Credit Card Data Security

Are Consumers Still Concerned About the Security of Their Payment Card Data? Perception often times affects the reality of business, even if that perception is wrong. A case in point is the fact that, according to Transaction Network Services, a telecommunication and financial data solutions provider, 85 percent of adults within the United States, Australia and the UK believe that fraud attempts targeting credit and debit cards are on the rise.

This leaves merchant banks in a peculiar situation, where the most effective marketing technique involves assuaging these fears. Customers have the expectation that their data will be kept safe every step of the purchasing journey, and they expect strong security controls in place throughout the process. Furthermore, these security measures have to be reinforced every year in order to keep up with hackers.

The survey from TNS also shows that consumers have less faith in in-person card transactions, even though in-store data breaches are fewer in number than online breaches. Part of the blame for this perception falls on the press, because in-store breaches are reported more often than their online counterparts.

Still, despite these perceptions, card transactions are still flowing in, due to their accessibility and features. However, merchant banks and retailers can gain a competitive advantage by tailoring their marketing message and techniques to address security concerns. Features such as text alerts of card activity and two-factor authorization spring to mind. It’s important to keep in mind accessibility though. A big draw of cards is ease of use, and too many security measures can prove detrimental if they affect the transactional experience.

Perception vs. Reality

The perception around credit and debit card fraud is indeed skewed, but not by much. In a 2017 Verizon study, it was found that nearly half of surveyed companies failed to protect payment card data on an ongoing basis!

With astronomical numbers, it’s no surprise that 34 percent of shoppers hesitate to use cards online, while 29 percent are hesitant about in-store purchases, according to a Bizrate survey of 4902 respondents.

These security concerns can be a big drain on a retailer’s income, since credit and debit card purchases have been shown to boost sales. By implementing a few measures, with the help of a capable merchant banker, can help gain a customer’s trust and encourage more purchases. This is especially important for retailers who heavily rely on online purchases.  In order to encourage online purchases using cards, companies can use trust symbols such as those from TRUSTe, Charge.com, or the Better Business Bureau.

For more information about secure card transactions, or to sign up for a merchant account, please call (888) 924-2743 or go to Charge.com.