MOBILE PAYMENTS

Kartik ChandrasekharanProduct Manager -eBusiness, Citibank Follow me @ckartik

Mobile Camp 2011 @ IIT Madras

did you know??

50% of all the parking payments in Croatia are through mobiles!

63% of South Koreans make payments using their cell phones

2011 mobile commerce payments are estimated to climb to $86.6 billion

Whoa.. this is real! Come let’s explore

Mobile Camp, IIT Madras 30th January 2011

wow! one channel and so many options!!

IVR

Premium SMS for content primarily

Mobile Web (Thin client)

Native Apps (Thick client)

Message-based systems

Contactless cards

NFC – tap and pay using mobile

Windshield transponders

Mobile Camp, IIT Madras 30th January 2011

Modes of payment

..and let’s understand the ecosystem

Mobile Camp, IIT Madras 30th January 2011

Financial service

Customer

Mobile Network Operators

Service Network Providers

Merchants and Agents

..is NFC the future of mobile payments?

Mobile Camp, IIT Madras 30th January 2011

Your mobile phone with an NFC chip embedded would be your future credit card!

But why why why?

Citi Tap and Pay

Citi’s contactless payment pilot at Bangalore, India in 2009 in association with Nokia, MasterCard & Vodafone

Nokia 6212 doubled up as the credit card; Terminals and NFC technology applications supplied by ViVOtech

Mobile Camp, IIT Madras 30th January 2011

Number of customer requests received: 3,948

Number of phones sold: 3,141

Number of “Tap and Pay” transactions: 43,527

Value of purchases made: INR 26.04 M

Number of merchants: 250

..NFC’s challenges and work-around

Pesky NFC chip enabled phone!!

Merchants to have a separate device that can receive communication

Mobile Camp, IIT Madras 30th January 2011

Game-changer!

DeviceFidelity: NFC chip on a microSD card.. This means that you too can tap and pay if you have a micro SD card slot.. You don’t need to change your phone..(but do you have 2 SD slots!?!)

..so what’re we doing about this whole stuff?

Mobile Camp, IIT Madras 30th January 2011

the eco-system!

how’s it all stitching together ?

Mobile Camp, IIT Madras 30th January 2011

Internet of Things Cloud Computing Consumer spending

When you are heading for your breakfast, your mobile would pop up a message telling you the amount of milk that you need to drink.. this would be based on the workout that you did in the morning (your treadmill will talk to mobile).. also your mobile would tell you the amount of milk that you need to order based on stock available on the refrigerator (mobile talks to refrigerator)..also your phone would give you an option of paying for the same by just clicking a button on your mobile or even your watch!! - a sample use case

The views expressed here are personal and do not reflect those of my organization

Thank You