With more and more people favouring online checkout experiences, the digital payment landscape is rapidly evolving. Merchants and payment providers are continuously looking for ways to improve the customer experience and increase sales. The four credit card giants – Visa, Mastercard, American Express, and Discover have recently partnered up to create a click-to-pay option for online shopping sites. The feature is aiming to offer a more convenient way to checkout online, without the need for entering one’s credit card information. But what exactly does this feature provide and how secure is it?
From a customer experience standpoint, the click-to-pay button is most similar to the checkout process of PayPal – the customer logs into the payment account, which then gets linked up to the retailer to withdraw the payment. Look for the symbol below to start the click-to-pay payment process on your merchant’s website:
As a shopper, you don’t have to enter your credit card number by number, or even have it saved in the browser. Since click-to-pay requires consumers to enter card details just one time rather than on a per-transaction basis, customers do not have to go through the process of setting up individual ‘guest’ accounts and entering personal information on the website of each merchant.
The click-to-pay technology follows the EMV Secure Remote Commerce (SRC) industry standard, a set of specifications developed by EMVCo, a consortium of Europay, Mastercard & Visa – the same team that introduced the 3DSecure system on online checkouts and invented ‘chip & pin’ technologies. The EMV SRC standard provides a foundation that will enable industry solutions for the processing of e-commerce transactions in a consistent fashion across a variety of consumer devices, including smartphones, tablets, PCs and other connected devices.
Aside from providing a more convenient and streamlined customer experience, click-to-pay essentially limits the exposure of a consumer’s card details when making one-time purchases and therefore serves as a more secure option when compared to the manual entry of credit card details online. Arguably, the merchants implementing click-to-pay on their websites not only benefit from a happier customer but from increased sales as well – data from the Baymard Institute suggests that 70% of online shoppers abandon their carts before finalising the standard checkout process. With click-to-pay buttons eliminating the need for manual card data entry, merchants can expect to see the cart abandonment rate to drastically decrease as customers will have less time to potentially change their mind about the transaction.