Nets and OpenWay Collaborate on Monetization of PSD2 and Open Banking
Nets, the Nordic digital payments specialist, and OpenWay Group, the leading digital payment software developer and vendor, today publish a white paper for stakeholders seeking to monetize from PSD2 and open banking.
December 14, 2017
The paper is entitled “PSD2 Consumer Solution: for payment players adopting PSD2 as a step towards Open Banking services & revenue streams”. It explores stakeholder opportunities in open banking and addresses key business challenges presented by shifting consumer mentalities and expectations. It also highlights the conventional and emerging monetization drivers relevant to PISPs, AISPs and ASPSPs.
The authors propose a new concept, the ELASTIC user journey, which defines what consumers expect from a service provider at each stage in their payment experience. The paper also explains how an open banking architecture can deliver against these requirements.
Banks, merchants and other PSPs can use the checklists from this white paper to assess their readiness for PSD2 and open banking.
The core idea of the white paper is that providing digital interfaces to well-established banking services and complying with evolving regulations is no longer sufficient to stay competitive in the market. It is the service offering that matters. For any service provider, one of the key objectives is to provide fast customer onboarding and promote spending on the basis of the enhanced service cycle.
“As the industry moves towards open banking, we can predict changes in the revenue dynamics of credit-based products,” adds Tuomas Nenonen, CMS Product and Business Development, Nets. “Banks will benefit greatly if they are able to transition from the product paradigm towards thinking holistically about credit line/liquidity management. Today ‘credit’ usually means cards or loans, but in the future credit will be distributed easily across different products. The new credit offering will also enable higher revenues by being able to carry different flexible fees and interests.”
“Payment processors are well-positioned to provide a complete solution that is both PSD2-compliant and open banking-oriented,” adds Alexander Tikhomirov, Business Development, OpenWay Group. “Banks and merchants can manage the early-adopter risk by leveraging the processors’ technological leadership and market knowledge. As for OpenWay, we are supplying the innovative WAY4 platform that supports Nets in their mission to deliver maximum benefits to their customers: PISPs, AISPs and ASPSPs.”
Use this free-download link
to access the white paper “PSD2 Consumer Solution: for payment players adopting PSD2 as a step towards Open Banking services & revenue streams”.
Nets is a leading provider of digital payment services and related technology solutions across the Nordic region. Nets sits at the centre of the digital payments ecosystem and operates a deeply entrenched network, which connects merchants, corporate customers, financial institutions and consumers enabling them to make and receive payments as well as, increasingly, utilise value-added services to help them improve their respective activities.
OpenWay Group was founded over 15 years ago. We develop WAY4, an innovative e-payment processing framework for banks, payment processors, telcos and petrol companies.
OpenWay was initially headquartered in Brussels, Belgium with one R&D team there and another in St. Petersburg, Russia. Today we are a global company with 10 offices and 130 customers around the world.
Our portfolio consists of WAY4 Card and Merchant Management, Financial Switching, Personalised Channel Banking, Prepaid Cards, E-Commerce, Mobile Payments, Digital Wallet, DCC, Fuel Cards, and other solutions.
Our customers include tier-1 giants, mid-size companies, and ambitious start-ups:
- Equens, Western Europe (SEPA-acquiring of 0.5 million merchants on WAY4)
- Savings Bank of Russia (issuing and acquiring back-office, and authorization switch for 140 million credit and debit cards on WAY4)
- SIX Group, a leading European payment company processing over 4,000,000 cards and migrated over 30 banks to WAY4 within 15 months
- Comdata, USA (commercial cards on WAY4)
- Network International, the Middle East (a processing center with approximately 60 banks on WAY4)
- Raiffeisenbank Int., Eastern Europe (a processing center for 15 banks and countries on WAY4)
- Bank Audi, MENA region (more than 40 card products on WAY4 including NFC)
- Halyk Bank of Kazakhstan (the first bank to launch Visa P2P Mobile Transfers)
- Lukoil Intercard, Eastern Europe (B2B fuel cards with comprehensive loyalty services on WAY4)
WAY4 live installations consistently demonstrate high performance; for example, 90 million cards issued and authorized on a single platform and 12 million POS/ATM clearing transactions processed daily by a single acquirer.
OpenWay, known for its commitment to long-term relationships, both serves customers locally and provides global support. Today our team unites approximately 500 payment business, digital technology, and security professionals.