Money Transfer & RemittanceRe-engineering your Self-Service Channels

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About CR2

► CR2 is a leading provider of multichannel banking solutions including Internet, SMS, ATM, Kiosk, IVR, Branch

► 25+ years of experience

► Offices & Representatives in Dublin, Dubai, Singapore, Perth, Amman, Johannesburg, Bangalore, Riga, Moscow

► 130 staff

► Over 100 banks in 60 countries across 4 continents

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CR2 solutions used in 60 countries across 4 continents

Installations CR2 Offices

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CR2 CUSTOMERS

►MIDDLE EAST ►AFRICA ►EUROPE & FSU►CORPORATES► Africa

► Asia & Pacific

► Middle East

CR2 - supplier of mission critical secure self service solutions to financial Institutions globally

SME

Consumer

Corporate

P2P

Remittances Sales

Cash-in

Payment

Advancedservices

Marketing

P2P

Remittances

Call center

Teller

CSR

Branch sales

SME

Corporate

Delegate

Personal banker

Retail consumer

P2P

Remittances

Payments

Sales

Cash in / cash out

Advanced services

Marketing

P2P

Remittances

SMS

WAP

P2P

Remittances

One channel, multiple devices

5 May 20105

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Remittances Market

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Remittances Market

Remittances Market

► UN estimates 190 millions immigrants send money back home

► Global Remittance flows are expected to increase

► by 6.2% in 2011

► by 8.1% in 2012, to reach $ 374 billion

► Ukraine remittance flow:

► $4.7bn in 2009, almost 5 per cent of the country's GDP

► Increase of 2-3 % in 2010, expected to be more in 2012

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Challenges for the consumer

► Many people still keep cash under the mattress

► Cost & type of transfers varies:

► Domestic

► International

► Difficulty to understand all the means of transferring funds:

► Cash at branches

► Card to card: Visa, Mastercard, local cards...

► E-wallet

► ATM to ATM

► Many companies providing these services 9

Challenges for banks

► Regain the trust

► Staking a claim in the remittance and money transfer market to generate new revenues

► Providing money transfer the way customers wants it

► Compete with non-bank players

► Reducing the costs of remittances and transfers

► Difficulty to manage all kind of transfers: Visa, Mastercard, domestic, card to card, web...

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Challenges

► New players are appearing: online or mobile...

Question to the audience

Are you currently providing money transfer and remittances services?

(Raise your hand)

Are you providing these services at the branch? ?

....at the ?

....at the ?

....using ?

Does the end of the month looks like this in your branch ?

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Constant Migration of transaction to Self-Service over the years

Branch

30%Web 28%

Phone 5%

Others 2%ATM 28%

2010

Branch

42%

Web 18%

Phone 5%

Others 2%

ATM 29%

2005

Branch

70%

Web 4%Phone 5%

Others 2%

ATM 19%

2000

Today, 70 to 90 % of banking transactions happen at the self-service channels

depending on the regions

Why remittances and money transfers on self-service?

► People are familiar self-service channels: ATM, Internet and Mobile

► People take control of their finances

► Reduce your costs: Lower cost to serve customers

► Generate Revenue based on transaction fees

► Increase customer satisfaction, quicker than the branch, no queues

► Lead the market through innovative products

► Opportunities to target non-customers

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AGENDA - Re-engineering your self-service channels

► Self-Service Architecture

► Migrating transactions to the self-service channels

► Personalised payments for remittances

► Money Voucher for domestic transfer

► Person to Person Mobile Payment

► Cardless Acquiring: Western Union...

► Fraud & Risk Prevention

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www.cr2.com

Personalised Payment

h

www.cr2.com

Money Voucher

Please Choose an Amount:

Set Password for Recipient:

You will be charged a $1 fee for this service

$

Proceed

Good Morning Keith

Please choose a service …

FastCash

Cashwithdrawal

Bill Payment

Buy a

Good Morning Keith

Please choose a service …

FastCash

Cashwithdrawal

Bill Payment

Buy a

40

****

Purchasing a Money Voucher at an ATM

Kei

th

Thank You

Your Cash-O-Gram voucher ID is: 47929

Please take your printed receipt and remember your Password

Receipt

47929

Receipt

19441

Please Choose an Amount:

Set Password for Recipient:

To notify recipient enter SMS number:

You will be charged a $1 fee for this service

Proceed

$

Good Morning Keith

Please choose a service …

FastCash

Cashwithdrawal

Bill Payment

Buy a

Good Morning “Keith”

Please choose a service …

FastCash

Cashwithdrawal

Bill Payment

Buy a

Purchasing a a Money Voucher with notification

Kei

th

Thank YouThe recipient will be notified

Your Cash-O-Gram voucher ID is:

19441Please tell the Recipient the Password

and take your printed receipt

70

****07742 316 900

Mary

Receipt

19441

Text Received

Back Send

You have received a $70 cash-o-gram from

Keith.

Voucher ID:19441

Welcome

Please Enter Your Card

OR

Redeem a

$70

Thank You

You have successfully redeemed

your Cash-O-Gram

Please take your printed receipt

and Cash

Receipt

19441

Please enter Voucher ID:

Enter Password:

$

Proceed

Redeeming a Money Voucher at the ATM

Mary

19441

****

Welcome

Please Enter Your Card

OR

Redeem a

Kei

thM

ary

Text Received

Reply

SMS a Money Voucher purchase (and forwarding)

Confirm purchase of $40

Cash-O-Gram.

Please forward Voucher ID: 55672

to Recipient 

Text Received

Reply

Bank

Cash-O-Gram Acc

Your $40 Cash-O-Gram

bought at 10:32 on 24/12/08 has the

Password:3349 

Person 1 Acc

4 0

Text to Send

Back

CASHOGRAM 40

Send

Text Received

Back Send

From: Keith

Happy Birthday Mary. Got you a

Cash-O-Gram for $40.

Your Voucher ID is 55672

Hi Mary.Your Password

for your Cash-O-Gram

is 3349

Thanks Keith

1 2 3

4

5

6

Agent

Local Store

Kei

th

I’d like to buy a $60 Cash-O-Gram please

Thank You.

Please enter your password on the keypad

6 0 Receipt

88023

Your Voucher ID is:

Enter Password:

$88023

Proceed

****

Thank You

You have successfully purchased your Cash-O-Gram

Please take your printed receipt

and from the Agent

Store a Money Voucher at purchase

Redeeming a Money Voucher at a storeA

gent

Local Store

Mar

y

I’d like to redeem my $60 Cash-O-Gram please

OK, please enter your voucher ID

and password

Receipt88023

Your Voucher ID is:

Enter Password:

$

Proceed

****

Thank You

You have successfully redeemed your Cash-O-Gram

Please take your money from the Agent

6 0

88023

www.cr2.com

Person to Person Mobile Payment

P2P - автоматическое открытие счетов

Sen

der

Receiver

SMS Received

Reply

CR2 transfered USD 25.00 on a new account

<<08712345>>

Send SMS

Back

Bank

EPAY 0876825510 25.00

Send

SMS Received

Back Send

CR2 Bank opened a new account for you

with USD 25.00 balance from <Keith Holmes>.

Send ‘help’ to 53152 to know more

Sender’s account Receiver’s account

2 5

Opening of accounts in real-time

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TAXI TAXI

TAXI

Extensions to the basic system

Text Received

Reply

Text to Send

Back

EPAY

TAXI1047

43.00

Send

EPAY Acc Public ID Public Name Acc Ref Bank Ref Date..

1 TAXI1047 X Cabs 12345

2 TAXI2912 City Taxi - Joe 54321

3 TAXI2913 City Taxi - Fred 33333

4 SHOP1078 Spar- Meath St.

The bank may offer a service to Small business’s to give friendly/standard’ names to services

CR2  Bank confirmed transfer of 43.00 from

your account to TAXI1047 (x Cabs).

Text Received

Back Send

CR2 Bank confirms that you have just

received a payment of 43.00 from

0872497556 (Keith Holmes)

Internet Epay

Other EPAY channel examples

Call Centre EpayATM Epay

Cu

sto

me

r

Epay

Payee

Amount

Epay

Payee

Amount

Cus

tom

er Cu

sto

me

r

“Please enter Amount”

“Please enter Payee”

www.cr2.com

Cardless Acquiring

Non customers send money via a remittance company

Transfer 100 to my son

Transfer 50 to my wife

Receipt

The recipient can withdraw the cash at your ATM without a card!

That same evening Welcome Mr Viktor

Please choose a service

Pay Bills

Cashwithdrawal

View Statement

Balance Enquiry

Conclusion

► Only a multichannel platform enables the below:

► Provide all kind of transfers using the same technology

► Roll out new products such as remittances and money transfers in a short time

► Migrate low value transactions to the self service channels

► Generate new revenue through fees

► Prevent fraud

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