Over the last few years, there have been several major shifts in the retail industry. Business owners have had to deal with the growth of e-commerce, mobile devices and social media. Each of these has added new challenges to how organizations operate and more changes are projected in the future.
One of the biggest changes in the pipeline is the use of EMV or chip-and-card technology. It was a major topic during the recent Senate Judiciary Committee hearing earlier this month and both MasterCard and Visa have roadmaps and deadlines in place that will see the technology spread and be mandatory by 2015.
A recent article from the Wall Street Journal features an interview with MasterCard’s expert on all things related to EMV technology, Carolyn Balfany. She mentions that many organizations around the world are already using this technology.
“U.S. consumers are already pretty aware of the chip and PIN system, because most of the rest of the world has already migrated,” Balfany said. “And we would expect in the wake of these latest breaches and the media coverage that awareness is now even higher. And as banks issue consumers their new cards, they will get information explaining the system and all the benefits, and obviously how to use it.”
The next two years are going to be interesting for the payments industry. Retailers will need to not only upgrade the hardware for accepting payments, but also the point of sale system software to ensure everything is managed properly. Technology is changing and businesses that do not adapt will run the risk of being left behind.