Token Service Providers (TSPs), third-party technology solution suppliers, play an important role in the improvement of the payment ecosystem by implementing, and helping get to market Visa’s latest digital payment products.
One of these digital payment solutions is Tokenization. This is the process of replacing debit/credit card numbers into token numbers so that the user’s card number is not exposed to fraudsters during a purchase, whether online or in a store. Tokenization allows for new ways for consumers to pay for a product or service by using mobile wallet apps, such as Apple Pay or Google Pay.
By going through Visa Ready program certification, TSPs would be able to promote and offer their payment technology services to issuers/banks and merchants as certified by Visa, granting them an advantage when these players go into their buying decision process.
Issuers and merchants consider these as their buying decision process:
There is a real need to implement Tokenization. External stimulus that drives this need is fraud. Issuers and merchants alike, are desperately trying to reduce fraud volumes as both get affected by it, and also, there is the external stimulus of increasing authorization approvals for users to purchase more. As for internal stimulus, there are Visa mandates in place that require banks and merchants to support this technology in order to bring more security into the payment ecosystem. Failure to comply would incur fees to them.
Issuers and merchants are both looking for token service providers to help them implement this technology. Also, making these changes in their system and keeping them updated require technical resources that most issuers and merchants cannot afford. Visa Ready certified providers would have priority for these players during their research. Already certified solutions would be preferred and also recommended by Visa in comparison to solutions that have not gone through the program.
As for their fulfillment, Issuers and Merchants would hire certified TSPs and they would want fast go to market solutions, and having this certification will bring them peace of mind for an efficient and fast delivery.
TSPs are key players in the payment ecosystem as they help expand, improve and release Visa’s digital payment capabilities to many different markets/countries. Become a Visa partner by applying for certification following this link. (https://partner.visa.com/site/programs/visa-ready/digital-payments.html)