BPM Analytics
Digital payment security in retail
The COVID-19 pandemic has had various far-reaching effects on the retail sector, including the evolution and widespread adoption of digital payment systems. Incorporating digital methods to complete financial transactions offers a great deal of convenience for consumers and retailers alike while also speeding up the payment process and improving the overall customer experience. While there are a number of benefits to implementing online payment systems in the retail sector, going cashless does come with certain risks, and there is a need to have contemporary digital payment security measures in place.
What is payment security?
Payment security encompasses the various strategies, procedures, and safeguards established to secure financial transactions against data breaches and other fraudulent activities. Ensuring payment security plays a major role in maintaining customer confidence, minimising financial loss, and complying with existing industry standards and regulations. As the use of digital payment systems gets more pervasive, so does the need to have appropriate online payment security measures in place to protect your business and its customers.
Since the use of digital payment systems in the retail industry is growing, you must be wondering what payment security measures you need to take to keep customer data and financial transactions secure. This blog will break down some of the most popular online payment security strategies and best practices available to you today.
Incorporate two-factor authentication
Two-factor authentication offers an extremely straightforward yet robust enhancement to digital payment security through a strong customer identification procedure when processing payments. Customers are required to verify their identity by providing an extra form of digital identification. This is usually achieved by sending the customer a unique code over text message or email, which must be input correctly before the transaction can be completed.
Ensure compliance with PCI DSS
PCI DSS refers to the Payment Card Industry Data Security Standard, which includes a comprehensive set of recommendations designed to keep consumer credit card information secure. These include encrypting sensitive data, deploying secure firewalls, keeping software updated, imposing restrictions on access to devices and systems, and more. Not only does PCI DSS compliance offer a layer of security to online payment systems, but it also sends a message to your customers that you take the security of their payment information extremely seriously
Rely on a secure e-commerce platform
Basing your online store on a reputed e-commerce platform is an excellent way to keep payment data secure. Leading e-commerce platforms are typically well-established organisations that incorporate cutting-edge payment security measures. While such platforms may not be the most economical choice, investing in the security they offer is an essential component of your cybersecurity budget. In the long run, spending on a secure e-commerce platform will prove to be a crucial investment that safeguards your reputation and ensures the protection of your customers, potentially leading to cost savings over time.
Purchase cyber liability insurance
Despite your best efforts at keeping all financial transactions secure, there’s always the chance of an experienced fraudster, hacker, or even a disgruntled employee getting through your defences and compromising sensitive data. A cyber liability insurance policy is a welcome safety net in such a situation. This type of policy usually covers financial losses caused by a data breach, including lost income, expenses related to customer notifications and recovering lost data, as well as what you may need to spend on repairing or restoring damaged computer systems.
Incorporate relevant training programs for employees
Employees who aren’t up to date on the latest in online payment security are easy marks for hackers and other digital fraudsters who wish to gain access to sensitive data within your organisation’s computer systems and other devices. Routine training programs can keep your staff informed on the latest developments in payment security, such as optimal password procedures, e-commerce fraud detection, and how to respond to a data breach or other cybersecurity event.
While widespread digitisation offers businesses the opportunity to grow, diversify their operations, and reach a wider audience, the transition to digital payment systems does carry some significant risks for those who aren’t appropriately prepared. Business owners must take the necessary steps to protect their customers and their information from online threats and data breaches to thrive in today’s digital landscape.
How can Infosys BPM help you with online payment security?
Offering a state-of-the-art Retail and E-commerce Fraud Management Solution that employs artificial intelligence and a team of seasoned ecommerce fraud detection experts, Infosys BPM can help protect your business and its customers from malicious hackers and fraudulent transactions. Reach out to learn more about customised fraud management solutions for your organisation.
