Page 27 - Advanced_Payments_Report_2014

ADVANCED PAYMENTS REPORT 2014 – SPONSORED BY

Implementation Concerns Personal Data, Data Analytics
and the Digital Wallet
Respondents feel implementing data analytics will be difcult.
Banks and other payments providers have found that in most cases Data analytics and digital wallets will fnd more and more to do with
the problem is not in collecting the data, nor in the analysis, but in each other, initially, in using data analytics to derive insights about
cleaning the data so it can be analysed. As databases age and new consumers that are valuable to wallet providers. In a second wave,
data is stored in ways that the cleaning step can be minimised, this data analytics may move onto the mobile device itself by taking
problem will clear itself. In the meantime, many companies are advantage of cloud computing.
proceeding with analytics projects that use smaller data sets or that
When there is a data analytics app available, mobile payments and
use recent data. Mobile phone payments data is relatively recent so mobile wallet customers could conduct real time analyses of data
the payments industry would be a prime place to use data analytics
in ways that exploit payments related, non-transactional activities.
without encountering major data cleaning costs. A person could enter a store (physical or virtual), load product

How To Monetize It specifcations, prices, warranties and coupons into their mobile and
have a cloud-based data analytics engine compare the product and
How to monetize data analytics ranks equally with privacy price data with competing oferings and patterns of use for similar
as a concern. Monetization strategies have centred around types of products and make a recommendation, all without having
advertising based on information about customers. The to share personal data.
difficulty lies in measuring the degree to which revenue from a
The interaction between mobile payments, personal data and data
customer can be proven to be the result of the advertising based
analytics is just beginning.
on the data analytics.

Data Analytics
(% of respondents who agree or strongly agree)

Key challenge - handle consumer data carefully without
being intrusive 87%
The key challenge for advanced data analytics will be how
to monetize data and results 86%
Advanced data analysis is easier said than done, efective
implementation is difcult 82%
Merchants want to protect their data and do not want to
share it with other stakeholders 78%
A mobile payment solution needs to consider aspects
related to advanced data analysis 74%
Advanced data analysis will drive signifcant revenues for
stakeholders 62%
Advanced data analysis is one of the key aspects related to
mobile payment solutions 60%
Big Data and other advanced data analysis tools /
technologies are all hype 38%
0%
20%
40%
60%
80%
100%

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