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growing contactless payment trends

Contactless payments are seamless, secure, and trusted payment solutions. Contactless payments are enabled by an array of EMV technologies. The major benefit offered by contactless payments is the instant and seamless speed of the transaction. Integrating contactless payments to your offered solutions is a growing trend across the global payments industry, and it take many shapes and forms, especially with the wide availability of mobile and smartphone devices.

Market trends and onboarding practices for issuers

In the MENA region, almost 1 of 9 MasterCard transaction are contactless, which is a 200% increase in contactless payments over the first quarter of 2020 (Wamda, 2020).This growing trend of consumers using contactless payments during the first quarter of 2020 is the result of consumer’s efforts to combat covid19 with hygienic and fast payment, as it limits the human-to-human interactions of using cash, or having to enter your PIN and personal info.

“Tap n’ Go” Contactless Platforms

Tap and Go applications on payment cards and NFC wearables were first enabled with the introduction of EMV contactless chip technology, and they optimized contactless payments with speedy transactions that take seconds while using the same dynamic data security technology of EMV chips. “Tap and Go” technology increased conversion from cash to card-based payment transactions and is now enabling a higher regard for digital wallets on mobile devices, as tokens prove to be highly secure and reliable alteration of EMV chip data. As a key partner in the digital banking transformation of Bank AudiInfotec Systems successfully implemented Way4 Card Management System and Payment processing platform that allowed for the deployment of dual interface contactless cards powered by PayPass “Tap n’ Go” technology and built a payment acceptance network with co-branded POS terminals that display Tap2Pay stickers and MasterCard logo.

EMV Chip Technology and Tokenization

The EMV chip sits on the face of the card to enable contactless payments, its communication algorithm with the antenna enable it to send encrypted dynamic transactions data to the POS terminal for payment acceptance. Through our EMV card issuing and EMV personalization services, Infotec Systems lead the first EMV chip migration on all Fransabank MasterCard payment cards portfolio, and the deployment of the first Paypass card in the Middle East, further enabling a trusted and secure payment ecosystem.

Contactless for Acquirers

While consumers seem to have a need for speed and seamless transactions, are merchants onboard with the transformation to contactless payments?

Merchants have been encouraging consumers to pay using contactless methods with the modernization of POS systems to accept mobile payments and introduce innovative payments solutions such as smart android POS terminals and cloud-based payment solutions.

Smart Android POS Terminals

Electronic payment terminals are being altered with android-based payment solutions to deliver a new line of services using a smartphone-like android POS terminal. Infotec Systems supported and provided the market with smart android POS terminals paired with Altpay: Digital Commerce Gateway to lead them towards revolutionizing their payment acceptance landscape with advanced merchant analytics and high-speed transactions.

Mobile Payments

EMV tokenization sends dynamic transaction data to the payment terminal and replaces private card data with dummy-like information, creating a secure and EMV-controlled environment between the digital wallet and the merchant. The MENA region has witnessed a growing popularity in online transactions, with 76% of the GCC population performing an online transaction in 2018, 7% of the North African region, and 28% of the Levant region (World Bank, 2018). Infotec Systems, alongside our trusted partners, provide clients with Way4 digital wallet platform, that combines in-store, in-app and e-commerce payments for an exciting, personalized customer experience. Its omni-channel modular nature allows for the integration of payment and non-payment services to create higher functionality and offers higher innovation and flexibility than other digital wallet solutions.

Infotec Systems Contactless Technology Portfolio

While contactless payments are still viewed as secure EMV chips and “Tap n’ Go” transactions, other forms of innovative payment solutions are making their way to the consumer.

Through our integrated services, payment cards, innovative digital payment solutions, cloud-based payment solutions and extensive knowledge in the global payments industry, we help our clients in leveraging their resources efficiently and meet their customer’s expectations with innovative contactless payment solutions, as well as professional business and technical support.

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