Internet shopping and the importance of a secure payment method
Commercial developments on the Internet are expanding. More and more, better and faster online shops provide an unprecedented flight in digital business. There are plenty of opportunities but at the end of the ordering process it comes ultimately about the consumer confidence in the payment method.
Confidence
There are 3 factors that determine trust in the payment:
1. The technical safety of the shop
2. The reliability of the entrepreneur
3. The safety of the selected method of payment
Fraud
As the owner of a shop however, you, in your turn need to have confidence that the customer will actually pay. A common method of fraud is that a product is ordered on someone else’s name but is delivered at the scammers adress. Large shops have therefore improved security in PCI DSS (Payment Card Industry Data Security Standards) but as a small or medium-sized merchant you will recognize fraud less quickly.
The ideal payment method
Of course, it is important to have a good payment arrangement.
In the netherlands IDeal is currently by far the most popular method of payment. You can chose wether your bank or a Payment Service Provider arranges that for you.
Payment Service Providers arrange multiple secure payment methods to your customers. They offer not only IDeal but also PayPal and credit cards. Or foreign payment methods if you go on the web internationally. Payment Service Providers focus on a pure safe payment environment. With that you and your customers can be assured of a safe, fast and effective payment process.
Payment Service Providers as Square (USA), Payleven (DE) Powa (GB) and even the Dutch Adyen offer a Point Of Sale terminal (or device) that you can plug in your mobile phone. With this terminal/device you can perfectly pay in shops and restaurants. But just imagine if your package delivery company would work with this. You do not need to offer a (expensive) COD method in your ordering process anymore. Your customers can pay with a PIN code on the spot when the package is offered at the delivery adress. You know that you will receive your money and the customer is sure he receives his package. And the logistics provider has the advantage that he does not have to carry cash on the street. A win-win situation!
Payment by mobile device
Secure payment method
More and more entrepreneurs refuse cash payments. This is for example for the safety of personnel but also to reduce the risk of counterfeit money payments. Catering companies, stores, gas stations and banks have already united to promote safe pin payments.
This seems to be heading pin payments as the ideal secure payment of the future.
Rene Gouw