October 1st came and went, and your winery probably wasn’t affected. Yes, the EMV ‘deadline’ to get your winery ready to accept credit cards with chip technology is now in the past. All the hoopla that the credit card vendors, banks, merchant processors and payment gateways created to make you fear that October 1st deadline has subsided. Everything is still ok and you’re still selling wine. Likely you haven’t had any fraudulent transactions - let alone one from a chip card.
What Should I Do Now?
EMV is something your winery will need and you should decide what your timeline is. The new EMV devices protect you from any onsite fraud from chip credit cards. It does not affect non-chip card orders that are on site, online orders, or wine club orders. Simple math can tell you if/when it’s worth it to buy new hardware from how many fraudulent transactions you get on site:
As more and more Americans receive their chip credit cards, having an EMV device will become more and more important for your business. The migration to EMV card readers shouldn’t be taken lightly because as the number of credit cards with chips grow, the percent of fraudulent transactions from those chip cards will also grow. Hardware companies are still playing catch up with the payment industry. We’re seeing more and more EMV devices come to the market, and the newer devices are getting better.
Should I Upgrade?
When you decide it’s the right time to upgrade to EMV devices, you can start with a combination of non-EMV swipers along with EMV devices depending on where you’re selling your wines. A key thing to note is that the EMV hardware creates a ‘lock-in’ to your merchant processor since the device is setup specifically for your processor. This means changing payment gateways or merchant processors becomes more difficult and costly.
So all that being said, should you upgrade? Yes.
Should you upgrade right now? You don’t need to unless you’re getting a large amount of fraudulent transactions, but it’s all about risk management. If you’re holding out and waiting, it’s something you’ll want to rethink every few months.
How Can I Sell More Wine with EMV?
EMV has caused a lot of wineries to worry, but the bottom line is that it won't help you sell more wine. It will make your controller or legal team happy (if you have one).
When you notice consumers walking out of your tasting room because they cannot pay with Apple Pay, Google Wallet, etc., then it's a good time to get EMV because they provide that option for you (or if you're seeing a lot of onsite fraud). Until then, focus on what will help sell more wine in your tasting room.