Be more trusted World Commerce Review interviews Gerhard Oosthuizen about the exciting future for payment enablement technologies World Commerce Review interviewed Gerhard Oosthuizen, the CTO at Entersekt, an international software development company based just outside of Cape Town, South Africa. Entersekt are leaders in authentication, app security, and payments enablement technology, offering a highly scalable solution set with a track record of success across multiple continents. Gerhard provides the organizational and operations heft to turn vision into reality. His role at Entersekt represents the CTO function in its purest and most exciting form. Entersekt’s purpose is to design and build high-performance, market-leading software and support systems for an international customer base with extremely high expectations. Please describe the background to Entersekt. Entersekt started back in 2009, with a team of only five. Our aim was to become a world leader in the mobile security industry. We’re now a global company of more than 130 employees, with clients in Africa, Europe, and the United States. Our goal is to stay ahead of the fraud curve, which so far, we’ve succeeded in doing remarkably well. By anticipating future threats and changes in the market, we’re able to provide our clients with solutions that not only protect them, but give them the freedom and ability to innovate, unhindered by fear of digital crime. What key advantages does it (scan-to-pay) offer? When you get to a store to shop with plastic, you take out your banking card and the merchant will accept it. It’s straight-forward, and everyone involved knows what to do. When you want to make a mobile payment, there’s still a lot of confusion. You are often left uncertain as to which third-party app you should use. Some merchants even support multiple companies’ QR codes, further complicating the matter. To make a payment using your mobile, you have to: Download the right third-party app Register as a user Load your card information At every one of these steps, there’s a high chance that you’ll give up and use your card to pay instead. With scan-to-pay, our goal is to make mobile payments easy. We’ve designed this feature to appear in the mobile banking app, which means that there is no new app to download, nothing to register, and your card is pre-loaded. This feature is immediately available to all users of the banking app, increasing the amount of people able to transact using this method. All the customer does when they get to the store is scan the QR code. Irrespective of what code it is, our scan-to-pay offering will resolve it, and allow you to pay in a secure, convenient, and consistent way. How is the m-commerce/e-commerce market developing? Mobile payments are now a top three consumer priority for banks on a global stage. QR codes are being standardized (with EMVCo having recently published a new standard). Tokenization and 3-D Secure 2.0 will be key focus areas for card associations. As such, we believe these measures will become major factors in e-commerce acceptance. How will the technology benefit the retailer and customer? The retailer will have the potential to learn more about the user. The technology is, of course, also incredibly secure and, with risk or liability reduced, there are lower fees. For the consumer, their shopping experience will become more convenient – no 3-D Secure pop-up that requires an OTP, just a simple in-app push notification that will prompt you to approve your transaction. They also benefit from knowing that their payment experience is as secure as it is seamless, which in turn benefits the retailer – when customers trust the experience, they tend to transact more freely (and frequently). In the future, technology like this will also offer the ability to hook into instant loyalty programs and offers. Is the market truly global or fragmented? It’s still quite fragmented. Our approach is to at least create a consistent experience for the consumer. Market forces will, however, eventually drive financial institutions and other payment providers towards global standards, and we help to enable that in the markets we play in. What is the future of this technology, and what should we look out for? There’s so much possibility once you have the consumer and merchant directly connected. Some of what I can talk about is instant enrollment at ecommerce merchants, automatic loyalty discounts, and instant insurance (on items just purchased). Imagine a world where you did not need to register at every merchant website and did not have to swipe your loyalty card every time you get to the store. Imagine paying via email address instead of having to get banking details from the third party, adding a beneficiary and then paying... there are certainly a lot of exciting opportunities and possibilities on the horizon.