|
Why ResAvenue's Tokenisation is the future of payments for the Hospitality Industry
07 November, 2022
Enhancing the core competency of your hotel's business security can essentially contribute to achieve higher occupancy rates and revenue. It is therefore crucial to have a robust and secured payment processing model that minimizes transaction frauds and errors, and keeps your business at distance from loss occurring due to thefts and malicious attacks. Tokenisation plays a key role in providing your business with a safe environment for transactions and building your customers' trust through protection of their sensitive card data. Implementing tokenisation while accepting payments is now mandatory for all hoteliers as the Reserve Bank of India (RBI) has recently directed online businesses to not store any payment related customer information such as card details, so that card numbers can be replaced with tokens, making the transactions more secure. Strategically, this move not only serves as a long term tool for secured payments but also assists in letting your business grow across channels, franchisees, and countries. Your integration with ResAvenue services, offers you a multi-network tokenisation solution for accepting payments from your guests with a powerful approach to boost your earnings from channel bookings.
What is Tokenisation?
Tokenisation is the process of replacing the guest's sensitive card data with a unique token or encrypted code in order to protect the guest information from being misused. It enables the guest to make payment in a secured environment without storing his confidential information in the payment system of the hotelier, defending the card data against any vulnerability from a third party. This procedure is much unlike the previous one where a guest's card data would remain auto-saved in the hotelier's system after a transaction was initiated.
The RBI has explained the components of tokenisation as a combination of card number, token requestor code and device code where token requestor is the entity that issues a token at the request of the customer. Card issuers including Mastercard and VISA play the role of the Token Service Provider (TSP).
The Process
As soon as a request is initiated by a customer, the token requestor will forward the request to the Token Service Provider (TSP) who issues the token for payment. This token will be linked to the customer's device and then used for making payment to the same merchant again. The token requestor will not be allowed to store any customer data. Card networks, however will be allowed to store only limited card data (in compliance with the applicable standards) such as the last four digits of the customer's card number along with the user name for reconciliation and transaction tracking purposes.
RBI's Tokenisation Move
As a potential threat, the misuse of your guest's payment credentials is on the rise, and to prevent the same, RBI has introduced Tokenisation of cards as a mandatory step in hotel booking transactions. According to RBI's policies on tokenisation, hoteliers will hereafter not be allowed to save any card data of their guest in their system i.e. PMS system or Hotel Management system to have quick reference for future payments. Except card issuers or card networks, no other entity involved in the card/transaction payment chain, will be able to store the customer's payment card data. Earlier hoteliers used to have access to their guest's payment card details through Card-On-File transactions. However, with tokenisation this will no longer continue to be the case.
Tokenisation with ResAvenue
ResAvenue offers its hoteliers a multi-network tokenisation solution to secure the payments of their guests through CCAvenueTokenPay. Through TokenPay, we enable hoteliers to offer a quick checkout experience to their guests by converting their saved cards into secure network issued tokens in alignment with the RBI's policies.
Benefits of Tokenisation with ResAvenue
07 November, 2022
Enhancing the core competency of your hotel's business security can essentially contribute to achieve higher occupancy rates and revenue. It is therefore crucial to have a robust and secured payment processing model that minimizes transaction frauds and errors, and keeps your business at distance from loss occurring due to thefts and malicious attacks. Tokenisation plays a key role in providing your business with a safe environment for transactions and building your customers' trust through protection of their sensitive card data. Implementing tokenisation while accepting payments is now mandatory for all hoteliers as the Reserve Bank of India (RBI) has recently directed online businesses to not store any payment related customer information such as card details, so that card numbers can be replaced with tokens, making the transactions more secure. Strategically, this move not only serves as a long term tool for secured payments but also assists in letting your business grow across channels, franchisees, and countries. Your integration with ResAvenue services, offers you a multi-network tokenisation solution for accepting payments from your guests with a powerful approach to boost your earnings from channel bookings.
What is Tokenisation?
Tokenisation is the process of replacing the guest's sensitive card data with a unique token or encrypted code in order to protect the guest information from being misused. It enables the guest to make payment in a secured environment without storing his confidential information in the payment system of the hotelier, defending the card data against any vulnerability from a third party. This procedure is much unlike the previous one where a guest's card data would remain auto-saved in the hotelier's system after a transaction was initiated.
The RBI has explained the components of tokenisation as a combination of card number, token requestor code and device code where token requestor is the entity that issues a token at the request of the customer. Card issuers including Mastercard and VISA play the role of the Token Service Provider (TSP).
The Process
As soon as a request is initiated by a customer, the token requestor will forward the request to the Token Service Provider (TSP) who issues the token for payment. This token will be linked to the customer's device and then used for making payment to the same merchant again. The token requestor will not be allowed to store any customer data. Card networks, however will be allowed to store only limited card data (in compliance with the applicable standards) such as the last four digits of the customer's card number along with the user name for reconciliation and transaction tracking purposes.
RBI's Tokenisation Move
As a potential threat, the misuse of your guest's payment credentials is on the rise, and to prevent the same, RBI has introduced Tokenisation of cards as a mandatory step in hotel booking transactions. According to RBI's policies on tokenisation, hoteliers will hereafter not be allowed to save any card data of their guest in their system i.e. PMS system or Hotel Management system to have quick reference for future payments. Except card issuers or card networks, no other entity involved in the card/transaction payment chain, will be able to store the customer's payment card data. Earlier hoteliers used to have access to their guest's payment card details through Card-On-File transactions. However, with tokenisation this will no longer continue to be the case.
Tokenisation with ResAvenue
ResAvenue offers its hoteliers a multi-network tokenisation solution to secure the payments of their guests through CCAvenueTokenPay. Through TokenPay, we enable hoteliers to offer a quick checkout experience to their guests by converting their saved cards into secure network issued tokens in alignment with the RBI's policies.
Benefits of Tokenisation with ResAvenue
-
Maximized Security
Tokenisation replaces your guest's card numbers with unique irreversible tokens, protecting your customer from data leaks and thefts. The encryption or coding of the customer's data provides maximum security and protects it from being stolen and misused.
-
RBI compliance
Your guest's saved cards are converted into secure tokens and used to offer your guest a saved card experience in compliance with the RBI's guidelines.
-
Better Transaction Success Rates
Due to reduction in manual card input errors and card abandonments, you can offer a better user experience which will in return improve your transaction success rates.
Secure payment processing is essential for the success story of every business. Having a clear perspective of the threats to your business is required to develop a robust payment transaction security plan in order to prevent any compromise on the guest's data. Tokenizing your payments is one of such effective plans that can reduce the chances of theft and fraud in your transactions, to the minimum.
Real Time Payment ProcessingSingle Window Interface ManagementExtensive Distribution NetworkZero Setup CostSeamless GDS and IDS connectivity
INFIBEAM AVENUES