Report released on banks engaging digital finance customers
TSYS and FICO have released research on how growing consumer adoption of mobile devices, social media and improved user interfaces means financial institutions can differentiate themselves by understanding their customers’ preference for digital communication and their degree of trust in sharing financial information through digital channels. The report is titled ‘Engaging Customers: Why Should Financial Institutions Move Toward a ‘Bring Your Own Persona’ Approach.’ More than 2 billion people are using social media worldwide. The always-connected digital consumer is demanding more self-selection and more personalized management tools, and those financial institutions that can segment their customers based on their level of digital engagement will gain a higher level of customer interest and interaction, state the companies. Most financial institutions are leveraging ‘Know Your Customer’ (KYC), traditionally a risk-management tactic and regulatory compliance obligation, as an approach that allows customers to elect their preferred channel of communication. The report suggests, however, that this approach is no longer adequate. A ‘Bring Your Own Persona’ approach, according to the report, allows new segments to be identified and categorised by their level of digital engagement and trust in sharing information. The report looks at the findings from the 2015 TSYS U.K. Consumer Payments Engagement Survey, which identified key consumer preferences around engaging with financial institutions.
Milan public transport introduces SMS ticketing payment
Gemalto has deployed a Netsize SMS ticketing solution together with Milan’s public transport company, ATM (Milan), enabling commuters to purchase and use their tickets via their mobile phone. ATM carries around 700 million passengers a year, and now benefits from a highly efficient sales channel that is available 24/7 via any type of mobile phone. This service is available to subscribers of the four major Italian mobile network operators. The Direct Operator Billing solution from Gemalto sets new standards for convenience on Milan’s public transport network. Now, travelers in Italy’s second largest city can simply send a text to a standard short code number, with the Netsize system charging the fare directly to the customer’s regular mobile phone bill. They receive an SMS in return with a code which they show to the bus controller on request or enter into the vending machine in exchange for printed metro ticket. The introduction of SMS ticketing comes along with of the World Expo that is being staged in Milan this summer with ATM expecting around 20 million people to visit the city over the five month period.
Partners to provide NFC payment solutions in Japan
Billing System, a leading payment service provider, has partnered with On Track Innovations (oti), a global provider of near field communication (NFC) and cashless payment solutions, to introduce oti’s NFC products in Japan. Billing System selected oti as its NFC solution provider and will introduce oti’s suite of NFC-based cashless payment readers and devices to Japan’s retailers, vending machine operators and taxi companies. The partners say this new alliance is an important strategic step, given the rapidly expanding contactless payment market in Japan. More than 10 million foreign travelers visit Japan annually, which is expected to increase in the coming years with Rugby World Cup in 2019 and Tokyo Olympics in 2020. However, Japan’s current cashless payment settlement infrastructure, Felica, is unique to the domestic market and not compatible with international NFC services. oti’s NFC solutions support a range of payment applications, kernels and technologies, including Visa MSD/qVSDC, MasterCard PayPass-M/Chip, EMV, AMEX ExpressPay, Discover ZipNetwork, Mifare, Mifare DESFire, Proximity and vicinity, Apple Pay and Android Pay. With oti’s NFC readers and devices, Japanese businesses will be able to support the growing domestic and international demand for cashless payments.
Major players join in validation program for US EMV rollout
Infineon Technologies participation in the Entrust Datacard Card Validation Program (CVP). The program validates the full compatibility of Infineon smart card controller solutions with Datacard personalization services, and allows card issuers such as financial institutions, retailers and service bureaus to accelerate the roll out of new cards supporting the migration to chip-based EMV payment solutions in the U.S. It is crucial for card issuers to choose smart cards which are pre-validated to be compatible with their personalization systems. Entrust Datacard pre-validates cards to ensure this compatibility before mass production; avoiding potential costs from added test or problem resolution requirements in the EMV roll-out. Infineon’s SLE 77 SOLID FLASH™ security microcontrollers with pre-loaded JavaOS & EMVCo applications for the US market utilize Entrust Datacard personalization solutions. The Infineon SOLID FLASH-based chips have achieved Common Criteria EAL5+ (high) for many years. More than 2 billion payment cards have been sold worldwide, helping to accelerate the roll out of financial card applications and facilitating EMV issuing. Since application loading and personalization can be completed up to 50 per cent faster than alternative technologies, the deployment of SOLID FLASH-based cards provides more flexibility and is growing at rate faster than the overall market.