I’m glad I made the decision to attend my very first Merchant Risk Council event this week. For those that don’t know, MRC Vegas is the second largest payment event in the US (after M2020) but with a VERY different focus. MRC is attended by the “hands on” payment leaders from all the top merchants and the vendors that serve them: Stripe, Adyen, PayPal, V, MA, risk, fraud, …. Etc. Whereas M2020 is attended by FinTech, Crypto, Venture, Institutional investor, and strategy audiences, MRC is much more focused on making payments work.
Category Archives: Retail
SRC Focus – Airlines
Per my June blog BNPL – Travel Example, I laid out how Airlines were a logical focus for BNPL. It seems that Issuers are either reading my blog, or coming to the same conclusions as SRC is likely to launch first with Airlines.Continue reading
Driving Vision of Durbin? Bi-Lateral Connections?
I now have 70% confidence in the forces shaping Durbin (still no threat to V/MA).
© Starpoint LLP, 2022. No part of this site, blog.starpointllp.com, may be reproduced in whole or in part in any manner without the permission of the copyright owner.
BNPL Travel Example – Short Blog
Short blog today on an example BNPL opportunity and the differences between a consumer BNPL solution like Apple Pay Later and Merchant integrated solutions from providers such as Affirm (or SQ/Afterpay see Three Flavors of BNPL). Today Air Travel and Vacation packages are the focus.
Three Flavors of BNPL
As is the case with every financial services product, BNPL will not be a winner take all market. Apple’s moves, together with Amazon/Affirm, will help establish the momentum behind BNPL as a viable credit alternative.Continue reading
eCom Innovation Success – Shop Pay
Short blog as follow up to yesterday’s blog on Acceptance Hurdles in eCommerce. Successful innovation requires a great new customer experience and/or economic model. The most recent success in the US is Shopify’s Shop Pay.
Role of Identity and Trust in eCom￼
Please excuse typos.. Editing not complete. I had a great compliment this week: “Tom you write so dense.. why are you so different”? I’m not an analyst or a blogger, but a guy that has run operational businesses and led venture investments. The only great thing I’ve ever done in life is to meet great people with passion and ability to execute on a vision. This blog is how I chat with all my colleagues. Glad others find it useful..
This is a rather long blog.. if you don’t have time read the wrap up at the end which is a summary of key points.
Continuing on from yesterday’s blog on Authentify – Bank ID Service, I thought I would outline the role of identity in eCommerce and the problems to be solved. Although most of you know me as a payments guy, I also have deep roots in data working directly with retailers, AdTech, Google/FB and media (in addition to issuers/acquirers/networks). In looking through eCommerce articles I couldn’t find one relating to identity (from a big picture perspective).. So I thought I would write one.
- Walmart announces Walmart Pay
- Walmart remains supportive of MCX and is still part (my first hand knowledge)
- Walmart Pay does not use Paydiant, but is using QR code capture (my first hand knowledge)
- Currently Walmart Pay is not tokenizing (my first hand knowledge)
- Walmart has highly successful mobile app
- Walmart is #2 online retailer (AMZN $89B, WMT.com $12B)
- Walmart.com has 30M+ Cards on File (my estimate)
- WMT almost every retailer in loyalty
- Walmart and Visa/issuers have reached some sort of swipe fee settlement (~$5B)
- Walmart does not have a loyalty program, but rather ELP
- QR Codes are not an approved “card present” delivery channel and thus are CNP
- MCX is operational, but Target and WMT are the clear leaders
- ApplePay is making inroads to CVS, BestBuy and other MCX Participants
- JPM gave WMT/MCX flat fee payments 2 months ago for ChasePay
As I’ve stated before, there are 3 industrys that enable mobile payments: grocery, gas, transit (frequency of use). Given WMT’s scale, consumer loyalty, mobile success, cards on file and acceptance cost efficiencies this is a no brainer. My summary is that they have used their unique assets in a new and innovative way, with superb timing.