New ACI Worldwide Data Shows Nearly 50 Percent of Major Fuel Merchants are Currently Unprepared to Meet Extended EMV Deadline
August 25 2020 - 8:00AM
Business Wire
COVID-19 complicating EMV implementation,
putting fuel merchants at risk for fraud losses
New data from ACI Worldwide (NASDAQ: ACIW), a leading global
provider of real-time digital payment software and solutions,
highlights that as of July 2020, nearly 50 percent (47%) of major
fuel merchants are unprepared to meet EMV automated fuel dispenser
(AFD) compliance by the new April 2021 deadline (extended from
October 2020) with less than half their stores fully upgraded. The
survey indicated that 33 percent are unlikely to meet the deadline,
at which point fraud liability is expected to shift from card
issuers to fuel merchants.
The data includes survey responses from fuel merchants that
collectively represent 46,000 gas stations nationwide—major oil
companies, grocers and convenience stores. While almost half are
nowhere near ready, nearly 70 percent (67%) expect to be ready by
the April 2021 deadline, and nearly all (97%) expect to be ready
before the end of next year. A third of the major fuel and
convenience merchants surveyed have fully implemented EMV across
their gas stations, and another 20 percent are more than halfway
toward full implementation.
“EMV is a major undertaking for fuel merchants, and one of the
largest hurdles is the capital investment required. However, it is
imperative for fuel merchants to progress with implementation since
many consumers pay for gas with credit cards, and non-EMV card
readers are vulnerable to fraud,” said Debbie Guerra, executive
vice president, ACI Worldwide. “Without EMV implementation, these
merchants stand to face major fraud losses, which is further
complicated by the impact of COVID-19 on businesses. Those that
don’t meet the deadline can unfortunately expect increased
chargebacks and higher fraud costs as they become targets for
fraudsters.”
Key Findings:
EMV readiness
- 33 percent of major fuel and convenience merchants have fully
implemented EMV across all their gas stations
- 20 percent have at least half of their fuel stations fully
upgraded
- 27 percent currently have under half of their fuel stations
fully upgraded
- 20 percent are still in planning stages and haven’t implemented
EMV
EMV deployment by April 2021
- 67 percent of major fuel and convenience merchants expect to be
fully upgraded for EMV by the deadline (including those already
completed)
- 30 percent are set to complete implementation later in
2021
- 3 percent are unsure when implementation will be completed
Data security and fraud
- 60 percent of major fuel and convenience merchants are
considering improving fraud management alongside EMV
changeover
- 37 percent are considering point-to-point encryption and 26
percent are considering tokenization
Digital payments and additional improvements
- 85 percent of fuel merchants are planning to implement
contactless payments alongside EMV
- 70 percent are considering mobile payments
- 67 percent are evaluating how to integrate loyalty initiatives
at the fuel dispenser
- 77 percent are considering investing in, or are already
supporting, alternative payment methods
Download the insight paper, How Fuel Merchants Can Deliver on
the Convenience Promise, and the EMV Readiness Survey Infographic
for more information.
About ACI Worldwide
ACI Worldwide powers digital payments for more than 6,000
organizations around the world. More than 1,000 of the largest
financial institutions and intermediaries, as well as thousands of
global merchants, rely on ACI to execute $14 trillion each day in
payments and securities. In addition, myriad organizations utilize
our bill presentment and payment services. Through our
comprehensive suite of software solutions delivered on customers’
premises, through the public cloud or through ACI’s private cloud,
we provide real-time payment capabilities and enable the industry’s
most complete omni-channel payments experience.
© Copyright ACI Worldwide, Inc. 2020 ACI, ACI Worldwide, ACI
Payments, Inc., ACI Pay, Speedpay and all ACI product/solution
names are trademarks or registered trademarks of ACI Worldwide,
Inc., or one of its subsidiaries, in the United States, other
countries or both. Other parties’ trademarks referenced are the
property of their respective owners.
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Media Contacts Dan Ring dan.ring@aciworldwide.com
781-370-3600
Nidhi Alberti nidhi.alberti@aciworldwide.com 781-370-3600
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