Mobile Payments – What’s on the Cards for FY20?
Upon successful launch of our Mobile Payments solution, Indue will be looking at a number of key initiatives that will bolster the value and convenience of this digital technology for our clients.
Since the last quarterly industry update, Indue has successfully launched our Mobile Payments solution with Apple Pay and Google Pay alongside our lead client, BankVic. There was strong customer uptake on from the outset with a steady increasing trend in both customer sign-up and mobile transactions.
Indue is now gearing up for the launch of the first wave of new mobile clients scheduled for July-September 2019. The client list for the second wave is close to capacity and Indue is currently in the scheduling phase with these partners. In addition to enabling physical payment cards to be used for mobile transactions, Indue is working closely with a key client to commence the issuance of virtual gift cards. All processes relating to account setup, token provisioning and transaction processing is completed in the digital space enabling a quick and streamlined cardholder journey from card establishment to shopping cart.
Three New Product Pillars
Indue will be focusing on three key initiatives for the Mobile Payment Product Roadmap:
1. eftpos Integration – Indue is currently working closely with eftpos to finalise requirements to integrate into the eftpos Token Service Provider (TSP). This project will see the establishment of secure infrastructure between Indue and eftpos to support the provisioning of mobile tokens for proprietary cards and multi-network debit cards.
2. In-App provisioning enables cardholders to provision their credit or debit card directly from their banking app to either Apple Pay or Google Pay mobile wallet by clicking on a button, which improves the customer experience by removing the need for cardholders to manually provision their card to an mobile wallet.
3. Instant Issuance – When a credit or debit card needs to be replaced lost/stolen scenarios, instant issuance enables a cardholder to continue to transact via their mobile wallet while waiting for their physical replacement card to arrive in the mail and then activate for use.
Indue will also look to commence the work to support other OEM wallets such as Samsung Pay, Garmin Pay and Fitbit Pay, thus broadening the Mobile Payments reach and adding to the value proposition our Mobile clients can offer to their customers.
Tokenisation is the New Black
The industry is establishing a framework to promote security and interoperability within card payments in a remote payment environment, which is currently referred to as the Secure Remote Commerce (SRC) protocol. One of the key tenets for this initiative is the use of tokenisation, which Indue already fully supports with our Mobile Payments offering. Tokenisation involves the transposition of original payment credentials (i.e. payment card number) with a digital ID or token. This removes the sensitive nature of the payment data and renders the information useless if compromised. Indue anticipates that the card schemes will mandate the use of tokenisation technology to target card-not-present fraud for ecommerce transactions, which will further leverage our Mobile Payments tokenisation infrastructure to support this industry initiative.