Retailers to benefit from EFTPOS partnership
EFTPOS New Zealand Limited and ANZ today announced a strategic partnership through ANZ’s purchase of EFTPOS New Zealand – a move that is set to have a significant impact on the local market.
EFTPOS New Zealand is the country’s leading supplier of EFTPOS products and services.
The partnership gives EFTPOS New Zealand the ability to offer retailers a total electronic transaction service – from the provision of EFTPOS terminals through to the processing of transactions and delivery of funds to the merchant’s bank account.
EFTPOS New Zealand Director Mark Thomson said exponential growth had led to the somewhat ad hoc development of EFTPOS delivery, with customers needing to deal with numerous parties for their EFTPOS provision.
“This partnership with the ANZ means we can create a more streamlined service that better meets retailers’ EFTPOS needs.”
Until now, retailers have had no choice but to have a separate supplier handling the in-store terminal end of EFTPOS from the organisation processing the payments into their bank accounts.
Currently the other four main trading banks (National, Bank of New Zealand, ASB and WestpacTrust) jointly own the dominant EFTPOS payments processor, ETSL (Electronic Transfer Services Limited). ETSL dominates the processing market, controlling the processing of approximately 87 percent of all retail electronic transactions in this country.
ANZ is not part of ETSL, opting instead to maintain its own, independent switch.
ANZ Managing Director, Dr Murray Horn said EFTPOS New Zealand was the ideal partner for an arrangement that would improve the bank’s ability to offer an enhanced payments service to its retailing customers.
New Zealand, we are investing in a real innovator and a
market-leading business,” said Dr Horn.
“By combining with EFTPOS New Zealand, we’re able to introduce total integration to electronic transaction processing in New Zealand. This move will increase competition which will ultimately be good for all – retailers and consumers alike.”
ANZ’s General Manager, Cards, Ian Colley, said the partnership between EFTPOS New Zealand and ANZ would see new options emerging for retailers.
“We will be able to offer a ‘one-stop-shop’ package where merchants can use EFTPOS New Zealand for both their terminals and payments processing, making it easier and more cost-effective than the present dual-relationship process,” he said.
Additional option for Retailers
Mark Thomson said it was important for retailers to understand that the EFTPOS New Zealand/ANZ initiative would only affect them if they wished it to.
“This is purely a matter of providing additional choice for retailers. If they find the new service attractive – which we are confident they will – then they can sign up. If not, then nothing changes.
“This means, for example, that a retailer with an EFTPOS New Zealand terminal who uses the merchant services of a bank other than ANZ can continue to do so. Similarly, a retailer who uses a non-EFTPOS New Zealand terminal but has ANZ as their bank will not need to change any aspect of their payment system.”
EFTPOS New Zealand founders and executive directors, Peter Marshall and Mark Thomson, would continue in their roles within the company.
Dr Horn said the ANZ viewed this move more as a strategic partnership than an acquisition in traditional terms.
“We are keen to retain and develop the kind of innovative, entrepreneurial culture and mode of operation that has made EFTPOS New Zealand market leaders.”
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For further information:
EFTPOS New Zealand Ltd
Ph (04) 916-2444
ANZ Banking Group (New Zealand) Ltd
Ph (025) 421-219