ORIEL / BILLTOBILL - MARKET UPDATEPoints• Oriel forecast rapid...

ORIEL / BILLTOBILL - MARKET UPDATE
Points
• Oriel forecast rapid revenue growth in 2007, up to 30 times the 2006 transaction volume;
• Growth expected from recent signing of significant merchants.
Melbourne, 21st February 2007. Oriel Communications Ltd. (Oriel”) is pleased to provide a market update
report on the progress of the BilltoBill payment solution in China and also the new functional offering to merchant
clients, namely the BizztoBizz Accelerator.
The BilltoBill payment solution has witnessed very strong volume growth performance in recent months with the
average monthly volume across January and February being almost 6 times the average monthly volume in 2006.
The increased growth is a result of several new merchants going ‘live’, autonomous growth from existing
merchants and an increase in the average transaction value.
For calendar year 2007, BilltoBill expects to achieve transaction volumes of up to 30 times the volume achieved in
2006. This forecast is based on sharp increases in transaction volume from existing clients (e.g. Cathay Pacific),
new signed merchants going ‘live’ (e.g. Dragonair and Singapore Airlines) and new merchants currently in the
pipeline, especially in the travel, ticketing and insurance industries.
Commenting on the growth, Oriel’s CEO Martijn Hovinga said: “Over the last two years, we have established all the
components of a solid foundation for the future. We are now reaching a turning point where consumers and
merchants alike are gaining confidence with our system and our excellent customer service levels at both ends.
Our strategy of focussing on quality customers, personal service and industry recognition is starting to pay off.
It is apparent that with the signing of customers of the calibre of Lenovo China and Cathay Pacific, to name but
two, we are well on the way to achieving our strategic objective of becoming a pre-eminent payment company for
the region” he added.
Other factors that are expected to contribute to the accelerated growth are:
• BilltoBill will complete the development of an interface with a major credit card acquiring bank in China in
March. This will provide our merchants with a more sophisticated credit card fraud detection capability,
resulting in a higher success rate for Visa and MasterCard transactions combined with a lower exposure to
fraudulent transactions; and
• The number of bank card holders with Chinese banks who have registered for internet banking using a
special token, known in China as the ‘USB key’, is growing fast. USB key holders are not subject to limits on
transaction amounts when they use their debit card online.
The BizztoBizz Accelerator is BilltoBill’s unique solution for the enormous business-to-business market in China. In
August 2006, Oriel announced the launch of the BizztoBizz Accelerator to improve the cashflow and accuracy of
transactions processed between merchants and product resellers when distributing products in the business-tobusiness
market segment.
Having completed extensive ‘live’ testing of the new service, BilltoBill expects to deliver this product to three
merchants in 2007.
Forecast 2007 growth excludes any sales proceeds from the BizztoBizz Accelerator however progress of this very
exciting product offering will be provided once transactions have commenced.