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TITEL Future of check-out
Merchants & Payments 2015
London, September 15th
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Online
Travel
Agency
2002
~110
Hotel Booker ?
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REACH
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Trend: Rise alternative payment methods
… however: hassle from merchant perspective
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Thesis: Reach = Ease of use for merchant
… however: European payment methods don’t
have enough footprint <> rise of global giants
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Challenge: I welcome them as merchant
… because: prepared to pay bit more for ease of
use & big reach
=
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EASE
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Trend: Further European payments integration
… however: focus on ‘traditional’ payments, online
still too country specific (= hassle)
XS2A
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Thesis: Online payments market only mature at a
national level
… because: too fragmented, making it difficult for
cross-border trade & merchants in particular
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Challenge: Seamless integration and at a min.
interoperability (ideally full harmonization)
… accelerating the API-economy for banks, with
further regulation as potential pressure instrument
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CONVERSION
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Trend: Alternative identification & authentification
… safe, but simple and ideally integrated
identification & authentification
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Trend: … and no trend would be complete
w/o Mobile of course
… once at the booking page, bring clients as fast
as possible to payment w/o need to think
=> 1 (2) - click payment, also on mobile!
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Thesis: Mobile not designed for conversion … but
for risk
… because: too much thinking from the ‘old’
desktop world
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Thesis: Payment methods (especially alternative
payments) suffer from functionality bloat / overload
… however: getting too much, need to go directly
to payment, no distraction / x-sell at check-out
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Challenge: Innovation needs to serve simplification
instead of diversification !
… less is more!
Stick to your core trade ?!
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Challenge: Mobile innovation also needs to facilitate
x-border ease of use
… ideally with 1 European protocol for mobile
payments
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COST
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Trend: Fees are under pressure
… rightfully so, off-line is already pretty efficient,
but still gap with online
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Thesis: Not only direct, but also indirect costs need
to go down
… because: payment disruptions cost money and
settlement days still date from the batch days
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Challenge: Reduce payment disruptions
… invest again in online payments (tackle legacy)
+ manage perception
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Challenge: eliminate T+2/3 settlement days
… because transactions are more & more real-time,
with also here pressure of further regulation