January 25, 2018
Of the top five payments trends in 2018 according to the Electronic Transactions Association (ETA), two of them are of primary concern to CardNotPresent.com readers: the emergence of voice and IoT as sales channels and e-commerce fraud as part of a larger emphasis on security.
Research firm IDC, which performed the analysis for the ETA, predicts that 30 billion devices will be connected to the Internet in the next two years. And, with digital home assistants from Amazon and Google popularizing voice as a user interface, the research found that in 2018, connected voice-enabled devices will initiate $150 billion in transactions.
“Voice is a natural way to communicate and it will become a very important part of commerce as we move forward,” said James Wester, research director for IDC. “2018 will be the year we see voice commerce provide a seamless and easier way to make a payment.”
And, as the new sales channels quickly expand the number of transactions being performed, card-not-present fraud and other attacks on online commerce will continue to grow quickly.
“Getting a handle on securing IoT transactions—and the exceptions, chargebacks, and inevitable issues they will cause—must happen sooner rather than later,” Wester said. “As consumers increasingly assign their identities—and the financial accounts attached to those identities—to objects and items such as cars and devices, the risk to the system grows.”