EMV and mobile payments have been all the buzz lately. The EMV liability shift is less than four months away and more mobile payment options are entering the market.  As these changes come to the payments industry, both you and your customers need to prepare.

When Apple introduced the iPhone© 6, iPhone© 6 Plus, and the Apple Watch, they also introduced their payment service, Apple Pay, which uses Near Field Communication (NFC) to make secure transactions using contactless technology. To make a payment via Apple Pay, consumers can simply touch their finger to the Touch ID on their Apple device and tap, providing a seamless and effortless checkout process. Apple Pay's mobile wallet allows consumers to store credit, debit, and loyalty cards all in one application, Passbook, on their Apple mobile devices.

While mobile wallets are not anything new to the industry, Apple entering the payments space has already had a tremendous impact on businesses and consumers. Considering Apple’s history in changing consumer behavior in the past, it is predicted that Apple Pay will change the way consumers make payments. In fact, it is believed that mobile wallets may eventually replace current payment methods. A study from Pew Research indicates that 65 percent of technology experts believe that plastic cards and cash may be obsolete by the year 2020.  Since we have already seen an increase in mobile payment adoption, businesses need to start thinking about implementing NFC-enabled equipment to meet consumers' needs.

This month marks the four month countdown to the EMV liability shift in the United States. The acronym 'EMV' stands for Europay, MasterCard and Visa, which are the three companies who developed the technology, and it is a major effort to reduce fraud. Although EMV is no new technology and has been around for decades, the United States is the last major country to implement it.

Instead of using the traditional swipe method, the new EMV-enabled cards will require American consumers to enter their card into a terminal and enter their PIN number. These cards have embedded microchips which encrypt transaction data uniquely for each transaction, making it harder to create counterfeit cards.  In order to accept EMV-enabled cards, businesses will need to upgrade their current terminals to ones with EMV capabilities. Starting this October, businesses that do not process payments via EMV-capable equipment will be held liable for any fraudulent transaction rather than the banks who are the ones held liable today.

Apple Pay, NFC and EMV will provide you with new opportunities to acquire new customers as well as revisit your existing customers. Some of your prospects and existing customers may not be aware of the upcoming changes, so when you approach them with information and valuable advice on upgrading their terminals, they will appreciate your effort in trying to improve and protect their business. 

Here's a few tips on what to mention when speaking with prospective and existing customers about updating their terminals to accept NFC and EMV payments.

#h2Emphasize the shift to mobile payments. 

More and more consumers are making the shift to mobile payments now that Apple Pay is available and consumers have more options for mobile wallets. They recognize the simplicity and seamless process of making mobile payments and will soon begin to leave their physical wallets at home. Inform your potential and existing customers of the benefits of mobile payments and how they can, and should, capitalize on them.

#h2Discuss the benefits of adopting NFC and EMV early. 

Making the shift to EMV early will make it easier on your customers to adapt to the new technology before it becomes the norm. It also ensures they are protected before the EMV liability shift goes into effect this October.  Also, for some businesses, it can be a struggle to implement the latest technology like their larger, multi-lane competitors. Offering an affordable, easy-to-use solution will give them the latest payment technology for them to stay ahead of the game and meet their customers' needs.

#h2Explain their options and make recommendations. 

Provide your customers with various EMV and NFC options, but be prepared to make a recommendation for them. These are new technologies, so it can be overwhelming for them to figure out which one is best for their business. For the best customer experience with Apple Pay and other NFC mobile payments, Cayan recommends merchants use a terminal with a customer-facing contactless reader. This makes it easy for the customer to easily tap their mobile device rather than handing it over the counter to the merchant. Cayan has a variety of NFC-enabled and EMV-enabled solutions for you to choose from when consulting with a new or existing customer.  

The ever-changing landscape of payments means your customers must keep pace to satisfy their customers, protect their business, and remain competitive. Their own customers will be shifting to these new payment methods in the coming months, so now is the perfect time for them to make the shift as well.