EMV credit cards have become the global standard for chip-based credit cards. Having only emerged in recent years, the traction EMV technology has gained is unprecedented. A considerable portion of consumers are making the switch to EMV technology and as a result, businesses are also following suit. Interestingly enough, this innovation is not only exclusive to the retail industry, customer service industries like the hotel industry can also find value in this technology. Here are 5 key factors that play a part in why it’s essential for hoteliers to consider EMV.
Before EMV’s introduction, billions of records were compromised each year due to credit card breaches. However, thanks to the innovation behind EMV credit cards, there has been a significant difference in secure payments. To elaborate, the innovation stems from a simple idea in which every transaction generates a new transaction number, essentially making counterfeiting impossible. In 2018, Visa reported that EMV reduced counterfeit fraud by 80%. EMV coupled with an encryption system ensures that hotels are a safer space than ever to process transactions. Encryption refers to the preventative measures taken to defeat attempts to access client data, by keeping the information indecipherable while it travels. Hotels can ensure they are taking the right steps to protect their client’s privacy by implementing end-to-end encryption certified with EMV.
2. Customer Trust
Businesses have a responsibility to keep their clients safe from security breaches. In fact, the trust established between a buyer and seller leads to a lifetime of reputability and assurance. With that being said, some hotels have been irresponsible in delivering on this because they haven’t yet transitioned to EMV technology. This is a cause for concern because with EMV technology being adopted by the majority of businesses consumers visit, people are becoming more aware of the fact that it is better to use EMV supported POS systems when they make transactions. Many businesses have converted to EMV mainly for the peace of mind they are able to provide their customers. With identity theft and fraud becoming more of a nightmare for cardholders, consumers are concerned with, where and how they make transactions more than ever.
3. Fraud Chargeback Risks
Fraud doesn’t only affect the consumer, it can cause problems for the merchant too. EMV technology has limited the fraud charge back risks that merchants face. This means that merchants who aren’t compliant to EMV regulations are at greater risk of chargebacks. To elaborate, since the introduction of EMV, the liability that comes from fraudulent activities has shifted from the issuer of the card to the merchant. Therefore, merchants who have not converted to EMV systems are usually subject to these chargebacks. This shift provides even more incentive for merchants to ensure their systems are EMV certified.
4. Congruency to New Technologies
With technology progressing at the pace it is today, payment technologies are evolving in response. Hoteliers that have embraced EMV technology will find that their upgraded POS systems are able to accept new and increasingly popular forms of payment. These include systems like Apply Pay and Google Pay which are new, contactless ways to make transactions. Innovations like wearable technologies and digital wallets are only the beginning of a whole slew of payment technologies emerging in the industry. The compatibility between POS systems and payment technologies are invaluable for hotels and highly convenient for consumers.
5. Improve Customer Experience
People are always on the go, so the ability for EMV technology to deliver quickly has become integral to its success. People are moving through queuing systems and making transactions quite rapidly now that payments can be made at lightning speeds. As a result, hotels are not aggravating their guests who may have been frustrated in the past with lengthy processing times to check in or out. The convenience of EMV technology ensures that guests are making transactions quicker and more comfortably than ever.
Interested in learning more about how Jonas Chorum integrates EMV technology with our suite of property management solutions? Request a demo today and find out why hundreds of hotels trust in Jonas Chorum to operate their hotels in a safe, secure, and efficient manner!