RSPA is a 60-year-old organization that was initially dedicated to the point-of-sale industry with membership exclusively made up of POS resellers. As of today, RSPA has transitioned to an industry association including all stakeholders of retail technology, POS, and beyond. Their mission is to accelerate the success of their members in the retail technology ecosystem by providing knowledge and connections as an industry indispensable resource.

As a long-standing RSPA member, ID TECH has always been invested in the growth of the retail sector and has recently developed and readied new high-tech countertop and mobile devices for releases starting in late fall. Similar to Jim Roddy, President & CEO at the RSPA’s sentiments in his blog RetailNOW 2022 Analysis: “RSPA 2.0” Features Managed Services, ISVs, and Sophisticated VARs, we consider RSPA’s RetailNOW event to be a valuable vehicle where we can take a step forward in becoming a global, full-service provider of retail and payment technologies.

ID TECH at RetailNOW

Similar to our time at Electronic Transact Association (ETA), we spent much of our time learning at RetailNOW 2022.  The arrival of the pandemic flipped the retail sector on its head. Many non-essential retail stores had to shut down for months which resulted in loss of revenue, staff, and a huge focus shift to omnichannel retail strategies. However, there were some advantages to the arrival of the pandemic. As a whole, the retail sector learned that many innovative technologies and trends were quickly adapted to accommodate the world’s changes.

 

Evolving Retail Trends 

At RSPA we noticed so many upcoming changes that would deliver experiences designed for this new evolution in consumer behavior such as:

1. Engagement Methods have Changed:

According to Insider Intelligence, retail stores are set to experience exponential growth in 2022 for some years after. With the necessary rise of online sales over in the last few years, shoppers have become accustomed to shopping around for their purchases. As a result, retailers are investing in customer loyalty programs, sustainable products, and faster services.

2. Technology Upgrades Are A Must:

According to the Business News Daily, in order for retailers to remain competitive they must invest in omni-channel experiences that can connect physical and digital shopping experiences. This includes customer-friendly online and in-person store navigation and quick checkouts that mirror the online “Add to Cart” in the form of mobile solutions. The article also noted the benefit of technology upgrades extends to employees as well since newer technologies can increase efficiencies in employee work experiences.

Our “Technology Upgrade” Partner 

In keeping to the latest mobile trends in hospitality, ID TECH released a mobile tableside order/pay solution with our RetailNOW booth partner, MTech Mobility.

In 2020, MTech Mobility worked with BJ’s Restaurants to create a tableside order/pay solution that was durable enough to weather the fast-paced, spill prone environment of a restaurant. MTech designed a customized solution using Samsung’s Galaxy Tab Active 3 tablet and ID TECH’s VP3300. With long battery life, water-resistant hardware, and durable casing, the rugged Samsung tablets eliminated the need for frequent, costly repairs.

MTech designed a custom case for the devices that integrates with credit card readers, as well as a fast-charging docking station—with charge indicator lights—that enables cable free charging and reduces clutter.  With MTech’s mobile management services, the tableside order/pay tablets were configured with all necessary apps and MDM enrollments, then deployed across all BJ’s restaurants nationwide.

“Our mobile deployment for BJ’s Restaurants enabled an elevated guest experience, a simplified server workflow, expedited orders sent to the kitchen, and reduced operational costs for BJ’s,” said Nick Schwarz, Director of Retail and Hospitality at MTech.

Read our case study about our ultimate mobile solution with MTECH here.

For more information on how technology was impacted by the pandemic, read our blog here.

 

A Full-Service Provider 

It’s no secret that ID TECH has made strides towards having a larger national and global presence in the payment’s world. We have worked hard in preparation of our next generation product release and attendees at RetailNOW were able to get a preview of what’s to come.

NEO 3

Earlier in the year, ID TECH announced that we would begin releasing our NEO 3 platform of products in the fall of 2022.  The NEO 3 products are a series of dynamic, ruggedly designed products that can be seamlessly integrated into multiple industries and environments.

RSPA attendees were able to see our sleekly designed NEO 3 products along with fully customized, operational demo units that showed our products integrated into multiple unattended payments environments. Any attendees that visited our booth were able to interact with our future facing devices with the tap, swipe, or insert of their phones or test cards.

 

For more information on ID TECH’s NEO 3 platform of products, please visit our NEO 3 webpage.

Concierge 

If you visited us at RSPA then you may have noticed our new product preview, Concierge. Concierge is a software payment solution that enables customers to remotely manage and control their ID TECH devices from any internet hosting system. With Concierge, customers can monitor device activity, monitor device statuses, support remote updates, and also support device maintenance.  Concierge can also do remote updates such as loading digital videos and displays, remote configurations and firmware updates, and estate definition and management.

“Concierge is an estate management system that enables users to track their device’s data, perform mass updates, set up media preferences, and remotely download applications onto host devices,” said Yvonne Ning, Senior Product Manager. “Its upcoming release is huge because it propels ID TECH into becoming a full-service provider.”

For more information about Concierge, click here.

 

What’s Next? 

In response to navigating the changing tradeshow landscape, ID TECH’s presence at in-person events has adjusted as well. 2022 has been a big year for ID TECH with us debuting our largest booth, a new catalog of products, updating our branding, and evolving our company further into future. For 2023, we still plan on developing our tradeshow presence, unique branding concepts, and innovative product releases.

 

“It’s an exciting time for the payments industry as we get back to in-person tradeshows, and it’s an especially exciting time for ID TECH with all of the new products we are preparing to release.  It was great to showcase our NEO 3 product line at RetailNOW, and we look forward to continuing to exhibit our newest products, technologies, and services at more shows in the near future,” said Lance Ning, VP of Marketing.

Thank you to everyone we met at RetailNOW 2022; we look forward to reaching out to you in the future or seeing you at other shows. We’d also like to thank our partner, MTECH; we appreciate them sending us their Infinity Series tablet to display at our booth. Lastly, thank you to our amazing staff members who came together and made RetailNOW 2022 another tradeshow success.

For more information on ID TECH’s NEO 3 platform of products, please visit our NEO 3 webpage.

 

About ID TECH

ID TECH is a global leader in payment peripherals, with sales, manufacturing, and R&D facilities worldwide. The company has become a well-established payment solutions provider with extensive experience in data capturing and encryption products and services. Designing dependable, feature-rich products has made ID TECH a leading supplier of MagStripe readers/writers, mobile payment readers, contactless readers, smart card readers, barcode readers, POS keyboards, signature capture devices, PCI-compliant PIN pads, and other specialty products for OEMs, VARs, resellers, distributors, and key end-users. ID TECH provides both standard and custom solutions to support customer requirements.

For more information, visit www.idtechproducts.com.

 

After a two-year hiatus filled with cancellations and virtual shows, ID TECH is happy to see in-person tradeshows have made a roaring comeback in 2022. With new team members, new products, and a new dedication to innovation, ID TECH has evolved since the start of the pandemic, and we were eager to show our customers and partners how far we’ve come.    

As a worldwide leading tradeshow association for the payment industry, the Electronic Transactions Association (ETA) has a reach of over 30 countries and 500 payment-related companies. ID TECH has been a member of ETA for years and, with its considerable influence on the payment industry, we knew it was a show at which we wanted to have a strong presence.

A New ID TECH

In the months leading up to ETA, ID TECH worked hard to prepare a tradeshow booth that would show our partners and customers all the updates we had made since the beginning of the pandemic.  

We created a brand new booth and updated our branding to complement our product launch of the brand new NEO 3 platform of products.  

NEO 3 

Starting in the fall of 2022, ID TECH is releasing our NEO 3 platform of products. The NEO 3 products are a series of versatile, ruggedly designed products that can be seamlessly integrated into multiple industries and environments.  

“NEO 3 is a state-of-the-art payment platform,” explains George Jiang, Chief Technology Officer. “Many hardware manufacturers didn’t invest in their products over the past few years. But ID TECH has been working on providing value to our partners and customers through this innovative product line. Plus, they look cool!”  

Our sleekly designed NEO 3 products were displayed at ETA along with fully customized, operational demo units to show our products integrated in multiple unattended payments environments, and all ETA attendees were the first to get a sneak peek.  

ID TECH at ETA

Like previous exhibit years, ETA was large, loud, and a little overwhelming, which all contributed to the excitement the ID TECH team felt while attending the show. 

Our newer and older staff members bonded over drinking, eating, and experiencing ETA from beginning to end. Other exhibitors attracted attendees to the booths with gourmet coffee setups and novelties like customized air-brushed clothing. ETA itself offered a broad selection of food, snacks, and drinks for everyone. The ETA staff was amazingly accommodating and made sure to include some “play” along with other typical tradeshow activities such as seminars and networking events.  

“My favorite part of ETA was having face-to-face, real-time interactions with partners and customers,” says Ginger Wu, Senior Product Manager. “Experiencing and seeing their reactions and instant feedback to ID TECH’s newest solutions and services was priceless.” 

Overall, ETA was the perfect event for our company to allow attendees to interact with ID TECH’s newest payment technologies and meet some of the people who created them. 

The Future

ID TECH plans to continue growing our presence at ETA and other tradeshows. The feedback we got from staff and attendees was extremely positive and a big encouragement towards our forward momentum.   

As we evolve our company, products, and brand to match the changing landscapes of different customer needs and emerging technologies, we’re happy to see that the events we attend and the customers we meet are receptive to “The New ID TECH” that is forming.  

“ETA was my first tradeshow with ID TECH and I couldn’t have picked a better one to start with,” says Ryan Maulit, Marketing Manager. “Everything we experienced was so positive. It made me really proud to be a part of ID TECH.” 

Thank you to everyone we met at ETA, partners and customers alike, and thank you to our amazing staff members who came together and made ETA a momentous experience for ID TECH as a company. 

For more information about the other events ID TECH will be attending, click here.  

For more information on ID TECH’s NEO 3 platform of products, please visit our NEO 3 webpage.   

About ID TECH

ID TECH is a global leader in payment peripherals, with sales, manufacturing, and R&D facilities worldwide. The company has become a well-established payment solutions provider with extensive experience in data capturing and encryption products and services. Designing dependable, feature-rich products has made ID TECH a leading supplier of MagStripe readers/writers, mobile payment readers, contactless readers, smart card readers, barcode readers, POS keyboards, signature capture devices, PCI-compliant PIN pads, and other specialty products for OEMs, VARs, resellers, distributors, and key end-users. ID TECH provides both standard and custom solutions to support customer requirements.   

For more information, visit www.idtechproducts.com. 

 

When we hover our phone or smartwatch over a payment system at our local grocery store, vending machine, parking terminal, or other retail location, we rarely stop and think about the technological advancements that have taken place to get us to this point. While we may not think about it often, there are many factors that have played into the evolution of payment solutions – including enhancements in technology, increased customer expectations, and trial and error throughout the years.

It is common knowledge that payments are a crucial step in the interaction between a customer and the company they are doing business with. Payment marks a successful customer exchange, so it is important for companies to leverage the best payment solutions on the market and tailor their payment processes to their customers’ preferences.

To give you a better understanding of the evolution of payment solutions and how we got to where we are today, join us as we take a walk down memory lane.

 

History of Payment Solutions

Over the years, we have used quite the variety of payment solutions, and it is remarkable to look back on the past to see how far we have come. Even before the use of technology for completing transactions, people around the world have used insightful systems to track and organize payments.

Before 3000 B.C. – The earliest form of payment was known as bartering. People would simply trade items that held significant value to the other person including grains, livestock, animal hide and more. One example of this is in ancient China, where shells were used as currency.

3000 B.C. – Barley was the first official currency in the world. Unlike bartering, where an item could be one man’s trash and another man’s treasure, barley was considered valuable across the board. According to Agriplastics Community, the most common measure to control the exchange of barley was the Sila, which would amount to approximately one liter.

600 B.C. – The first coins appeared all the way back in 600 B.C. in what is now western Turkey. Because the coins were often made of precious metals, they had to be weighed to determine value. For time saving purposes, leather money was created out of deer and other animal skin.

500 B.C. – Roughly 100 years later, the Chinese invented paper which they started using as an alternative to coins and leather. Countries around the world were quick to adopt the use of paper currency, as it could be easily mass produced and was more convenient to carry around than heavy coins and large pieces of leather. Paper currency was the primary form of payment for hundreds of years.

18^th Century – In the 1800s, England and the United States both established gold as their standard of value which meant that the value of any form of currency was decided by first determining its value in gold. As time went on, people found it increasingly frustrating to carry around large sums of money. This led to the invention of paper checks and by the mid-1800s, they were the primary means of conducting large transactions.

20^th Century – While there were many payment methods throughout history, nothing compares to the success of the plastic payment card. The first bank-issued plastic card was created in 1946 by John Biggins and it set the tone for the many decades to follow.

 

Modern Day Payment Solutions

As you can see, payment solutions have come a long way. As customer preferences are continuing to shift toward contactless payments, mobile wallets and the use of RFID technology within watches and other devices is becoming increasingly popular. And, the growth of the ecommerce industry has required companies to search for reliable and secure payment methods for their customers paying online.

 

Credit and Debit Cards

Today, credit and debit cards are the payment method of choice for most people. Over the years, card payments have evolved to include magnetic stripes, chips and Near-Field Communication (NFC), which enables contactless payments.

Mobile

In 1997, the first mobile payment transaction was conducted by Coca-Cola. They used special vending machines where customers could pay by sending text messages from their mobile devices. Today, mobile payments are a very popular and viable form of payment across the world.  Many devices nowadays have a “mobile wallet” feature that allows customers to quickly and easily make purchases in-stores and online, withdraw cash from ATMs, and transfer money from person to person.

Contactless

As we continue to navigate the unprecedented times of COVID-19, many people are looking for ways to limit their interactions with both people and objects. One way they’re doing so is by using contactless payment systems which work by utilizing Near-Field Communication (NFC), a short-range wireless technology that allows for the contactless exchange of data over short distances.

While contactless payments were around before the onset of the COVID-19 pandemic, people have been much more receptive to adopting them into their everyday routine in their efforts to avoid contracting the virus. Even in a post-COVID world, it is predicted that contactless payments will continue to rise. In fact, MasterCard polled 17,000 consumers in 19 countries and found that they perceive contactless payments as “the cleaner way to pay.”

Unattended

As technology continues to evolve, unattended payment solutions continue to rise. Today, unattended payment solutions are becoming the new norm and you do not have to look very far to find one. Parking, ticketing, and retail kiosks, as well as restaurant drive-thrus, vending machines, and pharmacy dispensers are all examples of unattended payment solutions. Although they lack human interaction, unattended payments are often quick, secure, and provide an overall convenient experience for customers.

Biometrics

If you’re unfamiliar with biometric payments, they are carried out by using your fingerprint or other body recognition to complete a payment. An example of this would be the use of face recognition on your smartphone to unlock it. The same technology is used today to make payments. According to Frost & Sullivan analyst Ram Ravi, palm reading, iris- and facial-identification biometrics are all experiencing rapid market expansion and are predicted to grow in popularity over the next several years.

Payment Solutions of the Future

While you can’t accurately foresee the future 100% of the time, there are things you can do to give you a better idea of where payment solutions are headed. Paying attention and analyzing your customers’ buying habits will give you insight into who they are, what they buy, how they make their purchases and what payment methods they prefer. You should treat this information like gold, as it will allow you to determine shopping patterns and payment trends in the years ahead.

As mentioned previously, enhancements in technology and the creation of new payment methods will play a major role in the future of payment solutions. In fact, today’s most popular  payment solutions may disappear altogether as new advancements are made. Based on current trends, contactless card payments, mobile wallets, and voice-based purchasing solutions are predicted to rise in the future.

 

ID TECH: Building Payment Solutions for the Future

ID TECH is focused on building payment solutions for the future. We strive to provide high-quality products for a variety of industries and do so through our strong commitment to innovation. At ID TECH, we understand the unique demands of each industry and design solutions to fit those needs, including the following:

ATM – Our products provide secure, rugged, and future-proofed hardware to ensure quality outcomes time and time again.

Loyalty and Access Control – Through our new tap-and-go technology, it is easier than ever for your customers to redeem rewards, access concerts or sporting events, provide authentication, and more.

Parking – ID TECH is a leader in the parking industry due to its focus on keeping your parking technology safe, efficient, weather resistant, and easy to maintain.

Transit – Our payment solutions for the transit industries are durable, reliable, fast, and easy to operate. Our rugged, sleek payment solutions create an enjoyable and simple user experience.

Vending – Our fast and easy-to-use technology allows customers to grab their desired item and go. Our products are designed to provide user-friendly interactions while utilizing the latest in payment technology.

 

See the Future of Payment Technologies at NRF

Many of the payment industry’s future facing technologies will be on display at the upcoming tradeshow, NRF 2021: Retail’s Big Show – Chapter One, including some exciting new technologies that ID TECH will be highlighting.  Stop by the ID TECH booth to speak with our experienced sales team about the future of payment technologies!

 

About ID TECH

ID TECH has established a solid reputation in the industry as a leading payment peripheral provider with magnetic stripe, EMV contact, and EMV contactless expertise. We are also an OEM payment solution provider with the capability and willingness to customize solutions to fit our customers’ needs. With a strong foundation and continued success rooted in card readers, ID TECH is currently expanding its reach in the ever-evolving payments industry.

To learn more about ID TECH, please visit our about page.

 

Digital loyalty programs are becoming an increasingly popular way for businesses to connect with their customers and gain market share. But as the use of mobile payment platforms increase, how do organizations utilize mobile payment hardware to successfully manage and track transactions, while creating an enjoyable purchasing experience?

As a global leader in payment technology, ID TECH is examining loyalty solutions in various industries to see what companies are doing to enhance customer retention and stay ahead of their competition. In our most recent blogs, we examined loyalty trends in the transit and vending industries. Now, join us as we explore the top loyalty trends in the mobile industry:

Loyalty Apps

Loyalty programs are a great tactic that companies can use to show customer appreciation and drive retention. Because we live in a technology-driven world, a majority of consumers have their own smartphone that they take wherever they go. As such, many companies are integrating their loyalty programs into applications. This allows consumers to keep better track of their rewards and influences them to make frequent purchases in order to earn rewards points.

Points and Rewards

Reward points can be earned via mobile app or through an in-store purchase. Customers that are a part of the loyalty program are able to cash in their points for special discount offers or free items. There are multiple ways customers can wrack up points:

• Social sharing to promote sweepstakes
• Checking in on social media and/or their loyalty app
• Participating in special offers, such as ‘Buy 2, Get 1 Free’ etc.
• Participating in gamification incorporations, such as ‘Spin the Wheel’

Mobile Coupons

Because everything is transitioning to mobile, companies are taking things such as coupons and making them available on technology as well. Now, customers don’t have to worry about going out, buying the local paper and cutting up coupons. They can simply subscribe to the store loyalty program and receive mobile coupons via email, text, or mobile app.

In-Store Sign-Ups

Although a majority of people are switching to mobile loyalty solutions, there is still some difficulty when it comes to getting previous generation to participate. To combat this, many companies have employees dedicated to helping them sign up while they’re in the store. They walk them through the process and get them set up.

The ID TECH Solution

ID TECH is a leader in providing innovative loyalty payment solutions to organizations across the globe. Through our new tap-and-go technology, it is easier than ever for your customers to redeem rewards, access concerts and sporting events, and so much more. In this age of online retail, retailers are competing to gain market share with new customers; boost your brand awareness, customer loyalty, and market share with ID TECH’s digital loyalty solutions.

One of our latest loyalty solutions, the VP3300, allows you to incorporate triple-tracks MagSTripe, smart card, and contactless technologies. This all-in-one reader enables the acceptance of NFC/ contactless payments including Google Pay, Apple Pay, Samsung Pay, Interac, MasterCard MCL, and more. Learn more about the VP3300 and download the datasheet here.

About ID TECH

ID TECH is a leading payment peripheral provider with expertise in magnetic stripe, EMV contact, EMV contactless, and OEM customization solutions.  We have a strong foundation and continued success rooted in card readers and are always expanding our product offering to provide innovative solutions for the ever-evolving payments industry.  Payment security is an integral part of our product offering, and ID TECH as a company prides itself at being at the forefront of payment security in our design, development, manufacturing, and sales processes.

To learn more about ID TECH, please visit our about page.

 

As part of our latest blog series, we’re taking a look at loyalty solutions in various industries to see what companies are doing to enhance customer retention and user experience. It’s no surprise that large retailers and brands have long used loyalty programs to entice and reward their top customers. In recent years, retail companies are also beginning to adopt loyalty solutions for vending machines as the preferences of their customers evolve. Here are some popular loyalty solutions in the vending industry right now:

Vending Machine Apps

Unlike brick-and-mortar merchants or eCommerce retailers, unattended vending machines do not have the luxury of leveraging a sales staff to get customers to sign up for loyalty cards at checkout or online. As a result, many vending loyalty programs have been integrated into mobile apps to ensure that a tailored customer experience is still created. This provides a perk for customers, who can keep better track of their rewards and see them when they are most relevant. Loyalty program applications enable machine operators to reward their frequent customers, increase sales through additional purchases, and win new accounts.

Points for Using Mobile Wallet

Many vending companies are implementing a loyalty initiative where customers can receive points for using their mobile wallet. The idea is that consumers get points or credit for using their mobile wallet at various vending machines. Once a customer racks up enough points, they get a free vending machine product.

Prepaid Card Incentives

Offering a discount to customers with prepaid cards – such as employee ID cards or gym membership tags – can be an effective incentive to push patrons toward choosing their prepaid card as their preferred payment method. The motivation to purchase from the vending machine, as opposed to going to a nearby physical store,  also needs to be acknowledged with the price differences in addition to convenience. Many vending machines are starting to offer different prices for various payment methods, and then advertising the multiple prices for one item to highlight the discount.

Reward Customers with Membership

Another great way to extend relationships with customers through a loyalty program is the idea of introducing membership levels. The machine can recognize  frequent customers and reward them based on their membership type. From there, the customer can receive special discounts or free credit.

The ID TECH Solution

ID TECH’s commitment to providing innovative and quality solutions for your digital loyalty program comes through in our vending line of products. Our newest one is the VP6800, which uses NFC technology to support contactless payments as well as loyalty and rewards features. It is a sleek, single piece solution certified with the latest contactless brand specifications and mobile wallet technologies. By supporting all the major card brands, along with Apple Pay, Google Pay, and Samsung Pay, every transaction is covered no matter what you tap!

In addition to contactless reading, the VP6800 also supports EMV chip as well as MagStripe card reading. With a wide temperature range, the rugged VP6800  is ideal for all environments. To learn more about the VP6800, click here.

About ID TECH

ID TECH has established a solid reputation in the industry as a leading payment peripheral provider with magnetic stripe, EMV contact, and EMV contactless expertise. We are also an OEM payment solution provider with the capability and willingness to customize solutions to fit our customers’ needs. With a strong foundation and continued success rooted in card readers, ID TECH is currently expanding its reach in the ever-evolving payments industry.

To learn more about ID TECH, please visit our about page.

 

In our previous article, we discussed Payment Trends in the Vending Industry and the technological advancements that have resulted from the changes in consumer behavior. Now, we will look at how mobile payment solutions are being rapidly adopted and integrated in stores and services across the world.  Applications such as PayPal, Apple Pay and Google Pay are becoming increasingly popular as the years go by. In fact, the mobile payments market is expected to reach a value of $4.69 trillion by the year 2025.

As mobile payments skyrocket, companies are investing in mobile payment technology and paying close attention to consumer behavior to get a better grasp of their payment preferences. Here are some of the top payment trends in the mobile industry right now:

Increase in mPOS

Mobile-point-of-sale (mPOS) technology allows businesses to take their payment solutions wherever their customers may be. With mobile payment solutions, they can accept payments even when they’re not physically in their designated storefront.

Take popular fast food restaurant Chick-fil-A, for example. When their drive thru is busy, oftentimes they have their employees walk around to each car with a mobile device where they then take your order and complete your payment. This allows them to speed up the checkout process and get their customers on their way faster.

More In-Store Mobile Payments

Many businesses have had the option of accepting mobile payments for some time now, however customers still preferred to pay with cash or credit card. Now, contactless payment methods provided by mobile companies such as Apple, Samsung, and Google are being adopted at a higher rate than ever before. Because they offer mobile wallets that allow consumers to pay without touching any payment terminals, along with the extra benefit of additional security and authentication features, customers have been more inclined to pay for their purchases with their mobile device.

While mobile wallet payments only amounted to $75 billion in 2016, they are forecasted to grow to $500 billion by the end of 2020 – or about 80% over five years. Visa reports that already “29% of Americans now make zero weekly purchases with cash, with the percentage of people who use cash for everything dropping from 24% to 18% since 2015.”

Biometric Authentication

Payment industries have long been looking for advanced security methods to ensure sensitive data is safe from outside tampering. Face and finger scanning are two of the top mobile security measures available right now and are quickly replacing passwords and other authentication measures.

As mobile payments increase, we are likely to see an increase in biometric authentication as well. Biometric authentication is used in computer science as a form of identification and access control. It has become a reliable way for merchants to verify the identity of their customers and partners, and has also proven effective for preventing mobile wallets from being hacked.

E-Commerce to Drive Mobile Payments

We live in a world where convenience is everything to customers. The increase in mobile devices has sparked the growth of the e-commerce industry and customers are turning to their mobile devices to purchase groceries, shop their favorite stores, and everything in between. According to the E-Commerce Foundation, more than 25% of consumers purchase via mobile devices weekly rather than in-store.

Especially with the current COVID-19 climate, customers are more likely to shop online to comply with social distancing and stay-at-home orders. During these unprecedented times, many companies are providing free shipping and other incentives to customers who choose to do business via their mobile device.

ID TECH’s Mobile Solutions

ID TECH offers a variety of payment solutions for various industries including ATM, loyalty, parking, transit, and vending. Of those solutions is ID TECH’s VP3320S, a PCI PTS 5.X SRED mobile payment device that supports all contactless payment methods from tap-and-go cards to payments from mobile wallets. It is able to connect to iOS and Android host devices and is housed in an ultra-compact design, making it the ideal unit to be integrated into a mobile payment solution.

Learn more about our mobile solutions here.

About ID TECH

ID TECH is a leading global payment peripheral provider with expertise in magnetic stripe, EMV contact, EMV contactless, and OEM customization solutions. We have a strong foundation and continued success rooted in card readers and are always expanding our product offering to provide innovative solutions for the ever-evolving payments industries. Payment Security is an integral part of our product offering, and ID TECH as a company prides itself at being at the forefront of payment security in our design, development, manufacturing, and sales processes.

To learn more about ID TECH and our dedication to achieving payment security, please visit our about page.

 

In the last few weeks, we have discussed how COVID-19 is impacting payments in the vend’ing and mobile payments industries. Now, we will look at how the global pandemic has affected payments in the transit industry.

The transit industry’s evolution is constantly updating based on the needs of passengers. Contactless technologies were introduced and adopted into the transportation industry years ago with different closed loop payment systems across the world. This has expanded and evolved to where students are now able to use their student ID cards for transportation payments and bus riders are able to use their bus cards for exchanges at train stations. However, the arrival of the novel coronavirus, or COVID-19, has created a demand for transit payments to update their technologies even further by accepting contactless EMV payments directly from commuter’s contactless bank cards and mobile wallets.  With this new ability to make contactless payments with their bank cards and mobile phones, commuters can avoid touching payment terminals and reduce the amount of cards and cash that they need to handle, reducing the amount of potentially contaminated surfaces that they touch.

Latin America Advancements

As we discussed in our Latin America Transit Adopts EMV Contactless Payments Amid COVID-19 Pandemic blog, Latin America has made evolutionary changes towards their bus validator technologies. Ticket integrators across Latin America are aiming to reduce the use of cash and metro cards in the transportation system by deploying new bus validators with contactless EMV technologies. This decreases cost and increases efficiency by eliminating metro cards as middlemen and allowing passengers to use their EMV bank cards directly. In addition, the ability to pay for fares with credit cards and mobile phones eliminates the need to recharge a metro card and reduces the number of cards that commuters need to handle. These payment updates are necessary for the evolving needs of the public because maintaining health and safety is paramount in uncertain times like these.

Delays in America

America has lagged behind in the adoption of contactless technology as a whole, but the arrival of COVID-19 has propelled America to make innovative changes to the way payments are accepted. The retail and mobile industries have seen the largest pushes, with many businesses acquiring contactless and mobile solutions to meet the demand that COVID-19 has caused. However, while the pandemic has kickstarted the adoption of contactless payments, it has also caused further delays.

New York’s MTA had begun installing their new One Metro New York (OMNY) system to allow direct, contactless payments from bank cards and mobile wallets, as well as the ability to combine fare payments and mobile ticketing across subways, buses, and commuter rails. This is a necessary update for a high-risk city like New York where the health and safety of commuters is in constant danger of infection from contaminated transportation vehicles.  Unfortunately, MTA’s installation of the OMNY system has been delayed until December due to concerns that workers may become infected by COVID-19.

The Necessity of Contactless

While other industries don’t necessarily have to adopt contactless technology to survive virus spread, the opposite is true for the transportation industry. People have become weary of public transportation and there has been a 21% increase in car purchases, while over 60% of people who previously commuted are now using private transportation instead. People are distrustful of encountering public transportation surfaces and other passengers who maybe infected while traveling. As a result, that transit industry is making the necessary changes to increase safety and sanitation to gain commuter’s trust again and earn back the travelers they have lost.

The transit industry has had multiple growths and setbacks during the rise of COVID-19. As restrictions are lifted and more commuters begin to navigate public transportation once again, we can only wait to see what new payment technologies and innovations are introduced into the transit industry.

To learn more about ID TECH’s transit solutions, click here.

About ID TECH

ID TECH is a leading global payment peripheral provider with expertise in magnetic stripe, EMV contact, EMV contactless, and OEM customization solutions. We have a strong foundation and continued success rooted in card readers and are always expanding our product offering to provide innovative solutions for the ever-evolving payments industries. Payment Security is an integral part of our product offering, and ID TECH as a company prides itself at being at the forefront of payment security in our design, development, manufacturing, and sales processes.

To learn more about ID TECH and our dedication to achieving payment security, please visit our about page.

 

If you use or accept credit cards, chances are you’ve heard of contactless payments. You might even use contactless payment forms such as tap and go with your card or your smartphone on the latest point-of-sale hardware. But have you implemented the relatively new technology into your own business yet? If you haven’t, or if you just want to learn more about contactless payment technology, you’re in the right place.

When EMV credit cards started using chip technology instead of a magnetic stripe, contactless payment technology came into play. So how does the technology work? It uses radio frequencies and Near Field Communication (NFC) to collect card holder data from the card. The card carries a built in antenna and communicates with the payment terminal via NFC.  By now, your first thought is probably questioning the security of such payments. The following list will cover how secure this payment method is, as well as the other information you’ll need to decide whether or not contactless payments are the right choice for your business.

#1 Contactless payment technology saves time

Perhaps the most user-friendly of the many payments that exist, tap and go capabilities allow users to simply tap their card against a screen that will read their banking information immediately. They don’t have to wait to dip a chip-enabled card, and they don’t have to input a PIN to validate themselves as the authorized card holder.

Sometimes, these tap and go capabilities are even attached to self-service kiosks. Ease of use for your customers will make a world of a difference during their busy days. Being able to pop in and out of your shop will give them a reason to come back again when they’re in a hurry.

In conjunction with saving time, it also makes things a lot easier for customers who forgot their wallets while they ran to lunch or didn’t want to carry a purse with them. Since customers can store their credit card data securely on their phones in a form of a token, applications such as Google Pay or Apple Pay, contactless payments are available to make things easier.

#2 It makes for excellent customer service

In the same vein as saving time, contactless payment technology adds another layer of customer service to your business plan. Not only will your customers have the option of paying with cash, credit or debit, but now they can pay sans contact.

Implementing payment terminals that offer another way for your customers to pay tells your customers that you are following along with technology updates and you want to give them the option their banks have also offered. Imagine if customers had cards that allowed them to tap and go, but businesses didn’t adopt the technology to accept those payments.

Once your customers know that you accept frictionless payments, they’ll also be more likely to visit you again. What’s more, they’ll tell people they know that you accept tap and go payments. Since not all businesses have adopted this form of payment yet, it’ll be a good way to gain more customers.

#3 Security doesn’t just vanish

Despite not having any form of inner authentication the way a magnetic stripe or chip reader does, EMV has rolled out this new payment method on purpose. It’s actually more secure than ever.

Different from magnetic stripe-enabled credit cards, chip technology — which can be used to dip or for tap and go — uses encrypted data that changes with every transaction. So, for example, the latte your customer bought this morning will have a different payment code than the movie ticket she purchased at your theater tonight.

The purpose of this is to prevent fraudsters from being able to copy card information and thus steal bank information like they could with magnetic stripe cards. Contactless payment technology removes the step where card data is stored inside a payment terminal. This was a concern for many who used magnetic stripe based credit cards because of fraudulent behavior at stores such as hacking a Merchant’s server or database to collect stored credit card numbers.

When data constantly changes, hackers would have to know what the code would look like in advance of the payment. This is virtually impossible since the code is changed from terminal to terminal and bank to bank.

When customers tap and go to make a transaction, the account number on their cards is turned into a digital token with randomized numbers. These numbers don’t reflect the numbers on their cards, and can thus not be copied in order to obtain their banking information. Because these digital tokens are only shared between banks, the retailer won’t have access to card information.

#4 Contactless payment technology will increase foot traffic

Besides the word of mouth marketing that having contactless payment technology will afford your business, it will also make payments quicker. When you aren’t waiting for customers to sign signatures or insert pins and then wait to give cash back, you can move the line along.

Quick payments aren’t just a great way to increase positive customer service. They also allow you to complete more payments because there will be fewer customers who walk in and are flustered that the lines are too long and just walk out.

Tap and go payments can happen on a portable payment terminal too, which doubly helps move traffic in and out. If you’re helping a customer decide between two products in the corner of the store opposite the registers, that customer can still complete a payment if you have the right technology. Once the transaction goes through, your customer can skip the long lines and walk out with his new purchase.

#5 Cloud-based doesn’t mean freedom from tech issues

While there are many positive things about contactless payment technology and all its uses, one thing to keep in mind is that it is, at its core, just a machine. Just like there were days when EMV terminals couldn’t read magnetic strips, there will be days when the machine doesn’t run properly or won’t read the card information.

Hardware and software updates are your best bet when it comes to minimizing the amount of technical difficulties your business has with contactless payment technology. Consistent updates means bugs will be overridden and the latest programs can take effect.

Apart from making the normal, required updates, there are other factors to think about. Weather might cause your business to lose power. Luckily, cloud storage will back up any information you need regardless of weather outages. But the technology that finalizes the payments may be the part that doesn’t work. If it’s a portable payment system that works wirelessly, it’ll still work so long as it has a charge. If, however, the contactless payment terminal is a permanent fixture, you might not be able to use it.

So, should you offer contactless payments?

It’s hard to keep up with so much changing technology and be able to please your customers at the same time. Chances are, if your clientele is younger, you’ll want to look into implementing tools that help teenagers and young adults pay the way that is convenient for them.

If your customer base is an older one that prefers cash payments, you could fare well to do without contactless payment technology.

Because it’s the way most all payments might be made one day, it’s a good idea to at least have an idea about how they work and who they help. If you’re curious about different types of payment terminals, for example, unattended payments, reach out. Our team of professionals is happy to answer any of your business needs. We can even help you determine which payment method might be best for you. Contact us today!