Visa has announced that its Visa Token Service participants could process a combined e-commerce volume of $1trn.
This comes as consumer spending increased by 19.7% in 2019 from 2018 with online shoppers spending $9.4bn on Cyber Monday alone.
In addition, consumers spent $125.6bn online from November 1 to December 19, with over a third of spending on smartphones. Tokensiation technology has also risen among merchants and retailers.
Tokenisation is a technology that replaces sensitive payment information with a unique identifier or ‘token’, protecting sensitive payment information.
Click to pay
From January 21, active Visa checkout merchants in the US will transition to a new payment solution for card payments.
Consumers can leverage the click to pay experience when using their Visa card to make a purchase wherever they see a click to pay button where Visa is accepted.
Jack Forestell, Visa CPO, said: “At Visa, one of our primary goals has always been to create the best customer experience possible. As digital transaction volume grows, there has never been more urgency to build increased confidence in the seamlessness and security of online shopping.
“This is why Visa is committed to the success of the click to pay experience and the added level of security that tokens bring to electronic payments.”
On sites displaying a click to pay button, consumers that have enabled their card will not have to enter a 16-digit account number, enter passwords or fill out forms to pay.
Instead, the click to pay feature will use authentication measures such as biometrics to protect transactions. Furthermore, the solution is interoperable with the EMVCo tokenisation specification and the 3-D Secure specification.
The new checkout experience will replace Visa Checkout in the US starting January 2020 and will expand globally throughout 2020.
Visa’s aim is to help merchants offer a similar, seamless experience to consumers.