With password-free authentication, VbV transactions are risk-assessed, in real time, using a wide range of information and data sources. For the vast majority of transactions consumers are not asked to enter any information during the VbV process. The payment process will only include an additional verification step for higher risk transactions. Password-free authentication reduces the number of consumers who drop out of the checkout process, offering the potential for higher revenues for retailers. VbV continues to offer the same level of fraud protection for retailers and their customers and the average drop out rate for password-free VbV transactions is approximately one percent.
Duncan Olby, SVP of ecommerce at Visa Europe, said: „Visa Europe is committed to growing ecommerce merchants’ revenues through innovations in payments. Verified by Visa has become a watchword for fraud protection with approximately 60% of Visa UK ecommerce spend covered by VbV. Password-free authentication is helping our retail partners benefit from increased sales while offering the same level of fraud protection. Later this year we will launch the V.me wallet which will further reduce checkout abandonment by providing a market leading, streamlined payment experience. In addition V.me will enable mobile ecommerce providing merchants with new sales opportunities.”
Phil McGriskin, Chief Product Officer, WorldPay, said: „The majority of our eCommerce retailers have implemented VbV and the move to password-free authentication is a welcome improvement that brings our retailers significant additional benefits in terms of faster checkout times, reduced abandonment rates and increased sales, whilst still retaining the financial benefit which VbV provides to them.”
More Visa’s announcements
Visa announced that during the London 2012 Games, it will showcase the latest payment innovations. Among the new ways to pay, Visa will showcase payments via mobile phone and chip-enabled payment cards that allow for faster, more convenient and secure transactions at thousands of retail locations throughout London and Olympic Games venues.
During the London 2012 Olympic and Paralympic Games, Visa and its partners are enabling Visa sponsored athletes, trialists, and visitors to experience:
Banking 4.0 – „how was the experience for you”
„So many people are coming here to Bucharest, people that I see and interact on linkedin and now I get the change to meet them in person. It was like being to the Football World Cup but this was the World Cup on linkedin in payments and open banking.”
Many more interesting quotes in the video below: