Presentation deck on trend assessment of NFC-enabled mobile payment systems

1. 1
What’s In Your Wallet?
NFC-Enabled Mobile Payment Systems
#NFC Andrew Baird 14 February 2012

2. Presentation Outline
 NFC Ramps Up Frequency of Mobile Payments
 Applications Using Google Wallet:
- NJ Transit
- Jamba Juice
 Future Potential in Retail, Vending
 Location Levels the Playing Field
#NFC 1

3. Near Field Communication (NFC)
 Developed in 1990s by Philips and Sony
 Acknowledged by ISO in 2003 to allow secure
contactless communication
Source: “The Future of Mobile Payments” *INFOGRAPHIC+ by G+. Ben Parr. Mashable.com. July 8, 2011
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4. NFC: “I’m Huge in Japan”
 comScore: 9.8 million Japanese mobile users carried
out purchases with mobile wallets in Dec. 2010
Source: “Mobile Payments 2012: My mobile, my wallet?” (Whitepaper) Jeroen del Bel and Monica Gàza. September 2011
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5. The Growing NFC Mobile Market
Source: “Mobile Payments 2012: My mobile, my wallet?” (Whitepaper) Jeroen del Bel and Monica Gàza. September 2011
Source: “The Future of Mobile Payments” *INFOGRAPHIC+ by G+. Ben Parr. Mashable.com. July 8, 2011
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6. U.S. Contenders
#NFC Source: “The Future of Mobile Payments” *INFOGRAPHIC+ by G+. Ben Parr. Mashable.com. July 8, 2011
5

7. Transportation Application: NJ Transit
Current Use:
 Third-largest public U.S. transport system allows passengers to purchase
paper tickets with Google Wallet
Opportunities to Improve:
 Mobile ticketing
 Alerts/notifications based on multi-mode transportation
 Partnerships with airlines, car rental companies, other transit systems
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8. Google Wallet in Action: Jamba Juice
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9. QSR Application: Jamba Juice
Current Use:
 Initial launch kicked off at > 200 locations in NY, SF, LA, CHI, and DC in Sept. 2011
 SingleTap feature integrates Google Offers for $2 coupon
Opportunities to Improve:
 Further integrate with Google using Places reviews
- Deliver coupon to customers after writing a review for each Jamba Juice location
- Improve local SEO, customer feedback/participation, and customer loyalty
- Make more informed decisions about customers and tailor products to tastes
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10. Potential Industry Applications
Independent Retail: Vending:
 Opportunity for emerging  Integrate GPS on phones to send
payment systems to partner tailored deals and offers
with small businesses
 Integrate account customer
 Create loyalty programs to
information between partners for
leverage collective resources
quick and easy purchasing
 Deliver relevant products and
offers in exchange for rewards  Track customer use over time and
gain better data on behavior
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11. NFC’s Future: Moving Away from Physical Currency
 More transactions benefit small/medium and Warner Siebert
local businesses CEO, BuzzTable
 Mobile merges digital and real world
 Security Issues: February 2012 Google Wallet Hack
“Mobile unleashed a whole new element to Marketing…location. Marketers will
be able to take advantage of individual consumers’ GPS coordinates and guide
them to their nearest vendor location.”
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12. NFC’s Future: Location Levels Playing Field
 Restaurants, retailers, transportation, and
most local business stand to benefit most
 Consumers’ change in behavior – mobile
payments will become the ‘norm’
Warner Siebert
 Access to existing customer account CEO, BuzzTable
information will help brands ensure greater
customer intimacy
 Lower processing fees = level playing field
for local businesses
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13. Summary
 NFC technology on mobile phones gaining momentum
 United States playing catch up to Asia and European markets
for mobile payments
 Google leads the way with competition heating up
 Transportation, QSR Industries provide glimpse into future state
 Localization aspect of NFC-enabled mobile payment helps level
the playing field for small and local businesses
 Customer data and purchase behavior are key resources for
Marketers in coming years
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14. Q&A
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