Visa Inc. 2020 Investor Day: Segment 2 Presentation ( PDF )

2020 Investor Day

	Oliver Jenkyn
Growing Consumer Payments	Chris Clark
Charlotte Hogg
	Andrew Torre
	Eduardo Coello
Driving New Flows	Ryan McInerney
Bill Sheley
	Kevin Phalen

Forward-looking Statements

This presentation contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are identified by words such as "will," "is expected," and other similar expressions. Examples of forward-looking statements include, but are not limited to, statements we make regarding the opportunities for growth, our strategy, future operations and outlook.

By their nature, forward-looking statements: (i) speak only as of the date they are made; (ii) are not statements of historical fact or guarantees of future performance; and (iii) are subject to risks, uncertainties, assumptions or changes in circumstances that are difficult to predict or quantify. Therefore, actual results could differ materially and adversely from Visa's forward- looking statements due to a variety of factors, including those contained in our Annual Report on Form 10-K for the fiscal year ended September 30, 2019, and our other filings with the U.S. Securities and Exchange Commission.

You should not place undue reliance on such statements. Except as required by law, we do not intend to update or revise any forward-looking statements as a result of new information, future developments or otherwise.

Please see end of presentation for notes and disclosures.

2	©2020 Visa. All rights reserved.

Growing Consumer Payments

2020 Investor Day

North America

Oliver Jenkyn

Regional President

2020 Investor Day

North America: Overview

Visa ScaleOpportunity

			~1B	1B+
Credentials	Cards	New Credentials

		~10M	10M+
		Merchant	Untapped
	Acceptance	Locations	Merchants
		$4T		76B	$4T
		Payments		Payments	Cash & Check
		Volume		Transactions
			Conversion
Engagement				Opportunity

364M Population

Cash & Check = 33% of PCE

Canada

U.S. $4T

Cash & Check Opportunity as a % of PCE:

High (>50% cash & check)

Moderate (25%-50% cash & check)

Low (<25% cash & check)

Cash & Check Opportunity ($)

5Sources: Central Bank data; Oxford Economics; Euromonitor Merchant Segment Study, 2018;, World Bank Global Findex Database, 2017; Global SME Finance Forum; Visa Operating Certificates; Visa Analysis.

©2020 Visa. All rights reserved.

North America: Key growth levers

North American clients prefer Visa because of our brand, our platform and our expertise

			•	We lead with the largest partners in North America
Credentials	•	We are winning with fintechs

19 / 25 >70%

Largest portfolios are primarily Visa

Win rate in fintech deals

Visa is opening up new acceptance in underpenetrated segments and enabling new use cases

Acceptance

~1M

25+

Annual new acceptance points

Transit systems moving to tap to pay

	Visa is driving innovation to make it easier to pay
	•In-store (tap to pay)
Engagement	•Online (click to pay)

300M

83 / 100

U.S. tap to pay cards in force by EOY 2020

Top merchants accept tap to pay

6

Sources: Nilson; U.S. Consumer Payment Panel Study; VisaNet Data; Visa Analysis.

©2020 Visa. All rights reserved.

Partnership strength: Leading partners choose Visa and outperform peers

CredentialsAcceptance Engagement

Leading share with

largest partners

19of25Largest North America portfolios1

8of10Largest U.S. issuers2

4of5Largest Canadian credit issuers2

8of10Largest North America

co-brands

Visa partners outperform

Largest Visa Issuers vs.

Largest Competitor Issuers

(3-Year View)2,3

1.1 pptFaster growth

$65BIssuer volume $1-1.5BIssuer revenue

Visa partnership helps

our clients grow

Visa Brand Premium

10.7%

U.S. Spend Lift4

Visa Consulting & Analytics

• New product design
• Risk optimization
• Digital marketing expertise
• Spend momentum analysis

	Notes: 1. Includes debit and consumer credit; 2. Excludes American Express and Discover; 3. Visa's Top 5 U.S. Issuers by payments volume vs. Competitor's Top 5 U.S. Issuers 2015-2018, excludes PIN debit; 4. Transunion analysis
7	of their proprietary U.S. transaction database spanning over 310 million U.S. Visa- and MA-branded active credit cards showing spend lift (March 2017-March 2018 performance period), less Visa-calculated Costco effect; risk-	©2020 Visa. All rights reserved.
adjusted balance line is calculated on the full database of 310 million active cards whereas spend lift is calculated based on a subset of active credit cards where Issuers send monthly payment data to Transunion.
	Sources: Nilson; U.S. Consumer Payment Panel Study; Visa Consulting and Analytics Issuer Benchmark Study; TransUnion; Visa Operating Certificates; VisaNet data; Visa Analysis.

Fintech focus: Visa's approach is successfully driving growth

CredentialsAcceptance Engagement

U.S. consumers are embracing fintechs

>70%

of North America consumers used a fintech app in 2019

Fintechs are choosing

Visa because of our

Brand Strength

Expertise and Trust

• Advice & consulting
• Experience

Fintech Fast Track

•Streamlined onboarding

•Ecosystem partners

•Simple commercial agreements

We are winning with

top partners

>70%

Win Rate1

8Note: 1. Fintech win rate based on analysis of deals won as a percentage of total pool of deals over a certain size.

Source: EY Global Fintech Adoption Index, % of digitally active consumers that used a money transfer or payments application; Visa Analysis.

©2020 Visa. All rights reserved.

Expand acceptance: Driving growth with new segments and use cases

Credentials AcceptanceEngagement

							$350B	$165B
$570B
Rent1	Tuition	Sports Wagering

Opportunity	$50B	$26B	$17B
Size in New
Use Cases:	Unattended	Crowd-
	Retail	Parking	funding

9Note: 1. Data was researched by Euromonitor International plc for its client, Visa U.S.A. Inc. and its subsidiaries using industry standards. Euromonitor disclaims and excludes any and all liability for any loss suffered by any party as a direct or indirect result of the use of any of the Extracts.

Sources: Euromonitor Consulting 2019 Visa Rent Payments; Sports Legalsportsbetting.com; Barclays Research, 2019; IBIS World, 2019; Fundly.com; Euromonitor Merchant Segment Study, 2018; APTA Factbook, 2019; VisaNet Data.

$120B

Micromobility

$16B

Transit

©2020 Visa. All rights reserved.

Expand acceptance: Driving growth with new segments and use cases

NY MTA Momentum

• 4,000,000Visa taps in 8 months
• ~60,000Visa taps per weekday (on average)
• ~30% stations enabled to date; fullroll-out by end of 2020

Credentials AcceptanceEngagement

10Sources: Partner provided data; Visa Analysis.

©2020 Visa. All rights reserved.

Expand acceptance: Driving growth with new segments and use cases

Credentials AcceptanceEngagement

	British
	Columbia
	Edmonton
	Vancouver
Transit Systems:	Portland
Live and in Planning1
25+	San Diego

Honolulu

	Laval
	Ottawa	Boston
	Toronto
	New York
Chicago		New Jersey
	Philadelphia

Dallas

Houston TampaMiami

11	Note: 1. NA cities currently accepting tap to pay payments or where transit agencies are planning next-generation payment systems expected to support tap to pay payments; map	©2020 Visa. All rights reserved.
shows only cities where next-generation payment systems are currently operating or have been publicly announced.
	Source: Public statements; Visa Analysis.

Tap to pay: Frictionless way to pay in-store

Credentials Acceptance Engagement

Cash remains prevalent in the U.S.

Americans average	Cash still accounts for
12	55%
cash transactions	of all transactions
per month	<$10

Tap to pay displaces cash

Tap to pay drives

~20%

transaction lift in mature

markets globally1

In the U.S. so far2

+4 +$160

Transactions per month

Spend per month

Note: 1. Study compares the U.S. to mature markets with similar 'pre-contactless' payment behaviors and sufficient contactless activity: Australia, Canada, Ireland, New Zealand, Switzerland, and the U.K. 2. Transaction lift analysis of tap to pay active cardholders, VisaNet data, January 2018 - January 2019.

12Sources: Federal Reserve, Diary of a Consumer, 2018; Assessing the U.S. Contactless Opportunity: Learnings from the Global Experience, A.T. Kearney 2018; VisaNet data.

©2020 Visa. All rights reserved.

Tap to pay: Frictionless way to pay in-store

Tap to pay in the U.S. is poised for take-off

Credentials Acceptance Engagement

145M

300M

17

Issuer Side

tap to pay cards issued today

tap to pay cards issued by the end of 2020

of the top 25 issuers are issuing tap to pay cards

8

83

69%

Merchant Side

of the top 10 merchants accept tap to pay

of the top 100 merchants accept tap to pay

of F2F transactions occur at tap to pay merchants

13Sources: VisaNet data; Visa Analysis.

©2020 Visa. All rights reserved.

Click to pay: Frictionless way to pay online

Credentials Acceptance Engagement

Today, guest checkoutrepresents
approximately half of digital card not		With click to pay, it can be as
present purchases and can involve 23		simple as two clicks
steps, taking almost three minutes

14	©2020 Visa. All rights reserved.

North America is Visa's largest region and still has a huge runway for future growth

North American clients prefer Visa because of our brand, our platform and our expertise

•We lead with the largest partners in North America

Credentials•We are winning with fintechs

Visa is opening up new acceptance in underpenetrated segments and enabling new use cases

Acceptance

	Visa is driving innovation to make it easier to pay
	•In-store (tap to pay)
Engagement	•Online (click to pay)

15	©2020 Visa. All rights reserved.

Asia Pacific

Chris Clark

Regional President

2020 Investor Day

Asia Pacific: Overview

Visa ScaleOpportunity

			970M	768M
Credentials	Cards	Unbanked

		20M	100M+
		Merchant	Untapped
	Acceptance	Locations	Merchants
		$1.9T		30B	$6T
		Payments		Payments	Cash & Check
		Volume		Transactions
			Conversion
Engagement				Opportunity

3.9B Population

Cash & Check = 48% of PCE

China

$1T	$2.1T	$1.4T
India		Japan

$1.1T

Southeast

Asia

Cash & Check Opportunity

as a % of PCE:

High (>50% cash & check)

Moderate (25%-50% cash & check)

Low (<25% cash & check)

Cash & Check Opportunity ($)

17Sources: Central Bank data; Oxford Economics; Euromonitor Merchant Segment Study, 2018; World Bank Global Findex Database, 2017; Global SME Finance Forum; World Bank, 2018; Euromonitor Industrial Database; Nilson; Visa Operating Certificates; Visa Analysis.

©2020 Visa. All rights reserved.

Asia Pacific: Key growth levers

			We are investing to rapidly grow Visa credentials with an
			increasingly diverse roster of clients
Credentials

20+

1B+

Wallet partners

Users connected to these wallets

We are opening up new acceptance in underpenetrated	2.3x		Acceptance locations
segments and enabling new uses cases		vs. three years ago
Acceptance

Visa is making the payment experience frictionless to	41%
increase consumer engagement - tap to pay is a key part	Up to 3.8x
Engagementof this strategy

Tap to pay penetration in 2019

Transactions per active card for tap to pay users

Asia Pacific is a very diverse region and we operate in 46	$4.5T		Cash & check opportunity
markets - our approach is tailored to each market and its		across Japan, India and
unique needs			China

18Sources: Public announcements and data provided by partners; Central Bank data; Oxford Economics; Euromonitor Merchant Segment Study, 2018; Visa Operating Certificates; VisaNet data.

©2020 Visa. All rights reserved.

We are partnering with market-leading wallets to Credentials AcceptanceEngagementgrow credentials and acceptance across Asia Pacific

Visa offers wallets greater payment functionality to both consumers and merchants in their ecosystem

Across AP

20+

Wallet partners

1B+

Users

65M+

Merchants

India

South Korea

540M Users	16MUsers
16MMerchants

China

50M+Merchants

Thailand, Indonesia,

Japan and Taiwan

164M Users

4Key Markets

For Taiwan:

$8BPayments Volume 2.5MCredentials

Other markets underway

Indonesia and Southeast Asia

155MApp Downloads

420KMerchants

19Notes: LINE users represent Monthly Active Users, LINE Taiwan numbers represent LINE Pay Visa co-brand in Taiwan only.

Sources: Public information; Data provided by partners; VisaNet data; Visa Operating Certificates.

©2020 Visa. All rights reserved.

Transactions at fast food restaurants

Transactions at grocery stores and supermarkets

Tap to pay drives higher consumer engagement
Credentials Acceptance Engagement
through frictionless payment experiences

Comparing tap to pay users vs. non-users:

Up to
3.8x	Transactions per active card1
Up to
1.8x	Spend per active card

Post tap to pay activation, cardholders make:

3.9x

2.3x

Tap to Pay Penetration (%)

Asia Pacific tap to pay penetration2

29%  41%

20162019

Sep-11Sep-12Sep-13Sep-14Sep-15

	96%
85%	88%
	82%
60%	67%
59%
47%
33%	37%

20%

11%

4%8%

0.1%

Sep-16Sep-17Sep-18Sep-19

AU

SG NZ

TW HK

MY

PH IN JP

20Notes: 1. Active card refers to cards with at least one purchase during analysis period; 2. Based on face-to-face transaction processed by Visa.

Source: VisaNet data.

©2020 Visa. All rights reserved.

India: Capturing the $1T opportunity	Credentials Acceptance Engagement
Visa is the credit and debit market share leader with strong momentum

93%		19% CAGR
Transactions
FY16	FY17	FY18	FY19
		20% CAGR
82%
Payments Volume
FY16	FY17	FY18	FY19
		34% CAGR
103%
Acceptance1
FY16	FY17	FY18	FY19
Demonetization

Driving credentials and acceptance through fintech partnerships

• Google Pay: Tokenized credentials
• Paytm: Debit,co-brand credit, tap to pay acceptance

Expanding credit access to large debit base

(50M+ credit cards vs. 800M+ debit cards in 2019)

• Co-brandpartnership with large consumer platforms (Amazon Pay, Ola)
• Deployinginstallmentpayment solution

Improving consumer engagement through frictionless payment experiences

• Market-specificsolutionssuch as: Recurring payments platform with BillDesk, Visa Safe Click
• FY 2019 tap to pay penetration14xvs. FY 2018

21Note: 1. Number of merchant locations.

Sources: Reserve Bank of India; VisaNet data; Visa Operating Certificates.

©2020 Visa. All rights reserved.

Japan: Capturing the $1.4T opportunity		Credentials Acceptance Engagement
	Government's cashless agenda			Debit opportunity
ePayment PCE penetration	•Enable tap to pay, leveraging		Significant growth since 2016…
	31	11M	3x
	Government	strong issuers and growing
	goal	acceptance in everyday spend
	40%	categories		Issuers	Cards	Debit Payments
24%	•MaximizeOlympic Games Tokyo				Volume & Transactions
	•	Large untapped opportunity: debit penetration <10%
		2020platform to drive
		•	Partnering with top banksto penetrate account holders with debit
		infrastructure enablement
2019	2025		•	Support innovation:digital debit, tap to pay issuance, mobile

Fintech partnerships

Processing penetration

Partnering with fintechs to scale credentialsand acceptance

% Processed transactions

	32%	42%
17%
FY10	FY16	FY19

• Leveragestrong partnerships to grow penetration with optimized acquirer and issuer solutions
• Deepen value creation for clients withValue Added Services(e.g., risk solutions, tokenization, data products, CyberSource)

22Sources: METI of Japan; Visa Operating Certificates; VisaNet data.

©2020 Visa. All rights reserved.

China: Capturing the $2T opportunity

Credentials Acceptance Engagement

Strong existing business

• Leading share among international schemes in
  7 of top 8 issuers representing ~120M cards in force
• Growingfintech partnerships to facilitate new use cases

Partnering to scale acceptance

• 18xtraditional acceptance points since FY 2016
• Growing penetration intonew merchant segmentsand smaller cities
• Partnering with large wallet platforms to drive astep change growthin inbound acceptance

Preparing for market entry

• Beijing Innovation Centerto help tailor solutions
• Working with Chinese governmentto continue to progress market entry efforts

23

Source: Visa Operating Certificates.

©2020 Visa. All rights reserved.

Asia Pacific presents a significant long-term growth opportunity

We are investing to rapidly grow Visa credentials with an increasingly diverse roster of clients

Credentials

We are opening up new acceptance in underpenetrated segments and enabling new uses cases

Acceptance

Visa is making the payment experience frictionless to increase consumer engagement - tap to pay is a key part of this strategy

Engagement

Asia Pacific is a very diverse region and we operate in 46 markets - our approach is tailored to each market and its unique needs

24	©2020 Visa. All rights reserved.

Europe

Charlotte Hogg

CEO

2020 Investor Day

Europe: Overview

Visa ScaleOpportunity

			560M	53M
Credentials	Cards	Unbanked

		16M	10M+
		Merchant	Untapped
	Acceptance	Locations	Merchants
		$1.7T		41B	$3T
		Payments		Payments	Cash & Check
		Volume		Transactions
			Conversion
Engagement				Opportunity

619M Population

Cash & Check = 32% of PCE

UK

$150B $580B

Germany
Spain	Italy
	Turkey
$300B	$600B
	$180B

Cash & Check Opportunity as a % of PCE:

High (>50% cash & check)

Moderate (25%-50% cash & check)

Low (<25% cash & check)

Cash & Check Opportunity ($)

26Sources: Central Bank data; Oxford Economics; Euromonitor Merchant Segment Study, 2018; World Bank Global Findex Database, 2017; Global SME Finance Forum; Visa Operating Certificates; Visa Analysis.

©2020 Visa. All rights reserved.

Post integration, Europe is a stronger business poised for accelerated growth

Team	Capabilities	Clients	Performance
built our team	enhanced our	cultivated our	realizedgreater financial
in local markets	capabilities	client base	benefitsthan expected
+123%	100%	+37%	>2x
Increase in	Clients migrated to	Increase in	Profit ahead of acquisition
client-facing staff	VisaNet without incident	client NPS	business case

27

Source: Visa Analysis

©2020 Visa. All rights reserved.

Europe: Key growth levers

				Visa is partnering with fintechs in their efforts to digitize	85M		Neobank customers
				payments and reach the unbanked		by 2023
	Credentials
				We are broadening into new verticals, including opening	20%		Growth in acceptance
				up transit opportunities across Europe		locations since FY
	Acceptance				2017
				Visa is setting the pace in new authentication products	2x		Open banking service
					providers since 2018
Engagementas the European regulatory landscape is changing
				We are deploying specific strategies tailored to trends in	$2.0T		Cash & check opportunity
				each key market		across France, Germany,
						Poland, Spain, Italy and
							Turkey

28Sources: ATKearney European Retail Banking Radar 2019; Registrations with National Competent Authorities in Europe, 2Q19 to 3Q19; Visa Operating Certificates.

©2020 Visa. All rights reserved.

Fintech Fast Track

Newend-to-endapproach, shortening the onramp for fintechs to partner with Visa

We are making meaningful progress across fintech segments

Category	Country	Fintech
	UK
Digital Banks
Lithuania
	Switzerland
Unbanked	Turkey
Focus
XB Specialists	Turkey

Lending UK

CredentialsAcceptance Engagement

46

fintech deals

signed

84

B2B

UK

Estonia

active fintech

Wallet France

pipeline

29

Source: Visa Analysis.

©2020 Visa. All rights reserved.

Acceptance growth comes through expansion	Credentials AcceptanceEngagement
across new segments, markets and payment flows

	Growth vector		Success stories
1	Reach small businesses		Acquirer Rallye -Small business campaign
in key markets		across Germany geared towards welcoming
		international payment schemes
2	Enable acceptance		Soft POSlaunch to accept tap to pay on any
	Samsung device
	via new channels
3	Expand to sectors		Vending solutionsto address payments UX and
in which cards are		connectivity issues at >35K vending machines
	underpenetrated
4	Develop acceptance		Electric vehicle solutions address UX and
in segments with low		roaming payments across charging network
	card usage

20%growth

in acceptance

locations since 2017

70%tap to pay

penetration

30	Note: First Data is now Fiserv.	©2020 Visa. All rights reserved.
Sources: Visa Operating Certificates; Visa Analysis.

Transit creates a 'halo' effect in tap to pay enabled markets

Credentials AcceptanceEngagement

From the launchpad of London we are now enabling public transportation across the region

2x	Greater increase
in transactions by
tap to pay TfL users

70%Higher growth in spend by tap

London, Madrid, Milan, Rome,

Edinburgh, Manchester, Florence,

Warsaw, Dijon, Prague, Glasgow,

Gdańsk, Lodz...

35

Transit systems

launched to

to pay TfL users

Visa Ready for Transit program

date

40

•Expert guidance to transit operators

•Visa certification for third-party products

•Speed of delivery in close partnership with technology providers

Transit systems

in pipeline

31Sources: VisaNet data; Visa Analysis.

©2020 Visa. All rights reserved.

We are well positioned as open banking accelerates in Europe

Credentials Acceptance Engagement

Authentication solutions already in market tosupport clients as they prepare for PSD2 & SCA

Visa's broad reach and connectivityto financial institutions put us in a strong position to scaleopen banking services

3D secure 2.2	Enhanced 3DS to manage SCA
	exemptions and improve UX
Visa delegated	Allows issuers to "delegate"
authentication	authentication to a 3rd-party
Visa transaction	Helps acquirers and merchants identify
advisor	low risk transactions for SCA exemption
Visa trusted listing	Accelerates checkout experiences
	by "trusting" preferred merchants

Financial	Open Banking
Institutions	Platform

App Developers

Lending

Brokerage / Banking

Personal Finance

Business Finance

Consumer /

Business User

Helping the ecosystem champion security

without jeopardizing the consumer experience

Enabling the ecosystem to deliver secure innovationto better delight consumers

32	©2020 Visa. All rights reserved.

On the continent, we have market-specificCredentials Acceptance Engagementstrategies to fuel growth over the next several years

Cash &

Check PCE

$580B

Germany

Launch Debitas a platform for everyday use and for innovation, including eCommerce, mobile and international

Cash &

Check PCE

$600B

Italy

As government incentives promote e-payments,increase presence with clientsto help them capture growth

Cash &

Check PCE

$300B

Spain

Focus on cash displacementin transitand tourism

Cash &

Check PCE

$220B

France

In advance of Paris 2024 Olympics, develop tap to pay for public transitand improve acceptanceof overseas cards

Cash &

Check PCE

$150B

Poland

With the help of the government Cashless Poland initiative, build acceptance among small businesses

Cash &

Check PCE

$180B

Turkey

Supportissuers and fintechs targeting theunbanked, buildtap to pay and eCommerce

33Sources: Central Bank data; Oxford Economics; Euromonitor Merchant Segment Study, 2018; World Bank population statistics.

©2020 Visa. All rights reserved.

Germany: A new approach to penetrating a nearly $600B cash & check opportunity

Credentials Acceptance Engagement

Through a refreshed strategy, we are creating

a flywheel for future growth...

...and our efforts are beginning to deliver, laying the foundation for growth

Increase

brand

awareness

DPS

Deliver in-market issuer processing

3X increase

in market staff

Attack with

DebitVisa Debit

Expand

acceptance

	68%	Visa Debit share of new
cards issued
80%+	are tap to pay enabled
		Acceptance locations that
60%	Clients using Value Added Services
to drive loyalty and usage

34

Sources: Oxford Economics; Visa Analysis.

©2020 Visa. All rights reserved.

Our strategies will accelerate growth across all of Europe

			Visa is partnering with fintechs in their efforts to digitize payments
			and reach the unbanked
Credentials
			We are broadening into new verticals, including opening up transit
Acceptance	opportunities across Europe

Visa is setting the pace in new authentication products as the European Engagementregulatory landscape is changing

We are deploying specific strategies tailored to trends in each key market

35	©2020 Visa. All rights reserved.

Central Europe, Middle East and Africa (CEMEA)

Andrew Torre

Regional President

2020 Investor Day

CEMEA: Overview

Visa ScaleOpportunity

			360M	680M
Credentials	Cards	Unbanked

		5M	60M+
		Merchant	Untapped
	Acceptance	Locations	Merchants
		$480B		19B	$2.5T
		Payments		Payments	Cash & Check
		Volume		Transactions
			Conversion
Engagement				Opportunity

2B Population

Cash & Check = 74% of PCE

Russia &

Eastern Europe

$600B

Middle East

Africa

$700B

$1.2T

Cash & Check penetration as a % of PCE:

High (>50% cash & check)

Moderate (25%-50% cash & check)

Low (<25% cash & check)

Cash & Check Opportunity ($)

37Sources: Central Bank data; Oxford Economics; Euromonitor Merchant Segment Study, 2018; World Bank Global Findex Database, 2017; Global SME Finance Forum; Visa Operating Certificates; Visa Analysis.

©2020 Visa. All rights reserved.

CEMEA: Key growth levers

				Visa is partnering with fintechs, neobanks and wallets	200M+		Potential credentials
				to enable new payment experiences		with wallet partners
	Credentials
				We continue to accelerate growth by enabling new types		27%		Increase in acceptance
	Acceptance	of merchants and distributors			in the last year
				Visa is leading the evolution to seamless and secure commerce	52%		Growth in tap to pay
				through tap to pay			penetration over last year
				We are helping governments meet increasingly complex		12+		Government partnerships
Engagement	payment demands			launched or planned
Visa is co-creating customized value propositions for unique		65%		Share of affluent spend
				market and segment needs			in CEMEA
				We are partnering with leading players in Sub-Saharan Africa		2 / 3		of people 15+ without
						a bank account

38	Sources: Global Monthly Tap to Pay reports, Oct-18 and Sept-19; World Bank Global Findex Database, 2017; Projections based on Visa Operating Certificates; VisaNet data.

©2020 Visa. All rights reserved.

Visa is the partner of choice for fintechs, delivering Visa credentials to new users

CredentialsAcceptance Engagement

Visa'sFintech Fast Track Program provides a one- stop platform for new players to establish open loop wallets / capabilities and scale their offerings

Fintech Progress

>75%deal success rate1

1. partnerships

1. investments

1. fintech launches

Issuing credentials with fintechs, neobanks and digital wallets

Examples of partnerships

Supported by an ecosystem of enablers and funds / accelerators

39Note: 1. Deal success rate based on analysis of deals won as a percentage of total pool of deals over a certain size.

Source: Visa Analysis.

©2020 Visa. All rights reserved.

Transforming Visa go-to-market and solutions to grow acceptance with merchants

Credentials AcceptanceEngagement

Go-to-market approaches

1. Grow F2F acceptance in the SME segment by partnering with new distributors and traditional acquirers
2. Expand eCommerce acceptance by enabling new and innovative use cases
3. Build new value propositions for acquirers and merchants

Examples of recent efforts and partnerships

SME acceptance across 10 African markets

Low-cost terminals in South Africa

Enabling terminals for Visa acceptance

Gateway for Chat Commerce

eCommerce acceptance in Nigeria

Microlending to merchants

~27%

Increase in acceptance locations in the last year

700K+

New POS outlets

400K+

New QR /

USSD / Soft

POS outlets

40

Source: Visa Operating Certificates; Visa Analysis.

©2020 Visa. All rights reserved.

Leading the evolution of seamless and secure digital commerce through tap to pay

Credentials Acceptance Engagement

Highest Visa region

In F2F tap to pay penetration

52%

Growth of tap to pay penetration in CEMEA over the last year

Enablers

Tokenization >200%in 2019 Urban Mobility 69launches

~16%

Increase in active cardholder spending from tap to pay activation

#10Russia - 83%

#1Georgia - 96%

CEMEA F2F tap to pay penetration

Very High (>80%)

High (50%-80%)

Moderate (20%-50%)

Low (<20%)

Global ranking

41Sources: VisaNet data; Visa Analysis.

©2020 Visa. All rights reserved.

Driving innovation, new use cases and payments volume with local switches

Credentials Acceptance Engagement

Examples of partnerships	Key partnership components
		Visa on	New	New		Value
		products	Tokenization	Added
		mobile	flows
Tailored	•Launch of Multicurrency Prepaid with The Saudi	and services		Services
payment	Investment Bank to all government employees
solutions	•Enabling domestic eCommerce with Saudi Payments
$8.2B opportunity size of government purchases1
Value Added	•Rollout P2P, Tokenization and Mobile Apps with HPS
Services	domestic switch in Morocco
Only 4% use mobile phone to access a bank account
Local	•Building domestic infrastructure in South Africa
processing	22% YoY growth in Visa transactions
Ecosystem	•Digitization of payments and financial inclusion
development	in Cote d'Ivoire
59% of people unbanked

12+ launched or planned government engagements and partnerships with local switches

42Note: 1. Based on total value of government B2B purchases in 2019.

Sources: World Bank Global Findex Database, 2017; Euromonitor; VisaNet data; Visa analysis.

©2020 Visa. All rights reserved.

Delivering customized solutions for sophisticated and affluent cardholders

Credentials Acceptance Engagement

Affluent consumers drive outsized impact

for Visa's business in CEMEA

Affluent drives 30%of Visa CEMEA volumes

Affluent cards see ~15x	higher cross-border
spend vs. other cards1

Visa holds ~65%share of affluent spend2

Visa continuously updates and tailors offers based on customer preferences and needs

Examples of recently launched product benefits include:

	Free	Unlimited	Free	Visa	Airport
Travel	airport	internet	luggage	airport	fast-lane
transfers	abroad	wrapping	check-in

	Dining	City taxi	Premium	Online	Cinema
Lifestyle	discounts	trip	grocery	retailer	discounts
	discounts	offers	offers

Customer awareness of benefits drives 25% higher card spend

43Notes: 1. Affluent cards considered to be Visa Platinum, Signature and Infinite; 2. Calculated based on World Bank reported international travel and tourism expenditures from KSA, 2017.

Sources: VisaNet data; Visa Analysis.

©2020 Visa. All rights reserved.

Partnering with leading African players on credentials, acceptance and engagement

Credentials Acceptance Engagement

Sub-Saharan Africa

Market-at-a-Glance

Credentials

18.4	Median age vs.
2.4x	30.3 globally	Acceptance
Higher annual population
	growth than global

~3%	Card PCE penetration
	(excl. South Africa)
2 / 3	of people 15+
	without a bank account
46%	of the world's
	mobile money users

Engagement

44	Sources: World Bank Development Indicators; Euromonitor Soci-Economic Indicators; Central Bank data; Oxford Economics; Euromonitor Merchant Segment Study, 2018; World Bank Global Findex Database, 2017; GSMA State of	©2020 Visa. All rights reserved.
the Industry Report on Mobile Money, 2018.

CEMEA has huge growth potential driven by bringing new consumers and sellers in the financial system

Visa is partnering with fintechs, neobanks and wallets to enable new payment experiences

Credentials

We continue to accelerate growth by enabling new types of merchants and distributors

Acceptance

Visa is leading the evolution to seamless and secure commerce through tap to pay

EngagementWe are helping governments meet increasingly complex payment demands

Visa is co-creating customized value propositions for unique market and segment needs

We are partnering with leading players in Sub-Saharan Africa

45	©2020 Visa. All rights reserved.

Latin America and Caribbean (LAC)

Eduardo Coello

Regional President

2020 Investor Day

LAC: Overview

Visa ScaleOpportunity

			478M	212M
Credentials	Cards	Unbanked

		12M	50M+
		Merchant	Untapped
	Acceptance	Locations	Merchants
		$413B		14B	$2T
		Payments		Payments	Cash & Check
		Volume		Transactions
			Conversion
Engagement				Opportunity

630M Population

Cash & Check = 65% of PCE

$465B		Central America and
	The Caribbean
Mexico	$280B
		Brazil
Andean		$680B
and South	$600B
Cone

Cash & Check Opportunity as a % of PCE:

High (>50% cash & check)

Moderate (25%-50% cash & check)

Low (<25% cash & check)

Cash & Check Opportunity ($)

47Sources: Central Bank data; Oxford Economics; Euromonitor Merchant Segment Study, 2018; World Bank Global Findex Database, 2017; Global SME Finance Forum; Visa Operating Certificates; Visa Analysis.

©2020 Visa. All rights reserved.

LAC: Key growth levers

				Visa is poised to capitalize on the rapidly developing digital	62%		Smartphone penetration
				ecosystem and grow credentials through fintechs and enablers		in Latin America
	Credentials	Innovation is driving Visa issuance on previously proprietary	18M		Credential opportunity
	local networks		currently on local schemes
				Visa is displacing cash by growing acceptance, embracing	$535B		Visa cash volume -
	Acceptance	digital platforms and improving the consumer experience		1.3x payments volume
				Visa's growth in domestic processing will diversify revenue,			Increase in domestic
				accelerate digital deployment and improve client performance12 ppts		processing penetration
					in last 5 years
Engagement	Visa takes a customer-centric approach to increasing	2x		Tap to pay penetration
engagement through improved experiences		growth last year
				Brazil is a great example of how Visa leverages our deep market	$40B		Payments volume
				knowledge and client understanding to deploy unique,		opportunity from focused
				customized solutions by market and segment		cash conversion efforts

48

Sources: GSMA Intelligence; World Bank; IBGE; Bacen; Visa Operating Certificates; Visa Analysis.

©2020 Visa. All rights reserved.

Rapid digital adoption drives new opportunities
CredentialsAcceptance Engagement
to deploy Visa credentials

Visa is partnering with enablers like

~2months on average to set up new issuer

that make it quick and easy for….

BanksWallets

NeobanksFintechs

…to issue digital credentials

Regional SuperApp

Paraguay white label

issuer wallets

Uruguay multi-issuer wallet

22M

users

Launched by

~50%

of issuer clients

84%

of Visa credentials

enabled

49Sources: Client statements; Visa Analysis.

©2020 Visa. All rights reserved.

Innovation is driving Visa issuance on previously
CredentialsAcceptance Engagement
proprietary local networks

As payments innovation accelerates, local networks look to partner with Visa to deliver value to their cardholders

• Tokenization
• Click to Pay
• Fast Funds
• Installments

Chile

Partnership with Banco Estado

12M		60%		37%
cards converted		of the total		of POS debit
to Visa Debit		debit cards		transactions

Top Caribbean issuers that own local networks are transforming proprietary closed loop portfolios from a cost center to a revenue centervia Visa partnership

50Source: Superintendencia de Bancos e Instituciones Financieras; Visa Analysis.

©2020 Visa. All rights reserved.

Converting cash on Visa credentials to the point of sale is a unique growth opportunity

Credentials AcceptanceEngagement

Visa approach

Cash represents

>50% of LAC's PCE

1Work with new acquirers and payment facilitators to expand acceptance

~300K

New merchants reached since initial

Visa partnership in 2017

$535B in cash was

withdrawn on a Visa

credential in 2019

2	Improve the consumer
	experience at POS	Tap to pay	Click to pay

3Educate the ecosystem	4.4%
Lift in number of transactions due to merchant
	and cardholder campaigns in Peru

51

Sources: Euromonitor; Oxford Economics; World Bank; Millward Brown Brand Lift Study; Visa Operating Certificates.

©2020 Visa. All rights reserved.

Visa increased domestic processing penetration
Credentials Acceptance Engagement
in LAC by 12 ppts in the past five years

Domestic processing benefits:

Enhances and diversifies Visa revenue on core payment flows

Accelerates Visa's digital innovation

Improves Visa client performance through Value Added Services

Facilitates deployment of new flows

Domestic processing wins in the past 5 years

Mexico: First issuer live for authorization transactions

Guatemala: 93% of authorization transactions

Puerto Rico: 76%→100% of credit transactions

Colombia: 100% of Rappi transactions

Peru: 16% →86% of authorization transactions

Argentina: 0% →80% of transactions, 100% expected by 2020

Uruguay: 0% →40% of authorization transactions

52

Source: Visa Analysis.

©2020 Visa. All rights reserved.

A commitment to understanding the end consumer has deepened engagement

Credentials Acceptance Engagement

Strong consumer

engagement drives

partnership with

clients and

mutual growth

Visa initiatives

Affluent	+14%			+20%
Revitalization	affluent account growth	domestic and cross-border
			payments volume growth
Tap to Pay	2x			~50%
Deployment	tap to pay penetration	of F2F transactions in
	in one year		Costa Rica andChile
Solutions:	49		89%	45%
Visa Loyalty
My Rewards	clients are using		customer	redemption of reward
the platform and	satisfaction rate	points by registered
Platform	33 clients in pipeline			users

53

Source: Visa Analysis.

©2020 Visa. All rights reserved.

Visa is well positioned to capture rebounding economic growth in Brazil

Credentials Acceptance Engagement

Grow credentials	Expand acceptance	Deepen engagement
New significant wins	Focused cash conversion	500Ktaps in the first 6 months
and renewals by delivering	efforts in ~200	400Ktap to pay cards
unique, superior value	underpenetrated cities to
to clients	reach ~$40B opportunity1	issued in Rio
		96.5%retention of new users
	+ Opportunity

40 new players enabled	60K new merchants
in the last 18 months	in the last 12 months

54Note: 1. Incremental payments volume if targeted regions reach average penetration, assuming 60% Visa share.

Sources: World Bank; IBGE; Bacen; Visa Analysis.

©2020 Visa. All rights reserved.

Substantial growth opportunity exists in LAC from converting cash and expanding our network

Visa is poised to capitalize on the rapidly developing digital ecosystem and grow credentials through fintechs and enablers

CredentialsInnovation is driving Visa issuance on previously proprietary local networks

Acceptance

Visa is displacing cash by growing acceptance, embracing digital platforms and improving the consumer experience

Visa's growth in domestic processing will diversify revenue, accelerate digital deployment and improve client performance

EngagementVisa takes a customer-centric approach to increasing engagement through improved experiences

Brazil is a great example of how Visa leverages our deep market knowledge and client understanding to deploy unique, customized solutions by market and segment

55	©2020 Visa. All rights reserved.

Driving New Flows

Ryan McInerney

President

2020 Investor Day

Our new flows expand our total addressable market by extending our reach into new use cases through a Network of Networks

Consumer Payments	New Flows	Value Added Services
Grow the two-sided network	Expand our Network of	Drive utilization of our
by expanding Visa credentials	Networks to capture new	services to help our clients
and acceptance points and	sources of payments and	grow profits and deepen our
driving user engagement	money movement between	partnerships
	individuals, businesses and
	governments

57	©2020 Visa. All rights reserved.

The market opportunity in new flows is 10x the cash and check currently in consumer payments

$185T

B2B

B2b

B2C

P2P

G2C

$120T

$5T

$30T

$20T

$10T

•

SME, T&E, Fleet,

•

Merchant

•

Insurance

•

Friends and

•

Government

Purchasing

Settlement

•

Payroll

Family

Benefits

•

Receivables,

•

Marketplaces

•

Gig Economy

•

Remittances

•

Tax Refunds

Payables

•

Alternative

•

Cross-border

Lending

58

Sources: McKinsey Global Payments Map and Visa Analysis.

©2020 Visa. All rights reserved.

	We think about new flows in two broad groups in terms of
	customer needs and use cases
	$65T	$120T
	Lower value, higher velocity flows			Higher value, lower velocity flows

P2P		B2C		Card-based		Cross-border
$20T	$30T
		$20T	$10T

B2b		G2C		Domestic AR / AP
$5T	$10T
		$90T

59

Sources: McKinsey Global Payments Map and Visa Analysis.

©2020 Visa. All rights reserved.

Visa Direct with Earthport meets the needs for the $65T of lower value, higher velocity flows for consumers and small businesses

$65T

Lower value, higher velocity flows

P2PB2C

$20T$30T

B2bG2C

$5T$10T

60

Sources: McKinsey Global Payments Map and Visa Analysis.

©2020 Visa. All rights reserved.

Visa Direct with Earthport meets the needs for the $65T of lower value, higher velocity flows for consumers and small businesses

$65T

Lower value, higher velocity flows

P2P		B2C	Visa
			Direct
$20T		$30T

B2bG2C

$5T$10T

61

Sources: McKinsey Global Payments Map and Visa Analysis.

©2020 Visa. All rights reserved.

Unique solutions meet the needs of higher value, lower velocity flows from commercial clients

$120T

Higher value, lower velocity flows

Card-basedCross-border

$20T$10T

Domestic AR / AP

$90T

62

Source: McKinsey Global Payments Map and Visa Analysis.

©2020 Visa. All rights reserved.

Unique solutions meet the needs of higher value, lower velocity flows from commercial clients

T&E,	$120T
Higher value, lower velocity flows
Purchasing,
Small
Business,
Virtual	Card-based	Cross-border

$20T$10T

Visa B2B	Partnerships
Connect

Domestic AR / AP

$90T

63

Source: McKinsey Global Payments Map and Visa Analysis.

©2020 Visa. All rights reserved.

In today's discussion, we will cover the new flows opportunity in each segment

Visa Direct - $65T
	Bill Sheley
P2P	B2C
$20T	$30T
B2b	G2C
$5T	$10T

64

Sources: McKinsey Global Payments Map and Visa Analysis.

©2020 Visa. All rights reserved.

How do

you want to

get paid?

Visa Direct

65

Key takeaways

Large market opportunityto digitize P2P, B2C and small business flows

Proven business model operating at scale

Premier real-time payments platform built on global reach

and processing infrastructure

Growing partner ecosystem and supply chain to accelerate growth

Investing in the futureto ensure Visa Direct remains the money movement network of choice for faster disbursements around the world

66	©2020 Visa. All rights reserved.

Visa Direct enables clients to deposit funds into recipient accounts for consumers and small business, addressing $65T in new flows

PullTransaction

PushTransaction

eCommerce Checkout

ATM Withdrawal

Insurance

Marketplaces

In-App Purchases

Point of Sale Transactions

On Demand

Merchant Settlement

To be the best way to pay and be paidfor everyone, everywhere

67

Sources: McKinsey Global Payments Map and Visa Analysis.

©2020 Visa. All rights reserved.

Visa Direct powers trusted "open money movement" ecosystem

Payout Enablers Single operational connection efficiency

Acquirers

Processors

Gateways

Banks

Commerce Platforms Scaled, global distribution channels

Marketplaces

Mobile

Messaging

Payroll

ERP

Direct

Global platform for real-time payments

Global Endpoints Ubiquitous,real-timemoney movement

Cards - Debit / Credit / Prepaid

Bank Accounts

Wallets

Network of Networks

Trusted, "Open" Network

Card Networks

Earthport - ACH / RTP

Member Banks

Regional Networks

68	©2020 Visa. All rights reserved.

Visa Direct is underpinned by Visa's secure and reliable global payments network

Global Reach

• Over 200 countries and territories
• 99% coverage of banked consumers and small business1
• 130 countries enabled forreal-time payouts
• 75 countries enabled forreal-timecross-border payouts

Risk Management

• Trusted network of institutions with new program reviews
• Real-timewatchlist screening
• Transaction limits
• Activity monitoring
• Real-timeauthorization
• Tokenization

Processing Capabilities

• Visa settlement
• 160 currencies
• Enhanced reconciliation reporting
• Disputes / exception handling
• Full API Suite
• Message translation

69	Note: 1. In 88 countries.	©2020 Visa. All rights reserved.
Source: Visa Analysis.

Visa Direct enables dozens of new use cases and flows...

Visa Direct Set-plays

1. Vertical Market Strategy
2. Customer-focusedSolutions
3. Strategic Investment
4. Enabler Readiness
5. Product Sales & Marketing

Attacking the Market in a Structured Way

Example use cases

P2P		REMITTANCE		INSURANCE

GIG WORKER PAYOUTS	PAYROLL, WAGE ACCESS

Direct

MARKETPLACES		SMALL BUSINESS		ERP

70	©2020 Visa. All rights reserved.

...with end-to-end ecosystem support for Visa partners

Solution Consulting	Performance, Risk and	Business Enablement and
and Innovation	Compliance Monitoring	Commercialization Support

71	©2020 Visa. All rights reserved.

Visa's network effect enables fast growth and global operating scale

Visa Direct Performance

Fiscal Year 2019

Programs	250
Active Users	130M
Transactions	2B

Quarterly Run Rate

$11B $68B

Q4 2016

Q4 2019

Visa Direct vs. Visa Debit Payments Volume Growth

Visa	Visa
VolumePaymentsGrowth FirstFromYear	Debit
Direct
		Visa Direct:
		2x faster
		growth than
		Debit
	Years Post-Launch

72Sources: Visa Historical Reports; Visa Operating Certificates; VisaNet data.

©2020 Visa. All rights reserved.

Visa Direct enables dozens of new use cases and flows

P2P		REMITTANCE		INSURANCE

GIG WORKER PAYOUTS	PAYROLL, WAGE ACCESS

Direct

MARKETPLACES		SMALL BUSINESS		ERP

73	©2020 Visa. All rights reserved.

P2P: We have made significant progress in the $20T P2P segment

100+	P2P programs and counting are powered
by Visa Direct globally
7 of 7	of major global players are active or
launching with Visa Direct
>100%	programs
	Visa Direct YoY growth rate for P2P

74Sources: "'Yape', app del BCP, alcanzó el millión de usuários,"Publimetro, 2019; VisaNet data.

©2020 Visa. All rights reserved.

Cross-border: Remittances started to go live in 2019 and will expand significantly in 2020

75+	countries enabled for real-time
cross-border payouts
5 of 7	top global remitters live or
implementing Visa Direct
50%	of MoneyGram's Visa Direct service users are
first time MoneyGram customers	Multichannel pay out to
		cards and accounts across
		the globe

75Sources: MoneyGram press release; VisaNet data.

©2020 Visa. All rights reserved.

Insurance: Enabling a digital claims experience

9+	insurance segments: health, auto, life,
property, pet, casualty, homeowner,
disability, disaster
~60%	surveyed customers believe payments took
longer than they thought it should
5 of 10	top P&C insurers partner with Visa Direct	Toughest moments made
		better with real-time claim
		payouts

76Sources: Visa Direct Research, J.D. Power 2017 U.S. Auto Claims Satisfaction Study; "What types of insurance do you need?" Motley Fool, 2019.

©2020 Visa. All rights reserved.

Gig Economy: Drivers, freelancers, contractor payments

$4.5T	total global gig economy estimated spending
57M	Americans working in gig economy
70%	of Postmates driver deposits are made using
Instant Deposits powered by Visa Direct	Providing on-demand
		workers with
		on-demand pay

77Sources: Staffing Industry Analysts (SIA) US Gig Economy, 2019; Visa Digital Disbursements Consumer Preference Study, 2017; Visa and Postmates data.

©2020 Visa. All rights reserved.

Payroll: Early wage access driving payments innovation and new payroll solutions

for employees

78%	of U.S. full-time workers are living paycheck to
paycheck
95%	of employees are interested in working for an
employer who provides earned wage access
400%	Visa Direct YoY growth rate for
payroll programs

Helps employees access their wages early when they need it

78Sources: 2019 Earned Wage Access Insights; Accenture Research; VisaNet data.

©2020 Visa. All rights reserved.

Marketplaces: Visa Direct plays an important role in facilitating payouts for small sellers

$2T	total spend on top 100 online marketplaces
3-5	days is the average time a seller waits for
access to their proceeds
~30%	of Mercari sellers have enrolled in Instant Pay
with Visa Direct	Providing earnings to
		online sellers
		faster than ever

79Sources: "Top Online Marketplaces 2018," Digital Commerce 360; "The Merchant's Guide to Instant Credit Card Processing, Instant Deposits, & Getting Your Funds Fast," Merchant Maverick, 2020; "5 Challenges of Selling Via Cross-Border Marketplaces," Pitney Bowes.

©2020 Visa. All rights reserved.

Small business: Visa Direct is helping small businesses better manage cash flow with faster settlement and loan disbursements

61%	of small businesses report that cash flow
is a regular concern
79%	of small businesses want faster settlement
in<30mins	funds for small businesses are available
when using Visa Direct for faster
settlement and loan disbursement

Seamless integration with a platform small businesses already use every day

Improving small business cash-flow with quicker access to lines of credit

80

Sources: Accounting Today, 2018; "A Look at the Non-Bank and Alternative Lending Industry Business Model in 2020," Business Insider, 2019; Visa Small Business Preferences Survey, 2017.

©2020 Visa. All rights reserved.

ERP platforms: Enabling Visa Direct for payouts to individuals and small businesses

$35T	the size of the Global B2C and B2b
disbursements market
85%	U.S. firms planning to make real-time payments
integral to their operations within 3 years
430K	platform
	customers across 175 countries on Oracle

Visa Employee Digital

Expense Reimbursement

Digitizing and simplifying

employee expense

reimbursements

81Sources: McKinsey Global Payments Map and Visa Analysis; Making real-time payments a reality study, Pymnts.com, 2020; Oracle Investor website.

©2020 Visa. All rights reserved.

Key takeaways

Large market opportunityto digitize P2P, B2C and small business flows

Proven business model operating at scale

Premier real-time payments platform built on global reach

and processing infrastructure

Growing partner ecosystem and supply chain to accelerate growth

Investing in the futureto ensure Visa Direct remains the money movement network of choice for faster disbursements around the world

82	©2020 Visa. All rights reserved.

In today's discussion, we will cover the new flows opportunity in each segment

Commercial Solutions - $120T
Kevin Phalen
Card-based	Cross-border
$20T	$10T
Domestic AR / AP
	$90T

83

Sources: McKinsey Global Payments Map and Visa Analysis.

©2020 Visa. All rights reserved.

Businesses and governments make $120T in payments globally for the purchase of goods and services

Needs

Primary

Solutions

Card-basedCross-border Domestic AR / AP

	$20T		$10T		$90T			$120T
•	Distributed	•	Security, reliability	•	Operational efficiency
•	employee spend	•	Speed	•	Linking payment to data
Expense tracking	•	Rich data	•	about the payment
•	Fraud controls	•	Geographic reach	Reconciliation
•	Transaction data	•	Payment visibility	•	Digitization of paper
•	T&E, Purchasing,	•	Visa B2B Connect	•	Partnerships
	Small Business,
	Virtual

84

Sources: McKinsey Global Payments Report and Visa Analysis.

©2020 Visa. All rights reserved.

Card-based and cross-border flows represent 25% of the volumes but 75% or more of the revenue opportunity

Addressable Payments	Addressable Revenue
Volume Opportunity ($T)	Opportunity ($B)

	120	70-100
Card-based Solutions	20
Cross-border	10
Domestic AR / AP
	90

Key Focus Areas to Drive Growth

1	Drive growth in established
card-based business
2	Systematically execute
strategy to scale Visa B2B
	Connect
3	Test and learn in domestic
non-card B2B payments by
	adding value beyond the
	transaction

85

Sources: McKinsey Global Payments Report and Visa Analysis.

©2020 Visa. All rights reserved.

$20T in B2B payments can be addressed with higher-yieldingcard-based solutions

			Card-based
			$20T
		•	Distributed
Needs		•	employee spend
	Expense tracking
		•	Fraud controls
		•	Transaction data
Primary		•	T&E, Purchasing,
Solutions			Small Business,
		Virtual

Card-based opportunity is as large as consumer payments cash digitization opportunity

86

Sources: McKinsey Global Payments Report and Visa Analysis.

©2020 Visa. All rights reserved.

We are the B2B leader with $1T+ of Payments Volume

$1.1T	CY 2019 B2B Products
PaymentsVolume

CY 2018 B2B Payments Volume ($B)	Visa Business	Small Business
980			Visa Corporate	T&E, Purchasing
	657	486
			Virtual (single use)
			Visa Fleet	Fleet
Visa	Mastercard	American
		Express

Enabling Platforms

Visa Business

Reporting

Visa Compliance

Management

Visa Data Analytics

87Sources: American Express and Mastercard company filings.

©2020 Visa. All rights reserved.

We are enhancing our leading position by focusing on four areas to capture this $20T opportunity

Drive Digital

• Accelerate client onboarding
• Expand use cases through provisioning to mobile wallets
• Improve user experience through mobile, expense management, reporting
• Enable through global APIs

88Sources: McKinsey Global Payments Report and Visa Analysis.

Geographic

Expansion

• Build on leading position in consumer to target markets with nascent commercial volume
• Ride broader trend in markets moving from cash to digital
• Adopt local solutions leveraging global capabilities

	Streamline		Extend to
	and Accelerate
	Acceptance		New Verticals
•	Eliminate friction	•Enable additional vertical-
•	Grow straight through	specific use cases
	processing	-	Government
•	Simplify virtual card	-	Travel
-	Gig economy
	acceptance and drive	-	Healthcare
	industry standards
•	Support flexible
	interchange

©2020 Visa. All rights reserved.

$10T in cross-border flows represent a lucrative and largely untapped opportunity

Needs

Primary

Solutions

		Card-based			Cross-border
		$20T		$10T
				•	Security, reliability
				•	Speed
				•	Rich data
				•	Geographic reach
				•	Payment visibility
				•	Visa B2B Connect

89

Sources: McKinsey Global Payments Report and Visa Analysis.

©2020 Visa. All rights reserved.

Visa B2B Connect enables high value, low volume cross-border transactions directly between banks

Existing Network of Bilateral Relationships

Visa B2B Connect Multilateral Network

Payments routed through bilateral correspondent bank relationships, passed through a varying number of intermediaries

Single multilateral connection to all network members with transparent timeframes, costs and payment data using distributed ledger technology

Originating Originator

BankBank's

Correspondent

Lack of visibility

Difficult to predict costs or know when payments arrive

Slow speeds Averagecross-bordertransaction takes3-5business days

Lack of liquidity

Due to separate accounts

Intermediary BeneficiaryBeneficiary

Bank(s) Bank'sBank

Correspondent

Fees

Fees accumulate at each step in the process, including correspondent bank and third-party service fees

Payment data loss

Inconsistent processing between banks can result in payment data loss and transaction errors

Key Benefits:

• Speed, often same day
• Payment transparency / visibility
• Rich data travelswithpayment to enable effective reconciliation
• Payment finality
• Efficient liquidity management

90Sources: Accenture; Juniper Research; Banking Circle; Glenbrook-Earthport, McKinsey; SWIFT data; Visa Analysis.

©2020 Visa. All rights reserved.

Visa B2B Connect: Building a new network

Today2020-2021

Availability

•71 markets

•+30 more markets

Network integrators

Network size	•Engaged with 100+	•	Expand delivery outside of Visa B2B Connect network
	banks globally	•	Direct: +40 banks
		•	Through integrators: +60 banks
Status		•	Begin transacting
		•	Expand use cases (e.g., trade)
		•	Grow to 1 million transactions

2022

Network scale

achieved

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Capturing the $90T in large enterprise AR / AP payments

Needs

Primary

Solutions

		Card-based		Cross-border		Domestic AR / AP
		$20T		$10T			$90T
							•	Operational efficiency
							•	Linking payment to data
							•	about the payment
							Reconciliation
							•	Digitize paper
							•	Partnerships

Will require extending beyond payment execution

92

Sources: McKinsey Global Payments Report and Visa Analysis.

©2020 Visa. All rights reserved.

For AR / AP domestic B2B payments, we have to address pain points beyond payment execution

Key Characteristics:

1	Lower revenue
opportunity for
	payment
	execution
2	Pain points and
	complexity extend
	beyond the
	payment

Before payment

Payment

Buyer	Money Movement	Supplier
•Supplier onboarding		•Buyer onboarding
•Procure goods / services		•Payment acceptance
•Receive and process invoice		strategy
	•Supplier financing and
•Financing and payment
	payment timing
timing

•Determine payment type	•Issue invoice
and initiate payment
	•Payment execution:
	check, ACH, wire, RTP,
	cash

Large enterprises

currently pay only 1bp for payment execution

After payment

• Record payment made in ERP / accounting system

• Receive payment
• Reconcile payment to invoice(s), record in ERP / accounting system

93

Sources: McKinsey Global Payments Report and Visa Analysis.

©2020 Visa. All rights reserved.

We are partnering to create innovative solutions that address the broader AR / AP value chain

Buyer financing

Offer SMEs instant access to

financing

Accounts Payable

	Buyer	Money Movement
payment	•Supplier onboarding
•Procure goods / services
•Receive and process invoice
Before	•Financing and payment
timing
	•Determine payment type
Payment	and initiate payment
	cash
		•Payment execution:
		check, ACH, wire, RTP,

Supplier

• Buyer onboarding
• Payment acceptance strategy

•Supplier financing and payment timing

• Issue invoice

Expand acceptance Enabling payments initiated on card to be delivered via ACH

E-Invoicing

Enabling electronic

invoicing

Connecting banks with

AP providers

paymentAfter	•Record payment made in
ERP / accounting system

• Receive payment
• Reconcile payment to invoice(s), record in ERP / accounting system

Accounts Receivable Facilitating acceptance and reconciliation

94	©2020 Visa. All rights reserved.

Key takeaways

We are thelargest commercial payments card network and we are investing to capture the $20T payments volume opportunity

We will leverage our global scaleto build out Visa B2B Connect, a truly unique payment solution, to address high value cross-border transactions

We will continue to invest and partnerto offer innovative solutions for domestic AR / AP that create value across the whole value chain

95	©2020 Visa. All rights reserved.

Notes and disclosures

During the three months ended December 31, 2018, we updated our definition of payments volume to now include all disbursement volume related to Visa Direct, in addition to the funding volume previously included. All prior periods presented have been adjusted accordingly. Please refer to the Operational Performance Data section of Exhibit 99.1 in Form 8-K filed on January 30, 2019 for more details on the impact from this update in our payments volume definition.

Total transactions represent payments and cash transactions as reported by Visa clients on their operating certificates.

On occasion, reported payments volume, transaction and card information may be updated to reflect revised client submissions or other adjustments. Prior-period updates, other than the change to the payments volume definition, are not material. Figures may not recalculate exactly due to rounding. Percentage changes and totals are calculated based on unrounded numbers. Constant-dollar growth rates exclude the impact of foreign currency fluctuations against the U.S. dollar in measuring performance.

All brand names and logos are the property of their respective owners, are used for identification purposes only and do not imply product endorsement or affiliation with Visa.

Any reference to PCE is as of 2018 unless otherwise noted and excludes non-financial transactions consisting of payments that are imputed by national statistics agencies such as homeowners' imputed rent.

For real-time payouts, actual fund availability varies by receiving financial institution, receiving account type, region and whether transaction is domestic or cross-border.

This presentation includes data researched by Euromonitor International plc for its client, Visa U.S.A. Inc. and its subsidiaries using industry standards. Euromonitor disclaims and excludes any and all liability for any loss suffered by any party as a direct or indirect result of the use of any of the Extracts.

Use cases are for illustrative purposes only. Program providers are responsible for their programs and compliance with any applicable laws and regulations.

96	©2020 Visa. All rights reserved.