• About
  • Privacy & Policy
  • Contact
Wednesday, March 29, 2023
MYTECHMAG-A Leading Technology Magazine
  • Home
  • Technology
    • Supply Chain
    • Enterprise Security
    • Cloud Technology
    • RegTech
    • HPC
    • Collaboration
    • Startups
    • IoT
    • Compliance
    • Artificial Intelligence
    • Field Service
    • CRM
    • Project Management
    • Thought Leadership
    • Fintech
    • Risk Management
    • Cyber Security
    • Enterprise Architecture
    • EAM
    • ECM
    • Women In Tech
    • Block Chain
    • Data Analytics
    • Robotics
    • Disaster Recovery
    • Marketing
    • Workflow Management
  • Industry
    • Retail
    • Healthcare
    • Construction
    • Pharma
    • Education
    • Textile
    • Aerospace and Defense
    • Banking
    • Smart City
    • Oil and Gas
    • Telecom
    • Travel & Hospitality
    • Agri Tech
    • Media & Entertainment
    • Logistics
    • Manufacturing
    • Legal
    • Government
    • Real Estate
    • Automotive
    • Food and Beverage
    • Biotech
    • HR
    • Insurance
    • Energy and Utilities
    • Contact Center
    • Capital Market
    • Chemical
    • Sports
  • Solution Providers
    • Aerospace and Defense
    • Agri Tech
    • Artificial Intelligence
    • Automotive
    • Banking
    • Capital Market
    • Cloud Technology
    • Collaboration
    • Construction
    • Contact Center
    • CRM
    • Cyber Security
    • Data Analytics
    • Disaster Recovery
    • EAM
    • ECM
    • Energy and Utilities
    • Enterprise Architecture
    • Enterprise Security
    • Fintech
    • Government
    • Healthcare
    • HR
    • Insurance
    • IOT
    • Legal
    • Logistics
    • Manufacturing
    • Marketing
    • Oil and Gas
    • Pharma
    • Retail
    • Risk Management
    • Smart City
    • Supply Chain
    • Top CEOs
    • Women in Tech
  • Magazines EditionsWhat's New
  • News & PR
    • News
    • Press Release
  • CXO Thoughts
  • Featured Articles
  • Top CEOs
  • Events
No Result
View All Result
  • Home
  • Technology
    • Supply Chain
    • Enterprise Security
    • Cloud Technology
    • RegTech
    • HPC
    • Collaboration
    • Startups
    • IoT
    • Compliance
    • Artificial Intelligence
    • Field Service
    • CRM
    • Project Management
    • Thought Leadership
    • Fintech
    • Risk Management
    • Cyber Security
    • Enterprise Architecture
    • EAM
    • ECM
    • Women In Tech
    • Block Chain
    • Data Analytics
    • Robotics
    • Disaster Recovery
    • Marketing
    • Workflow Management
  • Industry
    • Retail
    • Healthcare
    • Construction
    • Pharma
    • Education
    • Textile
    • Aerospace and Defense
    • Banking
    • Smart City
    • Oil and Gas
    • Telecom
    • Travel & Hospitality
    • Agri Tech
    • Media & Entertainment
    • Logistics
    • Manufacturing
    • Legal
    • Government
    • Real Estate
    • Automotive
    • Food and Beverage
    • Biotech
    • HR
    • Insurance
    • Energy and Utilities
    • Contact Center
    • Capital Market
    • Chemical
    • Sports
  • Solution Providers
    • Aerospace and Defense
    • Agri Tech
    • Artificial Intelligence
    • Automotive
    • Banking
    • Capital Market
    • Cloud Technology
    • Collaboration
    • Construction
    • Contact Center
    • CRM
    • Cyber Security
    • Data Analytics
    • Disaster Recovery
    • EAM
    • ECM
    • Energy and Utilities
    • Enterprise Architecture
    • Enterprise Security
    • Fintech
    • Government
    • Healthcare
    • HR
    • Insurance
    • IOT
    • Legal
    • Logistics
    • Manufacturing
    • Marketing
    • Oil and Gas
    • Pharma
    • Retail
    • Risk Management
    • Smart City
    • Supply Chain
    • Top CEOs
    • Women in Tech
  • Magazines EditionsWhat's New
  • News & PR
    • News
    • Press Release
  • CXO Thoughts
  • Featured Articles
  • Top CEOs
  • Events
No Result
View All Result
MYTECHMAG-A Leading Technology Magazine
No Result
View All Result
Home CXO Thoughts

The key Trends in Payment Authentication

Stephanie El Rhomri by Stephanie El Rhomri
October 6, 2021
in CXO Thoughts, Executive Voice, Fintech
Stephanie El Rhomri

Stephanie El Rhomri, VP Testing Services, Fime

33
SHARES
130
VIEWS

Across both in-person and online payments, consumer demands have significantly increased. Easy, interconnected payment solutions are now expected, leaving merchants constantly looking for ways to provide a seamless checkout experience and increase revenues. One difficulty that merchants face is that cart abandonment is extremely high, with over two thirds of purchases canceled before checkout. Some of these purchases are not completed due to frustration caused by the long or complex checkout process.

What’s more, merchants need to adapt to changing consumer needs, which have altered dramatically over the course of the pandemic. The volume of e-commerce transactions increased by 33.6% over the course of 2020, and this trend looks set to outlast the pandemic. However, where the money goes, fraudsters follow, with instances of fraud increasing by a fifth over the past year. This highlights that merchants need to balance security with convenience to ensure that transactions are safe and easy to make both in-store and online.

 

Biometrics – you are your password

One authentication method that continues to grow is biometrics. A user’s face, iris, fingerprint or even voice can be used to authenticate a payment. Users have become more familiar with this technology in recent years, as it has overtaken PIN authentication to secure access to mobile devices. We are now seeing this success transfer to payment authentication.

One example of its success is the huge increase in the use of mobile wallets such as Google Pay and Apple Pay. This technology allows consumers to use their face or fingerprint to authenticate a payment on their mobile device for an in-store or remote payment. When using this payment method in store, users can ‘tap into’ both the hygiene and convenience benefits of contactless while feeling confident about the security of their transaction.

Another use case that combines the ease of contactless with the security of biometrics is payment cards with fingerprint sensors. These cards allow consumers to tap and pay without having to worry about contactless spending limits. The security of these cards far exceeds that of traditional contactless cards, while also having the potential to be linked to loyalty schemes, increasing the likelihood of repeat purchases. With the significant growth of contactless payments in recent years leading to even more banks trialing this technology, we can expect to see an increased uptake of this.

 

EMV® 3DS – Secure and seamless

EMV®* 3-D Secure (EMV 3DS) is another technology that is gaining traction globally. It takes the form of a messaging protocol, which is used to identify and verify cardholders for card-not-present transactions with data.

To confirm that the consumer making the purchase is the actual cardholder, the merchant sends data about the transaction, payment method and device information to the issuer. The issuer then reviews the data, performs the type of authentication needed and processes the transaction.

This process results in increased transaction approval rates, reduced fraud and a better user experience. Globally, EMV 3DS transactions have grown by 79% over the past 18 months. And, with the specification constantly being updated to meet evolving industry requirements, we can expect that adoption to continue. For example, EMVCo recently released guidelines on the EMV 3DS user interface (UI) and user experience (UX) design to help card issuers, merchants and solution providers to take a consistent, familiar and efficient approach. This instils consumer trust in the authentication process and optimizes the checkout experience. EMVCo has also recently published the EMV 3DS Payment Token Message Extension. This assists card issuers and merchants in improving the authentication experience for online shoppers when EMV Payment Tokens are in use, further enhancing the fraud-prevention benefits that EMV 3DS provides.

 

A changing landscape

This growth of both EMV 3DS and biometric authentication can be attributed to more than just the requirement for secure and seamless shopping experiences throughout the pandemic. Regulation also plays a part. Payments stakeholders in Europe must now ensure that they are compliant with Strong Customer Authentication (SCA) as part of the European Union’s Payment Services Directive 2 (PSD2). SCA is a mandate that requires payments authentications to use two or more elements of the following:

  • Knowledge – something the user knows (e.g., a password).
  • Possession – something the user has (e.g., a smartphone).
  • Inherence – something the user is (e.g., a biometric authenticator such as a fingerprint).

Payments that don’t meet these requirements will be rejected, meaning that stakeholders must build additional layers of authentication into their checkout flows. But with specifications to adhere to, regulations to navigate and technical complexities to consider, it can be hard to know where to start.

It is also worth noting that no authentication technology itself is a ‘silver bullet’. There are multiple considerations to be made to ensure that an effective online transaction risk assessment process is in place. A consultant with a broader view of the payments ecosystem can ensure the bigger picture is taken into account from the start of projects.

Fime’s long history supporting the industry’s digital transformation and long-standing participation in technical associations such as EMVCo, FIDO Alliance and W3C enable us to deliver unrivalled expert support for your projects.

Source Link: https://www.fime.com/blog/blog-15/post/the-key-trends-in-payment-authentication-327

Source Link: https://financialit.net/blog/payment/key-trends-payment-authentication

Stephanie El Rhomri
Stephanie El Rhomri
VP Testing Services at Fime

Fime enables its clients to create and launch trusted and secure solutions with consulting and testing services in payments, smart mobility, biometrics, authentication, and open banking. It offers a global cross-industry perspective, local insight, and unique heritage in testing and certification. Fime’s consultants provide transformative business expertise, partnering with organizations worldwide to define, design, deliver and test their products and services. With 400+ experts around the world, Fime works strategically to help its clients turn ideas into reality, swiftly take products to market, and achieve a competitive advantage. Working together, Fime turns powerful innovations into the future of trusted transactions.

Share2Tweet8Share13
Previous Post

Total Expert Elevates the Journey with Accelerate 2021

Next Post

The IoT is Breeding Killer Botnets. Device Authenticity and Data Integrity Can Save It

Related Posts

Tom Rossiter
Real Estate

RESAAS Pay: The Real Estate Industry’s First KYC and AML Compliant Broker-to-Broker Payment System

June 7, 2022
Nazar kvartalnyi
Banking

Should You Get Used To The New Online Payment Trend?

June 1, 2022
PayNways
Fintech Solution Providers

100% Focus On Payments Processing

May 18, 2022
Next Post
Julian Durand

The IoT is Breeding Killer Botnets. Device Authenticity and Data Integrity Can Save It

Tweets by MyTechMag
MYTECHMAG

Transforming news into insights, not only do we serve as a source of information but as the breeding ground for innovative ideas and exchange of breathtaking strategizes that can make a difference in your technological understanding.

Follow Us

  • Home
  • About Us
  • Disclaimer
  • Privacy Policy
  • Terms of Use
  • Sitemap
  • Subscribe
  • Contact Us
  • RSS
  • Write For Us

Recent Posts

Flow Forma

FlowForma advances US growth with opening of New York office

March 24, 2023
How to Get More Positive Reviews for Your Products

The Ultimate Guide to Getting More Product Reviews

March 23, 2023
  • About
  • Privacy & Policy
  • Contact

© Copyright © 2023 MYTECHMAG. All Right Reserved.

No Result
View All Result
  • Home
  • Technology
  • Industry
  • Solution Providers
  • Magazines Editions
  • News & PR
    • News
    • Press Release
  • CXO Thoughts
  • Featured Articles
  • Top CEOs
  • Events

© Copyright © 2023 MYTECHMAG. All Right Reserved.

Company Of The Month

Infoclutch Inc

Explore Untapped Market With Pristine B2B Data