Adding to the mix, online payments have extended into P2P methods within social apps such as WeChat and LINE. WeChat users can use WeChatPay to transfer money to peers, and retailers also push promotional messages for users to click and purchase without leaving the app. To stay ahead of the game, Asia Pacific's merchants need payment infrastructures supporting such any-to-any payment flows, and to also innovate by embedding value-added services into secure mobile environments.
Security is essential for adapting to these changes
While retailers need to invest in innovation, security cannot be left unchecked. Merchants are increasingly concerned about their reputation and protecting customer data against large-scale data breaches. An Ovum study found that 70 percent of merchants see security as critical, with 60 percent seeing card-not-present fraud as the most pressing issue.
Specialised fintech entities offer real-time fraud solutions, while on a national level, Indonesia's National Cyber Agency and Singapore's Cybersecurity Strategy establish frameworks for a digital economy. Such initiatives are encouraging for merchants and retailers, delivering them peace of mind, while allowing them to focus their resources on core business strategies.
Leveraging the sharing economy, retailers must ensure that sales can occur without face-to-face interactions at traditional POS systems. It is crucial that they not only retain card options for existing customers, but also integrate seamless payments within applications for a growing breed of savvy mobile-first consumers. By providing more secure payment options, retailers can deliver goods and services swiftly while adding value with seamless customer experiences.
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