3. 6 Considerations when launching near field
communication services
A valuable insight into the key considerations that should
be acknowledged by issuers looking at launching near field
communication (NFC) based products.
4. 1. Scheme roll outs
Roll outs are different to pilots – scalability and security
are key. Fifty phones and one app in a coffee shop is a
good test of customer experience but mass deployment
requires real management of people, applications and
tokens.
Start simple and add applications, integrate additional
partners and support more technologies over time.
5. 2. Choose the right TSM
Not all TSMs are the same and different TSMs satisfy
different needs:
- Root TSMs manage the secure element (SE) in the
phone.
- Service provider (SP) TSMs manage applications.
You may even wish to integrate over-the-air (OTA)
application delivery and personalisation, so that as an
issuer you won’t need an SP TSM.
6. 3. Cooperation
Your company will need to co-operate with other
stakeholders in the NFC ecosystem. Banks, mobile
network operators and SPs are speaking with each other
for the first time.
Your company will still issue an application but one
of the other players may issue the token, device or
phone. Furthermore, TSMs themselves will need to
communicate. Therefore, each root will be connected to
multiple service providers or their TSMs.
7. 4. Legacy systems
Integration with existing processes and systems is
essential. You’ll need to manage multiple applications
and their keys in addition to integrating the new
infrastructure with your existing card management.
There will also be other issues to think about, such
as whether mobile applications will require different
risk parameters to existing EMV payment cards, for
example.
8. 5. Keep your options open
Don’t get locked in to a single provider. You may need
to support SIM, SD card and embedded SEs, support
multiple SIMs from multiple vendors and want to
personalise NFC and plastic chip cards with different
SPs. Sourcing your TSM solution or services from an
independent vendor is a good way to maintain your
flexibility. Don’t restrict your options, the marketplace is
evolving at a rapid pace.
9. 6. It’s a lands grab - get involved!
Issuers will be able to attract new customers from
partnerships with carriers/mobile network operators.
Consumers will look for issuers, handset manufacturers
and mobile network operators that can offer these
solutions and bring their business with them. Gaining
early market share is key to future success for service
providers and issuers.
10. Martin Cox
Global Head of Sales
With over 20 years of expertise, Bell ID is considered the world’s leading provider of
lifecycle management solutions for tokens (e.g. smart cards, mobile NFC phones)
deployed in single and multi-application programmes.
www.bellid.com
