According to EFPOS service provider SmartPay up to a quarter of New Zealand’s retailers are unprepared for the new 6.0 EFTPOS upgrade needed by 31 May.
“Anecdotally we think some retailers have become complacent or are trying to defer the cost for as long as possible which is why Paymark and the Banks have set a firm date for sun setting terminals – SmartPay’s recent work to upgrade 800 Auckland Co-Op taxi’s is clearly an example of what needs to be done sooner rather than later,” says Paul Whiston.
Without the upgrade, retailers will not only be in breach of these standards, but will also be unable to process certain types of local and international card types, as well as face disconnection from the Paymark network.
At that time the Auckland region had the greatest number of terminals requiring upgrades (27,243) followed by Canterbury (5,911), Wellington (5,199) and Waikato (4,004).
"Retailers need to recognise that this is a very real issue and one that, if not addressed, will affect their bottom-line," says Paul Whiston.
"There are a number of upgrade options available. Many of these technologies aren't suited for the majority of Kiwi businesses; most need a simple upgrade, not an entire makeover."
“Contactless” is one such technology - it allows consumers to pay for low-value transactions by simply passing their card over a pad. Whilst the Paymark network is enabled for contactless technology, the model is far from being established in New Zealand.
"Rather than spending unnecessary money, we urge retailers to talk with their bank or EFTPOS provider when deciding on the best upgrade option."