The Regional Risk Officer, Central and Eastern Europe, Middle East and Africa at Visa, Mr. Charles Lobo, has stressed the need for merchants and customers to take advantage of the various eCommerce channels for online shopping experience.
He said eCommerce channels will be the next big thing that will boost the next generation online shopping experience.
According to him, “Securing eCommerce channels will enable a springboard for future growth.”
Analyzing the effect of COVID-19 on businesses, Lobo said the pandemic prompted a massive spike in e-commerce transactions. People who had never shopped online, and businesses who had only sold their wares from a physical location, were propelled into a brave new world of digital payments. Research from McKinsey shows that organisations leapfrogged five years’ worth of digital adoption over just eight weeks during 2020, Lobo said.
He however said the e-commerce boom has intensified the security processes required to make a sale, thus creating uncertainty for businesses.
Giving tips on how to ensure a frictionless shopping experience for online customers while safeguarding against fraud, Lobo said: “It’s hard enough to make a sale online – an average of 70 percent of carts are abandoned by online shoppers across nearly 50 different industries, with further password protection, dual-authentication and other security measures risking another barrier in place of a sale.
“A Transmit Security report found that 55 per cent of consumers said they have stopped using a website because the login process was too complex, while 92 per cent said they would rather abandon a website visit than recover or reset their passwords.”
He therefore recommended EMV 3-D Secure, as the solution for next generation authentication.
“EMV 3-D Secure is a world-class authentication solution with rich data at its core. The industry-wide messaging standard allows merchants and issuing banks to verify consumer identity before a transaction is sent for authorisation, helping them to detect and prevent fraud while benefitting consumers with a smooth, consistent user experience across multiple payment channels, including mobile web, in-app and digital wallet payments.
“It can also eliminate the need for consumers to type in passwords to complete their online purchases, meaning fewer steps and fewer false declines at online checkout. Additionally, EMV 3-D Secure allows issuers to leverage advanced data models and intelligent rules to make data-driven authentication decisions and reduce friction at checkout,” Lobo said.
Stressing the need for the adoption of eCommerce channels, Lobo explained that eCommerce would become a springboard for future growth, and not just supplementary income.