To coincide with the announcement by APACS
that the UK banking industry is gearing up for the launch of contactless
payments in the UK, Royal Bank of Scotland Group (RBS) and MasterCard
Worldwide announce the results of the first live trials of ‘Tap & Go’
payments in Europe.
The first of two trials of contactless payments in the UK began in June
2006 and is taking place at RBS’s headquarters in Edinburgh. It involves
11 retailers located in the Bank’s flagship site including coffee shops,
pharmacy, florist and a hairdressers. The second trial is taking place
in the staff restaurant at one of its London offices. Some 1,500 staff
volunteered to take part, paying for everyday, low value items (under
GBP10) using their Maestro/ PayPass/^(TM) debit and MasterCard/
PayPass/^(TM) credit cards. Both trials are still ongoing.
Feedback from RBS employees has been extremely positive with
participants able to make swift purchases by simply tapping their/
PayPass/-enabled card on a specially equipped terminal at the till,
eliminating the need to handle cash or coins, hand their card over to a
clerk, or swipe a card.
Over 40,000 transactions have been made with contactless cards so far
during the trial and RBS employees who use a contactless card are really
impressed with its convenience. David Streett who works in RBS Retail
Market Support in London says: “The card is really easy to use and it
means I don’t have to worry about going to the ATM or having enough
change in my pocket to pay for my lunch.”
Lisa Roberts, who works in RBS Business Development also in London added:
“The contactless card is much quicker than paying with cash and I don’t
have to carry so much change.”
*David Rockliff, Head of Business Development, Cards and Direct Finance,
RBS comments: *
“RBS undertook the first trial of contactless cards in Europe, we have
been using them in shops and cafes based in our headquarters in Scotland
and in our London office since June 2006. Research amongst our employees
reveals that nearly three quarters say it is better and faster than
paying with cash and 86% say it is more convenient than paying with Chip
and PIN.
Our practical experience with contactless cards from both the UK and the
USA means that we are confident that customers and retailers will
quickly take to the speed and convenience that they offer for making
small purchases.”
*John Bushby, Country Manager, MasterCard UK comments:*
“Our experience testing MasterCard/ PayPass/ and Maestro/ PayPass/ among
staff at Royal Bank of Scotland’s offices in Edinburgh and London has
shown us that consumers love the convenience, simplicity and security of
being able to ‘Tap & Go’ when paying for everyday things such as
newspapers, sandwiches and drinks.
“MasterCard is delighted to be behind the delivery of contactless
payments in the United Kingdom as we are already the global leader in
this new way to pay. Around the world we have issued over 14 million
MasterCard/ PayPass/ cards and devices that can be used in some 51,000
retail outlets. We are confident that consumers in the United Kingdom
will be quick to adopt contactless payments as they are faster and more
convenient than cash increasing both the number of cards in issue and,
as retailers benefit too, places where they can be used.”
Following the positive feedback received from both staff and retailers,
RBS is now working with MasterCard and the UK card payments industry
towards the first phase of the public rollout in London in the autumn.
RBS, NatWest, MINT and Ulster Bank will issue several hundred thousand
contactless payment cards, both debit and credit, during the London
launch of the rollout to those customers who live in the roll-out zone.
These cards will retain the existing chip and pin and magnetic stripe
functionality.
The London Launch area covers the London Corridor, north and south of
the Thames, running from Waterloo to Canary Wharf. This includes the
following postcodes – EC2, EC3, EC4, E1, E14, SE1 and SE16.
Background on MasterCard/PayPass/ and Maestro/PayPass/
MasterCard/ PayPass/ and Maestro/ PayPass/ are ideal for traditional
cash-heavy environments where speed is essential Maestro/ PayPass/ uses
innovative contactless technology and offers a genuine alternative to
cash for low value payments of up to GBP10. It is expected to play a role
in reducing the heavy reliance on cash in Europe during the next decade.
MasterCard has led the way in bringing contactless technology to
consumer categories such as quick serve restaurants, drug stores, gas
stations, vending machines, taxis, convenience stores, sports arenas,
movie theaters, transit systems and parking garages in 15 different
countries, including the U.S. and the U.K. There are more than 14
million/ PayPass/ cards and devices in the market, and/ PayPass/ is
currently accepted globally at more than 51,000 merchant locations.
About MasterCard Europe
MasterCard Europe is the entity responsible for managing MasterCard
Worldwide’s business in Europe – for Europe. With headquarters in
Waterloo, Belgium, MasterCard Europe works with 51 European countries
organized administratively into three customer areas, incorporating the
Single Euro Payments Area (SEPA), mature markets and the developing
markets of Europe, stretching as far afield as the eastern border of
Russia. Through its network of local offices, MasterCard Europe can
understand and meet the diverse needs of customers in the very different
types of markets throughout Europe, enabling people to do business in
their own way in their own language.
Through MasterCard Worldwide, MasterCard Europe offers its European
customers and consumers access to leading payment services throughout
the world. MasterCard Worldwide advances global commerce by providing a
critical economic link among financial institutions, businesses,
cardholders and merchants worldwide. As a franchisor, processor and
advisor, MasterCard develops and markets payment solutions, processes
over 16 billion transactions each year, and provides industry-leading
analysis and consulting services to financial institution customers and
merchants. Through its family of brands, including MasterCard®, Maestro®
and Cirrus®, MasterCard serves consumers and businesses in more than 210
countries and territories. For more information go to
http://www.mastercard.com
About Royal Bank of Scotland Group
The Royal Bank of Scotland Group (“RBS Group”) is one of the world’s
leading financial services companies providing a range of retail and
corporate banking, financial markets, consumer finance, insurance, and
wealth management services. RBS Group operates in Europe, the US and
Asia Pacific serving more than 36 million personal customers world-wide
and employing 135,000 people. In addition to the provision of a full
range of banking services under The Royal Bank of Scotland and NatWest
brands, RBS Group also includes Citizens Financial Group, Ulster Bank,
Coutts Group, Direct Line and Churchill.
In December 2006, RBSG won The Innovators, the awards initiative from
Scottish Financial Enterprise (SFE) in partnership with Ernst & Young
that celebrates outstanding innovation in financial services.
