MPD has extensive experience in unpacking the complexities of devising payments schemes in developing markets and advising clients about how and where to play. For example, The Bill and Melinda Gates Foundation asked MPD to develop strategies for igniting the mobile banking and payments business in lesser-developed countries. Our assignment was, after investigating the economics of mobile banking and payments in LDCs, to develop business strategies that incumbent players in payments, banking, or remittances could adopt to develop a profitable long-run business around mobile banking and payments. This included the notion of creating a multi-national network, and to create pitch documents that the Gates Foundation could use for further discussions with these players. Further, we have worked with key players in the global remittances market to understand the market dynamics associated with the movement of money, its underlying business model, its competitive threats and opportunities and the impact of digital channels, e.g. mobile on this business and the use of cash as a result.
MPD has worked the most significant legal and regulatory matters in payments in the US, EU, and Asia/Pacific. We have played a leading role, as expert witnesses and consultants, in interchange fee litigation in the EU (before the Commission and in various Member States), US, Australia, and New Zealand. Most recently, in 2011, we worked intensively on interchange-fee regulatory matters for a group of large financial institutions concerning proposed Federal Reserve Board regulations involving debit cards and for the Monnet Project on EC interchange fee regulation. We have also worked for leading payments companies on regulatory disputes in the US and Brazil. In addition, MPD has played a significant role in work related to consumer protection in payments including efforts surrounding the new Consumer Financial Protection Bureau in the US.
For a large publicly traded global payments network MPD repositioned its entire product strategy to one that increased their contribution to margin by 3x, enabled the shift from transaction relationships to account-based relationships and accelerated time to market in a key product segment significantly. This included an entire review and repositioning of their global customer focus, and resulting mobile and payments strategy with a particular focus on what products to invest in and launch in key developed and developing markets. The client was also given a complete financial model which showed the impact of this strategy to its existing business and projected market cap.
For a large publicly traded global issuer/network MPD devised its enterprise growth strategy to include product design and focus in four key markets: US, UK, India and Brazil. This included a significant deep dive into the regulatory and competitor dynamics and product lineups in those countries and a mapping of payments trends to anticipated customer adoption in those markets. The result was a product roadmap and deployment strategy for these key markets which is being rolled out currently.
For a leading publicly traded alternative payments player, MPD advised them on a strategy to leverage a core payments asset into a new product capability for the multi-hundred billion dollar small business market in the US. This work included product design, pricing and business model design as well as a fully formed scenario and financial model that showed the impact of this pricing strategy on other products and services and overall product adoption.
For a leading publicly traded alternative payments player, MPD advised the key executive team on strategies to innovate the customer experience at the point of sale, leveraging IP enabled devices and capabilities and anticipating the adoption and deployment of key enabling technologies in the US market. This work served the basis for the product innovations that are in the market today.
For a large publicly traded payments network, MPD advised the key executive team on how to leverage a core asset to innovate a key product capability that could be deployed via its issuer network. This work included an extensive deep dive into the market dynamics surrounding this particular innovation which needed to consider the extent to which this product offer would conflict or cannibalize those of its own issuers. The end result is a strategy which is being deployed in Q4 of 2012 and integrated into this network’s overall digital and mobile strategy.