Fears PIN Campaign has left Industry in the Dark

The looming deadline of switching to Personal Identification Numbers (PIN) for credit card transactions has raised concerns of how prepared the tourism and hospitality sector is to make the change, according to peak industry association, Restaurant & Catering Australia.
From August 1 2014, Australia will switch from signatures to verify credit card transactions to PIN in an attempt to strengthen payment security.
The Industry Security Initiative (ISI), a collective of Australia’s major financial institutions and card schemes, has been executing a PINwise campaign to encourage Australians to use PIN for authorisation on chip-enabled credit and debit cards, instead of a signature.
However, Restaurant & Catering Australia (R&CA) CEO John Hart is concerned the awareness campaign has largely focused on consumers, leaving small businesses in the dark.
“Pin@POS will change the way many restaurant and hospitality operators engage with customers when finalising their credit card payment.
“Industry needs to be ready to accommodate this change, as it may require all of Australia’s 800,000 payment terminals to undergo a software update, if not install new technology.
“To date, minimal communication has been received educating restaurant operators on how to prepare for the change. In fact, the change could have significant financial consequences for some operators”, Mr Hart said.
Mr Hart believes the industry has raised concerns the new terminals won’t provide the flexibility and functionality required when completing payment transactions in a hospitality environment.
“There’s a strong need to split bills, add tips and process credit cards at the table – all critical components of a dining experience that do not generally occur in a retail situation.
“It’s not as simple as tap-and-go – we need to think about the customer experience in a dining situation,” Mr Hart said.
A major issue confronting the sector is the ability of payment terminals to allow consumers to tip restaurant staff – a large incentive for staff to provide impeccable service.
“The industry can’t afford to forego revenue by not having the technology to allow consumers the ability to tip.
“The technology has been available to accommodate this change in America for some time – but the majority of Australian banks are dragging their feet.
“Industry should have been made aware of what to do months ago – rather it has been left to a small few to lead the charge.
Mr Hart is pleased to announce a partnership with the Commonwealth Bank of Australia, which is offering R&CA members support and special EFTPOS rates.
Please contact R&CA on 1800 722 878 for more information.