December 9, 2011
When the Internet was conceived, it was developed as an ‘information highway.’ It has evolved into an e-commerce solution that is a mandatory component for every business. However, the Rules of E-commerce have changed.
In this article we introduce the new rules and how they impact Web Hosting Companies.
• In Part 1, we discussed how the new rules impact consumers.
• In Part 2, we discussed how the new rules impact online merchants.
• In Part 3, we discussed how the new rules impact shopping cart software developers.
• In Part 5 we will discuss how the new rules impact smart phone application developers.
• In Part 6 we will discuss how the new rules impact smart phone banking applications.
How the PPOS Operates
The new PPOS is not a storage device, but rather a payment application. None of the data entered on the application is saved or stored within the application. All saved and stored data resides in a cloud computing service, which is usually owned and operated by the bank or the company that issued the credit cards.
Consumers concerned about identity theft need to know that the new digital wallets equipped with a PPOS are guaranteed to protect your identity. The safest place to store your credit card details is with the bank or institution that issues your credit card. The second safest place to store your profile and card data is in one of the cloud computing services designed specifically for that purpose. After all, they already have this information.
When the PPOS is initially launched, you are presented with data collection forms to create your profile and enter your card details. The submit function uploads the profile to the gateway server that encrypts the data, returns an unlock key, and then stores the encrypted file with the appropriate cloud. The returned unlock key is stored within the PPOS, along with a description of the card, but not the card details. For example, the stored description might read Capital One MC Platinum.
Web Hosting Developers
It is estimated that less than 40 per cent of merchants who accept credit cards have an e-commerce enabled website. The new rules for e-commerce mean there will no longer be a requirement for these merchants to purchase SSL Certificates, pay for PCI compliance, or install extra security to protect stored data. There is an extensive list of cost savings.
When merchants learn of these new rules, the reductions in cost, discount rates, incidents of chargebacks, and the lowered incidents of fraud, they will want to enable e-commerce on existing sites and launch new or first time websites.
As the PPOS gains acceptance, there will be a heavy demand from merchants for specific smartphone applications that allow merchants more detailed communications with the consumer. Interactive smartphone applications will become the norm, attracting merchants to launch or upgrade their e-commerce websites.
Businesses offering services related to web hosting will now have an opportunity to be an exclusive supplier of new services, which will help build their businesses.
We are inviting web hosting businesses to partner with us in the promotion of our services to their clients. As a reseller they will earn a minimum of $20 per merchant per month. In addition, we will provide full administration services.
If you want to learn more about our reseller program, click Resellers.
As the PPOS gains acceptance, there will be a heavy demand from merchants for specific smartphone applications, which will allow merchants more detailed communication with the consumer. Interactive smartphone applications will become the norm.
The same XML file can then be tied to smartphone applications specific to the needs of the merchant. We believe the shopping cart suppliers will be the ideal developers of these new applications, and as such we have a separate API that may be built into these new applications.
A limited number of web hosting companies and developers are being invited to participate as part of the launch of these new services. It has been estimated that, during 2012, only 35% of existing e-merchants will convert their shopping cart applications to accept online payments via the PPOS. However, this represents over 100,000 web sites.
The digital wallet will protect the cardholder’s identity and will provide a new and convenient way to make purchases, both online and on multiple hardware platforms.
The PPOS will be a welcome solution for merchants who wish to save costs on card-not-present sales, chargebacks and fraud attempts. With its ease of implementation for merchants and the inherent acceptance by consumers, merchants will benefit by using the PPOS.
Victor Arcuri is a Canadian businessman who, for greater than 10 years, has operated CQRPAY, Inc., a secure gateway for credit card processing for Internet-based merchants. Our independent gateway service is unique in that it is the only application that connects to every merchant account provider and every bank in Canada and the USA.
Our platform enables merchants to use the service regardless of any affiliation they may enjoy with a merchant account provider, bank, POS device supplier or shopping cart software developer.
We invite your questions by phone 403-234-0844 or e-mail.
For more information visit: CQRp@y.com.