Worldline - Registration Document 2016

Business Industry andmarket overview

Data Analytics and Card-Linked Offers. Data analytics and ● card-linked offer services provide banks with data mining solutions that can be used to analyze cardholder payment data to propose targeted offers to cardholders like digital marketing or real time loyalty (as well as to merchants, when permitted by local regulators).

Payment is helping transport companies to reduce their cost, create new revenue opportunities and reinvent customer experience; including e-Contracts and electronic invoicing, legal archiving solutions for companies and e-Safe services for individuals. eGovernment services will yield up to $ 50 billion annual savings by 2020; provide tax collection services as well as secure paperless systems for public services. These systems are optimized through the digitalization of services for citizens, through automated traffic regulation and e-Health services, as well through a variety of trusted services for customers, Connected Living services such as connected home and vehicles, industrial IOT, as well as consumer cloud and cloud contact services. GSMA and SBD estimate that the global market for connected vehicles will increase from $ 37.5 billion in 2015 to $ 151.8 billion by 2020. Markets and Markets has also forecasted that the market for machine-to-machine solutions should reach € 32.34 billion by 2020, experiencing a CAGR of 11.57% between 2015 and 2020. e-Government Collection. Digital services for governments ● e-Consumer & Mobility Services. This market includes ●

6.2.1.3

Newdigital businesses

Digitization, Connected Living). Leveraging the digital revolution to create new businesses and new business models, these new players are driving new payment transactions and creating new opportunities. The Group focuses on three main categories of new digital businesses: The third component of the extended payment services ecosystem in which the Worldline group operates is services for emerging digital businesses (e-Ticketing for Transport, Trusted Railways and Other Public Transit Systems. This market is a segment of the broader services market in Transport, which was valued by Gartner at € 18.2 billion in 2012. The transport market is at the verge of a new revolution with Open Payment. By transforming bank cards into tickets, Open e-Ticketing and Journey Management Solutions for ●

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KeyMarket Trends and Drivers of Change

6.2.2

payment ecosystem and threaten to displace the incumbents. New entrants: New “Fintechs”, mobile operators and GAFAs ● (Google, Apple, Facebook, Amazon etc.) are now part of the

both in the retail and wholesale payment sector. As part of this non-cash trend, alternative payment instruments will also increase in significance and threaten to disintermediate incumbent financial institutions and service providers. The trend towards non-cash payment instruments continues This is driven by a complex interaction of many forces including: Consumer expectations and behavior: the way consumers ● live, enabled by certain key technologies, has driven demanding expectation in the way they interact with both financial institutions and merchants; enabling change in the payment environment and the wider consumer engagement environment; Technology: new technologies have a fundamental role in ● Regulation: Financial institutions and payment services ● providers face a range of regulatory changes that have the potential to create new outsourcing opportunities for payment service providers and to drive increased demand for value added services to create new revenue opportunities;

6.2.2.1

The digital revolution is driving new

customers behaviors

always-connected nature of mobile and other devices is creating new opportunities that allow traditional distributors, manufacturers and new digital businesses to connect with their customers and their network wherever they are, increase the frequency of their interactions and increase sales and payment activity. Today, the average consumer in the developed world owns and uses several connected devices and is “super social” (i.e. Facebook). Consumers go online multiple times a day and do so from multiple locations, including on the go or in a store, and share their experience with their networks. The always-on,

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Worldline 2016 Registration Document