Belgian Mobile Wallet Project

Frédéric Lhostte
Director Enterprise Solutions at Belgacom
Smartphone penetration
in Belgium is booming…
(Source: GFK)
…because users are discovering
a new, mobile lifestyle
…and they use apps
to support that lifestyle
Where apps
used to be
nice to have
they are now
the main driver
of
smartphone
penetration
& usage
Exponential growth in monthly
app download pace
(Source: Xyologic)
App downloads set to further
increase x5 in coming 3 years
Forecasted growth of app downloads
(Source: Wall Street
Examples of app downloads
in Belgium in 2012
(Source: AppMinded)
myShopi
550,000
Belgacom TV Partout/TV Overal
430,000
NMBS/SNCB
285,000
BNPPF Easy banking
220,000
Nationale Loterij/Loterie Nationale
200,000
Truvo (Gouden Gids/Pages d’Or)
187,000
Touring Mobilis Pro
120,000
Immoweb
100,000
1 year from now
smartphone users will spend more time inapp
than on internet or tv
(Source: Flurry Analytics, US, 2012)
A new business model
for apps emerges
-> In-app commerce: full shopping
experience for all kinds of products
✔ In-app purchase: for items to
consume in-app, i.e. game
levels, newspapers, movie, …
✔ Paid apps sold through app stores
✔ Free apps, some with advertising
Our Innovation
Demofilm:
• http://www.youtube.com/watch?v=j0WotDkRCuk
…we will enable in-app commerce
in Belgium for all merchants & consumers
blue = possible today green = what we will add
In-app shopping process
6
1
2
5
3
7
4
1. consumer (re)searches product
2. buying decision
3. mobile id is verified
4. coupons are redeemed
5. payment is made
6. loyalty points are added
7. ticket is issued and stored
Belgian mobile wallet that plugs straight into
merchant apps, available for all consumers
Practically Speaking
Based on an
open ecosystem
All Belgian bank’s debit/credit cards (via
BNP Paribas Fortis Masterpass ; can
open in later stage to alternative solutions)
Any Belgian smartphone user with a bank/credit card
from any Belgian bank and a mobile data plan from
any Belgian Mobile operator
Consumers
Banks
Belgian
Mobile
Wallet
Telcos
Offer connectivity and mobile
bandwidth, evolving into SIM-based
security
Any merchant or service provider
can offer the full in-app shopping
experience
Merchants
& service
providers
App
Developers
Advertisers
Can distribute targeted mobile
coupons to consumers + process
mobile redemption
Use the standard and open
modules to integrate in the apps
they develop for merchants
Unique in the
world
1.
Integration of all modules of the entire shopping experience
2.
All embedded in the app of the merchant (not only a
separate wallet app)
•
Payment is fully in-app! (event for products and services
not consumed within the app)
•
Tickets also stored within merchant app (e.g. vs
Passbook®)
3.
Easy enrolment for every consumer: mobile wallet
generated via the app of every participating merchants
4.
Unique mobile identity & security including delivery/billing
address across all participating merchant apps
This innovation enables merchants to offer their customers a
simple and secure full in-app shopping experience!
In-app commerce is here
to help consumers …
✔ Gain time
towards ultimate convenience, avoid
queuing, handling of paper tickets, coupons,
loyalty cards, payments, identification
procedures,…
✔ Better deals
coupons ‘at hand’ in the apps and easy
to redeem, more relevant offers, price
reduction through self-servicing,…
✔ Entire wallet in 1 smartphone
no hassle with paper coupons, tickets, cash,
payment cards, loyalty cards,…
… as well as merchants and
service suppliers
✔ Increase sales
sell ‘all’ products and services ‘on the
spot’ via the app, (versus only those
consumed in an app, like games, films,
reading,..)
✔ Reduce cost
full self-servicing, avoidance of salesrelated costs (manual handling, paper
tickets/coupons, counters,…)
✔ Increase
security &
convenience
avoid fake ID’s and management of
user ID’s & passwords
Conclusion
This innovation
enables merchants
to offer
their customers
a simple and secure
full in-app shopping
experience!
Next…
• Now – finalize technical platform
development in collaboration with
Accenture and leading Belgian
merchants and service providers
• End 2013 – Pilot Launch
• Spring 2014 – Full Commercial
Launch
Q&A
Customers are ready to
shop via their smartphone
have already bought
via their smartphones
(Source: Ipsos/Google, Belgium - 2012)
They also want security and
convenience
50% of smartphone
owners say they don’t like
to purchase in-app,
specifically because of
concerns with security
and convenience
(Source: Ipsos/Google, Belgium 2012)
To address this demand…