Three Quarters Of U.S. Merchants Still Don’t Have EMVMiCamp Solutions
Visa has recently released statistics for U.S. EMV adoption rates as of June 2016. This new data shows that only 28% of U.S. merchants are accepting EMV payments. The reason that many merchants are still not EMV compliant likely has to do with the lengthy certification process.
According to Alex Johnson, the director of the credit advisory service at the Mercator Advisory Group, “The challenge for many merchants has been getting their EMV–capable POS terminals certified and turned on by their merchant acquirers. The certification process has proven to be more complex and time-consuming than many had expected and thus there is a big backlog of merchants waiting to have their terminals certified.”
Many merchants have taken the necessary steps toward EMV certification – including upgrading their terminals to accept chip cards – but are waiting for other parties to complete their part of the process. Other merchants might be feeling overwhelmed with the certification process, causing them to delay implementing EMV.
All merchants should be aware that until they are EMV certified, they remain vulnerable to credit card fraud and chargeback fees. If a consumer makes a purchase with a chip card and the merchant cannot accept EMV payments, the merchant is now liable for any chargeback fees and must absorb the costs associated with a transaction that has been “charged back.”
EMV benefits a business by mitigating exposure to fraud and isn’t as difficult to implement as some may think. And Visa discovered that EMV-compliant merchants have seen instances of fraud decrease – some of those merchants have seen a 15 to 18 percent decrease over the course of a few months. A merchant can keep more of the revenue they earn when they’re protected against chargebacks; in fact, some of the saved revenue can be used to purchase newer, EMV-capable terminals. Another avenue for merchants concerned about the cost of EMV? A semi-integrated, PCI-compliant, EMV-capable solution that integrates to their existing point-of-sale (POS) system.
Merchants should upgrade to EMV as soon as possible to reduce their exposure to chargeback fraud and to increase their overall payment security. A semi-integrated solution with payment security technologies like EMV, tokenization, and encryption can help merchants reduce their PCI scope and extend the life of their existing POS. The best semi-integrated solution will also be able to accept the latest ways to pay, like Apple Pay and Samsung Pay. By accepting all the numerous ways there are to pay, a semi-integrated solution offers customers a more frictionless checkout experience, while securing sensitive payment card data and protecting a merchant’s brand from the negative effects of a data breach.
If you’re looking for an EMV-compliant and PCI-validated semi-integrated payment solution, get in touch with MiCamp today.