SECURITY SOLUTIONS
THE STICKINESS OF SECURITY FOR CUSTOMER TRUST AND SEAMLESS TRANSACTIONS
The McKinsey 2020 Digital Payments Consumer Survey found that digital payments continue to grow in adoption and relevance . Smart solutions that offer accessible and easy digital transactions are increasingly becoming essential to consumer stickiness and engagement .
However , as these solutions evolve , so must the security surrounding them to ensure that both retailer and consumer are protected . This is particularly relevant with software Point-of-Sale ( POS ) platforms which are gaining traction in the payments space . Juniper Research estimates that the number of handsets capable of using contactless payments will grow to 24 million by 2026 .
“ Security within this space covers multiple touchpoints , from the card to the app and the device being used ,” said Kieron Ekron , CTO at Halo Dot . “ This ranges from consumer-led security which covers secure passwords and PIN numbers and practising good security hygiene to recognising phishing scams , to businessled security that ensures every aspect of a payments solution is secure , aligned with regulatory expectations and compliant with industry standards .”
From PCI compliance to encryption , to PIN management and beyond , what makes a good payment platform is how many of its touchpoints are secured and how rigorously these are enforced across both the consumer and the retailer .
Payment solutions need to tick multiple boxes before they ’ re launched into the market and retailers must ensure that the promises of robust security are kept by the solution before they implement it . Good security practices are essential to provide both the retailer and consumer with peace of mind throughout .
“ The litmus test of a trusted and secure payments partner is how closely they work with partners to test their applications and how methodical they ’ ve been in embedding security ,” added Ekron . “ There is no such thing as rapid deployment in the payment world – every step must be methodical , tested , calculated and deliberate . If even one party in the payments chain , from consumer to retailer to bank and back , drops the ball then it weakens the entire process . In this sector , the old adage ‘ you ’ re only as strong as your weakest link ’ is absolutely true .”
Fraud is a very real problem , not just in South Africa but globally . Contactless payments can be misused , which is why most banks impose a maximum payment limit as they can prevent fraudsters from cloning and using credit or debit cards after a certain period and minimise the financial damage to the consumer .
For online payments , where the cardholder is unable to physically prove that they have the card in front of them , second-factor mechanisms like Verified by Visa and Mastercard SecureCode are used to verify that the person performing the transaction is the cardholder . However , these can add friction to customer interactions and payments which can limit stickiness and engagement .
Leveraging modern SoftPOS solutions , retailers can enhance their payments profile without compromising on security and consumer enjoyment . These solutions allow users to tap , go and pay within a secure environment that fosters trust on both sides . Halo Dot has invested extensively in security parameters and protocols that ensure every person and company within the transaction chain is secured and protected , putting trust and security at the heart of every engagement . � www . intelligentfin . tech
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