October 10, 2013
A few weeks back Lets Talk Payments team covered Jumio's new innovation which allowed retailers to process credit card transactions using webcams. On October 9, 2013 Jumio Inc. announced the launch of a new technology called ‘Jumio Port’ that allows users to make one click purchases and transactions without the need to download a separate wallet app.
Founded in 2010 by CEO Daniel Mattes, Jumio is backed by investors such as Andreessen Horowitz, Facebook Co-Founder, Eduardo Saverin and Citi Ventures. Headquartered in Palo Alto, California Jumio operates globally with offices in the Europe, US and Asia.
Series A, 3/11
Series B, 1/12
Series B, 5/12
The Apple Passbook and Samsung Wallet will be integrated with Jumio Port for customers to make one-click transactions through their smartphones. Jumio claims that their port technology integrates directly into a merchants mobile app on the checkout page or at any other point of transaction.
Here is how it works?
A First time customer scans his payment or ID credentials with his phone’s camera.
The user can then open an account or conduct a transaction.
Once scanned the credentials are validated for authenticity and passed into the transaction.
Next the user can tap the ‘Save to Passbook’ option – this allows his credentials to be stored securely for future usage.
After this, he only needs to tap ‘Pay with Passbook’ to complete the transaction, with that same merchant.
Jumio Port builds upon Jumio’s Netverify and Netswipe products which enable frictionless credit card and ID scanning and are utilized by a number of online and mobile merchants.
Consumers want one wallet that allows transactions in both the digital and real world. Jumio is a device-based wallet; we don't see ourselves as a provider... We're infrastructure. Typing is the old way. Cameras are ubiquitous, and by using cameras alone (for identification and payment capturing) you increase transaction completion rate 300-500 times says Daniel Mattes, CEO of Jumio. 'The current absence of a comprehensive device-based wallet offering that is securely integrated into the merchant apps, at the point of transaction, is what has obstructed mobile wallets from reaching the critical tipping point he added.
Jumio has also announced its intent on the formation of a member owned and operated organization by industry standards. The establishment is to be called CIESTA - Customer Information Storage and Transmission Association. Today's standards for personally identifiable information largely apply to sharing, collection, notifications and privacy but not specifically to the storage and transmission of this information. CIESTA is meant to fill that gap said Jumio.
The Port infrastructure will initially be embedded with individual merchant apps, says Jumio. Port will be available to merchants in early 2014 to integrate into their mobile apps. The technology is first beginning on iOS and later coming to Android. Airbnb and Fab are current Jumio customers stated the company.
LTP View: Jumio Port may see early adoption by merchants due to its convenience with ‘Save to passbook’ feature and not having to download a specific app. The technology could significantly increase transaction completion rates and revenues by reducing the friction involved in the checkout process or even verification of ID a smartphone.