Since October 2015, EMV technology has been increasingly expected in the credit card terminal marketplace. Since last fall, merchants who have not adopted EMV technology are liable for a range of security and fraud risks. Consumers are looking for the chip readers now and want to see this more secure way to pay when they use their credit cards. As consumer education on payment security has grown, merchants are obliged to keep up with the best possible technology for processing payments.
Here are 3 ways sales partners can win clients with EMV chip technology today:
When you are selling credit card processing, security is the biggest concern for your clients. Merchants are seeking the latest security to reduce their liability and limit their exposure to issues. Since EMV chips are able to encrypt each transaction and issue a one-time code, they are safer than the older magnetic stripes. Adopting EMV chip readers at the point of sale is a requirement to protect merchants from risk.
Furthermore, consumers have grown wary of magnetic stripe readers as the media covered story after story of identity theft, so they are asking for EMV readers to keep their information secure. Merchants understand that not only for their own safety, but also for the safety of their customers, EMV terminals are a huge step forward. This level of security is becoming an expected part of customer service.
Meet Client Expectations
Customers are hearing about EMV chips in the media. Furthermore, as banks switch their ATMs to include EMV chip readers this is setting the standard for transaction technology. If the bank is requiring this new technology, it makes a statement that chip cards are the new benchmark for transactions. As customers see the EMV terminals in other settings, they are coming to expect them everywhere. If a merchant is still using a swiper to read cards at the point of sale, they are not meeting their customers’ expectations. It may even raise questions about how safe it is to shop with that merchant in today’s risky environment.
According to MasterCard, consumers can now use their EMV chip cards at 1.2 million U.S. merchant locations. This number is growing quickly and includes around 20% of all retail locations.1
Improve the Customer Experience
One barrier to EMV adoption has been the slightly longer processing time at the terminal as customers have to insert their cards and then wait. However, credit card issues are moving swiftly to solve this problem. Last week, both Visa and MasterCard announced measures to speed up the payment process. Visa Quick Chip is a software update that allows users to remove their cards more quickly.2 MasterCard has launched M/Chip Fast to speed up transaction and processing time at the terminal.3 The move towards allowing customers to dip their card quickly is a welcome change for merchants and cashiers.
When merchants are considering adopting EMV technology in their credit card processing, they no longer need to worry about longer processing times or reminding the customer to leave the card in the terminal for Visa and MasterCard cards, which represent roughly 80% of cards in circulation.4 Easier and quicker transactions at the credit card terminal will make EMV card readers more attractive to merchants and their customers.
Merchants need to consider EMV card chip technology when they are thinking about credit card processing for limiting their own liability and to stay competitive in the marketplace. Discussing security, customer expectations at the point of sale, and the improvements to transaction speed can help convince clients of the many advantages of upgrading today.
- J. Ginovsky, (2016, April 28), Mastercard, Visa Seek to Speed EMV Transactions, http://www.bankingexchange.com/news-feed/item/6213-mastercard-visa-seek-to-speed-emv-transactions
- QuickChip for EMV: Speed Up Your Credit Card Transactions, https://www.visa.com/chip/merchants/grow-your-business/payment-technologies/credit-card-chip/docs/quick-chip-guide.pdf
- M.ChipFast from MasterCard Speeds EMV Transactions and Shoppers Throught Checkout, (2016, April 27), http://newsroom.mastercard.com/press-releases/mchip-fast-from-mastercard-speeds-emv-transactions-and-shoppers-through-checkout/
- Market Share by Credit Card Network (2015), http://www.cardhub.com/edu/market-share-by-credit-card-network/