performance. The market is growing with Central and South America leading the way, and amongst the main challenges mentioned were new infrastructures and technologies required, citizens’ trust, ensuring long-term quality and the key role played in financial transactions.
Steve Pannifer from Consult Hyperion talked about the introduction of Host Card Emulation which allows Android devices to communicate with contactless payment terminals without a secure element needing to be present, removing many of the commercial and technical complexities previously associated with NFC payments.
Capgemini presented the results of their World Payments Report 2013 edition, highlighting the fact that technology, competition, industrialization and regulation have acted as catalysts to transform the dynamics of the global payments business. “Payments acquisition” also represents the greatest potential for achieving customer-centric innovation in payments. The growing popularity of instruments such as E & M payments, prepaid cards, virtual currency, and an increasing market share of non-banks is giving rise to a large hidden, or unreported, non-cash payments market, and raising a need for better centralized data collection/reporting.
Read more about Day 1 of EPCA Payment Summit 2014.