VeriFone Systems, Inc. (NYSE: PAY), and National Payment Card Association (NPCA) debuted a mobile payment and rewards solution that enables convenience store and petroleum retailers to provide customers with smartphone-based payment options at the pump.
Utilizing VeriFone’s Smart Fuel Controller and NPCA’s mobile payment solution, c-store and gas station operators with VeriFone payment acceptance systems can quickly implement a fixed low-cost mobile payment and rewards program built on existing infrastructure used for merchant branded debit cards.
“Consumers are increasingly drawn to rewards-based fuel purchase programs and they expect to be able to use their mobile phone to complete transactions at the pump,” said Dan Yienger, senior vice president and general manager of Petroleum for VeriFone. “NPCA and VeriFone are showing how easy it is for CSPs to offer mobile payment and reward options to customers that increase loyalty and sales.”
VeriFone Smart Fuel solutions make it easy for CSPs to offer forecourt pump POS payment without incurring the cost of installing new dispensers. The Smart Fuel Controller combines pump and pay-point support into a single unit, simplifying installation and maintenance, and eliminating the need for third-party interface devices to integrate pay-point management with in-store POS systems.
Merchants can develop their own mobile app, or apply their brand to a mobile app supplied by NPCA, to enable customers to pay for purchases and receive loyalty incentives using their smartphones.
“Many consumers today would rather utilize the capabilities of their smartphones versus pulling out their wallets,” said Danilo Portal, Chief Operating Officer of NPCA. “Using this solution, retailers can easily and cost-effectively create mobile loyalty programs that attract and reward high-value customers—without having to replace their existing payment infrastructure.”
NPCA’s debit-based payment programs provide retailers with the ability to drive customer loyalty and reduce the cost of payments. Fuel discounts are funded from interchange savings that retailers would otherwise pay to banks. Payment processing is done by NPCA using the automated clearing house (ACH) system to clear debits to cardholder checking accounts and net settle with retailers each day. The company holds five patents related to the processing and methods for ACH-based decoupled debit and mobile payments.
The VeriFone and NPCA mobile payments solution will be available for beta testing in November.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 for VeriFone Systems, Inc.
This press release includes certain forward-looking statements related to VeriFone Systems, Inc. within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on VeriFone management’s current expectations or beliefs and are subject to uncertainty and changes in circumstances. Actual results may vary materially from those expressed or implied by the forward-looking statements herein due to changes in economic, business, competitive, technological and/or regulatory factors, and other risks and uncertainties affecting the operation of the business of VeriFone Systems, Inc. These risks and uncertainties include: retailer and end user acceptance and adoption of the VeriFone Smart Fuel solutions and our other new solution offerings, our ability to protect against fraud, the status of our relationship with and condition of third parties upon whom we rely in the conduct of our business, our dependence on a limited number of customers, uncertainties related to the conduct of our business internationally, our dependence on a limited number of key employees, short product cycles, rapidly changing technologies and maintaining competitive leadership position with respect to our payment solution offerings. For a further list and description of such risks and uncertainties, see our filings with the Securities and Exchange Commission, including our annual report on Form 10-K and our quarterly reports on Form 10-Q. VeriFone is under no obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, changes in assumptions or otherwise.
About National Payment Card Association
National Payment Card Association (NPCA), based in Coconut Creek, Florida, is the leading provider of brick and mortar alternative payment with 77 merchants throughout the US. NPCA’s patent portfolio contains dozens of independent claims for methods of payment and systems for ACH decoupled debit. NPCA is a member of the EFT Network, which is a part of the Electronic Check Council of the National Automated Clearing House Association (NACHA), the rule-making body for all electronic funds transfers made through ACH. For further information about NPCA, visit the Company’s website at http://www.nationalpaymentcard.com.
About VeriFone Systems, Inc. (www.verifone.com)
VeriFone Systems, Inc. (“VeriFone”) (NYSE: PAY) is the global leader in secure electronic payment solutions. VeriFone provides expertise, solutions and services that add value to the point of sale with merchant-operated, consumer-facing and self-service payment systems for the financial, retail, hospitality, petroleum, government and healthcare vertical markets. VeriFone solutions are designed to meet the needs of merchants, processors and acquirers in developed and emerging economies worldwide.