RSS feed Get our RSS feed

News by Topic

BizReport : Ecommerce archives : September 29, 2010

Majority of CNP transactions processed manually

In an age of computerization it's incredible to discover that the vast majority of companies in the U.K. continue to rely on manual processing of 'customer not present', or CNP, transactions.

by Helen Leggatt

A survey in the U.K. for payment processing firm Chase Paymentech Europe discovered over two-thirds (68%) of firms manually process CNP payments, rising to 92% for international payments.

By Chase Paymentech Europe's estimation, that's almost a month (27.8 days) spent purely reconciling CNP transactions, not to mention the knock-on effect on customer service levels.

Understandably, financial directors aren't impressed at how their payment capabilities have evolved. Over three-quarters (79%) believe their CNP systems have developed in a "less than ideal" way, rising to 94% of financial directors within large companies.

"The results from the survey underline that merchants are not aware of the hidden costs connected with e-commerce," said Shane Fitzpatrick, president and managing director of Chase Paymentech Europe.

"Most organizations outside of e-commerce are looking to cut overheads and become more streamlined. It is surprising that U.K. merchants are still opting to continue with manual reconciliation and patch-work payment systems."

Tags: ecommerce, payment processing

Subscribe to BizReport



Copyright © 1999- BizReport. All rights reserved.
Republication or redistribution of BizReport content is expressly prohibited without the prior written consent.
BizReport shall not be liable for any errors in the content, or for any actions taken in reliance thereon.