Private Sector

Product and Innovation Roadmap

Product Vision

We strive to be a leading provider of online payment gateway services across our core sectors, including ecommerce, retail, utilities, gaming, financial services and many more. We aim to achieve this by continuously delivering outcomes that delight our customers.

Our deep understanding of payments enables us to deliver solutions that meet all the key challenges faced by our customers. We are committed to enabling our customers to harness innovative, cost-effective and inclusive payment solutions.

Our product roadmap builds upon our unmatched capabilities to provide customers with comprehensive solutions, from compliance, Identity and Verification, Fraud and Risk management to innovative payment collection and engagement tools. With Pay360 products, payments will drive commercial and digital transformation, improved customer service, reach and inclusivity.

With the rise in popularity of disruptive payment technologies set to continue, we are passionate that organisations can benefit from the resulting cost and

efficiency gains. Our product roadmap is designed to help organisations across the UK meet their customers’ changing expectations from engagement through ‘frictionless payments’. Our products keep our customers secure, help to increase productivity, provide opportunities for revenue generation and prioritise the customer experience.

We aim to help your business navigate the complex and intricate world of online fraud as seamlessly as possible, by empowering you with the tools you need to manage your global risk strategy efficiently and effectively at both consumer and commercial levels. These advanced international KYC/KYB solutions are designed to integrate, facilitate and automate your existing user journeys with minimal friction, hindrance and effort, taking your fraud management proposal to the next level.

This roadmap represents the strategy that is shaped by our customers. We will update, share and seek feedback on our roadmap regularly, and we invite you to provide feedback directly to your account manager or by email to pay360digitalsales@capita.co.uk

2

Roadmap

The summary roadmap for Pay360 for 2021 is shown below. We strive to ensure our roadmap is based on the needs and aspirations of our customers and partners, so we welcome all feedback, whether critical, supportive or investigative.

There is also further detail available on each of the below milestones, in subsequent sections of this document.

Key Themes Q1 Q2 Q3 Q4

Mobile Payments Conversion

Modern, innovative and engaging payment options. Removing friction in payment collection and improving customer experience across all devices.

• Mobile SDK • Google Pay

Recurring Payments Optimisation

Flexible and resilient recurring payment solutions, enabling automated collection and maximum conversion for driving subscription-based revenues.

• Payments Scheduler

• Card Token Optimisation

Open Banking

Enabling customers to pay online simply with open banking. Give your customers more choice, remove friction and improve your cashflow. Leveraging open banking data to help you make better decisions and best engage with your customers.

• Open banking – payments

• Open banking – authentication

Customer Engagement

Providing multiple channels for you to engage and accept payments from your customers. Ensuring accessibility and inclusivity to your goods and services.

• Klarna • Customer Engagement Channels

• Customer Engagement Channels

3

Key Themes Q1 Q2 Q3 Q4

Identity Verification and Fraud Prevention

Providing you with confidence in managing risk in customer first journeys. Prevent fraud and protect revenue by reducing false positives, eliminating chargebacks and providing frictionless onboarding experiences.

• Domestic and International Identity and Verification checks for customers

• Domestic and International Identity and Verification checks for businesses and organisations

• Advanced Document Verification

• Advanced Verification to meet the Cabinet Office Good Practice Guide

• Enriched Rule Management

SecurityEnsuring security is at the forefront of all our products, from software development, data security and privacy to deployment in our cloud environment.

Customer Experience

Putting the customer at the centre of our solutions, to drive satisfaction and meet increasingly demanding expectations.

Mobile Payments Conversion

Pay360 Key Deliverables

Google Pay, Klarna and Mobile SDK Support

The global pandemic has accelerated the digital agenda by years in a mere few months; effective mobile payments are now required to meet changing customer expectation. Mobile payments will continue to drive online commerce and be key for face-to-face business also post-Covid-19. The mobile wallet landscape grew in usage by over 50% in 2020 and is expected to approach US$1 trillion in 2021; customers will turn away if they cannot check out with their preferred payment method. Pay360 continues to enhance its mobile offerings, having released Click to Pay and Apple Pay in 2020, and will provide our customers with Google Pay and multiple Klarna options (Pay Now, Pay Later, Slice It) in early 2021. In addition, Pay360 will offer a mobile SDK to provide your customers with secure payment solutions without exiting your app, enhancing in-app experiences online or face to face.

Key Outcomes and Benefits:

• Supports digital engagement with your customers

• Removes friction and improves mobile payments conversion with the world’s leading e-wallets

• Improves initial and subsequent payment touchpoints with new payment types such as one-click, invoice and interest-free instalments

• Enhances your customer experience with native in-app payments via our flexible mobile SDK

Key Features:

• Improves security by reducing the need to enter full-card PANs during checkout, allowing smooth, frictionless payments

• Descopes PCI, as no card data passes through your system

• An easy, secure and frictionless way to pay

• Customer does not have to have a physical credit/debit card in order to pay or to provide bank details

• Can easily extend the scope of existing apps to support payments

• Payment using multiple secure techniques including two-factor authentication and biometrics (fingerprint, facial recognition)

6

Recurring Payments Optimisation

Pay360 Key Deliverables

Card Token Optimisation

With the continued growth of the subscription economy in 2020 (over £2.9 billion), it’s no surprise that subscription-based market leaders (Netflix, Spotify, Hello Fresh, Amazon’s Subscribe & Save model) are paving the way for more stay-at-home spending. This type of spending naturally lends itself to customer retention, loyalty and reduced churn, so it’s only fitting that Pay360 helps provide best-in-class solutions to better manage the customer lifecycle.

Our integrated Payment Scheduler, due for release at the start of Q2, provides API and UI driven schedule management, with a plethora of flexible and precise options to better enable and manage customer recurring payment cycles.

To complement the release of our Payment Scheduler, Pay360 is working with all major card schemes to provide a service that supports updating saved customer card tokens with the latest payment information. This service removes the burden from your customer of re-entering new card details and any associated risk of payments not being processed.

The card updater service ensures customer payment information is always up to date. This maximises opportunity for successful payment and ensures friction-free, ‘set and forget’ customer experience, while providing you with regular reliable income.

Key Outcomes:

• Improves recurring payments acceptance through better management of a customer’s payment schedule

• No need to manage recurring logic internally

• Maximises retention and loss of churn

• Full control over all aspects of schedule handling

• Friction-less ‘set and forget’ customer payments

• Regular reliable income

• Cost reduction due to higher degree of operational efficiency

Features:

• Intuitive but powerful schedule management interface for ease of use

• High degree of schedule flexibility and configuration

• Fully integrated to the Advanced Payments platform, accessible as a UI or API from your own pages

• Heavy reduction of customer friction with automatically updated expired cards, no need for unnecessary customer interaction

8

Open Banking

Pay360 Key Deliverables

Open Banking Payments, Open Banking Data

Pay360 anticipates that 2021 is the year when open banking enters into mainstream as an offering, and starts to fulfil its promise. Open banking gives consumers a secure way to share their financial information with merchants and service providers, as well as the facility to authorise a payment directly from their bank account. Fully compliant with PSD2 (the Second Payment Services Directive), open banking payments reduce friction and improve customer interaction. In addition, open banking data provides the opportunity to prevent fraudulent transactions, as well as KYC your customers, facilitate automated onboarding, undertake affordability checks, offer personal finance management and fulfil many other innovative use cases.

Our objective is to provide open banking as an instant pay-in solution (bank-to-bank payments, no cards involved, so completely descoping PCI DSS), while providing a means to verify your customers through enriched account verification, by using the shared data available via open banking APIs, opening the doors to an entirely new playing field of payments optimisation and fraud prevention.

Key Outcomes:

• Improves customer experience through greatly reduced payment friction

• Innovates new revenue streams using flexible APIs and shared data

• Descopes PCI, as no card data passes through your system – and no bank account details

• Better invoice management and handling

• Opportunities for improved cashflow

• No chargebacks

• Providing you with key insight to address key challenges of onboarding, affordability and corporate social responsibility

Features:

• Consumer payments and B2B payments

• Supports digital engagement with your customers

• Customer makes the payment quickly and easily from within their own banking app or internet banking

• Customer does not have to have a physical credit/debit card in order to pay or to provide bank details

• Better clarity on consumer spending analytics

• Highly flexible APIs promote new ways to utilise big data, giving merchants the opportunity to build bespoke solutions that best fit their business model

• Increases brand awareness, trust and consumer loyalty securely through customer engagement, consent and transparency

• Promotes automation and optimisation of payment collection services

• Validates individuals’ identities instantly against multiple sources and data points

• Uses data to assist individual customer journeys or to drive insight on your wider customer base, adding value to your customer engagements and products

10

Customer Engagement

Pay360 recognises that you can better engage with your customers and offer increased choice and convenience by offering additional payment channels. This also helps ensure accessibility and inclusivity for those paying for your goods or services.

On our roadmap for 2021, we will provide a number of new, complementary payment options, that can help expand your online payment solutions.

Key Outcomes and Benefits:

• Better engages customers and maximises collection of revenues

• Maximising customer service while minimising exposure to PCI risk

• Cost-effective solutions to help drive revenue collection

• Ideal for collection of overdue payments

• Minimises costs for debt recovery

• Accessible and inclusive solutions for all your customers

• Improving cash flow with payments made by open banking

Features:

• Tiered solutions to help your staff take payments over the telephone, maximising customer service while minimising (or descoping) PCI risk. Including:

• A Request for Payment option which will bring with it open banking payment options

• Agent-assisted payments using digital payment links via SMS or email. This enables you to retain contact and conversation with your customer throughout the payment process. Payments may be made by open banking, where customers can be sent a bill or invoice in real-time by SMS or email and make an immediate payment using their mobile banking app or internet banking. Descopes PCI, as no card data is involved at any stage

• Alternatively, payment may be made via credit or debit card; PCI is descoped, as no cardholder data is exposed to your staff or infrastructure

• Automated telephone payments, providing your customers with a highly secure, convenient, fast and easy-to-use option to make 24/7 self-service payments using the telephone keypad

• Agent-assisted payments, including call transfer to our automated telephone payment solution for secure card capture

• Includes invoice payments, reminders and outbound calls to support activity such as debt avoidance or debt recovery

11

Identity Verification and Fraud Prevention

Pay360 Key Deliverables

International KYC and Advanced Identity Verification

One of the many effects of the Covid-19 pandemic, has been a rapid digital acceleration requiring merchants to urgently evolve their physical business into the online payments space. Ever-innovative fraudsters have taken advantage, resulting in higher levels of identity theft, account take-over, phishing and online scams. Fighting fraud has led to tighter verification controls to combat chargebacks, but at the risk of introducing friction to the customer experience. The challenge for many is to keep fraud at bay, while ensuring positive customer experience in the boarding and buying process.

Pay360’s award-winning Optimize solution includes a multitude of tools to help you efficiently and effectively manage risk. Optimize provides tiered solutions on Identity and Verification (providing you with confidence in your interactions with customers and businesses) and Fraud Management. These include a highly customisable yet intuitive rule builder, territory handling, transaction process management, link analysis, auto-blacklisting, consumer and commercial identity verification solutions.

Our product roadmap for Identity and Verification expands existing UK capability to Global ‘Know Your Customer’ (KYC) checks. New types of service will be integrated, to provide the maximum level of confidence in your customers, digital identity. Our new offerings will complement our existing suite of KYC and ‘Know Your Business’ services, and will be fully AML and SCA compliant. In addition, Pay360 will provide bespoke, tiered and packaged solutions to adhere to the Cabinet Office Good Practice Guide (GPG) 45 standards for identity verification.

You can access these services within your existing Pay360 payments flow, reducing the need for separate integrations, while expanding your risk and fraud management capability. If you process payments outside Pay360, these services are available to you via a simple API integration or via an intuitive user interface capability.

13

Key Outcomes:

• Supports global identity verification and expansion

• Improves verification techniques

• Reduces friction during customer acquisition without compromising security

• Maintains AML, SCA and GPG 45 compliance standards

• Drives automation

Benefits:

• Myriad of highly customisable verification services and rule engines provide multiple user journey touchpoint verification options and combinations, designed to optimise conversion and reduce friction, that are not necessarily tied to payment interactions

• International KYC solutions designed to support your expansion strategy and avoid ‘new market’ fraud and reduce time to optimisation

• New services include document scanning, facial recognition, biometrics and 2FA to support the highest levels of SCA and AML compliance and combat new fraud trends in this space (eg deepfakes)

• Link analysis highlights hidden relationships and customers’ behavioural footprint in an intuitive and visual format

• Intrinsic workflow management gives you full control over your risk appetite across all areas of your business

• Integral consultancy support to best leverage all available services for all your use cases

Optimize Tier 1Access to our core rules engine – Evaluate – where you can manage your risk exposure by using our basic package of conditions, limits and lists.

Optimize Tier 2Full access to Evaluate featuring uncapped rules, list and limit conditions, including access to our list builder, dynamic blacklisting and territory management.

Optimize Tier 3Our Manage module (workflow management), Investigate module (behaviour screening, link analysis) and Optimize features from Tiers 1 and 2.

Listening to our customers, we reviewed the ways to improve availability of our Optimize services, to better address a variety of user cases and make it more widely available. Optimize is now available in three tiers:

These three packages can be accessed either in combination with our extensive payments processing capability, or as standalone products to be integrated alongside your existing payment processing channels.

14

Engaging with Pay360

Engage with us on Twitter @Pay360byCapita

Register for our customer portal

Learn on YouTube

Find out why, at Capita, our people matter

See how we are working with organisations around the world to make a difference to people and places every day

You can also check out our Facebook and LinkedIn pages

To find out more about Pay360, visit our website at www.pay360.com Or call on 0333 313 7160

© 2021 Capita Business Services Limited and Pay360 Limited

This document is intended to act as a reference guide to Capita’s products. Capita, however, makes no representation or warranty, express, implied or statutory, with respect to, and assumes no responsibility for, the accuracy, completeness, sufficiency or usefulness of the information contained herein.

Please note that the information in this document is provided purely for information and therefore should not be considered to be a binding commitment at this stage, as the final decision as to the development of any products, features or functionality referred to remains at the discretion of Pay360 by Capita, and is subject to change.

No part of this publication may be copied or distributed, transmitted, transcribed, stored in a retrieval system, or translated into any human or computer language, in any form or by any means, electronic, mechanical, magnetic, manual, or disclosed to third parties without the express written permission of Capita.

Pay360 by Capita

65 Gresham Street, London EC2V 7NQ Email: pay360digitalsales@capita.co.uk www.pay360.com

A trading name of Capita Business Services Limited

Any questions regarding this document should be directed to:

Alex Common Chief Product Officer Alex.Common@capita.com