December 5, 2013 |
Here are some quick observations about NCR’s acquisition of Digital Insight, the implications for the industry and rivals, and why I remain hopeful — but skeptical — that NCR can unlock the value of its new $1.65 billion bauble.
It’s hugely important to NCR from a strategic standpoint. NCR positions this a “profoundly” transformative. The company increasingly is shifting its focus from hardware to software. NCR points to previous software investments in other large divisions such as hospitality and retail. “From a corporate standpoint this is the next step in a deliberate strategy of reinvention of the company.”
It’s an omnichannel opportunity. NCR boasts – but I think the marketplace will be skeptical until it’s proven – that it stands alone, or at least has few rivals, Read the rest of this entry »
November 23, 2013 |
Working for a payments research firm has distinct perks if you are, like me, a self-confessed payments nerd. You get to be privy to some of the most innovative and brilliant concepts way before they are brought to market and have the opportunity to pick the brains of some of the smartest minds in the industry. Every once in a while you get to see a new product or service that is truly the next generation of payments. And then there are the also rans. A lot of them.
This blog post is designed as a reality check for anyone deciding to develop or invest in a new payment initiative, whether that be financially, intellectually or emotionally. Using this methodology, you will save a lot of money, time and gnashing and wailing when your next-big-thing unceremoniously implodes along with the deflating sound of broken dreams, egos and bank accounts.
Read the rest of this entry »
October 25, 2013 |
This past week, I had the opportunity to speak at and attend the ATM, Prepaid, and Debit Forum in Las Vegas. The event featured a number of excellent keynote speakers, including representatives from MCX and its participating merchants, Wells Fargo, NACHA, and the top debit card issuers. But the most interesting keynote speaker session that I attended was the final session on Monday, featuring panelists from the top debit card networks in the U.S. Panelists included representatives from the full spread of debit networks, including MasterCard, Visa, PULSE, Star, NYCE, and the CO-OP Network. The topics they discussed – EMV and Durbin – came as no surprise. But their comments on the subjects were pretty shocking. Read the rest of this entry »
October 24, 2013 |
Who is winning the mobile wallet race? The answer might surprise you. PayPal moved up strongly in Javelin’s TIP (Trust-Innovation-Privacy) consumer rankings to grab the lead from Visa this year. PayPal is the most trusted brand among consumers compared to Apple, Google, Amazon and Facebook, and compared to the top banks, major payment networks and largest mobile network operators. For full details, refer to “2013 Gang of Five: Apple, Google, Amazon, Facebook, and PayPal/eBay-Threat of the Mobile Wallet Disruptors.” What is particularly worrisome for financial institutions, mobile network operators, and payment networks is that only members of the Gang of Five posted gains in consumer perceptions of privacy protection and security: none of the legacy brands did. If these innovative institutions continue to make gains in consumer perceptions of trust, innovation and privacy, the likelihood of a successful mobile wallet offering increases.
September 27, 2013 |
If you have been following PayPal over the past year or so, yesterday’s acquisition of Braintree will not have come as a great surprise. PayPal is clearly on a roll – a cursory look at their activity in recent months includes the following…
- National launch of POS acceptance via Discover network
- Cash in / cash out remittance via partnership with Moneygram
- Development of BLE beacon service for check in and payment pre-POS.
- Launch of PayPal Capital, offering small business financing to compete with the likes of Kabbage and On Deck Capital, as well as high street banks and credit unions.
Read the rest of this entry »
September 26, 2013 |
EBay’s announcement today that it is acquiring Braintree, the next-generation global payment platform, for $800 million in cash is one more indication that the ship is beginning to turn at PayPal under its president David Marcus. In the race to mobile dominance, Marcus has freely acknowledged that PayPal needed to change, to become less bloated and inward facing and more open to developers. The acquisition of Braintree fits right in with this strategy. Read the rest of this entry »