UnionPay International El valor de una marca local convertida en global
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Agenda About UnionPay Current and future trend of payments
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About UnionPay
Introduction of UnionPay International UPI , a wholly owned subsidiary of China UnionPay (CUP) was formally established on 17 September, 2012 The launch ceremony of UPI was held on 30 November, 2012 CUP designates UPI to exclusively operate UnionPay Card Overseas Business, including issuing and acquiring business
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Our Goal & Commitment
Domestic Issuance, International Acceptance
International Issuance, International Acceptance
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Global Issuance, Internationa l Acceptance
UnionPay Business Update
More than
5.9
8.5
trillion USD
billion
32%
Cards in Circulation
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YOY growth
Processed Volume
37
million merchants
2,1
million ATMs
160
markets
Acceptance Network
Statistic Globally 2015 – NO.1 Card Scheme • No. 1 in the world in total cards in circulation • No. 1 in the world in POS volume
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Why UnionPay targets Chinese Tourists
Overseas Spending (RMB) 2.708
Classic
5.635
Gold
8.915
Premium Card -
1.000
2.000
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3.000
4.000
5.000
6.000
7.000
8.000
9.000 10.000
The strength of UnionPay brand POS growth 2015 YoY: 30% vs 11% our competitors $8.5 Trillion POS volume in 2015 -> 32% YoY Market share: 53% in cards 43% POS volume ATV UPI: Worldwide: $362 UPI vs $ 82 others -> 4,4 more value per transaction compare to other brands EU: €231 vs €56 Spain: €475 vs €42 9 | Presentation Title | Client Name | XX Month Year
UnionPay in Spain POS volume 2015: â‚Ź260m -> 61% vs 2014 Total POS expenditure in Spanish merchants from Chinese tourists in 2015: â‚Ź430m + cash UPI represents 60% of total cards expenditure Market share: 66% acceptance in merchants 82% acceptance in ATMs Objective for 2017 -> to reach 100% all channels
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Current and Future trend of payments
UnionPay Products
POS,ATM, CNP TXN
Express
(Remittances)
Dual Currency
QPass Contactless
Status Segments
Platinum Debit
Gold
Credit
Mobile
(Mcommerce)
Classic
Global 24/7 Concierge
Circuit (UICC)
Prepaid UnionPay World Privilege
Service Packages 12 | Presentation Title | Client Name | XX Month Year
Commercial
Concierge Service
Expense
Management
Virtual
(e-commerce)
Comprehensive
Protection Insurance
Delivery Technology
Diamond
Program Enhancements “Africa is a continent full of vitality and hope and China-Africa cooperation Integrated Moneypotential and bright prospects.� TXN Mode has great
UPI Mobile Payments Proximity Payment Face to Face transaction Mainly based on NFC technology Convenient and secure
Remote Payment Supports both Card Not Present (CNP) and Card Present (CP) transactions CP using Secure Element or HCE
Proximity Payment Solutions
SE
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QR Code
HCE
Tap & Go SE needed (SIM / SD / embedded device) TSM for OTA provisioning Accepted at QuickPass
Tap & Go The Cloud-based payment platform that works as SE Account management through an APP Tokenization recommended.
One time QR Code is generated by mobile APP for each independent transaction Scanned by scanner deployed in the sales point Tokenization is adopted.
Supported by Quick Pass and TSP / Cloud Platforms
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SE solutions (Embedded)
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Apple Pay launched in China:
Samsung Pay launched in China:
Launched Feb 18, 2016
Launched March 31, 2016
18 major domestic banks
15 major domestic banks on board
Millions of enrolment in first week
MST technology allows usage in traditional POS
Supports both in-app and in-store payments
Supports both in-app payment and in-store payments
In-app Payment In-app Payment
In-store Payment
In-store Payment
HuaWei/OPPO/MEIZU/XiaoMi/Coolpad Launched over last 2 years OTA provisioning cards via UnionPay TSM 20+ banks and 40+ models supported
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SE Based Solutions (SIM and SD)16 16
SIM Solution Korea BC & KT, Launched on 27th August, 2015 KB & LG U+, Launched on 15th Oct, 2015 Based on SWP-SIM Mainland China Launched in June, 2013 with CMCC Based on SWP-SIM 20+ banks ready for OTA provisioning Has been applied in Pubic Transportation
SD Solution HK
Launched in March, 2014 Based on SWP-SD Enhanced Quick Pass application e-wallet offered by Issuer
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Cloud-based HCE solution
17 Cloud-based payment is a solution in which sensitive information like transaction keys is kept in the backend (cloud) and mobile APP will download transaction keys from cloud for payment.
HCE（Host-card emulation） allows the NFC enabled phone to emulate a contactless IC card without relying on access to an onboard hardware named secure element.
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HCE technology + Cloud based platform
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Encrypted payment data stored in the wallet
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NFC enabled mobile phone with Android 4.4 +
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QuickPass contactless acceptance
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Temporary keys + tokenization for security
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QR Code Payment QR Code payment product has appeal due to its convenience, cost effectiveness and better user experience. The QR code contains Token information in place of genuine card information. •
Works with both Android and iOS
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TSP enhances safety of QR transaction
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Affordable Readers are ready
Using handset to scan QR code and transfer money from card account registered with the wallet through mobile wireless network.
Using QR reader to scan order form in QR code and pay from card account registered with the wallet through mobile wireless network.
Using handset to scan order form in QR code and pay from card account registered with the wallet through mobile wireless network.
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Contactless: QuickPass •
QuickPass is the UnionPay contactless payment product
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Cardholder can pay conveniently by waving the QuickPass enabled card in front of a contactless payment terminal
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Over 700 Million Contactless Cards issued in China, HK, Macau and Cambodia
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Over 5 Million contactless terminals in China, HK, Macau, Korea, Cambodia, Australia, Singapore and Taiwan
Convenience
Multi-Applications
- Easy to use
- Public traffic
- Tap & Go
- Medical & Health - Tourist
Security - Chip card - Authentication
- Restaurant - Supermarket, Convenience Stores
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Ongoing Innovation for Contactless 20 20
Contactless ATM solution to meet the requirements of mobile payment Accept QuickPass at mPOS device Feasibility of combining QuickPass and tokenization.
Mobile Wallet (Bank APP) UPI Wallet will be a highly secure platform that facilitates Online and Offline Payments P2P transfers and offers value-added service through a “white label and modular� approach that can be easily integrated into Partner systems.
P2P
NFC/QR
In-app purchase
Loyalty Program
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Save with shopping
Money transfers
QR code, NFC ( Apple pay, Samsung Pay)
Purchase within app (Card Present transactions)
New Form Factors & Devices Non-card payments are driven by smartphones; but can take many forms
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Biometrics UPI is developing a number of different new form factors •
Biometrics including - Finger print
- Facial recognition - Iris scanning
- Voice identification
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Conclusiones A día de hoy, la tecnología permite definir cualquier forma de pago que, utilizando la información de los hábitos de consumo y financiera de los clientes, así como sistemas de geolocalización, se pueden mandar ofertas personalizadas. Bancos, esquemas de pago, retailers, fabricantes, start-up, telcos, etc buscan nuevas formas de pago más rápidas y seguras para el consumidor y comercios. Todos los actores quieren ofrecer un “wallet” más o menos sofisticado. Pero ¿quién será el ganador? Por último, ¿quién paga el coste de adaptación de dispositivos a las nuevas tecnologías? Teniendo en cuenta la presión regulatoria que provoca caída de los márgenes. El valor de la marca. En un futuro próximo cuando el móvil sea una realidad de uso masivo, ¿diremos que hemos pagado con UnionPay o con Apple?