Secure POS Vendor Alliance (SPVA)

Hypercom, Ingenico, and VeriFone have announced the formation of the Secure POS Vendor Alliance - SPVA .
This is a non-profit business organization chartered with implementing common payment security standards among vendors of secure point-of-sale (POS) devices used by retailers, acquirers and cardholders alike.

The SPVA plans include increasing awareness of security issues, encouraging adoption of best practices and promoting consistency among standards. They plan to create a standardized implementation of the existing security standards, a recommended implementation guideline for end-to-end encryption of cardholder data and end-to-end lifecycle management protocols.

Once these guidelines and standards are fully developed, the SPVA will establish an “SPVA approval” program. Two levels of membership are available, general membership for vendors that develop secure POS payment systems and associate membership for organizations that sell or utilize products or solutions that interact with secure POS payment devices.
SPVA intends to combine the needs of those that must implement current and future PCI and other electronic payment industry requirements. These are security, convenience, cost control and the ability to be easily deployed and maintained.
You can read the full article at:
http://www.paymentsnews.com/2009/04/hypercom-ingenico-verifone-launch-spva-payment-security-alliance.html

The Traditional Grocer

Grocery stores are located throughout the world, although their size and range of goods and services vary. According to the United States Department of Labor, Bureau of Labor Statistics, the grocery store industry is made up of supermarkets and convenience stores that do not sell gas. In 2006, there were approximately 34,000 traditional supermarkets. Of these 34,000 traditional supermarkets, 75 percent were operated by a chain of supermarkets that owned 11 or more grocery stores. The rest were operated by independent owners that operate fewer than 11 grocery stores. In 2008, there were 35,394 traditional supermarkets with annual sales of $2 million or more.

Traditional supermarkets sold mostly fresh meats and produce, canned or packaged goods and dry goods such as flour and sugar to people who lived in the neighborhood. They also usually stocked a few nonfood items used in preparing home-cooked meals, such as aluminum foil and paper napkins. These days supermarkets sell a wide range of traditional grocery items, general merchandise, and health and beauty products, plus a wide assortment of prepared foods, such as hot entrees, salads, and deli sandwiches for takeout. Most supermarkets have several specialty departments that may include seafood, meat, bakery, deli, produce, and floral.

For over 20 years grocery stores have been facing growing competition from the warehouse club stores and supercenters. The Food Marketing Institute shows that in 2007 the average size of a grocery store dipped slightly to a median of 47,500 square feet. To compete with club and supercenter stores, grocery stores have been selling more general merchandise items and providing a greater variety of services to cater to the one-stop shopper.

Ethnic grocery stores are some of the fastest-growing stores in the country. Providing specialized services and products unique to a particular neighborhood and its shoppers helps these grocers build loyalty and contribute to a sense of community among local residents. Of course, small grocery stores have been around forever and some old-time neighborhood markets still exist. There is also an increase in the number of grocery stores that cater to upscale clientele and those that sell mostly natural and organic foods. Specialty retailers have proved that shoppers will flock to smaller stores if they are offered a novel experience.

What Your Customers Think of Your POS System

Feature Article by Steve Methvin, Bozzuto’s, Inc.
Today’s grocery customer cares about your POS systems. While customers may be spending less on electronics and technology due to recent economic trends, it does not mean the desire for intuitive systems is gone. Customers appreciate outstanding customer service and expect systems that “smile”. A large rollout of self- scanning systems taught some valuable lessons about customer feedback when planning a new system or upgrade. After spending a considerable amount of time talking with our customers about systems; we learned some new approaches that greatly increased our ROI.

Let me share some lessons learned…
1. “Ask me!” – Remember to ask customers about your systems. A quick survey of about 10% of your customer base can reveal some important elements. Do you need to add a new lane? Is the display clear and easy to read? Is the font legible? Customers appreciate a “vote” and will look forward to seeing the new changes put into effect.
2. “Respect my privacy” – Guard your customer’s privacy. Too much information may not seem like a problem to your cashier; the customer may feel differently. Do you allow customers to buy sensitive items in a discreet way? Respect is a fantastic way to build loyalty (card or no card).
3. “Keep me safe” – Systems have a way of “forcing” customers to stand or move in certain ways. Can they put their purse or baby in a safe place while they do business with you? Do they have to push the baby out into “traffic” to reach the credit card machine? Have you done everything you can to protect her banking information?
4. “Have a backup plan” – When systems fail for whatever reason, do not blame the system in front of the customer. Apologize and execute the back up plan. Most system-related complaints are not that the system fails but that the customer is given no other option!
5. “Tell me about changes” – Retailers work hard to make customers “feel at home” at the store and love to hear customers say “my store”. These same loyal customers may not enjoy the surprise of some new procedure. If we change their system, communicate the change in a positive way.
“Take care of my equipment” – Any system the customer sees or touches should be clean and repaired. Credit card devices and customer displays can reflect the store’s cleaning standards. If your Pinpads look dated or unsecured, customers may question the security of the transaction. Some warehouses, such as Bozzuto’s, have a special program to make sure their retailers have the latest credit card equipment to deliver an outstanding and safe customer experience.

Ask your customers about your systems and be prepared with a pen and note card. It may surprise you to hear what customers think. If they share something not on our list – please share with me at smethvin@bozzutos.com.