"Mobile, alternative payment methods and cross-border: drivers for your e-commerce success" - Presentation used by Marcel Vaschauner, CEO and Board Member of Loviit, during his speech at Internet Retailing Expo Birmingham 2016.

1. DOCOMO Digital’s e-commerce payments enabler
Mobile, alternative payment methods and cross-border:
drivers for your e-commerce success
April 27, 2016

2. Past Megatrend 1: Smartphone2
There are more tablets and smartphones in the world than there are
people. The gadgets are multiplying five times faster than we are, with
our population growing at a rate of about two people per second.
More people have a mobile phone than a bank account.
Data Source: GSMA Intelligence, 2016

3. Past Megatrend 2: Social Media3
There are 2.3bn active social media users and 2.0bn of them are active
MOBILE social media users.
Social media is mobile, channelled, visual and international.
Data Source: www.wearesocila.sg, 2016

4. Impact 1: Social Commerce4
Data Source: PwC, 2016
Aspects that influence online shopping behaviour
Reading
reviews,
comments and
feedback
Receiving
promotional
offerings
Viewing
advertisements
Staying on top of
current fashion and
product trends
Writing reviews,
comments and feedback
Associating with
particular brands or
retailers
Purchasing products
directly via a social
media channel

5. Impact 2: M-Commerce Market5
Data Source: Ovum, 2016; PwC, 2016, Goldman Sachs Inc., 2014
0
200
400
600
800
1000
1200
1400
2014 2015 2016 2017 2018 2019 2020
M-commerce revenue ($bn)
30% 34%
2014 2015
“Mobile phone
becomes my
main tool through
which to
purchase items.”
By 2018, almost
half of e-commerce
will be mobile
because of new
mobile channels.

6. Challenge 1: New Markets6
Data Source: Accenture-AliResearch report, 2015
Volume
Growth p.a.
27%
Cross-Border
Shoppers
2020
45%
0
1000
2000
3000
4000
2014 2015 2016 2017 2018 2019 2020
Global Cross-Border B2C Volume
Domestic Cross-Border
0
500
1000
1500
2000
2500
2014 2015 2016 2017 2018 2019 2020
Global Cross-Border B2C Shoppers
Domestic Cross-Border
Customer
Acquisition

7. Challenge 2: New Payments7
Data Source: www.ystats.com, 2014
Lack of consumer trust due to missing local online payment methods in %

8. Challenge 3: Global Acquiring8
Data Source: LinkedIn Loviit AG, 2016
300+
Connectors
160
Countries
Boost Sales
40%
Single Point
of Contact
One-time
Acquiring
Process
No
Restrictions
on Pay-out
Weekly
Settlement
Global Acquiring Features

9. Inter-
national
Challenge 4: Guaranteed Pay-out9
Data Source: www.ystats.com, 2014; LexisNexis 2015
Customer
Scoring
Transaction
Scoring
Geo-
location
Velocity
Checks
Validation
Blacklist
Device
Ident
Up to 7
times more
difficult to
prevent int.
mobile fraud
100k EUR
min. spending
on fraud
mitigation
Guaranteed
Pay-out

10. HIGHER
AVERAGE
TICKETS
Challenge 4: Hire Purchase10
Data Source: *Hitachi Capital Consumer Finance, 2014
Key Facts Consumer*
Influenced my decision to buy (80%)
Influenced my decision to spend more (48%)
Stopped purchasing without finance option (26%)
Key Facts Merchant
Guaranteed cash payment
Reduced barriers & white label
International solution (one-stop solution)
no registration,
no redirections
consumers’ favourite
payment option
different optional
payment terms
HIGHER
CUSTOMER
SATISFACTION
HIGHER
CONVERSION

11. Challenge 5: Cross-Border Service11
VAT
Reporting
Invoice
Template
Collection
Service
Cross-
Border
Increase of Complexity

12. Result I: Complexity12
CONSUMER MERCHANT
Multi
Applications
Multi
Services
Multi
Vendors
Multi
Platforms

13. Result II: No Funnel Connectivity13

14. Megatrend: Unbundling14
Siri (Speech Interpretation and
Recognition Interface) is a
computer programme that
works as an intelligent
personal assistant and
knowledge navigator, part of
Apple Inc.'s iOS, watchOS,
and tvOS operating systems.
Watson is a question
answering (QA) computing
system that IBM built to apply
advanced natural language
processing, information
retrieval, knowledge
representation, automated
reasoning, and machine
learning technologies to the
field of open domain question
answering.
Messenger platform is taking
first steps to bring businesses
on Messenger with the goal of
enhancing how people and
businesses communicate.
Users will be able to sign up to
connect with businesses in
Messenger, receiving
personalized updates.
Businesses can use custom
layouts designed for order
confirmation, shipping updates
and more.

15. Ecosystem Platform15

16. Solution16
E-Commerce + M-Commerce + Social Commerce = ONE
Find a partner that offers omni-channel customer journey orientated/centric services
internationally.
Global Acquiring & Global Settlement
Online business becomes more international and requires a global payment solution
with local approach from a single hand.
Guaranteed Pay-outs & Hire Purchase
Mobile & International e-commerce as well as hire purchase increase conversion but
are more difficult to protect from fraud and default.
Add-on Services & White Label
Cross-border business becomes complex very quickly and, at the same time,
consumers require that all services are fulfilled by their (trusted) shopping brand.
Ecosystem Platform
Connected customer acquisition, shopping tools and checkout options in cloud
computing enable m-commerce for the next generation.

17. Thank you!
Presented by Marcel Vaschauner
CEO & Founder| Loviit
marcel.vaschauner@loviit.com

18. Thank you!