Menu
Payments providers team with Visa to bolster card security

Payments providers team with Visa to bolster card security

Credential-on-file tokenisation will protect key payment card data

Technology to protect card data could boost retail and online sales

Technology to protect card data could boost retail and online sales

Credit: Photo 97877809 © Paulpaladin - Dreamstime.com

NZ's major payments companies have committed to rolling out new payment technology in partnership with Visa, and make the country one of the first to use credential-on-file (COF) tokenisation.

COF technology will strengthen e-commerce security, enhance conversion rates and deliver a simpler payment experience online as well as making savings for businesses, Visa said.

Adyen, Bambora, Cybersource, Paystation by Trade Me, and Windcave have committed to COF tokenisation to replace card details such as account numbers and expiry dates with unique digital identifiers, or token, that are used for payment without exposing sensitive information. 

Each token is merchant-specific, so can only be used with the merchant where it is stored, removing any incentive for hackers to try to steal the account data and decreasing the risk of data breach attempts. 

“This commitment to drive tokenisation across the industry represents a win for New Zealand businesses, consumers, financial institutions and payments companies alike," said Riaz Nasrabadi, Visa’s head of product for New Zealand and South Pacific.

"The technology enhances consumers’ experience, enables retailers to retain consumer loyalty and protects all businesses from fraud.

"With the advent of open data and the creation of new experiences based on data, initiatives such as tokenisation will ensure consumer data is protected and held securely.”

COF tokenisation also enables businesses to have consumer payment details instantly refreshed when a card is lost, stolen or expires, meaning there is no need for the consumer to log in and update their details, or for the business to lose out on that payment cycle.

It is a win for merchants too, Visa said, with higher conversion rates and less time spent chasing payments likely to result in savings.

The automated process could also help prevent online merchants from missing out on subscription renewals.

A YouGov survey showed that with tokenisation in place protecting card details, 37 per cent of New Zealanders said they would be more likely to purchase from small retailers, 46 per cent would be more trusting of online businesses, and 36 per cent said they would buy from retailers they had not bought from in the past.

“New Zealand businesses, including retailers, are operating in an increasingly competitive and global landscape, in which every dollar not spent on addressing problems could be invested in business growth," Nasrabadi said. 

"The opportunity to enable this growth for Kiwi businesses is the motivation driving this cross-industry collaboration."


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags credit cardsvisaonline paymentsPaymentsTrade MeCyberSourceAdyenPaymarkpayment technologyBambora

Events

Featured

Slideshows

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

This exclusive Reseller News Exchange event in Auckland explored the challenges facing the partner community on the cloud security frontier, as well as market trends, customer priorities and how the channel can capitalise on the opportunities available. In association with Arrow, Bitdefender, Exclusive Networks, Fortinet and Palo Alto Networks. Photos by Gino Demeer.

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security
Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomed 2019 inductees - Leanne Buer, Ross Jenkins and Terry Dunn - to the fourth running of the Reseller News Hall of Fame lunch, held at the French Cafe in Auckland. The inductees discussed the changing face of the IT channel ecosystem in New Zealand and what it means to be a Reseller News Hall of Fame inductee. Photos by Gino Demeer.

Reseller News welcomes industry figures at 2020 Hall of Fame lunch
Show Comments