There was excitement on day two in anticipation of Chase’s big announcement. Money20/20 attendees received an email 72 hours earlier suggesting that Chase would be announcing a solution that would simplify an increasingly complex payments landscape.

The day’s Keynote speakers included Senior Executives from Chase, Verifone, Citi and Google – a roster of established market leaders. How are these established brands responding to the fervor of activity and appetite for disruption in their industry? Here’s how…

1. Chase

Key Message: Announcing Chase Pay

Gordon Smith, CEO, Consumer and Community for Chase, took the stage to announce the mid-2016 launch of Chase Pay – a new mobile wallet for use both online and offline – as the ultimate solution to merchant and consumer frustrations regarding a complex payments ecosystem. Customers will be able to use Chase Pay to pay online, in-app or in-store using a QR code (instead of near field communication, or NFC, like Apple and Android Pay). Unlike other mobile payments systems, there will be zero fees for merchants, and Chase has partnered with MCX, the consortium of retailers led by Walmart, to have Chase Pay accepted in its member stores, restaurants and gas stations. These include brands like Exon Mobil, Walmart, Rite Aid, CVS and Gap, representing approximately $1.2 trillion of retail spend.

What we think

Chase’s presence – a staggering one in two US households – means that Chase Pay will likely have a significant impact, but digital wallet marketing is becoming more confusing for consumers, not less, given the volume of options now available. Automatically pre-loading the most frequently used Chase credit or debit card in Chase Pay is a smart move but the battle to be the default card in the digital wallet will continue to intensify.

2. Verifone

Key Message: Next-gen Payment Terminals

Paul Galant, CEO of Verifone, demonstrated how his company is adapting to the “biggest transformation in consumer and shopping experiences since the 1950’s” with the next generation of payment terminals that combine advertising, marketing offers, sales and payments, as well as new layers of security. Verifone Engage will enable merchants to show an ad or present an offer, such as a product warranty, simultaneously allowing the consumer to pay with loyalty points and even take a short survey while they are completing a transaction. Paul brought his team on stage to demonstrate what Verifone calls “frictionless multi-factor authentication,” a new security feature that will empower merchants to take action if someone other than the card owner attempts a transaction. How? Paul wouldn’t give away the “secret sauce” behind this exciting new development.

What we think

With 27 million devices in 150 countries, this represents a major upgrade for Verifone merchants (Verifone handles half of the world’s card payments). However, consumers want to spend less time at the cash register, not more, so applications of the technology will likely be limited to brief interactions that don’t cause further delay in the checkout process.

3. Citi

Key Message: Simplify to Standardize

In a “fireside chat” with CNBC reporter Mary Thompson, Jud Linville, CEO, Citi Cards spoke to the importance of the curated experience around the transaction. He also spoke of the importance of digital channels – three out of four prospects initially shopped for a new Citi card on their mobile phone and approximately half of Citi’s acquisition activity is generated via digital channels even though Jud referenced Citi’s ongoing use of direct mail as being a key part of the channel mix. The overriding message though was one of simplification. As a global brand, Citi has some 800 products across the globe and needs to standardize and simplify its products while still providing a unique value proposition and a point of differentiation in the marketplace.

What we think

Citi’s global challenge to simplify and standardize its product offering is something the entire industry can learn from as the number of ways to pay continues to proliferate and evolve. Payments solutions that prioritize the consumer experience above all else will be around for the long term while those that don’t will fall by the wayside in this fast moving environment.

4. Google

Key Message: Defining Micro Moments

Google’s SVP Ads & Commerce Sridhar Ramaswamy discussed how Google is defining micro-moments on mobile devices. We check our phones, on average, 150 times a day which equates to 150 mobile moments but not all of those moments are suitable for commerce. Google has identified the moments when we “learn,” “discover” and “buy” as the micro-moments when commerce can be integrated seamlessly into mobile behavior. However, the mobile shopping process is painful. The recent launch and roll out of Android Pay both in-store using NFC and in-app hopes to change that, and Sridhar announced a promotion whereby Google will donate $1 to charity for every purchase on Android Pay rising to $2 on Black Friday as an incentive to boost usage.

What we think

Marketers need to apply the basic rules of marketing to reaching consumers on their mobile devices by making sure they serve up the right messages, at the right time and in the right place. Being sensitive to personal moments – where commerce is inappropriate – will be the key to establishing and retaining trust for financial services brands.

Andrew Davidson is SVP Comperemedia at Mintel. He is a multi-channel marketing and payments expert with over 20 years of marketing research experience. Andrew is regularly called upon to provide analysis for leading media publications worldwide and is also a key speaker at Card Forum and other high profile international industry events.

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