QITCOM 2011 Presentation: Mobile Payment Solution Presenter: Mr. Mike Green, CSI sales engagement - Nokia Siemens Networks

1. NSN Mobile Payment Solutions
Revenue Channeling for Growth
Mike Green
Nokia Siemens Networks
1 © Nokia Siemens Networks

2. Global market opportunity for payment services
6.6 billion people
The penetration of
traditional payment
systems is on average
15%, while mobile phone 4.6 billion mobile phones
operators reach already
80% of the population. 1.8 billion bank accounts
1.6 billion credit cards
• Easy and innovative Payment
methods & Services have
tremendous potential to excel!
Source: Wireless Intelligence (2008) and Beck et al (2005)
2 © Nokia Siemens Networks QITCOM/ Green/ 25th May 2011

3. Continuous business growth for Mobile Payment
Services
Mobile Payment Transaction Value, 2007-2014
[1.16%]
10 – 2830 (M $)
300000 Others
[7.4%]
∑~245B 334 – 18193
250000 Prepaid Top-Ups
[4.5%]
25 – 10889
200000 Bill Payment
(Mio $)
150000 Money Transfer 1515 – 154246
63%
[1.26%]
100000 Ticketing 15 - 3082
50000 Merchandise 88 - 56444
∑~4.5B 23% Purchases
0
Source: Gartner, Apr2010
07
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20
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The worldwide mobile payments Payments using NFC is a market
market will grow from $170 billion in that’s expected to top £102bn by
2010 to almost $630 billion in 2014 2015 Frost & Sullivan, Feb2011
Juniper Research, Feb2011
3 © Nokia Siemens Networks QITCOM/ Green/ 25th May 2011

4. The Communications Service Broker…
Innovation and Delivery in new Products & Services
Mobile
+ Payment
4 © Nokia Siemens Networks QITCOM/ Green/ 25th May 2011

5. Value proposition for the Mobile Operator
Reduce Increase customer loyalty by moving from voice and text comms to
subscriber churn facilitating trade & commercial relationships on the Mobile platform
Acquire new New opportunity to reach un-banked and under-banked subscribers
subscribers with secure, corruption-free & low-cost alternatives to status quo
Create new Create additional business by offering non-telco purchases and
revenue stream requesting charging fee for Payment transactions and Services
Strengthen Expanded opportunities for partners, agents/distributors by offering
marketing channels additional products and Services
Drive up cross Major increase in ARPU through additional services (e.g. SMS
selling opportunity confirmation)
5 © Nokia Siemens Networks QITCOM/ Green/ 25th May 2011

6. What is a Mobile Payment Solution?
mCommerce
 Mobile payments can be defined as
any form of payment (for goods or
services) and money transfer which is
triggered from a mobile phone using
mWallet, Prepaid, postpaid or bank
account. Remote & Proximity
mBanking Bank /Credit
 It provides access to financial Card account
institutes via mobile phone to use mWallet
online banking services
 It represents one asset in a
compelling opportunity for Operators
& others to extend their business by
‘revenue channeling’ through the
Mobile platform Mobile Money
Transfer
6 © Nokia Siemens Networks QITCOM/ Green/ 25th May 2011

7. Mobile Payment functional area
Money Transfer Mobile Commerce Mobile Banking
Prepay top-up/ online shopping Retail shopping
Macro payment
Banking Services Ticketing
P2P transfers
Utility bill payment
P2P transfers NFC + linked payment
Linked payment (Credit/Debit) (Credit/Debit) card
card
NFC + Stored Value Account
mWallet/ Stored Value Account
Mobile digital contents (Logo, Ticketing
Micro payment
Ringtone, Music, …)
Vending machines
Parking
Mobile Billing (e.g. D2B, WAP
billing)
NFC + Stored Value Account
Mobile Billing (e.g. D2B, WAP
billing)
Remote Local
Source: Informa Telecoms & Media
7 © Nokia Siemens Networks QITCOM/ Green/ 25th May 2011

8. Summary
Enhance Drive Improve
customer new revenue operational
experience streams efficiency
• 360 view of all payment • Increase ARPU by • Maximum utilization of
transactions using any facilitating non-Telco available infrastructure
linked accounts to mobile revenue streams (SMSC, USSD GW, etc)
phone • Addressing financial • 360 view of all payment
• Ability to initiate secure services business area transactions for solution
transactions & payments • Provide payment Services provider and partners
anytime and anywhere as part of diverse tailored (e.g. banks, merchants,
per-segment propositions agents, partners)
16 © Nokia Siemens Networks

9. Contacts
Mike Green
CSI Sales Engagement:
Revenue Capture Practice
Mobile: +971 55 592 6098
mike.green@nsn.com
Hassan Sokhandan
Solution Owner (global)
Mobile: +49 151 17406870
hassan.sokhandan-fadakar@nsn.com
17 © Nokia Siemens Networks QITCOM/ Green/ 25th May 2011

10. Thank you
18 © Nokia Siemens Networks Presentation / Author / Date