2013 Advanced Payments Report

By: Samee Zafar and Jane Cloninger

Last year delivered some very important developments in the mobile payments space. We saw big announcements from a host of mobile payments stakeholders, presenting us with new retailer, payment network and mobile operator driven initiatives.  Cloud based solutions emerged as legitimate contenders along with the long standing NFC solutions.  Competition within the mobile POS space intensified.  The increasing penetration of smart phones and mobile tablets are making the user experience much richer and contributing to channel convergence and an emerging omni-channel retailing approach.  Questions have been raised about which players will drive growth, what are the key success factors and which strategies will ultimately promote the success of mobile payments.

Addressing these trends and questions, Edgar, Dunn & Company (EDC), in partnership with Payment Cards and Mobile (PCM), have published the latest edition of the Advanced Payments Report.

The Advanced Payments Report 2013, sponsored by First Data, is based on a review of the global payments landscape, surveys of payments industry stakeholder opinion, and discussions with more than 500 industry executives and thought leaders. 

Click to Download PDF >> EDC 2013 Advanced Payments Report

By: Mark Beresford, Gregoire Toussaint & Max Shinerock

Edgar, Dunn & Company (EDC) believes we are currently standing at the crossroads of a substantial change in retailing and how consumers pay.  The genesis of this change has been the use of the internet, the prevalence of e-commerce since the turn of the millennium and the rapid consumer adoption of smartphones.

In the next 5 to 10 years EDC expects that changing consumer preferences and technological developments (e.g. mobile payments) accompanied by the emergence of a number of new retailer business models and sales channels will have a substantial impact on the retail landscape.  Change in the way consumers pay for goods and services will be fast.  Largely driven by technology, consumers are responding positively to innovation and many retailers are finding this a challenge to be up-to-date and respond to the expected change.

EDC conducted a survey in order to gain a better understanding of how change related to payments is affecting the way multichannel retailers are doing business, creating opportunities to increase sales, enhancing customer service and optimising payments to differentiate its customer proposition.

Click to Download PDF >> English

Authors: Pascal Burg and Grégoire Toussaint

(See the PYMNTS.com press release here.)

Steria, a leading provider of IT-driven business services, in partnership with Edgar, Dunn & Company, an international strategy consultancy specialized in payments, have published a report about SEPA. The report, mainly focused on SEPA Direct Debit, is based on a phone survey of 300 businesses in France, Germany and the UK completed by market research company CSA. Edgar, Dunn & Company has also completed more than 15 in-depth interviews among large corporates and payments experts in Europe.

Steria and Edgar, Dunn & Company have structured this paper to provide stakeholders with a better understanding of key aspects related to SEPA Direct Debit: the awareness of SEPA, the impact of and the migration status to SEPA Direct Debit, and the way businesses will migrate to SEPA Direct Debit.

A majority of surveyed businesses are aware of SEPA, but most do not have a full understanding of SEPA and its consequences. More than one business out of five issuing direct debits are not even aware of SEPA Direct Debit. A thorough assessment of SEPA Direct Debit’s impact should not only identify required IT changes but also help to re-design cash management processes. SEPA is indeed an opportunity to consider the consolidation of banking relationships across multiple countries, create synergies (e.g. through the creation of a European structure to collect payments across multiple countries) and optimize cash management systems and processes.

Click to Download PDF >> English

By: Max Shinerock and Mark Beresford

The shift from traditional, separated retail channels towards seamlessly integrated multichannel strategies is becoming a reality as a result of technological developments in advanced payments such as m-commerce and e-commerce.  Developing an integrated multichannel strategy (fashionably referred to as “Omnichannel” retailing) can be the key to a differentiated shopping experience for customers and lead to additional benefits and sales growth for retailers. 

The dynamic nature of the multichannel ecosystem is continuing to create new growth opportunities for retailers.  However, there are challenges for prospective retailers who are embarking on the road to a fully integrated multichannel strategy.  Investment in customer-facing services often neglects the importance of optimising back-end processes such as payment acceptance.

This white paper examines the opportunity for forward-thinking retailers to differentiate themselves by placing the customer’s payment process at the centre of their integrated multichannel strategy.

Click to Download PDF >> English

By: Samee Zafar

The world’s population is bursting at the seams and is estimated to be nearing 7 billion. Nothing in the history of consumer products has ever come close to the penetration reached by mobile devices which are estimated to be around 5.5 billion – equally popular in all parts of the globe – irrespective of economic conditions or geographic location. In many developed markets the number of mobile devices has overtaken the size of the population. Smart phones and mobile tablet devices are making the mobile experience a lot richer and more useful than ever before. More and more, we see the migration of communication on a mobile device from the ear to the eye.

Edgar, Dunn & Company (EDC), in partnership with Payment Cards and Mobile (PCM) have published the latest edition of the Advanced Payments Report.

The Advanced Payments Report 2012, sponsored by MasterCard Worldwide, is based on a review of the global payments landscape, surveys of payments industry stakeholder opinion, and discussions with more than 500 industry executives and thought leaders.  This report focuses on mobile financial services and payments. It provides a comprehensive background to the evolving payments marketplace and the key trends such as the emergence of mobile wallets and potential propositions that can be offered as illustrated in the report by mobile payment opportunity matrix. The report covers all types of mobile payments and provides insights into the state of development of each. It also discusses risk management and security issues relating to mobile commerce. Mobile payments for businesses are also included. A separate section highlights the strategic drivers and motivations for offering mobile payments in emerging economies where the lack of access to banking services is making it easier for people to bank and make payments. The report also contains the findings of a mobile payments survey undertaken online across multiple markets highlighting feedback received from banks, mobile operators, technology and platform providers, regulators, payment services providers, and other stakeholders.

Click to Download PDF >> English

By: Max Shinerock and Mark Beresford

At the Prepaid 2011 Conference in London this summer Edgar, Dunn & Company (EDC) conducted a survey of approximately 100 international prepaid industry players.

This paper presents the survey results and contrasts them with EDC market knowledge and hypotheses.

Click to Download PDF >> English

By: Ryan Yuzon

Despite recent progress, would-be mobile payments providers in Australia are still no closer to establishing a widely-accepted business model that will underpin what is likely to be the fastest growing payment method and channel over the coming decade.  Written in conjunction with a panel discussion amongst industry professionals from telecom, banking, and the payment schemes, this paper explores issues and challenges in cross-industry cooperation that will be necessary to for a broad-based mobile payments offering.

Click to Download PDF >> English

By: Pascal Burg and Grégoire Toussaint

Le cabinet de conseil en stratégie Edgar, Dunn & Company (EDC), en partenariat avec l'institut de sondage CSA, a réalisé une étude sur l'utilisation du chèque en France pour le Comité consultatif du secteur financier (CCSF). Cette étude, lancée pendant la période de novembre 2010 à février 2011, fait suite au rapport Pauget-Constans. EDC a analysé l'utilisation du chèque en France par les particuliers et les entreprises, à la fois en paiement et en encaissement, afin de révéler leurs comportements et les tendances clés. Ce rapport illustre aussi la place du chèque à travers une comparaison du marché du chèque en France et en Europe ainsi qu’une analyse des dispositions juridiques et du circuit d’encaissement. Les entretiens menés avec des acteurs clés complètent cette analyse présentant une vue d'ensemble du chèque en France.

The Comité consultatif du secteur financier (CCSF) asked Edgar, Dunn & Company (EDC) to conduct an independent study on the usage of cheque in France. This study includes findings from phone interviews among 1,000 consumers and 500 companies completed by the research agency CSA, and EDC has also interviewed more than 50 organisations (e.g., banks, large firms, professional associations and consumer associations). This study that took place from November 2010 to February 2011 provides for the first time a complete overview of cheque usage in France.

Click to Download PDF >> French

Global Payments Trend Survey 2011

For the fourth year running, Edgar, Dunn & Company has conducted a survey of payments professionals globally on key industry dynamics in their markets. The response to this year’s survey involved 685 professionals representing 50 countries.

The survey questions were focused on four main topics:

• Current and future importance of individual payment products
• Expected future importance of payment technologies
• Most influential market participants
• Key industry events that will shape payments markets

The findings illustrate where common themes are developing globally in relation to future trends and, perhaps more interestingly, highlight the key differences in expectations between regions and countries.

Click to Download PDF >> Download

By: Samee Zafar

Internet, mobile and contactless payments are expected to soar according to a new Advanced Payments Report from Edgar, Dunn & Company (EDC) in partnership with Payments Card & Mobile magazine (PCM).

The Advanced Payments Report 2011, sponsored by MasterCard Worldwide, is based on a review of the global payments landscape, surveys of payment industry stakeholder opinion, and discussions with more than 650 industry executives and thought leaders.

Click to Download PDF >> English

Global Payment Survey 2010

For the third year running, Edgar, Dunn & Company has conducted a survey of payments professionals globally on key industry dynamics in their markets. The response to this year’s survey involved 548 professionals representing 48 countries.

The survey questions were focussed on five main topics:

• Current and future importance of individual payment products
• Expected future importance of payment technologies
• Most influential market participants
• Key industry events that will shape payments markets
• The findings illustrate where common themes are developing globally in relation to future trends and, perhaps more interestingly, highlight the key differences in expectations between regions and countries.

Click to Download PDF >> Download