The document discusses mobile payments and provides insights. It notes that current mobile payment solutions do not significantly improve on traditional payment methods in terms of security, availability, risk, and cost. However, mobile payments can enhance the experience and processes around payment by offering services to underbanked merchants, improving sales processes, adding additional services like loyalty programs, and reducing costs. Integrating payments requires coordinating many parties, certifications, and addressing local differences between countries. The goal of payworks is to provide an easy-to-integrate payment platform that allows clients to process card payments on a single independent platform under their own brand.

1. Mobile Payment Beyond the Hype
Insights into the mobile space
Slide 1

2. Mobile payments can significantly enhance the experience and processes centered
around payment
Executive summary
Current mobile payment solutions don’t offer a
significant value add over traditional methods
vs. when it comes to payment functionality
Buy 10, Get 1 Free
Mobile payments can significantly enhance the
experience and processes centered around
payment
Payment integration involves many parties,
certifications and local knowledge
Slide 2

3. Mobile payment is predicted to be a big thing
Mobile payment in numbers
This year, more people will use
mobile phones than desktop
computers to go online
By 2016, mobile commerce is
expected to grow to 5 times its
current size
448 In 2016, there will be 448 million
mobile payment users, in a market
worth $617 billion
Sources // Google, Gartner, Moovweb Slide 3

4. But everyone has their own definition of mobile payment
Some mobile payment variations
Mobile as the Mobile at the
Point of Sale Point of Sale Mobile Shopping
§ PIN
§
S M S M S
S // Shopper M // Merchant Slide 4

5. Mobile payment has payment at its core and needs to fulfill four major criteria
Our understanding of mobile payment
Mobile payment
is
payment enhanced with mobile technology
A B ! $
Secure transfer of funds Availability Risk mitigation Cost Efficiency
Slide 5

6. Mobile payment solutions don’t offer a significant value add over traditional methods
when it comes to payments
Current situation in payment
 Debit and credit cards are still the
predominant means to pay
 Mobile doesn’t fundamentally change the
way authentication and authorization are
done
Payment problem is essentially solved in developed markets and
current mobile payment solutions don’t offer significant
improvement in security, risk, availability and cost
Slide 6

7. Mobile payments can significantly enhance the experience and processes centered
around payment
Advantages mobile payment technology can offer
Service under-banked merchants Improve the sales process
 Provide access to cashless  New workflows possible
payments for small merchants  Very specific solutions tailored
 Seen in the US, spreading to the merchant
world-wide
Add additional services Reduce costs
 Merchants can increase  Cheaper hardware if mobile
customer retention device is already present
 Loyalty, couponing, targeted  Cut out middle-men (P2P)
advertisement  Reduce risk through better
authentication and authorization
Slide 7

8. Mobile payments can significantly enhance the experience and processes centered
around payment
Two examples of the value that mobile payment can bring
Buy 10, Get 1 Free
Pre-ordering of food Loyalty programs
For all of this you need payment but this is not the most important
part
Slide 8

9. Our goal at payworks is to provide a way payment as a component that can easily be
integrated into mobile solutions
payworks positioning
We set ourselves the goal to make it possible for
Easy anyone to integrate payment
We provide a platform that lets our clients process
both card present and card not present transactions
Platform on one independent platform
We make mobile payment stars. Our clients run our
platform and their mobile payment applications on
their own – under their own brand.
Slide 9

10. Learning: Payment requires a lot of parties to work together
Parties and hardware involved in a simple transaction flow for a credit card transaction
Shopper Merchant Processing Acquirer
PIN
Platform
§
Hardware integration effort Card Scheme
Payment integration effort
Handling multiple parties
Issuer
Slide 10

11. Learning: Payment integration requires many certifications
Required certifications for a simple transaction flow
Shopper EMV Merchant Processing Acquirer
PCI PCI
PIN
Platform
PTS POI P2PE
§
PCI
DSS
ADVT
Card Scheme mTIP
Multiple certifications required
Issuer
Own certifications
Slide 11

12. Learning: Payment is very local
Issues we had to solve
Different countries – different rules
Different countries – different banks
Different countries – different payment methods
Slide 12

13. Visit us!
Hall 9, Stand A50
The world of mobile payment
on one single platform
Slide 13