content_id:564921240 content_id:564921240

Banking case study

Tyl by NatWest launches
and scales payments
innovations fastCognizant’s fintech expertise, flex capacity,delivery model and proactive consultancy help
NatWest’s payment technologies arm achieve
rapid, award-winning growth.

The challenge
High-street banks aren’t always thought of as powerhouses ofdigital innovation. But at Tyl by NatWest, the bank’s payment
technologies arm, a startup mindset and a community focus haveproduced a raft of innovative solutions designed to make life easierfor the UK’s small business owners.
Tyl by NatWest launched with just a 10-person team, but was soon
experiencing high demand for its simple, frictionless services thatallow business owners to take card payments on the web, on a
handheld terminal or on a smartphone and receive the cash intheir accounts the next business day.
While the experience is simple for Tyl by NatWest’s customers,
behind the scenes the bank faced some classic fintech challenges,
like ensuring smooth onboarding, launching new products andintegrations at speed, maximizing the value of customer data andscaling cloud infrastructure.
Surging transaction volumes require digital engineering expertise
With transaction volumes escalating to two million per week, Tyl
by NatWest needed expert, on-demand help across all aspectsof its digital and data engineering activities—from designing new
products to integrating with third-party payments services andstreamlining its merchant acquisition processes.

At a glance
Industry
Banking

Location

United Kingdom

Challenge

Support rapid product innovationand customer growth by partneringwith an IT services provider withmarket-leading fintech and payments
expertise

Success Highlights• Scaled payments infrastructure tosupport two million transactions perweek• Launched innovative payments
products cost-effectively and on time
• Optimized costs by transitioning
to a 70% offshore model for digitalengineering

The approach
Tyl by NatWest chose to work with Cognizant for
our fintech experience and hard-to-find expertisein emerging technologies, as well as for our flex
capacity and ability to support Tyl cost-effectively
from our offshore delivery center in India using anagile distributed delivery model.
Our engineering expertise and fintech ecosystempartnerships allow us to seamlessly support Tylon the co-creation, engineering, rollout, supportand maintenance of a wide range of technology
products and features, including:
Digital onboarding journey: Working with Tyl andits partners to deliver a new digital onboarding
experience behind the scenes allows merchants toapply for products and services via the Tyl website.
Onboarding acceleration: Working with a Tyl
partner to deliver rules enhancements allows
NatWest Group Middle Office to review andapprove applications faster—critical for time-poor
small and medium sized companies (SMEs).
Mobile integration: Working with Tyl and NatWest tointegrate the NatWest Business Banking mobile appwith customers’ Tyl accounts and with PayByLink,
which enables SME customers to take payment witha simple web link.
Split billing: Working with Tyl partners to develop asolution that enables merchants to split payments
between “billing” and “funding” and specify aseparate bank account for each. This helps SMEs toreduce administration and concentrate on runningtheir business.
Soft POS/tap to pay: Working with Tyl partners on
a transformative, first-to-market solution that allows
small businesses to take contactless payments on
an Apple iPhone or Android phone.
Open Banking: Working with Tyl and Natwest’s
Payit business to enable SME customers to accept
payments directly from their customers’ bankaccounts. This helps SME customers save money
on fees and reduces the risk of fraud.
Collaborating to innovate and growThroughout our partnership we have worked closelywith Tyl and its partners to propose suitable ways
of working and technology solutions to optimize
service design and delivery.
The partnership also has given Tyl by NatWestand its parent NatWest Group “single front door”
access to further value-added Cognizant services,
including:

2 | Tyl by NatWest launches and scales payments innovations fast

Collaboration: Our relationship confers access tocollaboration space and expert workshop andhackathon facilitators at our state-of-the-art London
Collaboration Hub at 280 Bishopsgate
Transformation: Support from across ourtransformation capability leverages deep payments
and fintech expertise from Cognizant consulting;
explores new ways of working with our digital
experience arm, Zone; and ensures the team
benefited from leading-edge engineering practices
through our cloud transformation arm, Contino
Innovation: Our fintech experience and payments
expertise, which have helped Tyl to further innovate
its soft POS solution, paves the way for a world wherea phone and access to the internet may be the only
payment technologies some small businesses need.

Business outcomes
Tyl by NatWest has its sights set on further rapid
growth, with a target of 200,000 merchantacquisitions. By partnering with Cognizant to support
its digital, data and payments innovation initiatives,
Tyl by NatWest has gained the expert, flexible
engineering resource it needs to meet its growthambitions.
Achieving key IT, business and ESG milestones
Working with Cognizant, Tyl by NatWest has
accomplished key IT, business and environmental,social and governance (ESG) milestones:•S caled its technology infrastructure to handle morethan two million transactions per week•S uccessfully transitioned to a 70% offshore
engineering capability, optimizing IT costs•W on Best Payments Industry Newcomer at the Cardand Payments Awards within two years of launching•L aunched the Tyl Rewards customer engagement
platform to help customers secure the loyalty of theirown customers•R aised over £740,000 for local communities throughits Giveback Community Fund•R educed electronic waste by developing a soft POS
alternative to handheld card terminals
A payments innovator that helps communities thrive
Tyl by NatWest launched with a vision to support
local communities and make life easier for small
businesses. By working with Cognizant as its digitalengineering partner, the bank has been able torealize its vision, developing innovative, robust
payments solutions and programs that remove
friction for business owners and contribute to asustainable future for businesses and communities.

“It’s always a pleasure collaborating with the Cognizant team.
Their professionalism, dedication and expertise were evident from thevery beginning and it was evident that they were fully committed andunderstood the assignment.
Communication was seamless; their responsiveness to feedback andwillingness to adapt demonstrated a commendable level of adaptability
and open-mindedness given our steer and sense of direction. The synergy
between our teams was palpable and it truly felt like a unified effort
towards a final verdict whilst we answered ad hoc questions regularly
to enrich the research Cognizant was conducting.
Cognizant’s contributions brought fresh perspectives and ideas to thetable, significantly enhancing the potential of the product’s future quality.
I’m grateful that we have the resource capability to work with such aproactive and collaborative group, not just on this project but alongsidesome other Cognizant colleagues we have in-house today.
I look forward to future collaborations with them.			

”

Hugo Santos—Digital Product Owner at Tyl by NatWest

About Tyl by NatWest
Tyl by NatWest is an innovative approach to merchant acquiring, designed to make it easier for owners of small and medium sizedcompanies to run their business. For more information visit https://www.tylbynatwest.com/Cognizant (Nasdaq-100: CTSH) engineers modern businesses. We help our clients modernize technology, reimagine processes
and transform experiences so they can stay ahead in our fast-changing world. Together, we’re improving everyday life. See how
at www.cognizant.com or @Cognizant.

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