Debit Track: sponsored by
Wednesday, October 24, 2012
The Debit Issuer Study is the most comprehensive benchmarking study of debit issuers in the U.S. The 2012 Study draws its insights from interviews with and data from 57 debit issuers that collectively issue 87 million debit cards. Using proprietary data from the study, this session will explore how issuers are addressing the changing the debit marketplace as a consequence of the Durbin Amendment. How have the economics of debit changed for both regulated (>$10BN
With 14 PIN debit networks in the United States, a U.S. EMV implementation presents a host of challenges not experienced in other markets. Most notably, in other markets, chip-embedded payment cards contain a single payment card application for routing over a single network. This panel will explore the potential options for incorporating multiple payment networks in a chip-based environment and their subsequent challenges. What do these challenges mean for the cost and pace of a debit EMV implementation in the US? Is the EMV standard appropriate for debit in the US? Are there Regulation II implications to consider?
At the one-year anniversary of the implementation of the Durbin Amendments interchange rate caps, what is the current state of the debit market? This panel of regulated issuers (assets of $10 BN+), will comment on how the debit business has changed and how their organizations are navigating in this turbulent environment. Some of the key topics to be explored include:
- Debits economics pre- and post-Durbin
- Response strategies new revenue sources, cost reduction opportunities, changes to rewards programs, techniques for minimizing fraud
- Changes to network affiliations: new transaction routing dynamics
- Views on EMV, mobile payments and other emerging payment technologies
Banks are being forced to re-evaluate their business strategies to minimize costs and increase efficiencies in their card operations. Supplementing centralized card production with instant issuance can help minimize costs in card programs. With instant issuance, the cost to produce and mail new DDA account cards and PIN mailers is virtually eliminated. In addition, instant issuance ultimately gives financial institutions the ability to retain and grow core deposits through improved service and convenience, increases activation,
Thursday, October 25, 2012
With debits new economics, many issuers are exploring the merits of merchant-funded rewards programs. In this model, consumers receive targeted offers from select merchants using transaction data available from card issuers, and these rewards are directly tied to the consumers card. This panel of the leading providers of merchant-funded rewards programs provides a unique opportunity to hear directly from the companies shaping the industry. The panelists will discuss: How are merchant-funded programs different from traditional issuer-funded
As a fast growing player in the direct banking space, PerkStreet accounts have a unique rewards program that aligns the interests of issuers and customers -- one that puts customers and the institution on the same side of the table.
PerkStreet's vision of alignment -- of winning together -- informs the company's approach to the full lifecycle of activation, usage, and retention:
- Trigger-based onboarding to ensure customers learn the behaviors that will maximize their earning and company revenues from Day 1.
- Incentive programs structured to shift spend from unprofitable channels to ones that earn revenues and, where possible, to channels that earn maximal revenues.
- Data-driven offers and deals to boost customer rewards while shifting spend into channels where PerkStreet earns privileged revenues.
PerkStreet's CEO will discuss in detail the structure of its program and why this structure has enabled it to achieve top-tier card usage figures (an estimated twice the industry average) with extremely high customer satisfaction scores.
It has been just about one year since MasterCard announced its roadmap around EMV implementation in the U.S. and its vision of a world beyond plastic. Now, it is time for a reality check. Carolyn Balfany, group head, U.S. product delivery, will moderate a cross-industry panel that will discuss the latest perspectives on EMV adoption and payment capabilities at the point of interaction, including operational readiness experiences, customer reaction and market results.