Paper money backed by government. People believe and trust in it.In the United States:1690 Colonial Notes The Massachusetts Bay Colony issued the first paper money in the colonies which would later form the United States.1781 Nation's First Bank Also to support the Revolutionary War, the continental Congress chartered the Bank of North America in Philadelphia as the nation's first "real" bank.
Barcodes are used for two purposes: generating communication for payment and loading prepaid gift cards into wallet.
X.Commerce is an open ecosystem of partners and developers to help retailers extend and future proof their commerce infrastructure. Stats: Over 50 capability categoriesOver 300 technology companies integratingOver commerce 800K developers All to help deliver innovation to retailers, large or small. -Data platform catalog inventory intelligence customer intelligence optimizationCloud Hosting environment Storefronts commerce applications data
The way consumers are shopping is changing. The adoption of smart phones are allowing consumers to control how, when, and where they shop. Consumers have more leverage.
How are mobile devices changing the face of payments? Pragati Ogal Rai Mobile Technology Evangelist, PayPal @pragatiogal github.com/pragatiogalMobile Developer Conference, Chennai, Dec 1, 2012
Agenda• Journey of Payments• Current Landscape• Emerging Trends in Mobile Payments
Old Roman Empire Gold Coin Ancient Indian Gold Coin Ancient Greek Silver Coin
Kublai Khan issued paper money known as ChaoEmperor Kublai Khan Paper MoneyYuan Dynasty 500 Cash 1269-1365 1215-1294 AD Marco Polo was a Venetian merchant traveler whose travels are recorded in II Milone. He introduced Europeans to Central Asia and China. Marco Polo 1254 – 1324 AD http://en.wikipedia.org
First Diners Club credit cards were given out in 1950 Curtsey Diners club
Founded in 1998, PayPal allows payments and money transfersthrough the Internet.
Logos!Worldwide mobile payment transaction values will surpass $171.5billion in 2012, a 61.9 % increase from 2011 Gartner, May 2012 1.8 billion consumers globally will buy digital goods via their mobile in 2011, this will rise to 2.5 billion in 2015. Juniper Research, 2011
Mobile Payments Ecosystem S e c Clients Merchants u r i t y Infrastructure
What are Mobile Payments?• Consumer uses a mobile device• Merchant uses a mobile device• Both consumer & merchant use a mobile device How do you define mobile payments?
Remote Mobile Payments• Send and request money• SMS based payments• Mobile banking• Application/ Browser based payments• Carrier Billing Fahad.com
Proximity Mobile Payments• Barcode Scanning• Point of Sale• NFC• Bluetooth• RFID• Accelerometer Wikepedia.org
Your Definition of Mobile PaymentsWhat does a Merchant want? What does a Consumer want?• Quick, easy, hassle free • Fast• Security compliance • Secure• Fraud prevention systems • Easy• Current and up to date system • Choice of payment providers• Reliable• Pricing
Reports and Information Transaction Search Instant Payment / Details Notifications
PayPal Access: Your Commerce Identity Sign-on Today • 23% - customers who abandon carts when asked to register1 • 45% - leave website when they can’t remember their password2 • 25 - average number of online accounts per user1 1. Forrester Research 2. Blue Inc.
PayPal Access: Your Commerce Identity • Single sign-on • Enter and update billing and shipping information once • Commerce identity. PayPal is trusted by consumers to keep their information secure and respect their privacy
PayPal Access: Delivers ActionableConsumer Data PayPal Informatics data Informatics Data Examples covers up to 60% of online transactions* Online activity: who customer is & how they purchase – Time of last purchase – Frequency of online purchase – Average amount per online purchase – More… PayPal Informatics Category of purchase history – UPC code – eBay category (420K categories) i.e. womens clothing jeans, womens junior’s jeans, womens petites jeans All online transactions Real-time data: Enables targeted offers, even on first visit
Development Phases Design, build & test application GO LIVEGet API Submit forcredentials approval* Create Sandbox account * Only Adaptive Payments, Mobile Payment Library, and certain advanced APIs in Express Checkout require submission.
PCI Standard Council• Independent organization• Develop common set of payment standards • PCI-DSS v2.0 • PCA-DSS • PCI-PTN • PCI-P2PE
PCI-DSS V2.0• Build and maintain a secure network• Protect cardholder data• Regularly test and monitor networks• Maintain an InfoSec policy• Maintain vulnerability management program• Implement strong access control measures
Mobile Payments are Here to Stay"We expect global mobile transaction volume and value toaverage 42 percent annual growth between 2011 and 2016, andwe are forecasting a market worth $617 billion with 448 millionusers by 2016," Sandy Shen, research director at Gartner, May 2012
M-payments is a Global PhenomenonEastern Europe will see the highest user growth between2011 and 2016. Asia/Pacific will have the most m-paymentusers, but Africa will account for the highest revenues. Gartner, May 2012
M-payments is a Global Phenomenon• M-pesa in Kenya• Chipknip• GeldKarte• Royal Canadian Mint http://pritamkabe.wordpress.com
Mobile brings New Use Cases Location-based services Self-scanning & self-checkout Online Commerce Promotions & Shopping Lists coupons Global Social Commerce In-store Mobile Wallet research Loyalty
Changing Form of Payments • Money becomes more abstract • Royal Canadian Mint • Digital goods • Anonymous payments: Bitcoin Less cash society Cashless society
Increased Collaboration among MobilePayment Stakeholders
Improvements in Payment Security• Consumer awareness• Improved device security• Biometric identification• Evolving security standards like PCI Security Standards
Summary• Mobile payments are here to stay• Define what mobile means to your business• Think beyond the hype• Security, trust, and safety is of paramount importance
Pragati Ogal Rai @pragatiogalhttp://www.slideshare.net/pragatiogal