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EMV: Retail's $35 Billion "Money Pit"

出版商 IHL Group 商品編碼 341231
出版日期 內容資訊 英文
商品交期: 最快1-2個工作天內
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EMV:零售的350億美元的「黃金魚上鉤蟲」 EMV: Retail's $35 Billion "Money Pit"
出版日期: 2015年05月28日 內容資訊: 英文


第1章 付款流程

  • PCI流程的陷阱
  • 對違反的不滿

第2章 EMV的來到

  • 約定的優點
  • 美國的EMV:不同的理由
  • 目前零售準備
  • 重要的事實
  • 消費者

第3章 供應商準備

  • 許多供應商時期尚早
  • EMV的供應商成本
  • 每一應用的成本

第4章 大規模的切斷

  • 核心標準POS的交易延遲
  • 行動POS的交易延遲

第5章 EMV是解決方案的一部分

  • EMV不會阻止安全違反

第6章 最好的方法

  • 保護全交易
  • 特別注意線上交易

第7章 IHL的建議




October 1, 2015 will usher into US Retail the single biggest tax being levied upon it since Y2K. This is the date of the liability shift due the the EMV Mandate set by the card brands. On this date liability for fraudulent card card transactions shifts from the bank to the portion of the payment process that is not EMV compliant.

Various estimates quoted by the NRF, NACS and other industry associations estimate the total cost to the industry of over $35b when factoring in the cost of new equipment, new software for POS and payment devices, certification, installation, training, and 1.2 Billion new chip cards in the US. Yet even this number is small compared to the additional labor costs and customer service disruptions that will occur just before the holidays.

EMV is a technology that is trying to solve a problem of 15 years ago. And it was 13 years ago when Europe implemented the security measures. But things have changed since then and EMV is taking massive amounts of budget away from real security for retailers to meet this deadline.

This report looks at the costs for retailers, the costs for vendors per POS application, and the impact on the performance of the front end of retailers along with recommendations for retailers and how vendors can best advise their clients.

There is a small subset of retailers that will benefit from EMV adoption, however, for the vast majority of retailers that are not on the front lines of the card fraud today, this mandate is a huge “money pit” that they will never recover the losses from, making it a giant tax. In fact, beyond the tax the mandate actually slows retail's progress towards it's primary goals of secure, unified commerce that provides a seamless customer experience for their consumers regardless of how they choose to shop.


This report reviews the entire card payment process and the mystery around the processing of credit cards and debit cards; “Where there's mystery there's margin.” Further, we review the PCI process and provide insight into the numerous data breaches of the last 2 years. What caused them? Why is PCI only done as an event and not a process (hint: overwhelming cost)?

Next we explain what EMV is, why it is different in the US than the rest of the world and why we believe it will be a disaster when rolled out in October for most of retail.

Then we look at the readiness of the different stakeholders in the process and the great disconnect between what people expect the impact on transaction speed is and what the reality is. (It ain't pretty).

After this we talk about how EMV is only part of a security solution and really the least important for where retailers want to go and then recommend a better way.

We end with recommendations for retailers, vendors, and consultancies as to how to approach EMV.

Format: SlideDoc - Can be read as document or used as presentation format.


Current Readiness of Retailers

                        Source: Retail 2018 - IHL/RIS News Store Systems Study

Table of Contents

Summary of Findings

  • i. Total Card Revenue vs Fraud
  • ii. ROI Calculations

1.0. The Payments Process

  • 1.1. Pitfalls to PCI Process
  • 1.2. Frustrations of the Breaches

2.0. EMV is Coming

  • 2.1. Promised Benefits
  • 2.2. EMV in US - Why s it Different?
  • 2.3. Current Retail Readiness
  • 2.4. The Elephant in the Room
  • 2.5. What About the Consumer?

3.0. Vendor Readiness

  • 3.1. Many Vendors Will Not Be Ready
  • 3.2. Vendor Cost for EMV - Someone Has to Pay
  • 3.3. Cost Per Application

4.0. The Great Disconnect

  • 4.1. Transaction Delays for Core Standard POS
  • 4.2. Transaction Delays for Mobile POS

5.0. Why EMV Is Only Part of Solution

  • 5.1. EMV Will Not Stop Security Breaches

6.0. A Much Better Way

  • 6.1. Protecting All Transactions
  • 6.2. Special Considerations for Online Transactions

7.0. What IHL Recommends

List of Figures

  • Figure 1 - Average 3yr Return for $1B Retailer
  • Figure 2 - Total Card Transactions/Card Fraud/EMV Cost
  • Figure 3 - Return on Investment (ROI) Calculations for $1B Specialty Store
  • Figure 4 - Data Security as Percentage of IT Budget
  • Figure 5 - % of Data Security Budget Taken Up by PCI
  • Figure 6 - How Most Critical Vulnerabilities Can Be Mitigated
  • Figure 7 - Payment Security Readiness by Retailers by Technology
  • Figure 8 - Current Readiness for EMV of Payment Ecosystem
  • Figure 9 - When Will Vendors Be Ready for EMV By Application Type
  • Figure 10 - Vendor Costs Per Application Type for EMV
  • Figure 11 - Average Cost Per POS Application for EMV Change
  • Figure 12 - Impact on Transaction Speed for Traditional POS
  • Figure 13 - Impact on Transaction Speed for Mobile POS Transaction
  • Figure 14 - Why EMV Only Part of Solution
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