Ralf Gladis, CEO of Computop, gave a presentation on facts and trends in Asian and global payments at the MagentoCom conference in Shanghai, covering topics such as popular payment methods in China, payment processing challenges, fraud prevention best practices, and Computop's experience in the payments industry.

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Masterdesign PowerPoint (c) Computop 08-2013
Ralf Gladis, CEO at Computop
Facts & Trends in Asian and Global Payment
MagentoCom (China), Shanghai, Nov. 18th 2013
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Challenges of International Retailing
This presentation covers

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Agenda
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Facts about Payments in Asia & Worldwide
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Payment Trends in Asia and Worldwide
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Platzhalter als Beispieltext
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Informationen zum vierten Agenda-Punkt
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Agenda in fünfter Textzeile
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Platzhalter
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Textzeile
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China 2nd Largest Online Market
Source: Datamonitor, Online Payments Card Not Present 2012
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Choice of Online Payment Tools
Source: Datamonitor, Online Payments Card Not Present 2012
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China: Dominant Alternative Payments
Source: Datamonitor, Online Payments Card Not Present 2012
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Netherlands: Dominant Money Transfer
Source: Datamonitor, Online Payments Card Not Present 2012
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Domestic card brands are important
Source: Datamonitor, Online Payments Card Not Present 2012
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Payment Processing in China
○ Popular payment methods are
o Online Bank Transfers
o Wallets like 99bill, Alipay and Tenpay
o Cards of China Union Pay (CUP)
○ Who are the players?
o PSPs such as 99bill or Alipay work
like acquirers
o All PSPs provide at least card
acquring and bank transfers
o Wallets are available at
Alipay (Retail), Tenpay (Gaming)
and 99bill (express checkout/
high order values)
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Payment Processing in China
○ Good to know…
o Fees are significantly lower for Chinese legal entities with RMB settlement
o Values per order are often limited to 500 RMB – can be negociated
o Chinese PSPs have a different coverage of banks and consumers
o Fees can vary depending on their coverage of banks
o To get a broad reach and low fees use Least Cost Routing
o Mobile payments require special interfaces and authentiation
o Alipay is a MUST but
o don't just integrate the wallet but also online bank transfers
o adding several PSPs at lower costs can be rewarding
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Choice of Best Practices for Payments
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Consumers prefer local currencies
The whole checkout process needs local languages
Cards limit your reach – consider local payment methods
Use settlement files for automated accounting
Use payment guarantees whenever available
Implement fraud prevention before fraud hits you
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Global Fraud Prevention
16% of consumers globally experienced fraud during the last 3 years
Once
More than once
China
Canada
India
Singapore
UK
Brazil
US
Global
Sweden
Italy
Australia
France
South Africa
Spain
Germany
Russia
South Korea
Netherlands
Japan
0.0%
Source:
Datamonitor,
FSCI 2011
5.0%
10.0%
15.0%
20.0%
25.0%
Proportion of consumers who have been a victim of fraud in the last three years, %
30.0%

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Global Fraud Prevention
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Use payment methods with payment guarantees if available
Establish fraud prevention before fraud starts pouring in
Check which country credit cards come from (BIN)
Check which country or city the customer IP address comes from
Identify each device your customers are using
Limit the number of orders or turnover per card,
per IP or per device with Velocity Checks
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Agenda als Tabelle
mit hervorgehobenem Punkt
optional: Untertitel als Zusatzinformation
01
Facts about Payments in Asia & Worldwide
02
Payment Trends in Asia and Worldwide
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Logistics, Tax and Duty
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About Computop
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Contact
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Payment Trends in Asia & Worldwide
○ Mobile POS Terminals
o Internet Retail In-Store (IRIS)
Merchants use tablets or smartphones to
order goods online. A small mPOS terminal is
connected via Bluetooth in order to process
card payments with chip & PIN directly with
the sales agent.
o Apps for Micro Merchants
Small merchants like taxi drivers or plummers
use apps on their smartphones in order to
process card payments with a mobile POS terminal
which is connected via Bluetooth.
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Payment Trends in Asia & Worldwide
○ Collecting Services for Global Payments
o Growing demand for alternative payments globally
o Normally local bank accounts are required
o With collecting merchant don't need local accounts
o Standardized settlement files for automated accounting
o Standardized reporting available
o More refund options for most payment methods
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Payment Trends in Asia & Worldwide
○ Slow Mobile Payment Adoption
o Mobile payment growing fast only for digital goods
o Cards, PayPal and Alipay dominate mobile purchase of physical goods
o Mobile QR code payments in-store and online are growing
o Advantages of traditional payments for mobile commerce
o Cards and wallets are very popular
o Only mobile frontend interfaces are required
o Backend processes for those payments already in place
o Add further mobile payments in line
with customer requirements
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Agenda
01
Facts about Payments in Asia & Worldwide
02
Payment Trends in Asia and Worldwide
03
Logistics, Tax and Duty
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About Computop
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Contact
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Tax & Duty Calculation
○ Key Challenges
o Accurate calculation of duty & tax for each country
o Delivery duty unpaid – nasty surprise for shopper!
o Maintenance of Harmonised Tariff Codes
o Regulatory compliance at cross-border
○ Best Practices
o One "all-inclusive", guaranteed price at the checkout for
goods, shipping, tax, duty, insurance
o Provide duty payment processing for your customers
o Use automated calculation of duty and taxes
o Provide correct customs documentation
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Global Logistics
○ Key Challenges
o Cost effective international shipping with track and trace
throughout the global delivery journey
o Cross border documentation & clearance procedures
o Global returns management
o Delays in refunds and reverse currency conversion
○ Best Practices
o Provide options for shipping methods and costs
o Simplified declaration procedures at customs clearance
o Tracked deliveries on integrated carrier network
door to door
o Returns management solutions, with in
country/region returns centre & duty draw back
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Agenda
01
Facts about Payments in Asia & Worldwide
02
Payment Trends in Asia and Worldwide
03
Logistics, Tax and Duty
04
About Computop
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Contact
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About Computop
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16 years industry experience
Made in Germany but offices in USA, UK, Germany, China
2500 customers
7 billion US$ annual payment volume
Payment modules available for Magento
○ Great international references
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Thank you for your attention
Xixi Wang
Wilson Dong
Ralf Gladis
China Country Manager
Computop Hongkong Ltd.
Vice President Sales Asia Pacific
Computop Shanghai
CEO / Founder
Headquarter Bamberg, Germany
eMail xixi.wang@computop.com
eMail wilson.dong@computop.com
eMail ralf.gladis@computop.com
Phone +852 - 2918 8295 (HK)
Phone +86-21-6468 5053 Ext 108
Phone +49 951 98009-12
Mobile +852-67386229 (HK)
Mobile +86-186 0178 3373
Mobile +49 172 8335 666
Mobile +86-18717731509 (CN)
www.computop.com
Headquarters in Bamberg, Germany:
Schwarzenbergstraße 4 • 96050 Bamberg, Germany
/ Phone +49 951 98009-0 • Fax +49 951 98009-20