ATM business in a mobile world - ATM Industry …...ATM-Application and an online Terminal Management System 1993: First DOS based “Bankomat” ATM application (IBM and BULL ATMs)

ATM business in a mobile world

January 2016

• Issuing Support Debit

– Market leader in Austria

– 9,6 Mio cards in circulation

– 505 Mio POS purchases p.a.

– 140 Mio cash withdrawals p.a.

– 11,4 % growth p.a.

• Business services

– Card payment competence center for banks and merchants

– Business development for all products offered

– 3rd Level Customer Service

– Project implementation services

• ATM Acquiring

– Market leader in Austria

– 7.465 ATMs connected

– 12+ Brands accepted

– 112 Mio withdrawals p.a

• Operational services

– 24x7 Monitoring of infrastructure

– 24x7 customer hotline

– Charge Back Services

– Partner Management

– SLA Management

Core competencies of PSA

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All business numbers are form 2016

Flexible

• multivendor ATM application

• multivendor ATM management

• mobile integration

Focused

• understand the local requirements of the ATM markets Austria, Germany and Switzerland

Experienced

• founded in 1988

• 45,000 multivendor ATM installations

The multivendor expertise of SBS

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Independent

• in-house competence

• ATM test centre

• cooperation with ATM vendors

2002: Add EMV acceptance and video surveillance

2006: Migration to Windows XP and XFS Standard enable advertising on ATMs

2010: Total rebuild of ATM infrastructure including a new ATM-Application and an online Terminal Management System

1993: First DOS based “Bankomat” ATM application (IBM and BULL ATMs)

1996: Migration to OS/2 operating system and add PayChip* support

1999: Add Quick** support and check Y2K readiness

2000: Support of NCR ATMs

2001: Support of Wincor ATMs

2014: Migration to Windows 7

2015: Piloting NFC based chash withdrawals

2016: Showcase with „haptic touch“ Display

2017: Rollout NFC certified „Bankomat“ ATM Application

1993

2000

2005

2017

SBS & PSA – 24 Years of Business Partnership

*PayChip: First proprietary chip standard developed for Austrian debit cards **Quick: Austrian electronic purse

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The World Goes Mobile

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New Technologies and Requirements

• More than 300 Mio. new Smartphones per year enable innovative solutions such as eWallets

• Increased use of NFC technology

• Payment Service Directive II (PSD II)

• SEPA-Standard

• Regulation 2014

• Greenbook for Cards and e-/mCommerce

• Mobile

Source: Datamonitor, KPMG, Bloomberg, zanox, Euromonitor

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Changed customer behavior

• More than 80 % of bank customers use online banking

• Internet Surfing patterns – increasingly via mobile handsets (30 % growth)

• Declining importance of traditional branch concepts

• 35.000 Onlineshops in 13 European Countries

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Global Competition

• New Player enter the payment market

• Paypal is one of the largest online payment processor with more than 100 million registered users worldwide

• Apple Pay, Android Pay, Samsung Pay

• Host Card Emulation (HCE)

• FinTechs (figo, number26…)

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Mobile Payment Infrastructure

in Austria

Development of NFC Payments in Austria

• 2013: Launch of NFC card issuing

• 2017: ~90% of all debit cards support NFC

• 2017: ~55% of all POS terminals support NFC

• 2017: If POS Terminal supports NFC the NFC acceptance rate exceeds 41% for debit cards

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• 2015: NFC ATM pilot started in summer

• 2015: Mobile Maestro card launched in summer

• 2016: Mobile Wallet launched

OTA

OTA

Glossary

BSM: Business Service Manager MSISDN: Mobile Telephone Number PAN: Primary Account Number OTA: Over The Air

Merchant/ POS

ATM

BSM

PSA MSISDN + SIM + PAN

OTA PROVISIONING

WALLET Framework

Default Wallet

Debit carf

Credit card

LOYALTY Framework

BUSINESS Services

Bank B

Bank A

Bank C

Bank D

Mo

bile

Ne

two

rk O

pe

rato

rs

Fin

anci

al In

stit

ute

OTA

Issuing Host

Business Service Manager (BSM)

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PSA Wallet

PSA White-Label Wallet

Wallet- and Card Services

Loyalty Programs

P2P Money Transfer

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NFC in a Self Service Environment

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• Schemes push NFC technology (by 2020 all POS terminals must support NFC)

• NFC enables scheme based cash withdrawals also for mobile solutions

• Using NFC readers protect 100% against skimming!

• To provide a 100% mobile banking card,

access to self service machines must be included too

• NFC readers will become a standard component of self service machines

Why NFC for self service machines?

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Card wallet self service interface

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NFC ATM in Austria

• Mastercard TIP approval available for one NFC reader

• Rollout „Bankomat“ ATM application with NFC support

• additional approvals planned in 2017 for new NFC readers of

– Diebold Nixdorf

– Keba

– NCR

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PSA Payment Services Austria

Rennweg 46 – 50

1030 Vienna

Phone: + 43 1 717180

E-Mail: [email protected]

Web: www.psa.at

PSA contact details

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