A new solution designed by credit union professionals could soon allow consumers to more easily change payment settings for purchase at retailers such as Amazon and Netflix.
It's called PowerSwitch, and it recently won the Speed Round competition at the 2016 CUNA Operations, Sales & Service Council Conference and CUNA Technology Council Conference.
Caroline Martorano, Speed Round Committee chair and director of Operations & Support at Baxter Credit Union, explained that over the course of the three-day conference, 20 credit union vendors in two general sessions were allotted five minutes to present their respective products to a packed auditorium of attendees.
Presenters were not allowed to use slides, video or "static content" while making their pitches, but rather demonstrate the solution in real time. After each presentation, audience members had two minutes to ask questions and then voted on the "Best of Show."
PowerSwitch, from Lehl, Utah-based MX, was a Best of Show finalist and was ultimately selected as the winner by a panel of judges that included representatives from Gartner, Inc. and MasterCard.
"We've competed a few times in the past. The preparation is actually pretty intense because it requires memorizing five minutes of lines and making sure we get through the entire presentation before the time limit, while still showing everything you want to show," said Chad Ramos, an enterprise sales executive for MX, a money management solution provider. "There was probably a solid 10 to 15 hours of prep time for those five minutes."
Even seasoned public speakers could get rattled at this event, said Ramos, who added that PowerSwitch is currently in a pilot phase.
"It's pretty nerve-wracking," recalled Ramos. "All the presenters are behind the stage pacing around practicing their presentation. It's stressful for sure."
New Interchange Revenue
Credit unions that deploy PowerSwitch will be able to provide members with the ability to earn rewards points for purchases. An added benefit for the credit union is the ability to capture new interchange revenue.
"Although all of the entrants were strong, MX's presentation stood apart because it most clearly showed what outside-the-box thinking can do for credit unions," said Martorano.
To date MX has roughly 1,000 clients, 70% of which are credit unions. In Ramos' estimation, members are now expecting a "frictionless world" and are realizing that the process of changing payments from one credit card to another is too burdensome.
"PowerSwitch is addressing an unmet need in the marketplace," said Ramos. "Users can log in and instantly change their subscription-based payments from one card to another."
