Tag: mobile commerce security

Retailers in Europe and the Middle East want to embrace mobile payments

| May 5, 2015

Survey shows that retailers are becoming more interested in new payment technologies and services

Retailers in Europe and the Middle East are planning to invest in new payment technologies in the coming years, according to a survey from ACI Worldwide and Ovum. Many retailers are beginning to see a trend among consumers that involves the use of mobile devices to shop for and purchase products. As this trend become more powerful, retailers are beginning to feel the pressure to engage mobile consumers more effectively or risk being left behind by these consumers.

Retailers in Europe and the Middle East have plans to embrace mobile payments within the next 24 months

According to the survey, more than two thirds of European and Middle Eastern retailers have plans to invest in mobile payments technology within the next 18 to 24 months. These retailers are citing real-time clearing and settlement capabilities and the growing popularity of loyalty programs as the reasons behind these investments. QR codes, in particular, have shown great appeal to retailers that want to engage consumers in an effective manner, as these codes have become quite powerful mobile payments tools.

Security concerns are slowing the adoption of mobile payments in the retail industry

Mobile Payments - World NewsThe survey suggests that unfounded security fears have slowed the adoption of mobile payments among retailers. Many companies are concerned with their ability to keep consumers information secure when using a mobile payments platform. Notably, however, a relatively small number of retailers have fallen prey to cyber attacks focused on the mobile sector. The survey suggests that retailers are more comfortable with relying on older, less secure payment platforms that have proven to have security issues in the past.

Retailers believe that consumers want more payment options

The survey shows that 93% of retailers believe that consumers want more options when it comes to paying for products. As such, mobile payments are becoming a more prominent focus for many companies. One of the challenges of embracing mobile payments, however, is the relatively high investment needed to purchase mobile point-of-sale systems and other mobile-centric platforms.

New security standards could be good news for the mobile commerce space

| April 7, 2015

Security standards are set to be implemented in the US in October of this year

The payments industry in the United States is poised for a major shift late this year. In October, liability for fraudulent transactions will move from card companies to retailers if these retailers have not invested in point-of-sale terminals that accept chip-based payments. The shift is meant to address issues concerning the safety of electronic transactions, which has been brought to light by the growing prominence of mobile commerce.

Standards will require retailers to invest in chip-based payment terminals

New security standards will require credit and debit cards to be equipped with a chip that will make transactions more secure. This shift happened more than a decade ago in several European countries and similar security standards are becoming more common throughout the world. In the United States, however, it has taken much longer for these standards to take hold, due to the complexities of the country’s financial structure and the retail industry. Retailers have been particularly resistant to having to fund new payment terminals in order to avoid liability issues.

Security standards could boost the adoption of mobile commerce

Mobile Commerce Security - Chip CardsFor those interested in mobile commerce, the new security standards could be seen as a boon. Security has long been an issue that the mobile world has had to manage, and the issue has become more important to address with the growing number of people using their smartphones to make purchases. The new point-of-sale terminals that retailers will have to adopt will support NFC-based transactions, which will make it easier for consumers with mobile devices to use their smartphones to pay for products in physical stores.

Card companies are pushing for security standards to take effect

October 1 is the deadline for retailers to incorporate chip-based payment terminals. There is some speculation that the implementation of security standards will be delayed, but this may cause a loss of faith in the standards themselves. Card companies are eager to have these standards instituted as soon as possible in order to bolster the security of the digital payments industry.