Mastercard’s executive vice president Colleen Taylor told Fintech Business at the SIBOS conference in Sydney that legislation may not be sexy but it was vital to the industry.
“Standards aren’t sexy, but they are really necessary to drive an efficient ecosystem. We saw that in the consumer card business, we will see it in the ecommerce system as well,” she said.
Ms Taylor said that Mastercard was supportive of a new standard for checkout based on the EMVCo standards because it benefited everyone.
“We are actually supportive of a new standard because if you look at e-commerce it is growing twice as fast as physical commerce,” she said.
Currently many merchants experience checkout abandonment as consumers turn away from the site due to payment difficulties, said Ms Taylor.
“Consumers want a great, frictionless experience in the e-commerce environment and merchants want it to. Because when there is friction, you have all this abandonment at the cart,” she said.
Ms Taylor said Mastercard and other industry players have come together to create a standard that will help consumers have a frictionless experience and help merchants keep customers.
“We’ve come together around a standard that should enable for a more consistent experience for checkout and we think that will actually facilitate even more growth in ecommerce,” Ms Taylor said.
Ms Taylor said that innovation was anything that helped the end consumer experience, but it also needed a standard to enable it.
“A great user experience is simple and easy for a consumer to click on a button and transact but the standards that sit behind it are pretty important and it’s great to get all the players to buy into it, to get to the common goal,” she said.
Eliot Hastie is a journalist on the wealth titles at Momentum Media.
Eliot joined the team in 2018 having previously written on Real Estate Business with Momentum Media as well.
Eliot graduated from the University of Westminster, UK with a Bachelor of Arts (Journalism).