Post on 26-Jun-2015
www.ukash.com
04/13/2023
1www.ukash.com
Andrea McGeachin
Commercial Director
OPEN THE VIRTUAL DOORS TO CASH
www.ukash.com
Cash spent online delivers significant growth
Have to use cash - no formal mechanism to pay online
• 38% of UK consumers with internet access do not shop online (ONS)
• "Reports of the death of cash are premature. Cash is not only alive, it's thriving” (British Retail Consortium)
• Cash accounts for c. 55% of retail transactions (BRC)
• 60% of consumers are more likely to shop at a website if alternative payment options are offered (e-consultancy)
Want to use cash - don't want to use card online
• 90% of consumers fear online fraud (Source: Shopsafe). Cebr predict the e-commerce fraud will grow from £165.2m in 2011 to £195.3m by 2015 – registering annual growth of 4.3%.
• 50% of consumers don’t shop online due to fear of fraud (Verisign).
• Just 31.3% of the 55+ group shop online compared with 73.4% of 35-44 year olds (Verdict)
• Global Collect research demonstrates an uplift in conversion of over 20% when 4 or more new payment methods are available
www.ukash.com
Cash not accepted!
www.ukash.com
All accept cashover 17 currencies
www.ukash.com
What do the businesses gain from accepting cash?
% UK Population TOTAL MALE FEMALE
Social Grade C2 20.7% 9,964 5,395 4,570
Social Grade D 16.2% 7,819 3,712 4,107
Social Grade E 8.1% 3,916 1,435 2,481
• These consumers; • Pay their utilities with cash every week• 23% of the 3m daily online Bingo players use cash to deposit and do so
2-3 times per week• Most e-commerce misses these users.
www.ukash.com
Cash online reaches rest of the world
67% of EU adults do not have a card
to use online
South Africa Population 49m
and 80% use prepay as
methods to buy online
Brazil population 203m and
37.4% onlineCash is key
requirement
Russia - 91% of card users only use to
get cash out of the ATM
AustraliaOver 60% of
55+ age group fear fraud
online
www.ukash.com
Cash brings security to merchants
• Assured funds – this really does mean zero charge backs
• Cash is collected from over 500,000 locations across 6 continents with security / guarantees in place
• All monies collected are in a regulated manner kept segregated until its time to settle to the merchant
• Cost of handling cash versus all the processes to handle cards and the administration is circa 1.25% less
www.ukash.com
• Customers go to local shops, Post offices, Interactive kiosks and ATM’s
• Give cash in local currency to receive a voucher back
• Vouchers can be cards, receipts, SMS messages – unique
www.ukash.com
Comparing pre and post-paid solutionsConsumer chooses to
pay with cash
voucher
Uses prepaid voucher
Sale completes
Assured funds to merchant (no-chargebacks)
Stock shipped
Refunds would be re-issued voucher back to
user
Post paid has to wait for customer to go to shop before any goods can be shipped.
2 part payment flow.
www.ukash.com
Managing risk and compliance
• Dedicated risk/compliance team and anti-money laundering capability
• Ukash, like some others have full E-Money license (EMLI) - ensures compliance with the FSA/e-money regulatory practices
• This is achieved through: Full KYC of all distribution & redemption partners Management of voucher limits by geography, partner
and per voucher Full traceability of each voucher from issuance to
redemption
Traceability of cash through e-money is supported by all the official police and crime management authorities
Risk & Compliance
Anti-money laundering procedures
End-to-end voucher
traceability
Introduction of new
Customer Management & KYC tools
FSA regulation
and compliance
Similar risks and targeting by fraudsters as cash in banks; the companies take risk management seriously
www.ukash.com
What is it Geography reach
Benefits Costs to consumer
Other considerations
Pre-Paid voucherNo registration£5 - £500
48,000 POS – UK500,000 + in 55 countries
Assured fundsVariable valuesSimple user experienceChange given
ZERO Smart Voucher patented solution for promotional usage
Post-paid
No registration
UK only 35,000 POS
Assured fundsSimple user experience
ZERO Merchants can get logistics issues awaiting user to go and pay, or not.
Pre-paid voucher No registration£20 - £100
26,000 UK POS250,000 EU
Assured fundsSimple user experience
2% Part of the Paysafe Group
Pre-paid voucher/cardNo registration
26,000 UK350,000 POS in 26 countries
Assured fundsNo registration
ZERO Use CashTicket in E-Commerce category
Post-paid No registration
26,000 UK Assured funds ZERO Only available to merchants on PSP platform
Pre-paidRegistration required
20,000 – 26,000 UK Card process 2%-6% various fees Consumers not really seeing as a cash solution yetPrePaid Cards
Cash Solutions
www.ukash.com
Cash online growth 12x overall eCommerce growth over 3 years
• Cash eCommerce has grown 532% or 85% compound
– Source: Ukash audited sales growth as featured in the 2011 Tech Track 100 list
• General eCommerce has grown 43% or 13% compound
– Source: IMRG Capgemini e-Retail sales index grew from 4737 to 6797 between Aug 08 to Aug 11
www.ukash.comwww.ukash.com
Thank You