CASE STUDY: MASTERING MASSIVE DATABASES AT MASTERCARD INTERNATIONAL

Discussion Points

1. MasterCard managers are motivated to increase (1) the number of individuals who have and use a MasterCard credit card, (2) the number of banks and other clents who issue MasterCards to customers and/or employees, and (3) the number of locations that accept MasterCard payments. Discuss how MasterCard could use its data warehouse to help it expand each of these customer bases.

2. MasterCard makes its analytics tools available to all of its member banks and other issuers. It knows that getting its clients to use these tools can be critical to keeping them as loyal customers. Discuss the steps that MasterCard can take to promote greater use of its BI and reporting tools by its clients. Who do you think larger or smaller clients will benefit most from MasterCard's analytics tools? Why?

3. Do some Internet research to identify examples of "tap & go" applications. What are some typical types of "tap & go" payment applications and what growth trends are expected? Do you think that there are limits to the types of applications that "tap & go" payments can be used for? Why or why not?

4. Do some research on the extent to which MasterCard's PayPass digital wallet is being embraced as a payment mechanism for online purchases. What are the advantages and disadvantages of digital wallets such as PayPass? What can MasterCard do to encourage online merchants to accept PayPass digital wallet payments?

5. Supporting mobility and smartphone apps is important to MasterCard. What challenges does MasterCard face in rolling out smartphone payment systems? Which of these do you think will be most difficult to address? Why?