For contactless payment, a simple “touch” of the device activates the payment transaction. This seems to be an ideal payment solution for small amounts (defined as less than 15 Euros by the banking industry) and offline transactions. The Vending Industry has on numerous occasions met and discussed the implications of a contactless payment in unattended points of sale, with credit card institutions (MasterCard, Visa, AMEX, JCB). However, a number of technical and commercial concerns still need to be resolved. The vending industry has considered the following points relevant to a successful implementation of a cashless system: • Credit First is the key. First give credit to the vending machine and then make a selection which determines the payment amount. This is how consumers currently use vending machines with cash. • Speed is crucial. Cashless Transactions should not take longer than cash transactions. It is estimated that transactions taking greater than 4 seconds will not be accepted by the consumer. • Pricing: At current transaction cost, cashless will only have limited application in vending. For mass adoption, transaction cost will have to go down substantially. • Technology: The EVA supports the adoption of contactless schemes (such as cards, NFC e.g. mobile phone enabled payments) and other systems as they are best suited to the vending environment. Earlier technologies such as chip and pin may require a receipt printer and a secure keypad, which inflates the hardware costs to an unacceptable level. • Horizontal compatibility: systems should operate to common standards so that the experience for the consumer remains consistent with existing methods of making a purchase. • Feedback: there must be some form of communication between the machine and the consumer to indicate that the transaction has been successful. Systems clearly communicate what occurs if a vend fails and how the consumer may be reimbursed. • Simplicity: The user interface should be user-friendly and easy to understand. Ideally, the consumer should be able to avoid having to present their card for every selection made. • Certification: The vending industry requires a simple generic process for (bank) certification of contactless payment devices in vending machines. The vending operator cannot be made responsible for the technical integration of payment systems. • Communication: The banking industry would prefer all machines to have online capability. This could prove to be a significant barrier to the full adoption of contactless payment systems. The purpose of the CVS specification is to give guidance to manufacturers and operators on the design and implementation of cashless payment devices in the vending industry. The EVA welcomes participation from all parties involved and will be very interested in participating in any forum that will address the contactless debit/credit applications in vending, be it to describe the vending requirements in greater detail, or to give any clarification on its existing standards. www.vending-europe.eu