Safeguarding the payment experience through contactless

July 01, 2020

Research suggests cardholders are getting on board with contactless payments in 2020. So, how do you ensure your business is ready? Let’s look at three considerations.

 

The ability to accept contactless payments should be an essential component of operating safely and minimizing the spread of germs. Contactless cards, smart phones and smartwatches are all convenient and quick ways to pay while avoiding contact at the point of sale.

From paying at the table in restaurants to shopping via a smartphone app and using Apple Pay, offering alternative payment methods, gives customers peace of mind while enabling you to meet market demand. 2020 is the year that contactless payments will finally gain strong adoption from both issuers and cardholders while we navigate what commerce means in the future.

According to 451 Researcher’s customer surveys, of the nearly two in five (39%) U.S. cardholders that noted they have already received a contactless card, more than three in five (61%) said they’re using it. Additionally, 48$ of cardholders who have received a contactless card from their bank said it has led to using the card more often.

The card brands are taking noes as well. Visa announced in Q4 2019 that 100 million Visa-branded contactless cards have issued in the U.S. with plans to surpass 300 million issued by the end of 2020. Visa and pymnts.com’s recent study, How We Will Pay, states the reason consumers are interested in contactless payments is because they are looking for faster (69%), more secure (43%) and convenient (69%) payment experience.

So, what does this contactless adoption mean for your business? Ensure you’re ready to meet cardholder demand and give customers the choice to safely pay their way. Much like EMV adoptions in 2015, cardholders are getting on board with contactless payments in 2020. So, how do you ensure you are ready? Let’s look at three considerations.

 

2 considerations for contactless payments

1. Be sure your payment solution accepts NFC payments

Whether it’s key fobs, smartphones or contactless/”tap and go” cards, Near Field Communication (NFC) technology enables you to future-proof your business with a long-term payment solution. Investing in a device that accepts these payments methods is not only smart, but economical in the long term. If you’re looking for a more cost-effective solution in the near term, ask your payments provider about its equipment rental programs. This approach can offset the initial cost of purchasing devices for your business.
 

2. Accepting contactless payments is inherently more secure

Contactless cards and mobile wallets can provide stronger security than traditional payment methods through tokenization technology. A token replaces a cardholder’s payment card numbers, rendering the information useless to hackers in the event of a breach event. Increasingly, modern payment devices and solutions help mitigate the risk of potential data breaches and the resulting reputational and financial loss through enhanced payment date security.

As payments increasingly become more a connected experience, setting your business up for these payments methods ensures you are offering a more convenient, safe and frictionless experience for your customers. Exceeding your customers’ expectations could make the difference in increased sales and long-term loyalty.

 

Are you ready? Elavon is your global and trusted partner that offers contactless payment solutions that can help you effectively manage your new business reality. To learn more, contact us to get started.

Related content

What financial advice would you give your younger self?

10 ways to increase your home’s curb appeal

Webinar: CRE technology trends

Restaurant surveys show changing customer payment preferences

Enhancing the patient experience through people-centered payments

Digital trends poised to reshape hotel payments

Automate escheatment for accounts payable to save time and money

3 benefits of integrated payments in healthcare

Improve government payments with electronic billing platforms

Car shopping: Buying versus leasing your next vehicle

What you should know about buying a car

Should you buy a house that’s still under construction?

5 things to avoid that can devalue your home

9 simple ways to save

3 awkward situations Zelle can help avoid

Here’s how to create a budget for yourself

Money Moments: How to manage your finances after a divorce

A passion for fashion: How this student works the gig economy

Money Moments: 8 dos and don’ts for saving money in your 30s

Travel for less: Smart (not cheap) ways to spend less on your next trip

Understanding guardianship and power of attorney in banking

What’s in your emergency fund?

What you need to know about renting

From LLC to S-corp: Choosing a small business entity

6 things to know about long-term care insurance cost and benefits

Do I need a financial advisor?

6 tips for trust fund distribution to beneficiaries

Preparing for retirement: 8 steps to take

How to build wealth at any age

How to manage your money: 7 tips to improve your finances

LGBTQ+ financial planning tips

Investment strategies by age

Should I itemize my taxes?

Your 5-step guide to financial planning

What is Medicare? Understanding your coverage options

Myth vs. truth: What affects your credit score?

More payment options create checkout success

Want AP automation to pay both businesses and consumers?

Military homeownership: Your guide to resources, financing and more

Home buying myths: Realities of owning a home

5 financial goals for the new year

Retirement savings by age

Annual insurance policy review checklist

How I did it: Turned my side hustle into a full-time job

Retirement plan options for the self-employed

5 reasons why couples may have separate bank accounts

It's possible: 7 tips for breaking the spending cycle

Closing on a house checklist for buyers

Access, flexibility and simplicity: How governments can modernize payments to help their citizens

How to plan and save for adoption and in vitro fertility treatment costs

Multiple accounts can make it easier to follow a monthly budget

Is it time to get a shared bank account with your partner?

Don’t underestimate the importance of balancing your checking account

7 steps to keep your personal and business finances separate

Which is better: Combining bank accounts before marriage — or after?

ABCs of APIs: Drive treasury efficiency with real-time connectivity

30-day adulting challenge: Financial wellness tasks to complete in a month

Estate planning checklist: 8 steps to secure your legacy

8 steps to choosing a health insurance plan

Key milestone ages as you near and start retirement

How I did it: Bought a home without a 20 percent down payment

Estate planning documents: Living trusts vs. will vs. living will

Why estate planning is important

How a Health Savings Account (HSA) can benefit your retirement plan

Year-end financial checklist

Trends in economics, immigration and mobility policy

Finance or operating lease? Deciphering the legalese of equipment finance

Buying or leasing? Questions to ask before signing a contract

Insource or outsource? 10 considerations

The secret to successful service provider integration

Colleges respond to student needs by offering digital payments

6 timely reasons to integrate your receivables

Benefits of billing foreign customers in their own currency

Hospitals face cybersecurity risks in surprising new ways

Webinar: Robotic process automation

5 Ways to protect your government agency from payment fraud

Government agency credit card programs and PCI compliance

Modernizing fare payment without leaving any riders behind

Tap-to-pay: Modernizing fare payments pays off for transit agencies and riders

How real-time inventory visibility can boost retail margins

Escheatment resources: Reporting deadlines for all 50 states

Payment industry trends that are the future of POS

White Castle optimizes payment transactions

Managing the rising costs of payment acceptance with service fees

Three healthcare payment trends that will continue to matter in 2022

Webinar: CSM corporation re-thinks AP

Increase working capital with Commercial Card Optimization

Top 3 ways digital payments can transform the patient experience

Automate accounts payable to optimize revenue and payments

Ways prepaid cards disburse government funds to the unbanked

3 reasons governments and educational institutions should implement service fees

Webinar: AP automation for commercial real estate

Understanding and preparing for the new payment experience

Safeguarding the payment experience through contactless

COVID-19 safety recommendations: Are you ready to reopen?

Higher education and the cashless society: Latest trends

3 ways to make practical use of real-time payments

4 benefits to paying foreign suppliers in their own currency

Restaurant surveys show changing customer payment preferences

Unexpected cost savings may be hiding in your payment strategy

Digital trends poised to reshape hotel payments

Enhancing the patient experience through people-centered payments

Overcoming the 3 key challenges of a lump sum relocation program

How to sell your business without emotions getting in the way

5 steps to take before transitioning your business

10 tips on how to run a successful family business

Streamline operations with all-in-one small business financial support

How mobile point of sale (mPOS) can benefit your side gig

Talent acquisition 101: Building a small business dream team

Costs to consider when starting a business

How to test new business ideas

The costs of hiring a new employee

4 restaurant models that aren’t dine-in

How business owners are managing during the supply chain crisis

How to expand your business: Does a new location make sense?

Rethinking common time management tips

How to apply for a business credit card

How jumbo loans can help home buyers and your builder business

How to accept credit cards online

How Everyday Funding can improve cash flow

How a travel clothing retailer is staying true to its brand values

How to build a content team

Multigenerational household financial planning strategies

How to track expenses

How to manage your finances when you're self-employed

Good debt vs. bad debt: Know the difference

Reviewing your beneficiaries: A 5-step guide

How to talk about money with your family

Financial steps to take after the death of a spouse

Retirement advice: How to retire happy

Retirement income planning: 4 steps to take

Preparing for retirement: 8 steps to take

Working after retirement: Factors to consider

4 steps to finding a charity to support

Year end tax planning tips

Tips for navigating a medical hardship when you’re unable to work

11 essential things to do before baby comes

Checklist: 10 questions to ask your home inspector

Resources for managing financial matters after an unexpected death

What you need to know as the executor of an estate

When your spouse has passed away: A three-month financial checklist

What documents do you need after a loved one dies?

How to save money in college: easy ways to spend less

How I did it: Paid off student loans

Bank Notes: College cost comparison

Uncover the cost: Wedding

Uncover the cost: International trip

Tips to overcome three common savings hurdles

Adulting 101: How to make a budget plan

Personal loans first-timer's guide: 7 questions to ask

How can I help my student manage money?

Do you and your fiancé have compatible financial goals?

U.S. Bank asks: Transitioning out of college life? What’s next?

U.S. Bank asks: Do you know your finances?

Personal finance for teens can empower your child

How to save for a wedding

Dear Money Mentor: How do I set and track financial goals?

Lost job finance tips: What to do when you lose your job

Money Moments: 3 smart financial strategies when caring for aging parents

Money management guide to financial independence

7 financial questions to consider when changing jobs

P2P payments make it easier to split the tab

How to stop living paycheck to paycheck post-pay increase

How grandparents can contribute to college funds instead of buying gifts

How to open and invest in a 529 plan

Using 529 plans for K-12 tuition

Parent checklist: Preparing for college

What to consider before taking out a student loan

How to use debt to build wealth

Dear Money Mentor: How do I begin paying off credit card debt?

For today's homebuyers, time and money are everything

Crypto + Homebuying: Impacts on the real estate market

House Hacks: How buying an investment property worked as my first home

Your guide to breaking the rental cycle

4 ways to free up your budget (and your life) with a smaller home

Money Moments: Tips for selling your home

First-time homebuyer’s guide to getting a mortgage

Beyond the mortgage: Other costs for homeowners

10 questions to ask when hiring a contractor

Take the stress out of buying your teen a car

Questions to ask before buying a car

Start of disclosure content

Loan approval is subject to credit approval and program guidelines. Not all loan programs are available in all states for all loan amounts. Interest rate and program terms are subject to change without notice. Mortgage, Home Equity and Credit products are offered through U.S. Bank National Association. Deposit products are offered through U.S. Bank National Association. Member FDIC.