Near field communication (NFC) capable smartphones are now becoming the de facto industry standard. Recent announcements related to Windows 8 NFC support add to earlier handset manufacturer announcements by Samsung and RIM, for example. European foundation The European market as a whole is already seeing a massive move to support contactless (EMV) payments, with some specific countries currently even further advanced than others, including the UK, Poland, Turkey, and France. Infrastructure There are over 160,000 Mastercard PayPass / Visa payWave acceptance locations in Europe, such as shops, supermarkets and petrol stations, with around 280,000 contactless capable point of sale (POS) terminals. Growth projections from the payment schemes and analysts – which suggest that within the next three to five years, around 80 percent of all European POS will support contactless – do not now seem unreasonable given the continued acceleration in 2013. Transactions Meanwhile, on the card side, 2012 year end figures suggest that there are over 100 million contactless payment cards in Europe from around 150 issuers. The feedback from those already being used is favourable in terms of increased transaction volume and value spend for merchants - showing not only cash displacement, but also top of wallet placement amongst consumers. Capability All of this increasing acceptance, and growing familiarity with secure contactless payments, coupled with growing general availability of NFC smartphones lays down a solid foundation for the mobile contactless payment rollouts which have already started in some European countries. For the other countries – mobile network operators, banks, and processors are already rushing to join the mobile NFC “land grab” in order to implement their elements of the NFC ecosystem. Future While cards will remain complimentary, the next two to three years should see significant shifts of volumes and values of transaction in Europe moving to mobile contactless. Combine this with the potentially even larger m-commerce market opportunities which some proactive new market entrants are already targeting, and mobile payments in Europe is set for a few interesting years ahead. Conclusion It is evident that the European market is ready to embrace mobile contactless NFC payment, so now is the time for industry players to take advantage of the opportunities on offer by investing in the mobile space. Our consulting and solutions are helping banks and service providers all over the world navigate these interesting times. Don’t get left behind!

1. European Readiness for
Mobile NFC Payments

3. The European market as a whole is already seeing a massive
move to support contactless (EMV) payments, with some
specific countries currently even further advanced than others,
including the UK, Poland, Turkey, and France.
This presentation discusses the steps that have been taken in
Europe for contactless payments.
European Readiness for
Mobile NFC Payments

4. There are over 160,000 Mastercard PayPass/ Visa
payWave acceptance locations in Europe, such as shops,
supermarkets and petrol stations, with around 280,000
contactless capable point of sale (POS) terminals.
Growth projections from the payment schemes and
analysts – which suggest that within the next three to
five years, around 80 percent of all European POS will
support contactless – do not now seem unreasonable
given the continued acceleration in 2013.
1. Infrastructure

5. Meanwhile, on the card side, 2012 year end figures
suggest that there are over 100 million contactless
payment cards in Europe from around 150 issuers. The
feedback from those already being used is favourable in
terms of increased transaction volume and value spend
for merchants - showing not only cash displacement,
but also top of wallet placement amongst consumers.
2. Transactions

6. Near field communication (NFC) capable smartphones
are now becoming the de facto industry standard.
Recent announcements related to Windows 8
NFC support add to earlier handset manufacturer
announcements by Samsung and RIM, for example.
3. Capability

7. All of this increasing acceptance, and growing
familiarity with secure contactless payments, coupled
with growing general availability of NFC smartphones
lays down a solid foundation for the mobile contactless
payment rollouts which have already started in some
European countries. For the other countries – mobile
network operators, banks, and processors are already
rushing to join the mobile NFC “land grab” in order to
implement their elements of the NFC ecosystem.
4. European foundation

8. While cards will remain complimentary, the next two
to three years should see significant shifts of volumes
and values of transaction in Europe moving to mobile
contactless. Combine this with the potentially even
larger m-commerce market opportunities which some
proactive new market entrants are already targeting,
and mobile payments in Europe is set for a few
interesting years ahead.
5. Future

9. It is evident that the European market is ready to
embrace mobile contactless NFC payment, so now
is the time for industry players to take advantage of
the opportunities on offer by investing in the mobile
space. Our consulting and solutions are helping banks
and service providers all over the world navigate these
interesting times. Don’t get left behind!
Conclusion

10. With over 20 years of expertise, Bell ID is considered the world’s leading provider of
lifecycle management solutions for tokens (e.g. smart cards, mobile NFC phones)
deployed in single and multi-application programmes.
www.bellid.com
David Worthington
Principle Consultant Payments
& Chip Technology
d.worthington@bellid.com