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Innovate or Die: Brand Innovation in the Payments Industry

Farhan Ahmad, General Manager of Prepaid and Director of Emerging Payments, Discover Network

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Innovate or Die

“Innovation is not for the faint of heart and takes risk which is outside of the traditional comforts.”

– Geoff Nicholson, 3M Post-It Note Inventor

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What Do These Companies Have in Common?

Named Business Week’s Top 10 Most Innovative Companies for 2010

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The Power of Business Innovation to Create Brands

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Innovate or Die

“Insanity is defined as doing the same thing over and over again and expecting different results.”

- Albert Einstein

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Companies who are doing it differently….

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Payments Evolution

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New Payment Forms Impact Consumer Interactions

New Forms of Marketing

New Forms of Marketing

New Types of Commerce

New Types of Commerce

New Demands of Payments

New Demands of Payments

New Interactions

Where do traditional Payments

Brands fit?

Where do traditional Payments

Brands fit?

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The Perfect Storm for Payments is Brewing

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In Payments, Innovation is Coming From Unexpected Sources

31%Alternative Payment Company

Share of Internet Payments by 2012

$526 BillionExpected Prepaid Load in

US by 2012

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PaymentNetworkPaymentNetwork

Consumer Card Issuing

Bank

Consumer Card Issuing

Bank

Merchant Service Bank

Merchant Service Bank

Consumer/ Buyer

Consumer/ Buyer

Merchant/ Seller

Merchant/ Seller

Roles are Changing and Competition is Increasing

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New Payments Innovation Frontiers

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DEAL WITH IT.

The Rise of New Payments Brands

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Mobile Phones are the Next Frontier

Access

Availability

2 Way Communication

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Mobile Payments: Why Hasn’t Innovation Hit the U.S.?

?

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Mobile Payments: Why Hasn’t Innovation Hit the U.S.?

Inconsistent set of standards

Convenience and security issues

Payments Infrastructure

Value Proposition

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Mobile Payments: Changing the Way We Do Business

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How Will Innovation Affect Payments Brands?

What if every consumer becomes a merchant?

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Which Brands will Innovate?

Online Payments

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Social Media Online Games

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Innovate or Die

“Life is 10% what happens to you and 90% how you react to it.”

-Charles Swindoll, American Clergyman

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Innovate or Die: Brand Innovation in the Payments Industry

Presented by: Farhan Ahmad, General Manager of Prepaid and Director of Emerging Payments, Discover Network

Thank You!