Safety and security are the main priorities for merchants when choosing between payment methods as 72 per cent of European merchants prefer cards over other payment methods, reveals Payments Europe, the paytech experts.
The Safety, Convenience and Choice: The True Value of Cards report is based on a survey of 1,560 merchants working in physical and online retail, in France, Germany, Italy, Spain, Sweden, and Poland. It underscores how rapidly the payment market is evolving in Europe, with ever-escalating competition among providers. Especially as new products and services become available.
In addition to safety and security, merchants choose payment methods based on customer preference, reach, and merchant convenience and cost. When asked to compare different payment options, merchants rank cards the highest because they meet those needs best. Sixty-seven per cent of merchants believe the cost of cards has dropped or stayed stable in the last years. Furthermore, 87 per cent of merchants believe the value of cards outweighs the cost.
“Payments are increasingly cashless, and the payments industry is called upon to constantly invest, innovate, protect and maintain resilience across the entire ecosystem,” said Kerri McLaughlin, member of Payments Europe, from Citi.
“Our research shows that merchants welcome diversification; the industry is fostering innovation and security; and cardholders benefit from greater choice. Cards have traditionally played an important role and continue to be the preferred payment solution, delivering innovation and resilience for both cardholders and merchants”.
Sascha Dewald, from Deutsche Kreditbank AG and member of the board of Payments Europe commented: “Businesses must embed this ever-growing demand for digital solutions into their transformation efforts. It’s one of the key differentiating traits of those better equipped to drive successful outcomes, and it is especially true for small merchants.
“99.8 per cent of all businesses in the EU are SMEs — which translates to 25 million enterprises and almost 100 million employees. Developing an all-encompassing payment acceptance strategy to drive revenue is not only about business. It’s about unlocking a prosperous Europe.”
“There is widespread opportunity for innovation and growth.” Added Michael Hoffman from Card Payment Sweden and member of the board of Payments Europe.
“This is an exceptionally exciting time for payments. We must continue to fuel innovation while maintaining the highest security. Digital and card payments will only continue gaining traction. Card tokenisation and other robust security features will take hold. There are so many exciting trends to look out for, and everyone has a part to play in furthering the digital payments space, from policymakers to civil society. Industry will continue to implement initiatives for the benefit of European consumers, merchants and the economy.”
