Key Consumer Insights for Optimizing Your Billing and Payment Channels Utility Payment Conference

© 2010 Fiserv, Inc. or its affiliates. Overview How to achieve higher levels of online channel usage including paperless e-billing and auto payments How to stay connected to, and in touch with, your consumers Why consumers choose certain billing and payment channels Ways to increase satisfaction with billing and payment services 2

© 2010 Fiserv, Inc. or its affiliates. 3 Billing and Payment Can Make You and Your Customers Happier “Can Going Paperless Make You Happier?” The Today Show Aired Friday June 4, 2010, Al Roker Interview with Jean Chatzky, Personal Financial Journalist, 4.9M Viewers “I encouraged viewers to break one of their longstanding financial habits by ditching paper bills, and start paying them online instead.” Research shows that people who go paperless are happier — they’re more satisfied customers, save time and money, eliminate the clutter that inevitably builds up on kitchen surfaces, and feel better about parting with that cash each month” Jean Chatzky

© 2010 Fiserv, Inc. or its affiliates. How to achieve higher levels of online channel usage including paperless e-billing and auto payments 4

© 2010 Fiserv, Inc. or its affiliates. Auto Payments: Usage Has Gone Down. Rates Vary by Channel and Vertical 5 Recurring Payments Thru Bank? Recurring Payments Thru Biller’s Site? Auto Debit Decreased by 6% in the last 12 months For Which Bills? Source: 2010 Billing Household Survey, Fiserv, Inc.

© 2010 Fiserv, Inc. or its affiliates. Best Practices from the Telco Industry: Co-Promote Auto Pay with eBill 6 Paperless Billing 110% 81% Recurring Direct Debit Campaign Impact Source: NACHA Payments 2010

© 2010 Fiserv, Inc. or its affiliates. 7 Good News: e-bill is Catching On, Especially at Banks and Credit Unions Source: 2010 Billing Household Survey, Fiserv, Inc.

© 2010 Fiserv, Inc. or its affiliates. Most Attractive Offers to Suppress Paper Bills: Ability to Go Back to Paper Anytime and Reimbursement Late Fees % E-Bill Recipients Wanting to Keep Paper Source: 2010 Billing Household Survey, Fiserv, Inc. Many of these Attributes Already Exists with eBills

© 2010 Fiserv, Inc. or its affiliates. 9 How to stay connected to, and in touch with, your consumers

© 2010 Fiserv, Inc. or its affiliates. 10 Visit the website of a company from which you receive a monthly bill in last 6 moths Customers Visit Biller Web Sites for Primarily One Thing: Billing and Payment 34% Visited Electric Company Site 17% Visited Natural Gas Site Why did you visit the site of the electric company? Which Companies? Source: 2010 Billing Household Survey, Fiserv, Inc.

© 2010 Fiserv, Inc. or its affiliates. About 1 in 6 Users of Social Media Sites Interested in Getting Alerts at those Sites Do You Use a Social Media Site? 11 Interested in Receiving Bill Due Date Alerts at those Sites? Source: 2010 Billing Household Survey, Fiserv, Inc.

© 2010 Fiserv, Inc. or its affiliates. Why consumers choose certain billing and payment channels 12

© 2010 Fiserv, Inc. or its affiliates. Use of Payment Methods Can Change from Month to Month 13 Source: 2010 Billing Household Survey, Fiserv, Inc. % of Those Responding Change as Needed

© 2010 Fiserv, Inc. or its affiliates. 14 Different Reasons and Value Propositions for Receiving e-bills at Financial Institutions and Biller Sites Among Biller Direct e-Bill Recipients Among bank-based e-bill Recipients Reasons you are receiving bills at your billers’ websites Reasons you are receiving bills at your Financial Institution’s website Source: 2010 Billing Household Survey, Fiserv, Inc.

© 2010 Fiserv, Inc. or its affiliates. Walk-In Payment Drivers Un and Under Banked Immigrant Population Habits Expedited Payments Human Interaction Desire the Physical Receipt 15

© 2010 Fiserv, Inc. or its affiliates. 16 Ways to increase satisfaction with billing and payment services

© 2010 Fiserv, Inc. or its affiliates. 17 Bill Pay Bill Receipt Online Mail Q11 How do you currently receive each of the following bills? Q20 : How do you currently pay each of the following bills? Q10Overall, how satisfied are you with your current banking relationship with your primary bank/credit union? * Online includes: bank/biller/automatic deductions/e- mail/another website/work; Mail includes all off line methods (in- person/walk-in etc) From n=5,000 survey,; analysis focuses on 4,293 employed respondents, March, 2010 Base= respondents receiving/paying all statements as specified Send Less Paper! The Correlation Between Paper and Dissatisfaction Extends to both Billing and Payment Source: PayItGreen Survey, Javelin Strategy & Research, 2010

© 2010 Fiserv, Inc. or its affiliates. Offer Mobile Alerts and Due Date Reminders 18 Source: 2010 Billing Household Survey, Fiserv, Inc.

© 2010 Fiserv, Inc. or its affiliates. 19 Offer a Variety Billing and Payment Options and Touch Points Source: 2010 Billing Household Survey, Fiserv, Inc.

© 2010 Fiserv, Inc. or its affiliates. 20 Questions and Answers Jill Roberts, Fiserv

Key Consumer Insights for Optimizing Your Billing and Payment Channels Jill Roberts, Fiserv Tuesday,October, 19, 2010 Utility Payment Conference