Navigate the EMV Liability Shift

As a CIO of a hotel, restaurant, or casino, you have to find an EMV solution for new liability rules that take effect on October 15th, 2015.
This “liability shift” makes the non-EMV compliant party responsible for losses in the event of a compromise at the point of sale.
As industries focus on customer service, it’s important to ensure that customers have a positive experience with payment technologies.
Money that has been stolen from U.S. issuers, merchants, and consumers is on the rise. However, indirect costs are rising just as drastically. Moreover, reissuance costs are not factored into these statistics: the real cost of fraud may be 5 to 6 times greater.

Our Advice

Critical Insight

EMV is not a mandate – It’s a liability shift specific to counterfeit fraud and lost/stolen cards set by the card issuers.
EMV impacts foreign travelers from countries that have already implemented EMV. Evaluate your customer base to gauge the impact.
EMV provides a foundation for mobile contactless payments.
EMV does not address Card Not Present (CNP) fraud. Take additional measures during implementation to strengthen your online and over-the-phone purchasing process.
Integrate PCI-compliant solutions, end-to-end encryption/point-to-point encryption, and tokenization for a more secure transaction.
Check your existing contract with your card issuer: if you have a pre-existing plan, your card issuer may not legally be able to force you to change.

Impact and Result

EMV is the first step to a multi-layered approach to protecting cardholder data upon swiping and then processing.
Preparing for NFC payments (i.e. Apple Pay and Google Wallet) is a part of selecting your EMV solution.
Make a solid business case for your EMV project by articulating and supporting the value it creates to the organization.
Define the organizational context for your EMV deployment and make sure your technical requirements can satisfy your business requirements.
Carefully plan your project prior to deployment to reduce any roadblocks and issues associated with implementation.

Navigate the EMV Liability Shift Research & Tools

Start here – read the Executive Brief

Read our concise Executive Brief to gain a high-level understanding of the opportunity to reduce liability, fraud, and customer experience risk whilst taking advantage of contactless payments trends, review Info-Tech’s methodology, and understand the four ways we can support you in completing this project.

Navigate the EMV Liability Shift – Executive Brief

1. Define the EMV current state and requirements

This phase of the blueprint, Navigate the EMV Liability Shift, will aid in gaining an understanding of the environment and current state.

2. Build the business case and internal plan

This phase of the blueprint, Navigate the EMV Liability Shift, will aid in developing the business case that will enable launching an EMV project off the ground by receiving buy-in from all key stakeholders.

3. Select the solution for the EMV project

This phase of the blueprint, Navigate the EMV Liability Shift, will aid in selecting the vendors that meet strategic architecture needs and are compatible with PMS by articulating all the important compatibility, contract, and partnership considerations.

4. Plan the EMV implementation

This phase of the blueprint, Navigate the EMV Liability Shift, will aid in developing an implementation plan for the EMV solution, since EMV implementation can take up to 18 months if all elements aren’t considered and addressed.

5. Deploy EMV and monitor success

This phase of the Navigate the EMV Liability Shift blueprint will aid in successfully deploying and monitoring the EMV system whilst bringing you one step closer to a contactless payments future.

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We produce unbiased and highly relevant research to help CIOs and IT leaders make strategic, timely, and well-informed decisions. We partner closely with IT teams to provide everything they need, from actionable tools to analyst guidance, ensuring they deliver measurable results for their organizations.

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A blueprint is designed to be a roadmap, containing a methodology and the tools and templates you need to solve your IT problems.

Each blueprint can be accompanied by a Guided Implementation that provides you access to our world-class analysts to help you get through the project.

Table of Contents

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Call 1: Define the EMV current state and requirements

Conduct a scoping call; understand your business context; determine your technical requirements.
Call 2: Build the business case and internal plan

Conduct a scoping call; review your project financials; review your business case.
Call 3: Select the solution for the EMV project

Conduct a scoping call; review vendor shortlist; review vendor scores and contract.
Call 4: Plan the EMV implementation

Conduct a scoping call; develop the implementation plan; finalize the plan.
Call 5: Deploy EMV and monitor success

Conduct a scoping call; review the initial project implementation; monitor the EMV POS system.

Authors

Larry Fretz

Viktor Popov

Contributors

1 Professional contributed information that assisted with the development of this solution set:
- Jeffrey Parker, Vice President of Hotel Technology, Interstate Hotels

Search Code: 79407
Last Revised: December 15, 2015

TAGS:

EMV, PMS, POS, payments, contactless, compliance, retail, hospitality, liability, PCI, Card Not Present, fraud, encryption, P2PE, tokenization