Mastercard delivers industry-leading safety and security innovations to fuel the increased adoption of online payments
Mastercard, a leader in global payments and technology launched a campaign that provides Thai shoppers over 20 attractive offers when they shop online using Mastercard cards, in collaboration with its partners such as Grab, Lazada, Shoppee and Thai Airways, according to Mastercard’s press release.
Thailand is the second largest e-commerce market in Southeast Asia, and is expected to grow by 30 per cent to reach $13 billion USD by 2025.
Thai millennials are among the world’s top adopters of mobile payments, representing 40 per cent of online shoppers in the country. This has been driven by a shift in consumer behavior as technology connects more people and their devices to online shopping platforms.
In spite of this, e-Commerce payments today are supported by technologies that are nearly 20 years old and not mobile optimized. Consumers unable to successfully complete online payments are compelled to abandon their cart, yielding a poor user experience.
Real fraud and false declines fetter consumer trust and drive them away from digital payments.
“Online commerce is poised to account for a quarter of all transactions by 2025 and Mastercard is innovating at pace to overcome these hindrances and create an enriched, frictionless customer experience through what we call the ‘Digital Security Framework’, built on the foundations of security and scalability.” said Aileen Chew, Vice President, Business Development, Thailand and Myanmar, Mastercard.
“This Framework is built in tandem with industry-wide initiatives and comprises four key pillars: authentication, tokenization, continuity and intelligence to solve for friction in payment transaction flows.”
‘Authentication’ technology verifies the customer’s genuine intent to pay, ‘tokenization’ prevents any risk of data breach for card-on-file merchants, ‘continuity’ ensures that customer card data stored at merchants is kept up to date automatically to pre-empt declines on account of card expiry or card replacement and ‘intelligence’ enables merchants to use data in real time to make effective approval decisions.
These work together to address the end to end customer journey and online transaction experience, solving for friction at each stage of the lifecycle.-
These are made possible by the rollout of EMV 3D-Secure 2.0 (3DS2.0), the new authentication standard for all digital transactions that connect the dots from the time someone logs into an account to when they purchase something, when they authenticate to when that authentication becomes an authorized transaction.
This not only brings issuers and merchants onto a common, globally interoperable standard, but also allows issuers and merchants to carry out secure and frictionless consumer authentication eliminating the need for OTPs or passwords for everyday low value transactions.
Another significant innovation in Mastercard’s Framework is its ‘passive authentication technology’ that uses device behavioral and biometric data to discern legitimate users from the fraudulent ones.
This technology gauges users by the way they type on their smartphone, and the pressure applied to the touch screen, among other signals to detect suspicious activity and accurately authenticate users’ identities.
The Framework is paving the way for Mastercard to convert any device to a secure remote device whether it is making a Mastercard payment through your taxi booking app, paying with your wearable device in-store or even enabling your car to make a payment each time it is re-fueled at the petrol pump.
Mastercard’s acquisition of Brighterion, Nudata and Ethoca are testimony to the strong commitment we have towards keeping our consumers’ transactions secure.
The Thailand e-commerce campaign underpins Mastercard’s continuing commitment to drive innovation and grow the online commerce space. Recently Mastercard announced its partnership with the National Interbank Transaction Management and Exchange (ITMX) to widen the acceptance of debit cards. The partnership makes Mastercard’s Payment Gateway Services the first and only global payment gateway to connect directly with the ITMX. Such developments are helping to advance digital payments in the country and move Thailand towards becoming an inclusive cashless society, in-line with the government’s ‘Thailand 4.0’ vision and its ‘National e-Payments Master Plan.