Visa rides payWave of global momentum

Visa says significant milestones have been reached in the adoption of its contactless technology feature, payWave, demonstrating continued global momentum for the technology. Visa says payWave is expanding to new merchant segments and is being added to an increasing number of credit, debit and prepaid cards.

Visa is currently migrating to an enhanced global specification, Contactless 2.0, to further support the growth of payWave, the new specification is based on the international EMV chip standards, enabling Visa to take advantage of the industry's most advanced cryptographic techniques for these transactions, regardless of where the card was issued or where the transaction takes place.

“Visa payWave is an excellent example of Visa's approach to innovation and our ability to extend the value of Visa to new stakeholders and new market segments,” comments Elizabeth Buse, global head of product, Visa Inc. “As the payments ecosystem expands, so does Visa's opportunity to deliver innovative products and services to a diverse set of stakeholders.”

According to Javelin Strategy & Research, 24.8m consumers worldwide will use chip-embedded credit cards for contactless payments this year, and the firm estimates that the number will double within five years. This trend is also reflected in the increased adoption of Visa payWave technology worldwide:
• Brazil: Visa and Banco Bradesco are the first to market in Brazil with contactless payment cards, and have recently introduced the first payWave pilot program. The initiative brings the benefits and security of contactless technology to consumers and merchants, while building on the existing EMV infrastructure. The trial allows consumers to make no-PIN or no-signature transactions for all purchases below R$100 at any Starbucks location throughout Brazil.
• China: The Industrial and Commercial Bank of China (ICBC), Beijing Parkson Shopping Centre recently announced the launch of China's first co-branded payWave card - the Peony-Parkson credit card.
• South Korea: Starbucks announced an exclusive partnership whereby Starbucks customers can simply pay for their purchases with a wave of their card or mobile device. Throughout South Korea, 12 major card issuers have launched payWave programs, including Shinhan, Samsung, Hyundai, BC and Lotte Card. Cards are accepted at various merchant locations including CGV, Homeplus, Primus, 7-Eleven, Lotte World, Red Mango, Michaa, Kyobo Books and SK gas stations.
• Taiwan: Citibank became the eighth issuer of payWave in Taiwan when it launched the Citibank Shopper's Choice card.
• Thailand: Bangkok Bank and Bangkok Mass Transit System (BTS) recently introduced the Bangkok Bank Blue Wave Credit Card. The payWave-enabled card combines the features of a credit card, ATM card and BTS transit card into one simple design. Kasikorn Bank has also launched a payWave program in Thailand with the rollout of its K-Wave Card. In Thailand, Visa payWave enabled-cards are accepted at merchants including Starbucks, Burger King, McDonald's, Paragon, Big C and Levi.
• United States: US Bank and Visa recently launched a debit program to debit cardholders in California, Colorado, Missouri, and Utah.
• In the greater Washington DC region, National Capital Federal Credit Union (NCFCU) announced this week that it is adding the payWave feature to its current portfolio of credit cards.
• In the Los Angeles and San Francisco metropolitan regions, Visa and Coca-Cola are working together to install payWave enabled vending machines.
• Visa payWave rollouts and trials have been announced in Australia, Canada, China, Brazil, France, Guatemala, Hong Kong, Indonesia, Italy, Korea, Malaysia, Poland, Singapore, Spain, Switzerland, Taiwan, Thailand, Turkey, the United Kingdom and the United States.

“With millions of contactless cards worldwide, Visa has developed a global contactless platform built on the experience of implementing programs in multiple countries and regions,” continues Buse. “This new specification will allow card issuers and vendors globally to implement contactless solutions that are globally interoperable while also providing advanced EMV-based security.”