Digital transformation knowing with Visa and Mastercard ..2

 

The Digital Transformation of Visa and Mastercard

The Digital Transformation of Visa and Mastercard have changed how digital transactions have worked over the years.

It is quite evident that both Visa and Mastercard are working to improve their technology. In this way, they can improve their global network of payment.

Visa and Mastercard are not alone in their current success, based on having a global network of payment.

They were preparing to use their strengths to create an empire as a larger means of payment. This will help them not only to solidify their current foundation but also lay a foundation for their upcoming future changes.

We have gathered a capable list of people and made a summary for you of the revolutions in the Digital Industry.

This is what we call the digital transformation of Visa and Mastercard.

 

[caption id="attachment_3916" align="aligncenter" width="300"] Digital Transformation of Mastercard and Visa[/caption]

(1) Visa

First, let's take a look at Visa's digital transformation.

Visa's digital transformation is aiming towards leveraging payment data from financial institutions and merchants around the world.

Visa is working to utilize artificial intelligence, and the Internet of Things to increase data utilization at its Innovation Center in San Francisco, USA.

First, Visa is currently working on making improvements in the field of artificial intelligence and solving the existing problems.

Existing problems include delays in account balance management. Delay in Credit card payment, and payment delays due to linkages with financial institutions.

VisaNet

Visa has introduced VisaNet Plus AI. It is an artificial intelligence-based service to simplify and efficiently process billions of daily payments.

VisaNet Plus AI predicts what would be possible after payment proceeds which will be based on credit card users existing transaction histories, payment level, and income.

This is called the Visa Smarter Settlement Forecast.

Furthermore, Visa's smart settlement forecasting also enables users' consumption forecasting modeling services.

In other words, it is possible to predict the cash flow demand generated by country, household, and individual based on their credit card history.

In addition, based on the predicted settlement, we periodically monitor and manage the user's payment details to help post-processing.

This is called Visa Smarter Stand in Processing and is developing into a differentiated service unique to Visa.

This innovation has been possible because Visa has an advanced payment network. That can provide data for daily cash flows in more than 200 countries. Which flows through thousands of institutions in 160 national currencies.

This is where Visa's second digital transformation strategy, the use of the Internet of Things, comes into play.

Visa clearly knows that collecting customer payment data is going to be an important foundation for its future business.

Because of this, we are hoping that more payments will be made through Visa.

That's why Visa is aiming to implant payment capabilities into everything.

As a result of this effort, Visa has already developed a technology that allows payment without a card terminal by putting payment functions in cars and rings.

If commercialized and Visa implanted in Rings and Automobiles will be used to make payments. So hence, we can expect more consumers to choose Visa as a payment method due to differentiated convenience.

(2) Mastercard

Next, let's take a look at Mastercard's digital transformation.

Mastercard's digital innovation also challenges the future of purchasing products through virtual assistants, automobiles, and other connected devices using artificial intelligence, and the broad framework is no different from that of Visa.

The difference seems to be that Mastercard is responding more quickly to all payments being made automatically.

Mastercard, for example, has already launched a service in 2016 that allows biometrics to process payment methods based on personal information.

It is called Mastercard's identity check service.

It enables payment using a complex biometric technique using voice commands and facial recognition.

Users who have entered personal information and registered biometric information in MasterCard can use financial services without any personal inquiry or tools to show their identity.

Furthermore, it is known that a system that ultimately pays by voice is being studied.

Common Points Between Visa and Mastercard Innovations

Finally, I would like to point out things that are common between Visa and Mastercard's digital innovations.

If you look at the digital transformations of Visa and Mastercard, you can see that they are both focusing on having more data on the final purchase of consumers.

The final purchase data of consumers include past payment volume, consumption trends by country, seasonal indicators, macro trends, and even changes in consumption patterns due to exceptional events such as Corona.

This high-quality real-time transaction data can have a huge impact on future market analysis and economic indicators.

For example, the price of hamburgers paid by country, the price of food by region, purchasing patterns by gender, consumption patterns by age, and expenditures by time period can all be accumulated and utilized as data.

More importantly, Visa and Mastercard can even know the cash flow by country. So macroeconomic analysis such as movement of international money supply and utilization of loan amount will be reached to a level where it is possible.

Judging from this, I think the ultimate goal of the digital innovation that Visa and Mastercard dream of is to create the foundation of a digital economy based on a customized payment network.

As all of these changes have occurred within the last 20 years. It seems self-evident that the development and change of technology are accelerating.

I m already used not to pay with cash or bills. So this is going to be an excellent thing for me.