#TCF2016#TCF2016
Solutions for a connected world
ACCU, Software Group and TemenosE5, 19th May 2016, 14:30-15:15
#TCF2016#TCF2016
ACCU Payment Platform: Philippines Strategy
#TCF2016
OverviewOverview
1. Global Challenges
2. Philippines Asia Payment Platform (APP)
3. Why Software Group and Temenos?
#TCF2016
Small CU Sustainability
Regulatory Burden Payments
Market Disruptors
Young Member Growth
World Council of Credit Unions - Global Challenges 4
#TCF2016
Non Traditional Entrants and Competition 5
#TCF2016
Philippines - A Digital Nation 6
#TCF2016
A Question of Identity
ABC COOP
7
#TCF2016
ABC COOP
Money moves out of the credit union system to the competition
Members pay high fees to make payments on the competitors platform in exchange for a small commission
The fees paid by members are lost to the credit union
Competitors begin offering loans and other products directly
The credit union base goes into decline
Credit Unions give away their members to competitors 8
#TCF2016
Credit Union self-determination
Networks are strongest when they cooperate
Need to own their own destiny
Keep the member’s spending inside the credit union system
Sustainability through new revenue from services denied to the competition
Members of the movement, not only the branch where they joined
9
#TCF2016
Why Temenos and Software Group?
Pre-integrated banking and payment solution
Extensive industry expertise
Deep understanding of clients’ business
Innovate technology
Agile Deployment and Access to Scale (Cloud)
Unrestrained distribution
Low Risk Deployment
10
#TCF2016#TCF2016
Solutions for a Connected World:ACCU Payment PlatformKalin Radev, CEOTCF May 2016
#TCF2016
Software Group is:
an advanced technology company;
focused on end-to-end solutions for the financial sector.
Software Group’s experienced team of professionals:
is committed to the efficient delivery of innovative solutions;
has an outstanding track record of handling complex development projects.
Software Group
At Software Group we prides in delivering products and services which adhere to the principles of quality, transparency and affordability.
12
#TCF2016
• Brisbane, Australia• Sofia, Bulgaria• Accra, Ghana• Trichy, India• Nairobi, Kenya• Guadalajara, Mexico• Manila, Philippines• Cairo, Egypt
• Amsterdam, The Netherlands
• Bangalore, India• Chisinau, Moldova• Dhaka, Bangladesh• Geneva, Switzerland• Harare, Zimbabwe• Islamabad, Pakistan• Kampala, Uganda• Lagos, Nigeria• Lilongwe, Malawi• Minsk, Belarus• Moscow, Russia• Naypyidaw, Myanmar• Nicosia, Cyprus• Paris, France• Port Louis, Mauritius• Washington D.C., USA
Key numbers 13
delivered projects
presence in 50+ countries
full timeemployees
250+
50+
300+
regional support partners
21
offices
8
#TCF2016
The Association of Asian Confederation of Credit Unions (ACCU)
Created in 1971 serves more than 21,947 credit unions 38.1 million individual members26 countries 34 affiliates
Membership to ACCU is open to organizations with membership of at least 20,000 individuals or 1%
14
#TCF2016
ACCU Payment Platform
Business case main goals:
Agile deployment and Access to Scale (Cloud-to-Cloud);
Increasing access to Digital Channel Usage;
Seamless delivery through well established synergy based on numerous integrated projects.
Software Group & Temenos are at the heart of the Asia Payment Platform strategy, bringing extensive experience and increasing access to financial services through innovative technology.
Innovative Payment Platform
15
#TCF2016
Expand Access for Credit Unions
Alternative Delivery Channels provide easy access -Anytime, Anywhere
ATM Coop Teller Mobile App POS
16
#TCF2016
Small CU Sustainability
Market Disruptors
World Council of Credit Unions – Global ChallengesWorld Council of Credit Unions – Global Challenges 17
#TCF2016
Member relationships growth;
Members to be integrated to the CU community;
Credit Unions need to retain their vision;
Sustainability through new revenue from innovative services;
Credit Union networks are strongest through cooperation.
Credit Unions self-determination 21
#TCF2016
Payment Ecosystem at national level
Federation/National level:
Payment Ecosystem Administration
Services, Settlement and Support Biller Management Customer On-boarding
Credit Unions (Over the Counter):
Teller Services Money transfer Payment Services
Clients (Self – Services)
Money Transfer Payment Services
22
#TCF2016
• BancNet• Bill Aggregator• Remittance Partner
CBS Payment Platform
CU BranchTeller Web Portal
• Account Opening• Cash Deposit• Cash Withdrawal• Fund Transfer• Send/Receive Money• Bill Payment• Balance Inquiry• Mini Statement
AVAILABLE ON-LINEVIA INTERNET/
WIFI/GPRS
Client’s MobileSmart App
3rd Party Integrations
• Fund Transfer• Send/Receive Money• Bill Payment• Balance Inquiry• Mini Statement
ATMCU ATM
• Fund Transfer• Send/Receive Money• Bill Payment• Balance Inquiry• Mini Statement
3rd Party Integrations
Platform AdminPlatform Admin Portal
• User Administration• Fees, Limits, Commissions• Payment Gateway• Biller Management• Alerts & Notifications Mgmt• Reconciliation & Settlement• Transaction Monitoring & Auditing• Blacklisting• Reports• ATM Device Monitoring & Management• POS Device Management
• Card Production• Card Management• Issues & Complaint
Management
Card Management Module
Temenos / Software Group Cloud
POSCU POS
• Fund Transfer• Send/Receive Money• Bill Payment• Balance Inquiry• Purchase Goods
Del
iver
y Ch
anne
ls
ACCU Payment Platform, Philippines Instance 23
#TCF2016
Payment Platform Benefits 24
#TCF2016
Payment Platform Benefits
Smart Phone or
USSD
Funds SettlementSettles electronic funds transfer on accounts
Customer App- Fund Transfer- Send/Receive Money- Bill Payment- Balance Inquiry- Mini Statement
Settlement Bank
Mobile Banking
Web-based portal- Account Opening- Cash Deposit- Cash Withdrawal- Fund Transfer- Send/Receive Money- Bill Payment- Balance Inquiry
Teller Services
Realtime Payments- Integrated with CBS/MIS- Transaction processing- Inter-bank transfers- Intra-bank transfers- OTC Services
Bulk Electronic Funds & Voucher Transfer- Upload data of users to send payment and vouchers in bulk
Pay BillIntegration to existing utility companiesIntegrate with Payment Aggregators
Communications- USSD - SMS- Mobile DataAirtime PurchaseIntegrate with mWallets
Integration with FSPs
Payment Services
Telcos
Government / NGO
Administration• Integration with CBS• Transaction monitoring • Business logic for all connected systems• Sends SMS alerts & Notification• Agent management• Auditing• Blacklisting
Admin WebUser interface for web browser
Integration Layer + Payment Gateway (UT Route)
Payment Platform
25
#TCF2016
Return on Investment (ROI)
Total ActivePFCCO Members Needed by PFCCO
Assumptions
Average Transaction Fee PHP 25
Average Transaction per Member per Month 3
Average Members per Credit Union 5,000
Percentage of Uptake by Members 50%
Number of Credit Union On Boarded per Month 2
Transaction Revenue Split
ACCU 5%
National Association 25%
Credit Union 75%
Investment & Costs
Technology PHP 3,456,412
Operations TBC
Marketing TBC
25K
26
#TCF2016
Conclusion 27
Right Technology
Right Partners
Right Solution
Connected world
#TCF2016
Don’t forget!
Join the conversation – Tweet or Facebook post the #tcf2016
Download this presentation now – you can download this presentation and other TCF materials from the TCF2016 app
Have your say – take part in the 9th annual TCF survey, also available on the TCF2016 app
28
#TCF2016#TCF2016
Thank you