Shoppers Still Unhappy With Chip Cards
A year has passed since chip cards began appearing in shoppers’ wallets, and consumers are still not happy with the change.
According to a recent Square survey, 91% of debit card users and 87% of credit card users are unhappy with the checkout experience with their new chip cards. Most unhappy shoppers believe the authorization process takes too long, and 37% of the 1,000 card users surveyed said this delay leads to frustrating, slow lines.
Consumers are not just worried about checkout speed, though. 29% reported feeling uneasy with the threat of payments fraud, even though the chip cards are more secure.
Despite these difficulties, chip cards make up nearly 75% of cards processed by Square, which is up from 40% last September.
The study also looked at consumer attitudes toward mobile wallets and found that many shoppers have not adopted this technology (such as Apple, Android or Samsung Pay), because they feel there are security concerns. In fact, 77% have not used NFC mobile payments. In truth, mobile wallets can be a very secure payment form. Apple Pay and many Android devices allow users to activate fingerprint ID technology, which makes it nearly impossible for thieves to access your phone, and NFC mobile payments use layers of security, such as tokenization and cryptograms, to secure bank details.
Not surprisingly, Millennials are more apt to use NFC technology. 45% of this age group (18-34) have used NFC payments, while only 26% of those over 35 have used this technology.