Worldpay, a global payment processing company, shares the fascinating data behind today’s global digital payment trends. Kevin Dallas, Chief Product & Marketing Officer – Global eCommerce, Worldpay

1. © Worldpay 2016. All rights reserved.
How the world pays
Kevin Dallas, Chief Product & Marketing officer

2. © Worldpay 2016. All rights reserved.
Experts in helping
companies go
global
31.5 million
transactions/day,
$500 billion
processed / year
Largest FinTech IPO
in London Stock
Exchange history
Number 1
international
acquirer
Own the full payment
chain from end to end
Worldpay fast facts

3. 3
ACQUIRING TREASURY GATEWAY ALTERNATIVES RISKGUARDIAN
Fully licensed for all the leading card schemes in over 100
countries with a local acquiring offering in 50 countries
A global payments proposition that delivers
an end-to-end solution
More than just a gateway…

4. Drive up
conversion rates
Reduce the costs
of running your
business across
multiple markets
Optimize payment
acceptance rates
Announcing Australia local acquiring license

5. Dating
Social Networks
Business networks
Address books
5
Tech & ServicesContentPublishing
We understand digital content
Music
Movies
TV
Software
eBooks
Magazines
Advertising
Images
App
Tips
information
Education
Collaboration
SaaS
PaaS
IaaS
Hosting

6. © Worldpay 2016. All rights reserved.
Is global eCommerce growing?
In 2015, the global eComm market
was estimated to be worth: Up
since 2014
expected to hit
trillion by 2019trillion
%

7. © Worldpay 2016. All rights reserved.
Americas: how the world pays – today and tomorrow
APM
25%
29%
Card
75%
71%
2014
2019
Americas 29% 26%
20% 21%
17% 18%
2014 2019
42% 40%
16% 13%
9% 10%
North America
Latin America
Debit cards
eWallets
Bank transfer
Bank transfer
PostPay
Credit card
2014 2019
Top 3 payment types

8. © Worldpay 2016. All rights reserved.
Europe: how the world pays – today and tomorrow
APM
49%
55%
Card
51%
45%
2014
2019
Europe
29% 26%
20% 21%
17% 18%
2014 2019
Debit cards
eWallets
Bank transfer
Top 3 payment types

9. © Worldpay 2016. All rights reserved.
APAC: how the world pays – today and tomorrow
APM
58%
63%
Card
42%
37%
2014
2019
APAC
34% 38%
31% 26%
11% 9%
2014 2019
eWallets
Credit card
Bank transfer
Top 3 payment types

10. Languages Payment preferences
& spending habits
Tax laws Currencies
Local cultures Optimizing business
cost & risk
Legal Local entity/
offshore
Getting the basics right – key considerations

11. Trust Simplicity Support
The importance of the payment journey

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What about subscriptions?

13. © Worldpay 2016. All rights reserved.
Only want to pay for
what they use
Do not want to commit
to a service long term
Concerned about sharing
personal information over the
long term
% %%
What holds people back from subscribing?

14. © Worldpay 2016. All rights reserved.
Pull VS. Push
Alternative
billing models
Tokenization
What works for subscriptions?

15. © Worldpay 2016. All rights reserved.
eWallets will overtake credit
cards for share of global
eCommerce spend by 2019
%
%
The big winners are eWallets

16. © Worldpay 2016. All rights reserved.
However… Cards are not dead!

17. Most Indian recurring
and SAAS companies
are domiciled out of the
US or Singapore.
Cross border transactions
in Brazil see an average
decline rate of about 70%. Cross-border acquiring
Start taking payments quickly
• No local entity required
• No additional regulatory
requirements
• Rapid access to markets globally
Domestic acquiring
Improved transaction success
• Domestic interchange rates
• Potential reduction in
international cross-border fees
• Settlement and payments to
local partners or customers in
local currency
Global vs. local acquiring

18. © Worldpay 2015. All rights reserved.
…but why now?
Payments are blowing up…

19. 19
Connected
devices
&
The Internet
of Things
Biometrics
&
Rise of the cloud
Cheap
storage costs
&
A data driven
world
Tech trends influencing payments

20. Totally
seamless
Incredible
sophistication
Always on
identity
What do these trends mean for payments?

21. © Worldpay 2016. All rights reserved.
What to take away?
• Customers want convenience, transparency and the option to say no
• The accelerating focus on experience and the relationship will drive new models
• Whilst subscriptions are on the rise, other billing methods are of growing interest

22. © Worldpay 2016. All rights reserved.
Global Payments Report is available
at: worldpay.com/global/insights

23. © Worldpay 2016. All rights reserved.
Questions?
Questions?