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Table of Contents

Lead Story

Contactless still in the race

News

Industry Update

Governator terminates data protection bill

It's thumbs down for proposed illegal Internet gambling regs

Want fries with that MRI? Health care's looming retail environment

SoCal burns, payments industry responds

Web-based tools to help merchants tackle PCI compliance

WSAA's winning meeting

SCA explores the contactless, mobile realm

Use rapport to score with cash advance

Mike Evans
2nd Source Funding

Features

AgenTalkSM:
Craig Lesser

NCR drops Tidel ATM brand

Tracy Kitten
ATMmarketplace.com

Industry Leader

Adam Atlas –
Across the airwaves, into law

Views

Tomorrow has come for PEDs

Paul Rasori
VeriFone

Education

Street SmartsSM:
Surge with emerging markets

Dee Karawadra
Impact PaySystem

Changes afoot for signature debit

Ken Musante
Humboldt Merchant Services

B2B: Rich in opportunity

Aaron Bills
3Delta Systems Inc.

Widgets: Isn't this fun?

Joel and Rachael Rydbeck
Nubrek Inc.

Company Profile

eProcessing Network

New Products

New prescription for the PCI pain?

VoyenceControl PCI Advisor
Company: Voyence Inc.

Click-and-go reordering for MLSs

USA ePay Reseller Online Product Order Form
Company: USA ePay

Online gadget brings Zen order to scheduling

Todoist
Todoist.com

Inspiration

Not rich, wealthy

Miscellaneous

Contactless creeps like early dept: Is a sprint ahead?

POScript

Departments

Forum

Resource Guide

Datebook

A Bigger Thing

The Green Sheet Online Edition

November 12, 2007  •  Issue 07:11:01

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Contactless creeps like early dept: Is a sprint ahead?

1975
The first debit cards are deployed in the U.S. market.

1991
Debit cards comprise 3.08% of total U.S. purchase volume, 16 years after their inception.

2003
The card Associations begin implementing contactless payment trials in quick service restaurants across the United States.

2004
Jupiter Research LLC releases a study on contactless payment, projecting 230 million contactless cards will be distributed in 2007. The study also estimates that 2.88% of all card spending will be on contactless cards.

2005
Debit cards account for more than 36% of total U.S. purchase volume.

2006
In May, MasterCard Worldwide states that using PayPass shaves 12 to 18 seconds off of the transaction time. Chris Skinner of TowerGroup Inc. said "the death of cash" will be contactless payments. By September, the number of contactless cards in use is lower than anticipated. Jupiter projects the number of cards distributed in 2007 will be 37 million, down 70% from its 2004 estimate, and projected spending on contactless cards is lowered to 0.72% of all card spending, more than a 75% drop.

2007
Randy Vanderhoof, Executive Director of the Smart Card Alliance, estimates approximately 1% of U.S. merchants accept contactless payments.

In May, ABI Research estimates there are 150,000 contactless payments terminals in 55,000 retail locations in the United States.

The SCA estimates that, as of June, 21.6 million contactless cards have been issued in the United States in the past two years.

MasterCard states it has distributed more than 16 million PayPass cards and has more than 55,000 merchant locations accepting them worldwide.

VeriFone becomes the preferred provider of in-cab credit/debit card payment systems on the East Coast in August. In September, members of the New York Taxi Workers Alliance (NYTWA) and Taxi Workers Alliance of Philadelphia stage a two-day strike, protesting the use of electronic payment systems in their vehicles. NYTWA stages another two-day strike in October.

Meijer Inc., a supercenter chain combining department stores and groceries, reports that installation of 15,000 contactless payment terminals in 181 of its stores has lifted monthly sales by 44% for customers paying with contactless cards.

2008
More near field communication-enabled handsets will reach the market, and contactless use will expand, according to Vanderhoof.

2009
The total market for contactless payments of $5 or less will reach $11.5 billion, according to a TowerGroup study.

2010
According to Jupiter, 188 million contactless cards will be distributed in the United States.

Notice to readers: These are archived articles. Contact names or information may be out of date. We regret any inconvenience.

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Spotlight Innovators:

North American Bancard | USAePay | Super G Capital LLC | Humboldt Merchant Services | Impact Paysystems | Electronic Merchant Systems