Mastercard Incorporated · NYSE:MA
Mastercard — Investor Presentation (November 2023)
16 slides from Mastercard's investor presentation, November 2023
Slide 1: Mastercard solutions for supplier payments
Mastercard solutions for supplier payments Optimize processes for effective payment solutions FINANCIAL INSTITUTIONS | NOVEMBER 2023
Slide 2: Losses in productivity and gaps in cash flow can stunt business growth
MARKET LANDSCAPE Losses in productivity and gaps in cash flow can stunt, or even stop, business growth $1.3T Businesses have significant sums of locked up in money tied up along the supply chain. working capital1 S UP P LI ER C H A LLENG ES Inefficiency is a real problem Late payments are common, Th
Slide 3: Buyers and suppliers both face challenges with current payment processes
CHALLENGES AND IMPACT Buyers and suppliers both face challenges with current payment processes. IMPACT Suppliers • Receiving bank transfers requires no processing effort • High transaction costs from the supplier but reconciliation takes additional time • Accounts Receivable teams are trying to mini
Slide 4: Empowering suppliers: Driving growth & enhancing operational efficiency
SUPPLIER OPPORTUNITIES Empowering suppliers: Driving growth & enhancing operational efficiency SAVINGS SECURITY & CONTROL EFFICIENCY FLEXIBILITY • Incremental sales with more • Lower risk with credit risk • Faster collections made • Improved working capital options to pay for customers underwritten
Slide 5: Enabling buyers: Optimizing cost savings & ensuring financial control
BUYER OPPORTUNITIES Enabling buyers: Optimizing cost savings & ensuring financial control through payment flexibility SAVINGS SECURITY & CONTROL EFFICIENCY FLEXIBILITY • Enhanced supplier negotiations • Robust set of innovative • Payment consolidation into • Integrates with AP systems for backed by
Slide 6: Current process: procure-to-pay
CURRENT PROCESS For buyers, the procure-to-pay process is the point of departure for unlocking opportunities Procure-to-Pay 1 2 3 4 INVOICE RECEIPT PURCHASE REQUISITION PURCHASE ORDERS PAYMENT PROCESS & PROCESSING © 2023 Mastercard. Proprietary and Confidential • Need for purchase identified • Requi
Slide 7: Tail spend represents the largest cardable opportunity
OPPORTUNITY Tail spend represents the largest cardable opportunity $ Value ST RA T E GIC T A IL SPE N D (N O N - ST RA T E GIC ) Opportunity • Raw materials • Utilities • Components • Insurance • Fuel • Freight • Telecom • Temp labor • Fleet • MRO • Software • Spare parts • IT Consumables • Office s
Slide 8: Our B2B framework: Mastercard B2B analytics
PROCESS Our B2B framework: Mastercard B2B analytics 1 2 3 4 5 Accounts Acceptance gap Supplier Supplier analysis Opportunity Payable file analysis enablement • Corporate customer • Comprehensive • Immediate • Opportunities are • Assistance with provides AP file to evaluation conducted opportunities
Slide 9: Comprehensive B2B Analytics
MASTERCARD B2B ANALYTICS | USE CASE Comprehensive B2B Analytics Analytics help Client engagement sample $5.5B • Identify suppliers most likely to accept STEP B2B transactions Raw data • Deliver recommendations on how to 1 from AP file 31,429 suppliers | 307K invoices implement and maximize program b
Slide 10: The B2B analytics dashboard is designed for ease of use
MASTERCARD B2B ANALYTICS | DASHBOARD The B2B analytics dashboard is designed for ease of use DATA INSIGHTS • By focusing the analysis on the opportunity area, it’s evident that 22% of invoices represent only 1% of spending. • 309 (42%) of these suppliers accept cards, representing © 2023 Mastercard.
Slide 11: Using card can streamline the payment processes
PAYMENT PROCESS Using card can streamline the payment processes TRADITIONAL Match invoice and purchase order Ongoing follow up Credit application with Issue purchase order Merchandise received ERP reconciliation supplier Payment approval and issuance Payment confirmation Supplier KYB and manual Invo
Slide 12: Mastercard Purchasing Card
MASTERCARD PURCHASING CARD Helps mid-sized to large corporations reduce ADDRESSES THESE OPPORTUNITIES costs, achieve greater control and manage For buyers • Tail spend is time consuming to manage B2B payments more efficiently • Age-old payment processes are slow and often bureaucratic • Invoices don
Slide 13: Mastercard Virtual Card Platform
MASTERCARD VIRTUAL CARD PLATFORM Streamline B2B payments with unique, ADDRESSES THESE OPPORTUNITIES dynamically generated virtual card numbers (VCNs) for secure, flexible payments • Keeping track of manual payments is cumbersome and involves many layers of operational inefficiencies • Suppliers are
Slide 14: Why Mastercard
WHY MASTERCARD Leverage our expertise to improve spend management Dedicated B2B B2B expertise Best in class solutions Power of analytics specialists & network & partnerships • Help account managers • Supplier analytics with • Access to commercial • Flexible and best-in-class every step of the way wi
Slide 15: Next steps
Next steps 1 Agree on priorities and create implementation plan 2 Provide training to the various stakeholders 3 Conduct pilot ©2023 Mastercard. Proprietary and Confidential 4 Build pipeline and scale For more information, contact your Mastercard representative. 15
Slide 16: ©2023 Mastercard. Proprietary and Confidential
©2023 Mastercard. The information contained in this document is proprietary and confidential to Mastercard International Incorporated, one or more of its affiliated entities (collectively “Mastercard”), or both. Information in this presentation or in any report or deliverable provided by Mastercard