6 ConsiderationsWhen LaunchingNear Field CommunicationServices
6 Considerations when launching near fieldcommunication servicesA valuable insight into the key considerations that shouldbe acknowledged by issuers looking at launching near fieldcommunication (NFC) based products.
1. Scheme roll outs Roll outs are different to pilots – scalability and security are key. Fifty phones and one app in a coffee shop is a good test of customer experience but mass deployment requires real management of people, applications and tokens. Start simple and add applications, integrate additional partners and support more technologies over time.
2. Choose the right TSM Not all TSMs are the same and different TSMs satisfy different needs: - Root TSMs manage the secure element (SE) in the phone. - Service provider (SP) TSMs manage applications. You may even wish to integrate over-the-air (OTA) application delivery and personalisation, so that as an issuer you won’t need an SP TSM.
3. Cooperation Your company will need to co-operate with other stakeholders in the NFC ecosystem. Banks, mobile network operators and SPs are speaking with each other for the first time. Your company will still issue an application but one of the other players may issue the token, device or phone. Furthermore, TSMs themselves will need to communicate. Therefore, each root will be connected to multiple service providers or their TSMs.
4. Legacy systems Integration with existing processes and systems is essential. You’ll need to manage multiple applications and their keys in addition to integrating the new infrastructure with your existing card management. There will also be other issues to think about, such as whether mobile applications will require different risk parameters to existing EMV payment cards, for example.
5. Keep your options open Don’t get locked in to a single provider. You may need to support SIM, SD card and embedded SEs, support multiple SIMs from multiple vendors and want to personalise NFC and plastic chip cards with different SPs. Sourcing your TSM solution or services from an independent vendor is a good way to maintain your flexibility. Don’t restrict your options, the marketplace is evolving at a rapid pace.
6. It’s a lands grab - get involved! Issuers will be able to attract new customers from partnerships with carriers/mobile network operators. Consumers will look for issuers, handset manufacturers and mobile network operators that can offer these solutions and bring their business with them. Gaining early market share is key to future success for service providers and issuers.
Martin Cox Global Head of SalesWith over 20 years of expertise, Bell ID is considered the world’s leading provider oflifecycle management solutions for tokens (e.g. smart cards, mobile NFC phones)deployed in single and multi-application programmes.www.bellid.com