the corporate landscape-- voices of corporate customers and identifying the driver and areas of...

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The Corporate Landscape--Voices of Corporate Customers and Identifying the Drivers and Areas for Growth in these Markets Chris Byrd President and COO Evolution 1 Thursday, June 27, 2013 Track One—Evolution and Innovation Deirdre Ives Managing Director Citi Prepaid Services Michael McShea Vice President, Product Management Contact Solutions John Barbella Senior Vice President Bancorp Payment Solutions © 2013 Network Branded Prepaid Card Association

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Page 1: The Corporate Landscape-- Voices of Corporate Customers and Identifying the Driver and Areas of Growth in These Markets

The Corporate Landscape--Voices of Corporate Customers and Identifying the Drivers and Areas for Growth in these Markets

Chris Byrd President and COO Evolution 1

Thursday, June 27, 2013Track One—Evolution and Innovation

Deirdre Ives Managing DirectorCiti Prepaid Services

Michael McSheaVice President, Product Management Contact Solutions

John BarbellaSenior Vice PresidentBancorp Payment Solutions

© 2013 Network Branded Prepaid Card Association

Page 2: The Corporate Landscape-- Voices of Corporate Customers and Identifying the Driver and Areas of Growth in These Markets

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Thank You To Our Sponsors

Presenting Sponsors

Supporting Sponsor Welcoming Reception Sponsor

Associate Sponsors

Founding Sponsors

Page 3: The Corporate Landscape-- Voices of Corporate Customers and Identifying the Driver and Areas of Growth in These Markets

Areas of Focus

• Prepaid and Corporate Payments Today• Stakeholder Value Proposition• Opportunities for Growth

Page 4: The Corporate Landscape-- Voices of Corporate Customers and Identifying the Driver and Areas of Growth in These Markets

Prepaid and Corporate Payments Today

• Prepaid has been a staple of corporate payments since the prepaid industry’s inception.

• Prepaid cards have been used extensively for:- Payroll - Government/Welfare benefits- Incentives - Healthcare and Insurance

• In 2010, 65.8% or $99.7 Billion was spent on Government or Corporate sponsored prepaid cards.

- Source: 2013 MasterCard Commissioned sizing study

Page 5: The Corporate Landscape-- Voices of Corporate Customers and Identifying the Driver and Areas of Growth in These Markets

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Prepaid and Corporate Payments Today

Page 6: The Corporate Landscape-- Voices of Corporate Customers and Identifying the Driver and Areas of Growth in These Markets

Stakeholder Value Proposition

• Consumer– Immediate access to

funds– No need or expense to

cash check– More convenient, secure

and flexible way to access funds

– Easy reconciliation of accounts/benefits

• Employer– Improved payment

reconciliation and controls– Enhances manual

processes– Material cost savings – Transfers

liability/responsibility of payment claim to issuer

Page 7: The Corporate Landscape-- Voices of Corporate Customers and Identifying the Driver and Areas of Growth in These Markets

Other Benefits

• Few or no fees for cardholder• Zero liability protection• High customer satisfaction• Escheat handled by issuer• Cards are corporately funded

Page 8: The Corporate Landscape-- Voices of Corporate Customers and Identifying the Driver and Areas of Growth in These Markets

Opportunities for GrowthBusiness to Consumer

• MasterCard estimates a 17.79% CAGR through 2017.

• Mercator projects a 21% CAGR through 2015.• Markets currently being served.

- Incentives - Rewards - Disbursement - Loyalty - Payroll - Claims - Benefits - Refunds

Page 9: The Corporate Landscape-- Voices of Corporate Customers and Identifying the Driver and Areas of Growth in These Markets

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Opportunities for GrowthBusiness to Business

• Visa projects that B2B payments for insurance claims will be 5 times B2C payments.

• New prepaid payment methods to consider:- Virtual payments to service providers- Accounts payable solutions - Government purchasing - Claims payments, etc.

- Source: Visa Inc. U.S. Prepaid Industry Segment Study, 2011

Page 10: The Corporate Landscape-- Voices of Corporate Customers and Identifying the Driver and Areas of Growth in These Markets

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Q & A