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How the world paysKevin Dallas, Chief Product & Marketing officer
© 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
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…
Drive up conversion rates
Reduce the costs of running your business across multiple markets
Optimize payment
acceptance rates
Announcing Australia local acquiring license
DatingSocial NetworksBusiness networksAddress books
5
Tech & ServicesContentPublishing
We understand digital content
MusicMoviesTVSoftwareeBooks
MagazinesAdvertisingImagesApp
TipsinformationEducationCollaboration
SaaSPaaSIaaSHosting
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Is global eCommerce growing?
In 2015, the global eComm market was estimated to be
worth:Up
since 2014
expected to hit
trillion by 2019trillion
%
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Americas: how the world pays – today and tomorrow
APM25%29%
Card75%71%
20142019
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 transferPostPayCredit card
2014
2019
Top 3 payment types
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Europe: how the world pays – today and tomorrow
APM49%55%
Card51%45%
20142019
Europe
29%
26%20%
21%17%
18%
2014
2019Debit cards
eWalletsBank transfer
Top 3 payment types
© Worldpay 2016. All rights reserved.
APAC: how the world pays – today and tomorrow
APM58%63%
Card42%37%
20142019
APAC34%
38%31%
26%11% 9%
2014
2019eWallets
Credit cardBank transfer
Top 3 payment types
Languages Payment preferences& spending habits
Tax laws Currencies
Local cultures Optimizing business cost & risk
Legal Local entity/offshore
Getting the basics right – key considerations
Trust Simplicity Support
The importance of the payment journey
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What about subscriptions?
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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?
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Pull VS. Push Alternative billing models Tokenization
What works for subscriptions?
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eWallets will overtake credit cards for share of
global eCommerce spend by 2019
%%
The big winners are eWallets
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However… Cards are not dead!
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 acquiringImproved transaction success
• Domestic interchange rates• Potential reduction in
international cross-border fees
• Settlement and payments tolocal partners or customers in local currency
Global vs. local acquiring
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…but why now?
Payments are blowing up…
19
Connected devices
&The Internet
of Things
Biometrics&
Rise of the cloud
Cheap storage costs
&A data driven
world
Tech trends influencing payments
Totallyseamless
Incredible sophistication
Always on identity
What do these trends mean for payments?
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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
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Global Payments Report is available at: worldpay.com/global/insights
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Questions?
Questions?