Internet eCommerce ‘Card Present’ with Pinpaid

CEESCA MEETING 27.February 2013 Kranjska Gora, Slovenia Alain SIGAUD: - VP eCommerce Gemalto - VP Worldwide Cluster (Secured Communicating Solutions – France)

It´s card-present online payments.

It´s Pinpaid™

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eCommerce: a growing market worldwide.

3

YoY

A growth that comes with risks.

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• 1/3 of EU Internet users

caught a virus in 2011 [EuroStat]

• US fraud losses: [Finextra]

$6.89 billion (2009)

~$10 billion (2015)

Need to increase trust!

Every month.

[RSA Anti-Fraud Command Center, 2011]

Top 5 reasons for Pinpaid™

Benefit from…

1. … 10% less payment abandonment

2. … the most user-friendly solution

3. … existing EMV investments

4. … highest card-present security

5. … more revenue from cardholders

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Incredibly easy to use.

1. Insert card into reader

2. Verify amount

3. Enter PIN

See the official website: www.Pinpaid.net (English/French version)

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A faster check-out means 10% less abandonments, a smoother

experience, more Card usage

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28 sec Pinpaid™

45 sec PayPal

80 sec Card Payment

(Online)

180 sec 3DS (OTP/SMS)

• 100% fit with your EMV infrastructure

• Capitalize and benefit from existing EMV investments

• A back-to-basic, familiar experience – for the bank and its

customers

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Optimize your EMV investment.

The offer

• Readers: SHIELD pinpad (EZIO range)

• 2 options for the Server:

– Licence fee

– Operated services (Ready in Tours, other location upon

request)

• Fee per transaction: Depending on volume and

commitments

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New payment services are launched every week…

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• Pinpaid™ gets back to basics

– A card, a PIN code and an OK button

• Pinpaid™ is more secure and easier-to-use

• Pinpaid™ increase business and reduce

costs for eMerchants and banks

Business model (M€): French case study

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1. Convenience - Trust - Rapidity:

i. conversion rate improvement: for Bk (New eC fees), for eC ( margin on purchase)

ii. additional transactions number: for Bk (New eC fees), for eC ( margin on purchase)

2. Fraud saving due to Card Present (Direct cost + fraud management) for Bk, for eC

3. PINPaid overall annual cost:

( MU readers, years amortization) + (Fulfilment, support, marcom) + processing fees ( cts/tr.)

Balance for banks:

(2) + (1.i) + (1.ii) = – (Readers) – (Readers ‘fulfillment + support’) - (Authorisation increase and 3DS decrease) =

M€

Balance for eComm:

(2) + (1.i) + (1.ii) – (Fees to Bk due to 3.i) – (Fees to Bk due to 3.ii) – (Processing fees) = M€

30 89

30 89

74

60

22 3

20 5

74 30 30 134 42 25

2146

60 89 89 30 3020 158

3%

3%

10%

10%

42 25

Final ROI

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Now, with your own Eyes...and card. Not a demo, it’s a real payment!...

EMV Card, Consumer (you), eMerchant (Viapresse.com), Acquiring bank (LBP)

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Thank you!

Your contacts: alain.sigaud@gemalto.com

More information and videos on our public Website: www.pinpaid.net/en/