Overview of Payments Innovation Index

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Proprietary & Confidential. Not for Distribution
without express written permission

2. The Payments Innovation Index | Scope &
Purpose
There is currently no consistent,
reliable benchmark that measures
how companies are addressing
innovation in the payments space.
The rapid evolution of technology is
making it critically important to
understand how well certain
segments are performing as well as
how specific companies compare
within each segment.
Scope
US Retail Payments
Purpose
Assess Each Player’s
Readiness to Ignite or Adapt
to the Innovative Changes in
Payments (vs. each other
and vs. other segments)
Proprietary & Confidential. Not for Distribution without express written permission

3. The Payments Innovation Index | Vision
Our vision is to be THE brand index for
payments innovation – a credible, reliable
ranking of companies.
It will help individual companies identify their
strengths and weaknesses vs. the competition.
It will signal where they need to improve their
external perception or where they can leverage
brand strengths.
It will demonstrate where certain segments fall
short vs. other segments and potential areas they
can leverage to move the needle forward.
Proprietary & Confidential. Not for Distribution without express written permission

4. The Payments Innovation Index | How it Works
Methodology
With development and guidance from leading academics and industry thought leaders, the
Innovation Readiness Index leverages proven methodologies for measuring innovation
strategies and execution. Its structure ensures that it is not biased towards one industry
segment, enables rich external evaluation, and is uniquely distinctive within the payments
industry.
What’s In It?
Objective performance metric derived from multiple data points including
• Professional payment industry perceptions of company performance using survey
methodology from PYMNTS subscriber base
• Patent strength, using competitive impact
• Financial metrics and performance
• Company investments, partnerships, active initiatives
Categories covering over 100 companies
Top companies from across the payments value chain including:
• Networks
• Issuers
• Alternative Financial
Service Providers
• POS Enablers
• Commerce Platforms
• Processors and Gateways
• Stored Value
• Bank and Card Processors
• Loyalty Providers
Proprietary & Confidential. Not for Distribution without express written permission

5. The Payments Innovation Index | Program
Architects David Evans
• Founder, Market Platform Dynamics
• Visiting professor at University College London & the University of Chicago
• Ph.D. in Economics, University of Chicago and Author of Paying with Plastic
Karen Webster
• CEO, Market Platform Dynamics and President, PYMNTS.com
• One of the world’s leading experts on emerging payments and commerce
• Masters Degree in Marketing from John’s Hopkins University
Gloria Colgan
• Recognized leader in the successful design and deployment of new products and
emerging payment strategies worldwide
• Over 20yrs experience of working with financial institutions and retail partners
• Managing Director, Market Platform Dynamics
• MBA in Finance from the University of Chicago Booth School of Business
Josh Lerner
• Jacob H. Schiff Professor of Investment Banking at Harvard Business School, and
head of the Entrepreneurial Management unit
• Ph.D. in Economics from Harvard
• Author, The Architecture of Innovation, The Venture Capital Cycle, The Money of
Invention, and Boulevard of Broken Dreams
Proprietary & Confidential. Not for Distribution without express written permission

6. The Payments Innovation Index | The Output
Proprietary Report
Participating companies receive access to a detailed annual report with summary
findings, company and industry rankings/benchmarking based on:
• Perception of capabilities based on PYMNTS.com survey data
• Proprietary patent value, provided by PatentSight
• Financial metrics
• Additional metrics including investments, customer engagement and
innovation initiatives
Robust Analytic Platform
PYMNTS will create and host a robust analytic platform which allows each company to cross-tab
and analyze responses. The data contained within the platform will allow participating
companies to benchmark themselves against the competition across a number of dimensions
including:
• External perception scores
• Patent value, strength and change over time
• Investments
Proprietary & Confidential. Not for Distribution without express written permission

7. The Payments Innovation Index | Example
Example report – Patent Information
Quality
Competitive Impact Quantity
Portfolio Size
Client
Bubble Size:
A Patent Asset Index™
B
D C
F H
I
E
G
Proprietary & Confidential. Not for Distribution without express written permission

8. The Payments Innovation Index | Example
Example report – Evolution of patent portfolios over time
Bubble Size:
Patent Asset Index™
Company A
Company B
Quality
Competitive Impact
Quantity
Portfolio Size
Proprietary & Confidential. Not for Distribution without express written permission

9. Thank You
Karen Webster
CEO
Market Platform Dynamics
Karen.Webster@MarketPlatforms.com
(617) 374 1330
Gloria Colgan
Managing Director
Market Platform Dynamics
Gloria.Colgan@MarketPlatforms.com
(630) 450 2671
Proprietary & Confidential. Not for Distribution without express written permission

10. Thank You
Karen Webster
CEO
Market Platform Dynamics
Karen.Webster@MarketPlatforms.com
(617) 374 1330
Gloria Colgan
Managing Director
Market Platform Dynamics
Gloria.Colgan@MarketPlatforms.com
(630) 450 2671
Proprietary & Confidential. Not for Distribution without express written permission