PayPal Adds In-Store Solutions With iZettle Acquisition

Retail TouchPoints – PayPal will acquire iZettle, a small business commerce platform operating in Europe and Latin America, for $2.2 billion. The deal will combine iZettle’s in-store solutions with PayPal’s global scale and mobile and online payment systems.

PayPal will gain in-store capabilities in Brazil, Denmark, Finland, France, Germany, Italy, Mexico, The Netherlands, Norway, Spain and Sweden, where iZettle works with nearly 500,000 merchants. Additionally, the deal will open near-term in-store expansion opportunities in some of PayPal’s other markets, and accelerate the growth of its omnichannel commerce solutions in Australia, the UK and the U.S.

The move toward omnichannel could be beneficial for PayPal, as 81% of retailers are expected to deploy unified commerce platforms by 2020, according to a survey by Boston Retail Partners (BRP). As of February 2018, 28% of respondents were already using a single platform to support commerce for stores, mobile and the web.

Read Full Article: PayPal Adds In-Store Solutions With iZettle Acquisition

Keeping up with ways to pay

Albuquerque Journal — The evolution of money looks something like this: barter, coins, paper, plastic and now, phones. Ask local business owners what their payment preferences are these days, and you’re likely to hear a range of responses. While most customers are using multiple systems, such as paying electronically and using debit and credit cards and mobile apps, there still are consumers who prefer paying in cash or who can be persuaded by a business owner to write a check.

We’ve all encountered them: The home remodeler, the landscaper, the tailor at the dry cleaner, restaurateurs and food truck operators who are happy to accept payments other than plastic to avoid merchant fees on Visa and Mastercard transactions, the companies that handle about 70 percent of all credit card activity in the U.S.

The way consumers interact with money clearly is changing, and most small businesses are able to handle many payment methods. In the past 20 years, banks have pushed credit and debit cards at consumers, and shoppers have embraced the convenience and perks that come with plastic, such as receiving reward points and cash back and building a credit history

To get a glimpse of one aspect of commerce in America, look no further than your neighborhood Starbucks. The average Joe lining up for his morning cup of joe increasingly is paying with a mobile phone app heavily promoted by the coffee retailer. With more than 7 million active customers using the mobile payment system, Starbucks, based in tech-savvy Seattle, is looking to transform the way on-the-go coffee is selling today.

There are a multitude of mobile wallets and payment apps on the market today, Apple Pay has the largest percentage of supporting U.S. merchants, with 36 percent accepting the mobile payment service today, up from 16 percent last year, research released by Boston Retail Partners reveals.

PayPal falls in second place, with a 34 percent acceptance rate, followed by Mastercard PayPass (25 percent), Android Pay (24 percent), Visa Checkout (20 percent), Samsung Pay (18 percent), Chase Pay (11 percent) and private label mobile wallets with 4 percent, the 18th annual edition of the POS/Customer Engagement Survey shows.

Read Full Article: Keeping up with ways to pay

Survey: 81% Of Retailers Will Deploy Unified Commerce Platforms By 2020

Retail TouchPoints – Retailers understand that gaps between shoppers’ personalized experiences online and in brick-and-mortar stores are problematic, and they are employing technology to satisfy consumers across every channel, at any time and via the method of their choosing.

Boston Retail Partners (BRP) identifies cloud-based unified commerce — the use of a single platform to support commerce for stores, mobile and the web — as the linchpin to competing in a fast-changing, omnichannel environment. In an online survey of 500 top North American retailers, BRP found that 28% of respondents have already implemented unified commerce, more than three times the percentage (9%) reporting that capability last year. By the end of 2020, 81% of retailers will have deployed unified commerce.

“Retail and customer engagement models must transform,” said Brian Brunk, Principal at BRP in a statement. Because legacy retail applications and infrastructure are not equipped for today’s requirements, “retail winners in 2018 and beyond need to accelerate the transformation to cloud-based unified commerce.”

Three Top Customer Engagement Priorities For 2018

In its 2018 POS/Customer Engagement Benchmarking Survey, BRP evaluated retailers’ progress in implementing technology solutions to meet customers’ ever-rising expectations. Retailers’ three top priorities for 2018 are:

  • Customer identification/personalization of the customer experience (62%);
  • Alignment of the customer experience across mobile apps and the web (54%); and
  • Empowering associates with mobile tools (51%).

Read Full Article: Survey: 81% Of Retailers Will Deploy Unified Commerce Platforms By 2020

NRF 2018: Fireside Chat with BRP’s Perry Kramer

YouTube – Joe Mach, President of Verifone North America, sits down with Perry Kramer, SVP and Practice Lead at Boston Retail Partners, to discuss retail’s evolution to remain relevant in today’s digital world.

View Video: NRF 2018: Fireside Chat with BRP’s Perry Kramer

Should Your Small Business Accept Mobile Payments?

Business News Daily – In the past few years, you may have noticed a new kind of credit card terminal at cash registers, one that customers wave their smartphones over. These new mobile payment systems that use NFC technology have been cropping up everywhere, with companies like Apple, Samsung and Google hoping to make their mobile phones a new replacement for your credit cards.

Since going online in 2014, Apple Pay has been available to the roughly 90 million U.S. iPhone owners, with alternatives made available to Samsung, LG and other Android smartphones. However, most smartphone owners have not been using these virtual wallets.

While using your smartphone to pay for groceries, gas and other goods hasn’t become as synonymous as using your debit card, consumers are still interested in the convenience of carrying their cards with them virtually in their phone. According to a Boston Retail Partners study, Apple Pay, the most popular mobile wallet is currently accepted by 37 percent retailers, with 40 percent planning on accepting it in the near future. Apple’s competitors aren’t far behind either.

The more retailers offer the option for contactless, mobile payments, the more consumers will realize that it’s a viable option for payment, and vice-versa – as confidence builds that their private information will be kept secure, consumers will drive demand for more vendors to provide NFC contactless readers at the register.

Read full article: Should Your Small Business Accept Mobile Payments?

The Most Popular Mobile Payments Platform Might Surprise You

Payment Week – A recent study from Boston Retail Partners managed to pin down what mobile payments platform is the most popular right now. Right now, the study points to Apple Pay as being the most popular, thanks to a hefty number of retailers that accommodate the system.

The Boston Retail Partners study found that 36 percent of North American retailers take Apple Pay, and another 22 percent are planning to do so within a year of the study being taken. While Apple Pay had some real trouble getting started—better than 97 percent of the merchants in the United States didn’t have the necessary near-field communications (NFC) terminals required to let Apple Pay work—three years later, many businesses made such upgrades.

That led Apple’s Luca Maestri, its chief financial officer, to declare Apple Pay “…by far the number one NFC payment service on mobile devices, with nearly 90 percent of all transactions globally.” Recently, Apple Pay added another four countries to the roster of lands that accept Apple Pay, which gave the company a score of 20 such nations overall. It also shows no signs of stopping; it’s planning to carry on with that expansion for at least some time to come.

Read full article: The Most Popular Mobile Payments Platform Might Surprise You

Here's Why Apple Is Poised To Outperform

Seeking Alpha – Cupertino-based Apple (NASDAQ: AAPL) has a long history of topping Wall Street estimates and the iPhone maker is set to repeat it after the closing bell today. According to Zacks Equity Research, the iPhone maker is expected to earn $1.86 per share on revenues of $51.2bn in the fiscal fourth-quarter 2017, up from $1.66 per share on $46.6bn in the year-earlier period. iPhone shipments, which constitutes between 60% and 65% of Apple’s sales, are projected to reach 46.4 million units in the fiscal fourth-quarter 2017, backed by accelerating sales of iPhone in China. This represents a 2.1% increase from 45.5 million units shipped in the year-earlier period.

While iPhone continues to be the major driver of its top line, Apple’s services segment consisting of App Store, Apple Music, Apple Pay and other services has become a major growth catalyst with over 185 million subscribers. With the release of iOS 11, the company expects to pull in more revenues from its App Store during the quarter. Revenues from iTunes, software and services are expected to be $7.6bn in the fiscal fourth-quarter 2017, up a staggering 20.4% from last year. Additionally, Apple is witnessing strong demand for iPad among schools driven by the wide range of multimedia features of iOS applications focused on the education sector. For the fiscal fourth-quarter 2017, iPad shipments are expected to reach about 10 million units, up 7.4% from the last year.

The iPhone maker is also giving stiff competition to the online payment giant PayPal (NASDAQ: PYPL) in the digital payment space. According to a new research from Boston Retail Partners, 36% of North American retailers are accepting Apple Pay, more than any other payment method, and another 22% plan to accept the Apple’s payment solution within the next 12 months. On the other hand, PayPal is currently being accepted at about one-third of North American retailers, and that is expected to rise to more than half within the next year – yet still short to take the No. 1 spot. Total transaction value of US digital payments is forecast to hit $738.3bn in 2017 and is expected to grow at an annual rate of 12.8% to reach $1,194.4bn by the end of 2021.

Read Full Article: Here’s Why Apple Is Poised To Outperform

Guess Which Digital Payment Method Is Most Popular (Hint: It Isn't PayPal)

The Motley Fool – Mobile payments will eventually replace credit cards. The dynasty of credit card companies is coming to an end. So says CEO Michael Corbat ofCitigroup Inc. (NYSE:C), the world’s largest provider of credit cards. In an exclusive interview with The Australian Financial Review, Corbat said, “We know, at some point, cards are going to go away, and it’s just going to be digital wallet, digital payments.”

That type of pronouncement by an industry leader in credit cards confirms a trend that many had already recognized — digital payments are the wave of the future, and the future is arriving more quickly than you might think. In a recent survey, 64% of consumers reported having made a mobile payment in the past 12 months, and the total transaction value of digital payments is forecast to top $738 billion this year.

New research from Boston Retail Partners reveals that 36% of North American retailers accept Apple Inc.‘s (NASDAQ:AAPL) Apple Pay, more than any other payment system. Another 22% say they plan to accept the iPhone-maker’s payment solution with the next 12 months.

Read full article: Guess Which Digital Payment Method Is Most Popular (Hint: It Isn’t PayPal)

Three years after it launched, Apple Pay is finally starting to gain traction with retailers

Business Insider – Although Apple announced Apple Pay to much fanfare three years ago, the mobile payment service has struggled to gain traction since. Only 27% of eligible iPhone owners have ever used Apple Pay and only 8% use it every week, according to payment systems consultant First Annapolis.

But there are signs that Apple Pay, which allows users to store their credit cards in their iPhones and to buy things in stores by tapping their devices on compatible payment card readers, is finally starting to catch on. When people do make mobile payments, they’re almost always using Apple Pay, according to Apple. Meanwhile one of the big problems that’s slowed adoption — the large number of retailers that don’t accept mobile payments — is starting to be solved.

Already more widely accepted than PayPal, Apple Pay should be accepted by nearly half of all retailers within the next year, as this chart from Statista, which is based on data from Boston Retail Partners, indicates.

Read full article: Three years after it launched, Apple Pay is finally starting to gain traction with retailers

Online Fraud has increased 137% post-EMV – Are you Protected?

Online Fraud has increased 137% post-EMV – Are you Protected?

According to a new white paper from BRP, fraudsters have become more sophisticated and retailers need to adapt new security tactics to protect their customers’ payment card and personal data. The Payment Security Update: What’s Next After EMV white paper provides retailers practical tips on how to improve payment and data security across all channels.

“While EMV has received most of the attention in the last few years, there are several other critical security strategies that play a much greater role in protecting sensitive payment card and personal information,” said Perry Kramer, vice president and practice lead at BRP. “It is imperative that retailers have the right strategies and controls in place to thwart the ever-increasing advances made by fraudsters.”

EMV doesn’t really offer data security functionality, for that, retailers need to look to end-to-end encryption (E2EE) and tokenization. BRP’s 2017 POS/Customer Engagement Survey recently found that 68% of retailers have implemented E2EE and 48% have implemented tokenization of payment data. Increasingly, retailers realize that simply meeting PCI compliance standards is no longer sufficient to protect customer data.

“Hackers are becoming increasingly sophisticated, requiring organizations to re-analyze and revamp their current security protocols to adequately protect their customers’ payment and personal data,” said Ryan Grogman, vice president at BRP. “Retailers who have not implemented these technologies are at high risk, as the likelihood of being targeted by hackers increases every day.”

This white paper provides insights on the following topics:

  • Baseline Payment Security Measures
  • A Multi-Tiered Security Approach
  • The Rapid Growth of Omni-Channel Transactions’ Impact on Tokens
  • The Shift to Online Fraud
  • Increased Mobile Transactions Create Additional Security Complexities
  • Quick Wins to Beat Online Fraud
  • Quick Hit Protective Tactics

I encourage you to download and read the complete white paper:

Payment Security Update: What’s Next After EMV?

I appreciate your opinions and insights on this topic.  Please share your comments below.