ROBUST GROWTH IN ALL BUSINESS AREAS

The Payment business kept up its fast pace of growth in 2016. Thanks to the growing popularity of cards as a means of payment and our close collaboration with our partner banks, Issuing increased the number of issued cards to more than 1.4 million. The launch of our new Digital Payment Services met with great interest from our customers. After a stable previous year, Acquiring has returned to the path of growth and launched a successful mobile payment solution with Anypay.

Viseca is one of the largest Issuers of credit and PrePaid cards from Mastercard and Visa in Switzerland. Its private and corporate customers benefit from a broad range of products and services. Viseca continued the volume growth enjoyed in the past few years in the reporting year and increased the number of issued cards by more than 56,000 to over 1.4 million. In addition to the general increase in the popularity of cards as a means of payment, this growth was also supported by the successful customer acquisition activities of the partner banks. The fact that Viseca also expanded the insurance cover offered with its credit cards is likely to have played a role, too.

Issuing implements digitisation strategy

The key focus of Issuing in the past financial year lay on pushing ahead with digital payment projects. VisecaOne is a real success story: more than 500,000 cardholders have already registered for this digital service and benefit from a simple but very secure two-factor authentication system. Customers can use the free app to call up all their transactions on their smartphone in real time to check their payments, and receive a push message for every transaction. They can also use Viseca Masterpass, a globally accepted digital wallet with which Viseca customers can pay for transactions in foreign online shops and at more than 2,500 online merchants in Switzerland without having to enter their credit card details for every transaction.

The surprize rewards programme much loved by cardholders and merchants further improved its visibility in 2016 thanks to first steps to integrate the programme into the VisecaOne platform. The partner network has been expanded by renowned consumer goods, clothing and transport brands and now stands at 43 partners. This gives cardholders access to an even bigger selection of attractive rewards. The new features are very popular with the customers.

The personal finance management (PFM) solution developed by Viseca in collaboration with the fintech start-up Contovista AG has also met with a positive response from customers and the partner banks hitherto involved. With this solution, bank customers can import their credit card transactions into their e-banking solution, browse them together with all e-banking transactions, and create diagrams to visualise them. This service has been introduced to date by the Zürcher Kantonalbank, Graubündner Kantonalbank and Schwyzer Kantonalbank. Additional Cantonal Banks will follow, as this service creates real added value for all card customers.

Acquiring launches innovative mobile payment solution

As Acquirer, Aduno makes sure that the customers of its affiliated partners can pay conveniently and securely with all commonly issued credit and debit cards. To this end, it takes care of the acceptance and processing of electronic payments at all points of sale, whether online or physically at the point of sale. It provides both the physical payment terminals and the interface to the payment service provider (PSP) in the online shop. Acquiring posted encouraging turnover growth in the 2016 financial year. This growth was mostly driven by the food and beverages as well as the retail and entertainment sectors.

On the product side, the highlight of the reporting year was the introduction of the mobile payment solution Anypay. Anypay is a high-performance mobile card reader that uses an app to connect to a smartphone or tablet, making it possible to accept all commonly issued cards, including Postcard. The product is particularly suited for smaller businesses looking for a simple, secure and cost-efficient cashless payment solution. Sales to date have far outstripped expectations. The partner banks are also showing great interest in Anypay and some banks are actively marketing the solution to their customers.

Investments in security

The Aduno Group focused on security in 2016 too and invested in security aspects in the Issuing as well as the Acquiring business. These include the introduction of the fast but very secure two-factor authentication for VisecaOne as well as the latest fraud prevention software. These investments paid off quickly and the risk costs could be reduced considerably year-on-year.

Guarantee deposit business expanded

The guarantee deposit business, which falls under the Payment business, was expanded further in 2016. This not only strengthened the partnerships with numerous banks and real estate agents, but AdunoKaution also managed to expand its position in French-speaking Switzerland by acquiring SmartCaution, a company that is mainly active in the Geneva conurbation.