The Invisible Complexity of Payment Processing: A Closer Look
By Rory Bosman, Chief Sales & Marketing Officer at Ecentric Payment Systems
In the fast-paced world of retail, consumers expect seamless and instant payment transactions without any glitches. However, behind the scenes, a complex web of processes is at play to ensure these transactions happen smoothly, explains Rory Bosman, Chief Sales & Marketing Officer at Ecentric Payment Systems.
Bosman highlights the evolving expectations of consumers, noting that what was once considered acceptable payment processing time a decade ago is no longer sufficient in today’s market. With customers now expecting near-instant transactions, the pressure is on payment service providers to deliver a seamless experience within a benchmark time of 130 milliseconds.
While the end-user experience remains simple and straightforward, Bosman emphasizes the intricate complexity involved in payment processing. From card validation to encryption, security checks to clearing and settlement, each step in the payment journey must happen swiftly and seamlessly to meet customer expectations.
Using the analogy of an onion, Bosman breaks down the layers of a payment transaction, highlighting the critical role each step plays in ensuring a successful transaction. From the initial card interaction at the till to the authorization process and final settlement between banks, every layer must function harmoniously to ensure a positive outcome.
Central to this process is maintaining compliance with industry standards such as PCI DSS, a global security standard that requires rigorous annual audits and ongoing validation. Ensuring a secure environment for payment processing is essential to building trust and safeguarding the entire payment ecosystem.
Bosman cautions retailers to carefully consider their choice of payment service provider, as any misstep in the payment process can lead to customer frustration, merchant dissatisfaction, and reputational damage. With so much riding on milliseconds of processing time, selecting a reliable and secure partner is paramount for businesses.
