Payment Cards in Malaysia : Redefining the Way to · PDF filePayment Cards in Malaysia : ......
Transcript of Payment Cards in Malaysia : Redefining the Way to · PDF filePayment Cards in Malaysia : ......
Payment Cards in Malaysia : Redefining the Way to Pay
Mr. Perry Ong Chairman, National Cards Group (NCG)
Payment System Forum and Exhibition 2014 Sasana Kijang, Kuala Lumpur
27 November 2014
Source : EvolutionOfPayments - Intuit
• Malaysia – The Evolution
• Vision 2020 – The Revolution
• Roles and Opportunities
• Evolution or Revolution?
Redefining the Way to Pay
Perry Ong, NCG for PSF 2014 2
Chip Based Credit Cards
Debit Cards
Contactless Cards
Chip & Pin Cards
(2017)
Mobile Apps / Wallet
Magnetic Stripe
Charge Cards
(1970s)
Magnetic Stripe Credit
Cards
PaymentCards
Evolution Towards 2020
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Bulky EDCs
Landline
Wireless / GPRS
eCommerce
WiFi / MPOS
Contactless / NFC / POS
ECR Application
Manual
Imprinters
EDC + Printer
Merchant Acceptance Evolution
Towards 2020
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Source : Visa 'just wave and go' commercial - via Mumbrella
• Malaysia – the Evolution
• Vision 2020 – the Revolution
• Roles and Opportunities
• Evolution or Revolution?
Redefining the Way to Pay
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The Revolution Starts … Towards a Cashless Society by 2020
800,000 EFTPOS
1 Billion
Debit Transactions
26 Banks, Issuers and Acquirers
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Merchants, Retailers, Services, Insurance, Wholesalers, etc
Perry Ong, NCG for PSF 2014
NATIONAL CARDS GROUP
NATIONAL CARDS GROUP
Consumer Awareness Campaigns
Coordinating industry efforts on • 800K EFTPOS and 1 Billion Debit Transactions by 2020 • Chip & Pin deployment (starting July 2015 to December 2016)
• MCCS and MyDebit
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Chip & Pin Migration requires massive industry coordination
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NATIONAL CARDS GROUP
Jan 2017
• Online / Offline PIN
• Market switch from PIN bypass to enforced PIN Interoperability
• Retailers for Card acceptance
• Consumers to remember their PIN Communication
• Re-carding of cards timing
• Terminal deployment coordination Deployment
• Abandoned transactions (for non Pin Bypass supported EDC
• Signature transactions (if after PIN enforced date)
• Lost and stolen scenarios
Liability Shift
The Revolution Starts … Towards a Cashless Society by 2020
800,000 EFTPOS
1 Billion
Debit Transactions
26 Banks, Issuers and Acquirers
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NATIONAL CARDS GROUP
Merchants, Retailers, Services, Insurance, Wholesalers, etc
Perry Ong, NCG for PSF 2014
Malaysia Debit Cards How are we getting there?
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2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Deb
it T
ran
sact
ion
s (m
il)
Deb
it V
olu
me
(RM
) (b
il)
Debit Transactions(mil)
800,000 EFTPOS
45 million Cards
1 Billion Debit
Transactions
Contact-less
Cards & EFTPOS
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• Malaysia – the Evolution
• Vision 2020 – The Revolution
• Roles and Opportunities
• Evolution or Revolution?
Redefining the Way to Pay
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Ecosystem – Everyone has a role
• Card Cash
• Card privileges
• Speed in acceptance (contactless)
• Cards
• Cash
• Secure & convenience
• Speed via contactless
• EFTPOS in market
• Value Add
• Remove price barrier
• Contactless
• Issue more Cards
• Promote Card Usage
• Contactless
Issuers Acquirers
Merchants Consumers
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How do Merchants Gain?
• Increased Sales
• Reduce cash Reduce theft
Reduce Cost
• Increase Average Ticket Size
• Improved Productivity
• Better Customer Service
• Enhance Your Business Image
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Untapped Opportunities in the Market
Transportation Logistic
Insurance Delivery Services
Micro Merchants Street Vendors
Food & Beverage Fast Food / Cafe
• Increasing Efficiency in payment & collections of your business
• Enabling electronic payment for traditional cash / cheque
collection
• Supporting end to end payment in the vertical business (from
wholesale to retail to consumer)
Source : goSwiff – The Smart Way to Pay 14
Perry Ong, NCG for PSF 2014
• Malaysia – the Evolution
• Vision 2020 – The Revolution
• Roles and Opportunities
• Evolution or Revolution?
Redefining the Way to Pay
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Redefining the Way to Pay….
2020 Revolution
800K EFTPOS
1 Billion Debit transactions
DEMAND
Real time, faster,
anytime & everywhere
SUPPLY
EFTPOS Online Mobile
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