When it comes to the customer experience, MasterCard believes it shouldn’t just be effortless – it should also be seamless. The company this week announced its partnership with Zwipe to launch the world’s first fingerprint and authenticated contactless payment card.
The Zwipe MasterCard payment card combines the security of biometric authentication with the speed and convenience of contactless payment. It works by storing cardholder fingerprint data directly on the card, not in an external database. After activation by a simple fingerprint scan, the Zwipe MasterCard can be used to make contactless payments.
The result is a streamlined payment system.
“One of the major benefits of embedding the finger print sensor onto a card is that it enables the user to bridge existing infrastructure with new technology,” James Thorpe, head of communications for MasterCard in the U.K. and Ireland, told Loyalty360. “If a shop has a contactless terminal then the user can benefit from a biometrically authenticated secure contactless payment. However, if they need to visit an ATM to withdraw cash, they don’t need a separate card or alternative device. You just need the one
card.”
Customer Loyalty: Safety - and Security - First
The benefit of using the Zwipe MasterCard goes beyond the convenience of not having to remember a series of numbers. To establish and maintain customer loyalty, MasterCard knows safety and security are paramount, which is why it partnered with Zwipe, a Norwegian company at the forefront of the biometrics industry.
Users authenticate Zwipe’s contactless card themselves through their fingerprint, not their PIN, which means greater security for the cardholder. And because the card is based on a NFC (Near Field Communication) platform, there is no external database with the cardholder’s sensitive information – a growing concern for some who use devices and services that operate on a biometric platform.
“What’s unique about the Zwipe technology is that we have the most power- efficient algorithm for fingerprint authentication in the world, enabling a secure biometric authentication without internal power source,” Fredrik Gulowsen, director of PR and marketing at Zwipe, told Loyalty360. “All the power needed is harvested from the payment terminal.”
Pilot Results: A Better Customer and Merchant Experience
The launch of the Zwipe MasterCard comes after a live pilot with Norway’s Sparebanken DIN that was seeking a faster payment solution that didn’t compromise customer security. The results showed that cardholders appreciated the security features, ease of use and speed. It was also a hit with merchants.
“For merchants and retailers, there is no difference between a standard EMV credit card, and a Zwipe MasterCard; they both use the same point-of-sale terminals,” Gulowsen added. With Zwipe, however, “merchants see shorter lines at checkout, as well as potentially greater sales and larger transactions due to increased customer confidence and no transaction limits compared to ordinary contactless cards.”
Zwipe has begun work on the next generation of its card that will be the same format as a standard card and designed to work with all payment terminals for release in 2015. The new card will harvest energy from the payment terminals without the need for a battery.