1. Genius™ Customer Engagement Platform™
Providing Your Customers the “Big Box” Check-out Experience
Table of Contents
Introduction
Background………………………………..4-6
Genius High-Level Overview…………….7-10
Genius Detailed Capabilities…………….11-15
Contact Information……………………….16
Appendix……………………………………17-19
For Agent Training

2. Presentation Assumptions
Designed to be a detailed training resource for our Agents
Suggested speaking notes included in notes section
Slides speak to the merchant audience
A separate condensed presentation, with suggested slides, for merchant sales calls is available
Please feel free to incorporate any of these more detailed slides into your merchant sales presentation

3. “Your Challenge” How do you meet customer demands and preferences AND
keep up the with ever-changing payments industry in order to
grow your business?
Risk
Security
Regulation
Compliance
Technology
Administration
Mobile wallets
Loyalty and Gift
Partnerships
Coupons
MERCHANT
DEVELOPERS
CUSTOMERS
While consumers begin to emotionally and physically look to mobile as a holistic solution for shopping – merchants are facing their own pressures from both customers and developers, as well.
In addition to preparing for the shift to EMV in October 2015 – a transition that, for the vast majority of small and mid-sized brick and mortar merchants will require new payment acceptance technology (dual interface) – they also have the challenges of:
Activating loyalty programs that are easy for customers – eliminating the key fob and delivering instant value
Accepting new technologies including mobile wallets (NFC, QR, something brand new)
Leveraging coupons (targeted) to drive new and incremental sales
And, establishing partnerships that help them build their business
And, of course, they still need to worry about risk, security, regulations, compliance, and running their day-to-day operation.

4. “Consumer Challenges”
What they use
What they have
What they want
cash
Easy-to-Use
Security
Speed
Convenience
smartphone
Coupons
Loyalty
credit & debit
The convergence point will be when we can effectively take the various forms of payment (checks, cash, debit, credit) and converge those through mobile technologies into a seamless integrated experience through the smartphone that ensures:
Payment options (across card brands –debit and credit, ACH vs. credit)
Discounts and offers
Automatic recognition of loyalty program benefits
Over 55% of Americans now own a smartphone.
While today’s consumers are somewhat used to carrying around paper coupons, alongside checks, cash and an average of over 3.5 cards per cardholder – there’s no doubt that having everything consolidated in one place would undoubtedly be more convenient.
In all – today’s consumers want
Security – after all 10 percent of Americans have already been a victim of credit card fraud
Speed – there’s never enough time
Convenience and ease of use
Value and discounts
And recognition for being a loyal customer
Offers

5. Consumer Demand is Building
73%
of consumers say they have used their mobile phone in a store.
- Source: Interactive Advertising Bureau
55%
of consumers express an interest in mobile coupons but only 10% have actually receive one from a merchant.
- Source: Mercator Advisory Group, 2012
Smartphone influence on retail store sales will grow to 19% of sales by 2015, up from 5.1% in 2012.
- Source: Deloitte
As technology continues to fuel awareness of mobile – enhanced consumer opportunity around convenience and extended value is also rising to top of conversation.
There’s been so much conversation recently around showrooming, which is the primary source of more than 73% of consumers reporting that they have used their mobile phone in a store.
In today’s economy value is critically important for consumers and the majority will not pay more if they don’t have too – making the smartphone a critical shopping accessory.
58% of smartphone owners regularly go to a store with the sole intention of trying on or testing products before purchasing them online (Source: L2: A Think Tank for Digital Innovation » Brands Adapting to Showrooming).
Mobile Coupons
Another area where consumer demand is evident is in mobile coupons – According to Mercator Advisory Group some 55 of consumers have expressed an interest in mobile coupons or offers, but only 10 percent have actually received one…clearly a huge opportunity for merchants.
Successful coupon campaigns can help e-merchants acquire customers and drive online sales
By 2014 the number of mobile coupon users is expected to increase to 53.2 million a year
At roughly 10%, the redemption rate of mobile coupons crushes that of print coupons, which hovers around 1%
Looking at overall influence of smartphones on retail sales
Deloitte predicts that in just three years those numbers will rise to 19% from just 5.1% last year – and much of that is based on the need for merchants and developers to support an omni-channel shopping experience – creating a parallel shopping experience (with aggregated purchasing data) across all mediums: in-store, online (traditional e-commerce and buying from a mobile device) and mobile POS (in-aisle, self-checkout).
An overwhelming 89 percent of consumers said it is important for merchants to let them shop for products in the way that is most convenient for them, no matter which sales channel they choose – source: Accenture Seamless Retail Study

6. Future Predictions
65% of tech experts believe CASH, CREDIT CARDS may be obsolete by 2020.
- Source: Pew Research Center
By 2017, worldwide purchase volume over mobile devices will reach $1 Trillion.
- Source: IDC Financial Insights
By 2016, there will be 448M mobile payment users worldwide.
- Source: Gartner
Like any evolving marketplace, predictions range for mobile, but there’s no denying that rapid growth is a common theme regardless of what is predicted or the source behind it.
IDC Financial Insights
$1 trillion – that is what IDC predicts worldwide purchase volume over mobile devices will be in just four years.
66% - MCommerce
25% - NFC
7% - P2P
2% - Barcode
Gartner
According to Gartner, it’s anticipated that there will be some 448M mobile payment users in the next three years.
Pew Research Center
Even more incredible is recent research from Pew that indicates that 65% of tech experts believe that plastic cards and cash may be obsolete by the year 2020 – heck, that’s only 7 years from now and we’re talking about payment methods that have been the standard for decades.
Ancillary stats:
During the next five years, according to Forrester, mobile payments are expected to move toward the mainstream, reaching $90 billion by 2017
Forrester predicts (Nov. 2012) that mobile payments will hit $31 billion by 2016, up from $6 billion in 2011.

7. Never turn away a paying customer!
Your Opportunity
Never turn away a paying customer!
Your business must take advantage of the uncertainty and complexity with today’s payment options and turn these conditions into a competitive advantage that helps your business grow.
As all these new payment types and customer engagement options enter the market – they create opportunity for merchants to differentiate their businesses.
Yet they also create confusion and uncertainty as merchants must consider:
Which of these new payment types will reach critical mass?
With heavy customer adoption?
How to recognize and know which to integrate or offer?
What is the timing on adoption of these new payment & reward options?
Which will yield the greatest growth return?
As a result, merchants need & deserve to benefit from a simple, flexible, integrated, and secure solution that handles any payment type – enabling them to focus on their customers and growing their business.

8. Your Solution – Today and Tomorrow
Genius™ Customer Engagement Platform™
The only payment technology solution that securely integrates and aggregates every payment type and mobile commerce program into a single platform.
“App Store” Solution Center – the de facto marketplace for all your payment needs
Cloud-based remote administration & merchant dashboard portal
The solution is the Genius Customer Engagement Platform –A True Path forward for the Payment Solutions Industry.
A payment-agnostic platform that can aggregate & integrate every conceivable transaction technology
The Genius Customer Engagement Device (CED) allow merchants to accept any payment type- credit, debit, NFC, EMV, signature capture, QR codes and PIN debit
Genius is configurable to accept any customer reward, gift, loyalty or couponing offers
A future proof, cloud-based solution, Genius is the only payment solution that provides merchants with a single point of entry into the mobile space
Never turn away a paying customer™

9. Robust solution to power your business today
Value of Genius - Today
Robust solution to power your business today
Genius enables merchants to take advantage of the increasing disruption, uncertainty, and complexity with payment solutions today and turn these conditions into a competitive advantage that helps their business grow.
Low Total Cost of Ownership
No Extra Fees: Avoid third-party processing fees and additional transactions fees, all with no set-up charges
Lower Rates: Capital Bankcard will meet or beat any rates merchants are currently paying with a low-cost guarantee for credit & debit card processing
Automatic credit/debit workflow steering to realize lowest interchange fee.
Lower Risk
Simplified Compliance: Integrated processing with a PA-DSS validated POS system alleviates many of the burdens PCI compliance creates for a merchants business
Always Available: Reduces the time and effort required to perform a PCI compliance audit
By enabling customers to swipe their own cards, merchants lower the risk of potential errors and fraud caused by staff handling of sensitive card information
Streamlined Support
24/7/365 support
One-stop shop for all support and service
Cloud-based software updates for new capabilities
Value- Added Capabilities
Signature Capture: Integrated signature capture alleviates the annoyance and expense of storing paper receipts
Any Payment Type: Built-in capability to accept any payment type (traditional credit, debit, NFC,QR & EMV) preparing merchant for both conventional & mobile payments - today & tomorrow
Free Add-Ons: Free gift and loyalty card programs, free virtual terminal and other value-added services
Maximizing Opportunity: Seamless integrations with wallet, gift, loyalty, and marketing applications offer merchants maximum choice, flexibility & opportunity for attracting new customers and retaining existing ones
Key Features
PCI/PED Compliant
Multi-function Display
Integrated Secure PIN Pad
EMV-ready
Built-in NFC reader
IP Connectivity
Credit/Debit swipe
POS taken “out of scope” from PA-DSS
Security: Tokenization & Point-to-point Encryption (P2PE)
QR Code Scanner
Digital Signature Capture
Intelligent Credit/Debit Steering
Real-time SKU Display on CED
Cloud-based Remote Administration

10. Value of Genius - Tomorrow
Future-proof solution that evolves with your business
Mobile Commerce Ready
Accept any mobile payment via NFC/QR codes
Deploy profitable customer loyalty/reward programs, offers and coupons
Simple Setup
Cloud-based payment “App Store” for easy management
Web-based remote administration of all CEDs to ensure a unified customer experience across all locations
As a future-ready solution today, Genius provides merchants a true path forward by being the only flexible payment solution that adjusts alongside the growth of their business & industry needs.
Mobile Commerce Ready
Accept mobile (NFC or QR code), and NFC “tap to pay” credit card payments
Leverage Platform Partners for tailored loyalty/rewards and coupons/offers to meet specific merchant needs
Customizable payment acceptance, mobile commerce, and location-based controls instead of a one-size-fits-all
Enhanced Administration
Cloud-based software platform enables the ability to provision each customer engagement device (CED) from a central location
“App Store” marketplace provides selection/management of all payment technology needs
Solving the problem of how to support traditional credit/debit payments AND mobile commerce on your countertop - all from a single device.

11. Lower Risk POS is “Out of Scope” for PA-DSS EMV-Ready Solution
No sensitive data passes through the POS
Dramatically reduces cost, resource, time required to complete PCI audits
Enhanced security to ward off hackers
Tokenization
Point-to-Point Encryption (P2PE)
Clerks no longer handle credit cards
EMV-Ready Solution
Customer Engagement Device (CED) is EMV-ready
No additional hardware swaps required to comply
Prepare for 2015 Liability Shift on your terms
Software update when ready to accept EMV cards
Hassle-free acceptance of “Chip and PIN” card purchases
Increase sales from international shoppers
POS is “Out of Scope” for PA-DSS
PA-DSS validated solution prevents any sensitive information from passing through POS
Tokenization of all sensitive information and point-to-point encryption (P2PE) for all transactions
Customers swipe their own cards - employees never handle the card
EMV-Ready Solution
As a processor, we also have been preparing for EMV.
Over the past eight years EMV® (Europay, MasterCard, and Visa) has become the standard for globally interoperable, secure payments.
According to EMVCo, there are over 1.55 billion EMV enabled cards worldwide (46 percent of total cards in circulation) and more than 21 million EMV enabled POS terminals (76 percent of payment terminals).
The US is significantly behind the times with EMV
Due to the forthcoming October 2015 liability shift for merchants not accepting EMV payments (dual-interface - contact and contactless), a risk historically and currently absorbed by the major card brands, that stands to change.
Many issuers, including Citi, Wells Fargo, U.S. Bank, and Chase, launched the migration to EMV 2 years ago when they began phasing in chip-enabled EMV cards to their corporate cardholders
Why Now:
One driving factor is fraud - Mercator Advisory Group estimates that credit and debit card fraud costs the card issuers over $2.4 billion annually. One of the key benefits of EMV is that dynamic digital data is included in every transaction, significantly enhancing security and reducing the risk of fraud.

12. Smarter POS Transactions
Smart Transactions with Genius
Genius separates the sensitive payment information (e.g. Credit Card or Debit Card credentials) from the POS, removing the POS from PA-DSS scope to reduce risk and simplify the audit process.
Old Way
Under the old way of accepting payments, this is what kept merchants in scope for PA-DSS leading to a longer auditing and compliance requirement for the system
In this scenario sensitive credit card/customer information is passing from the point-of-sale through to the gateway and then completing the transaction
With Genius
Genius helps reduce security concerns by providing a PA-DSS validated solution that leverages tokenization & point-to-point encryption(P2PE) for all communications
Genius reduces risk by removing the POS system from PA-DSS scope
With Genius, all transaction data is split into two components:
Sensitive data: cardholder number, expiration date, etc
Non-sensitive: sale amount
As all credit cards are swiped/processed through the Genius Customer Engagement Device (CED) – not POS system – no sensitive data passes through the POS
The POS system uses an encrypted key from the Merchant Warehouse gateway so the transaction stays within the fully encrypted Genius cloud environment
The POS system then receives a confirmation that the transaction for the stated amount has been approved

13. Lower Costs Intelligent PIN Steering Fast, secure BINsmart™ technology
Automatically assesses card transactions
Determine payment acceptance by credit or PIN Debit
Reduces interchange fees
Minimizes merchant account fees
Significant savings in monthly processing
Automatic credit/debit workflow steering to realize lowest interchange fee.

14. Value-Added Capabilities
Digital Signature Capture
Signatures captured directly on CED
Save money on receipt storage, administration & paper cost
Less painful chargebacks
Reduce time at check-out
Contributes to key metric: # of customers/day
Improves overall customer experience
NFC Contactless Payments
NFC acceptance built into CED “behind the glass”
No additional hardware to purchase and/or swap
Out-of-the-box support for multiple options
“Tap-to-pay” credit cards from numerous issuers
Mobile wallets on smartphones
SKU Display
Legal requirement by most states
Costly fines for non-compliance
Eliminate the need for pole display hardware
Save money
Improved aesthetics at the point of purchase
Eliminate errors with real-time purchase verification
Reduced number of refunds and charge-backs
Signature Capture: Integrated signature capture alleviates the annoyance and expense of storing paper receipts
Any Payment Type: Built-in capability to accept any payment type (traditional credit, debit, NFC,QR & EMV) preparing merchant for both conventional & mobile payments - today & tomorrow
Free Add-Ons: Free gift and loyalty card programs, free virtual terminal and other value-added services
Maximizing Opportunity: Seamless integrations with wallet, gift, loyalty, and marketing applications offer merchants maximum choice, flexibility & opportunity for attracting new customers and retaining existing ones

15. Streamlined Support
We are committed to ensuring our partners and merchants receive the superior support.
24/7/365
technical
support
100% US-based
customer and
partner support
Industry-rated
best in class
service times
“Customer service is a key focus are for our company,” says Henry Helgeson, CEO, Merchant Warehouse. “ We continue to be focused on new ways to augment & expand our services to meet the varying needs of our customers and partners in order to provide the highest level of support possible in the industry.”
Capital Bankcard’s award-winning Merchant Experience Team is comprised of both customer service & technical support
Provided without charge or limitation to our customers and partners
Capital Bankcard offers US-based 24/7/365 customer service and technical assistance

16. Contact Information
Christopher O’Banion, ISO
Fax
6430 Kentstone Dr. Indianapolis, IN 46268

17. Appendix

18. Flexibility – Security – Access – Growth
Genius Product Family
Flexibility – Security – Access – Growth
A Genius solutions to fit your business need
Genius EX
Intro to credit card processing + optional mobile card reader
Genius TX
Intro to Mobile Payment and Program Acceptance
(LevelUp)
Traditional Payment Acceptance
Genius STX
Stand-alone Mobile Payments and Program Acceptance (mCommerce)
Genius ITX
Integrated Mobile Payments and Program Acceptance (mCommerce)
The Genius product family is a suite of payment and program acceptance solutions designed to drive incremental business value and optimize the merchant-customer experience.
Merchants select the solution that best meets their needs as part of a “grow-with-Genius” strategy that ensures their payment and program acceptance needs will evolve as the business grows.
Genius EX
provides new and existing small and mid-sized businesses with an affordable entry point into credit card processing and mobile payment acceptance. Available in two forms based upon your business needs:
Web-based application with or without a traditional credit card terminal
Mobile application and mobile card reader for credit card processing on any smartphone or tablet.
Genius TX
A payment, loyalty and mobile marketing solution, offers merchants a convenient entry point into mobile payments and features:
Traditional payment acceptance with an option to add NFC and EMV
Integrated mobile payment and mobile commerce through LevelUp
Unified security through tokenization and encryption
Enhanced customer experience to support business growth
Genius STX
Designed specifically for merchants without a POS integration, is a complete stand-alone solution that delivers choice, access and opportunity, including:
Universal payment acceptance of NFC, EMV and QR codes
Integrated mobile gift, loyalty, and reward programs
Unlimited choice amongst payment types, mobile wallets and mobile commerce solutions
Cloud-based software updates for new capabilities
Genius ITX
Is a holistic solution, fully integrated directly with a point-of-sale (POS) system, that provides developers and merchants with:
Simple, one-time POS integration
“Never turn away a paying customer”

19. Optimize the Customer Experience
Genius CED Stand
Flip Up Stand, Open Hole Base Swivel
Telescoping Locking Stand
Telescoping Stand
with Quick Release Bracket
Description
180 degree rotation
Flips up to 90 degrees
No knobs or levers
Locks in position
Integrated cable management
Adjustable height
Swivels 180 degrees
Tilts
Internal cable raceway
Cable strain relief
Locking back plate
Security hardware available
Quick-release mechanism
Tilt 0-90 degree available
Order Info
ENS Part No
ENS Part No
ENS Part No
Picture
Cost
$ 54.00
$ 68.00
$ 72.00