1

2

The Real Time Difference:Reaching Customers On-The-Go with Personalized Offers

Walt GranvilleMedia & Advertising SolutionsVisa Inc.

3

2.2 billion

cards in force

$7.3 trilliontotal volume

Source: The Nilson Report 950, 965, 968. For year ending Dec 31, 2010

4

Convergence of online and offline▪ Consumers creating new payment relationships

through mobile

▪ Merchants want to bridge online and offline acceptance

Mobile facilitating real-time decisions▪ Mobile tools helping consumers with real-time,

location-based decision-making

Data-driven targeting • Businesses are enjoying improved customer

targeting through more relevant / real-time interaction and increased ubiquity / functionality of social networks

Consumers Want• Relevant value• Right info, right

time, right place• A simple experience• Personalized

preferences• To collaborate and

share• To do it all on the go

Digital Payments Trends

5

Buying Is Simpler And More Complex

Easy access to information . . . . . . .

Reviews and recommendations . . . . . . . .

Friends sharing . . . . . . . .

Offers daily . . . . . . . . . . . . . . . . . .

Information overload

Who do I trust?

Everyone is sharing everything

But they aren’t relevant

Payments Are At The Heart Of The Purchase Cycle

6

Consumer purchase cycle

Before During After

Merchant processor

Merchant acquirer

Processor Issuer

7

Rise Of Digital Couponing

Very limited personalization and tracking

Restricted offer configurationsArchaic fulfillment processing

Highly personalized offers, tracked at individual level (e.g., through loyalty cards)

Flexible offer configuration (one or multiple items, cross basket, cross retailer, etc.)

Seamless redemption options (e.g., statement credits)

Linked to scanner dataNothing to print; nothing to clipSocial

Coupons 2.0Digital & Mobile

Coupons 1.0Paper & Print

8

Advertising Pain Points

Retailers/ advertisers

Offer

Data

Measure

Redeem

Consumer

Merchant

Targeting too distant from POS (i.e., not “on-the-go”) and hard to dynamically adjust

Cumbersome fulfillment process

Broken link between online/paper offers and offline redemption

Limited offline/out-of-store spend history

9

Data analytics

Transactions & redemptions

Merchant relationships

Network scale

Unique Visa functionality

Merchant acquirer

Real-time triggers

Location insight

Mobile delivery

Innovative Network Functionality

Merchant processor

Merchant acquirer

Processor Issuer

Enables merchants to deliver tailored, real-time offers to their customers based on consumer lifestyle behaviors

Introducing Real-Time Messaging

IN REAL-TIME WITHIN 7 SECONDS OF A QUALIFYING EVENT

BASED ON LOCATION &

LIFESTYLE PREFERENCES

DELIVERED VIA SMS

OR EMAIL

A unique marketing platform that leverages Visa’s Network to trigger promotions

Cardholder’s Lifestyle Preferences1. Location/Proximity of Swipe2.

3. Time of Day 4. Day of Week/Month 5. Transaction Amount 6. Frequency

IN-STORE

OUT-OF-STORE

Using Business Intelligence To Segment & Tailor Offers

12

Since Monica is near a GAP location, her transaction triggers a customized message (based on her prior spend history)

Visa RTM: GAP Case StudyReal-Time Messaging (RTM) is a platform that analyzes enrolled

cardholder data to segment population and tailor offers

Monica redeems her offer at the GAP location

Promo code entered at POS

Monica grabs lunch at the Westfield Mall and pays with her Visa card

Customize RedeemEnroll – Gap Mobile4U31 2

13

Connecting Like Never Before

Real-Time Messaging Press Coverage

Visa Delivers Real-Time Discounts and Promotions to Mobile Consumers When and Where they Shop

“Gap tests Visa’s new service to send real-time offers to consumers’ mobile devices”

April 21, 2011

PRESS RELEASE

“Visa’s been experimenting with ever-more-21st-century payment systems recently… By being an opt-in system with a closely-controlled advertising partner, the system lays the groundwork for the more sophisticated loyalty/location-based/check-in services…”

April 21, 2011

Fast Company

“We’ve already seen discounts offered to people who check-in to certain locations. But we’re now moving to more targeted offers by taking into account more information than just location… That’s why the Visa announcement is interesting.” April 21, 2011

GIGAOM

“Gap Partners With Visa to Send Location-Based Offers to Your Phone. Here’s another variation on the idea that we will one day get offers sent to us on our phones while in the vicinity of a retail store. This time it’s from Visa.”April 21, 2011

All Things Digital

“Visa has unveiled a new mobile service for retailers that brings the credit-card giant head-to-head with mobile deals players such as Foursquare, Groupon and, now, eBay. “

April 21, 2011

Advertising Age

15

Questions?

BrandAttributes

Innovateto Deliver

To learn more, contact your Visa

Account Executive or Walt Granville at

wgranvil@visa.com or (571) 355-2471

visa.com/realtimemessaging

16

Enroll In Live RTM Programs

Gap

http://www.visa.com/gapmobile4u/

Kangaroo Express

http://www.usa.visa.com/ke4u/

Intercontinental Hotel Group

http://www.visa.com/priorityclub/