In 2013, the payments industry continued to see the emergence of new technology. Much of this new technology will continue to expand in 2014. Let’s take a quick look at some of the 2013 milestones and a look ahead at what 2014 has in store for payments.
The EMV® chip card revolution rolls on. EMV (EuroPay® MasterCard® and Visa®) is the new international standard for credit cards. EMV cards are embedded with a chip that makes accepting transactions much more secure than the mag-strip cards we are used to paying with in the US. According to MasterCard, the key difference in EMV card transactions is the data connected to each transaction. When a customer makes a purchase, the chip instantly encrypts the transaction information making it extremely difficult to duplicate and reduces the risk of fraud. (For more information on EMV, visit MasterCard’s EMV page http://www.mastercard.us/mchip-emv.html)
Although it may seem far off, starting in 2015 MasterCard and Visa will shift fraud liability to merchants who do not accept EMV transactions. In preparation for this shift to EMV in the US, WorldPay and other acquirers were required to begin taking the necessary steps to support EMV transactions and supported devices beginning in April 2013. As such, WorldPay is already EMV-certified by American Express®, Visa®, MasterCard® and Discover® and is continually investing in the necessary changes to our internal infrastructure to support you through the full implementation of EMV technology. Currently, WorldPay merchants can only accept card payments via the magnetic swipe method, but WorldPay is set to deploy EMV software to EMV-compatible POS devices before the end of 2014.
Universal commerce is becoming, well, universal. Expect 2014 to bring increasing application of universal commerce, which enables customers to make transactions anytime, anywhere and using any online or mobile channel they prefer. It means today’s customers expect to be able to move quickly and seamlessly from one mode of shopping to another.
To thrive in this new era, take full advantage of opportunities to build awareness, grow your business and keep customers coming back.
- Focus on what your customers are saying about how they like to shop
- Ensure integration and compatibility across different shopping channels, whether onsite or online via your website, social media or other opportunities
- Keep your online store and website up-to-date
- Learn how to leverage social media channels for marketing purposes
- Implement email campaigns for prospecting and promotions
113 million Americans now use their mobile devices as shopping tools with the number expected to grow nearly 50% by 2017.²
Mobile Payments continue to gain momentum after a breakthrough year. During the summer of 2013, mobile devices passed all other channels to become the predominant way US consumers interact with online retailers.³
As more and more customers move toward the convenience of shopping online with their mobile devices, it is in the best interest of merchants to accommodate their shopping preferences. Consider these options:
- Upgrade your terminal equipment to accept the latest technology for both contact and contactless payments that allow customers to pay using their mobile wallets
- Use mobile devices, particularly during the holiday season, for “line-busting.” With line busting, you can reduce wait times for shoppers during peak hours by deploying clerks to accept payments throughout your store
- Make sure e-marketing communications are optimized for mobile devices, e.g., email communications are automatically resized to fit the device screen
- Depending on the nature of your business, consider using mobile to accept payments at off-site events, for work at remote locations or when you’re on the road
- Adopt tactics to counter “showrooming,” in which customers might browse your products in-store while simultaneously using their smartphones or tablets to find better deals. Tactics could include selling products with unique SKUs or offering to match the lowest price a consumer can find online
WorldPay’s on track so you’ll be ready for what the New Year brings.
Ensure your business is prepared by taking full advantage of all the latest payments technology, including mobile and EMV. Contact your personal Account Executive, or call Customer Care at 800.859.5965, Option 3.
In this issue
- A Letter From Tony Catalfano
- Featured Article
- Quick Tips
- Product Spotlight
- Success Story
- Worldpay Updates
- Industry Updates