Monday, July 5, 2010

British Companies Struggling With International Payment Systems, Hindering European Expansion

Direct Debit logo used in the UKImage via Wikipedia

77 percent of companies that trade abroad admit to significant challenges in handling multiple currencies and foreign cards
London, 5th July 2010 – Chase Paymentech Europe Limited, a leading merchant acquirer and payment processor, announced results from a national survey today exploring the challenges faced by UK firms in ‘Customer Not Present’ (CNP) payments. The survey conducted for Chase Paymentech by independent research company, Dynamic Markets, showed that 30 percent of the 200 businesses questioned had international growth plans within the next one-to-two years, but that most did not have the payment systems in place to properly support European customers.
Western European online retail sales are projected to grow 11 percent to reach £153 billion by 2014. On a regional level, several key European countries have seen record growth above the UK’s growth of 160 percent over the past few years:  examples include Spain at 199 percent and both France and Italy at 181 percent.* This has triggered a rush of UK merchants aiming to develop new revenue streams via international expansion into lucrative European markets.
This, in turn, has lead to organisations looking to cross-border sales to build or increase their European customer base, however when questioned 79 percent of finance directors felt that their payment systems were not ready. Cross-border sales require merchants to present and settle in a wide number of Methods of Payments (MOPs). These include common options such as Visa, MasterCard, Maestro, American Express and Direct Debit but also regional offerings such as ELV in Germany and iDEAL in the Netherlands. Without the proper payment systems in place organisations are often required to work with multiple acquirers to trade in a range of markets or currencies. As well as adding administration cost and complexity, this process can also be a massive strain on IT systems and business processes.
The lack of investment was not confined to domestic organisations looking to expand. 77 percent of companies who already traded internationally felt that their payment systems were not set up to meet the demands of European customers. Organisations who had expanded internationally via a merger or acquisition faired even worse with 86 percent stating that their CNP processing was fragmented, making operating outside of the UK even more challenging and expensive.
“There is no doubt that e-commerce remains the most profitable channel for retailers but it does come with its own challenges especially as organisations look to make the move beyond their domestic market. For instance, customer service and effective payment processes are vital if organisations want to succeed in new markets. Having a single payment system in place which allows an organisation to trade in multiple markets in a wide range of currencies is advantageous both in keeping overheads low; helping increase checkout conversion rates and providing customers with a first-class experience,” said Shane Fitzpatrick, President and Managing Director, Chase Paymentech Europe Limited.
 “If customers require payment in a different currency, our systems can facilitate this. Our payment service enables merchants to transact in over 130 currencies and settle in twelve. Our team of dedicated relationship managers have the knowledge and expertise to consult with organisations on the most appropriate Methods of Payment to suit both their markets and their business plans. No matter how many markets a merchant trades in, we have the tools to support them,” concluded Fitzpatrick.
A sample of 200 merchants across all industries who secured at least some of their sales from CNP purchases were used. This quota was made up of 30% large companies (250+ employees), 34 percentage mid-sized (50-249 employees) and 37 percent small organisations (11-49 employees). All interviews were undertaken independently by Dynamic Markets early 2010.
About Chase Paymentech
Chase Paymentech is a global leader in payment processing and merchant acquiring and is a specialist in customer-not-present (CNP) transactions, capable of authorising transactions in more than 130 currencies. The company’s proprietary platforms provide access to a wide variety of payment methods including credit and debit cards. In 2009, Chase Paymentech processed more than 18.0 billion transactions with a value exceeding $409.7 billion, including an estimated half of all global e-commerce Visa and MasterCard transactions. The company also provides a full set of solutions aimed at accelerating cash flow and managing transaction data. Chase Paymentech’s unique combination of outstanding service, innovative solutions and financial strength offers solid benefits to companies both large and small. Chase Paymentech Europe Limited, trading as Chase Paymentech, is a subsidiary of JPMorgan Chase, N.A. (JPMC) and is regulated by the Financial Regulator. More information can be found at
* 1 ‘”Western European Online Retail Forecast, 2009 to 2014”, Forrester Research, March 2010
For more information please contact:
James Delves
Diversion PR
+44 (0)1628 502020

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Two-month Warning for NFL Credit Card Holders

The second NFL logo, officially used between 1...Image via Wikipedia

Bank of America credit card holders scramble to spend reward points as NFL shifts to Barclays

NEW YORK (AP) -- The National Football League's decision to move its branded credit card business from Bank of America to British banker Barclays is forcing customers of the Charlotte, N.C., bank to scramble to spend reward points before they expire next month.

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Moneris Solutions Releases G-20 Retail Spending Report

Jul 05, 2010 11:34 ET
Moneris SolutionsTORONTO, ONTARIO--(Marketwire - July 5, 2010) - Spending was down across retail, restaurants and travel and entertainment categories in Toronto during the recent G-20 Summit, according to data released today by Moneris Solutions, Canada's largest debit and credit card processor.
Moneris compiled same-store credit retail spending data from June 25-27, 2010 and compared them to retail spending figures from the previous weekend, June 18-20, 2010. The data was focused on three main areas:
  • The security perimeter – postal codes that were within the security zones during the Summit;

  • The downtown core – postal codes that were just outside the security zones during the Summit and,

  • The City of Toronto – all merchants with a 'Toronto,' city demographic

Moneris reported decreases of 28.08% and 40.87%, in dollar volume for retail sales and total number of retail transactions in the security perimeter, respectively. Restaurants; the largest category in travel and entertainment, saw a decrease of 66.59% in their volume and a 56.22% dip in their transactions.
With many employers suggesting their staff work from home during the summit, retail sales in the surrounding downtown core saw dollar volume decreases of 10.78% and decreases in the total number of retail transactions of 16.43%. This trend continued to usually busy restaurateurs who saw decreases of 32.70% in their volume and 25.33% in their transactions. 
The effect was far reaching with the entire City of Toronto recording a retail sales decline of 9.31% in volume and a decrease in transactions of 14.96%.
About Moneris Solutions
As one of North America's largest providers of payment processing solutions, Moneris offers credit, debit, wireless and online payment services for merchants in virtually every industry segment and processes more than three billion transactions annually. Through its Ernex division, Moneris offers electronic loyalty and stored-value gift card programs. With more than 350,000 merchant locations, Moneris provides the hardware, software and systems needed to improve business efficiency and manage payments. For more information please
For more information, please contact
Media Contact:

MAVERICK Public Relations Inc.

Daniel Weinerman

416-640-5525, ext. 245

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New Twist in ATM Skimming Scams - USA Today

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By Jessica Doyle, WUSA-TV

WASHINGTON — Thieves are using high-tech skimmers to steal account information at automatic teller machines — and victims don't know they have a problem until they see their statements. Cyber security expert Brian Krebs tracks ATM scams on his blog and he says new technology is helping scammers steal even more of your information at ATMs. "If it's done correctly you would not notice that anything looks amiss," Krebs says. In a traditional skimming scam, thieves place a card-skimming device into the card insertion slot. The skimmer can steal account information stored on the magnetic strip on back of the card when it is dipped into the machine.  The new twist? Clear plastic overlays also are placed on top of the PIN pad to capture personal indentification numbers. Also, some skimmers can text the stolen bank account information and PINs directly to the scammer so that person never has to return to the scene of the crime.  <<read more>>

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