电子商务第八讲课件

1、Chapter 7 Payment Systems for Electronic Commerce耿立校 Email:lixgengChapter 7 Payment Systems for Electronic CommerceLearning ObjectivesThe basic functions of online payment systemsHow payment cards are used in electronic commerceAbout the history and future of electronic cashHow digital wallets workW

2、hat stored-value cards are and how they are used in E-CommerceHow the banking industry uses Internet technologiesKey ItemsAcquirer fees Acquiring bank Anonymous electronic cash Automated Clearing House (ACH) Back-end processor Card code verification (CCV) Card not present transaction Card security c

3、ode (CSC) Card verification code (CVC) Card verification data (CVD) Card verification number (CVN) Card verification value (CVV or CV2)Card verification value code (CVVC)Chapter 7 Payment Systems for Electronic CommerceKey ItemsCasher Charge cardChargeback Check 21 Client-side digital wallet Closed

4、loop system Collector Credit card Credit card association Customer issuing bank (issuing bank) Debit cardDigital wallet (electronic wallet, e-wallet) Double spending Chapter 7 Payment Systems for Electronic CommerceKey ItemsDue diligence Electronic cash Electronic funds transfer at point of sale (EF

5、TPOS) cards Electronic wallet (e-wallet) Front-end processor Gift cards Identity theft Interchange fees Interchange network Interoperable software Issuing bank Merchant account Micropayments Money laundering Near field communication (NFC)Chapter 7 Payment Systems for Electronic CommerceKey ItemsOpen

6、 loop system Organized crime Payment card Payment gateway Payment processing service provider Payment processor Pharming attack Prepaid cards Racketeering Server-side digital wallet Single-use card Small payments Smart cardChapter 7 Payment Systems for Electronic CommerceKey ItemsSpear phishing Stor

7、e charge card (store-branded card) Stored-value card Verification code (V-Code or V Code) Zombie farmChapter 7 Payment Systems for Electronic Commerce7.1 Online Payment Basics7.2 Payment Cards7.3 Electronic Cash7.4 Digital Wallets7.5 Stored-Value Cards7.6 Internet Technologies and the Banking Indust

8、ryChapter 7 Payment Systems for Electronic Commerce7.1.1 Micropayments and Small Payments7.1.2 Online Payment Methods7.1 Online Payment BasicsOnline paymentsImportant electronic commerce site functionSeveral online payment options availableVary in size and processing method7.1 Online Payment BasicsM

9、icropaymentsInternet payments for items costing few cents to a dollarSmall payments All payments of less than $107.1.1 Micropayments and Small PaymentsFour ways to purchase items (traditional and electronic)Cash, checks, credit cards, debit cards90% of all United States consumer paymentsElectronic t

10、ransfer: small but growing segmentPopular example: automated paymentsCredit and debit cardsWorldwide: 85% of online paymentsRemainder of payments primarily PayPal7.1.2 Online Payment MethodsOnline payment systemsStill evolvingCheaper than mailing paper checksConvenient for customersSave companies mo

11、neyCosts per billBilling by mail: between $1.00 and $1.50Internet billing and payment costs: 50 cents经济意义：每张账单节约5分钱，如果有500万客户，则每年6000万账单 ， 就是300万元。环保意义：6000万账单重量约是85万公斤，需要2200棵树，还不算造纸过程中消耗的能源及产生的污染。7.1 Online Payment BasicsOnline business payment requirementsSafe, convenient, widely acceptedThe keyW

12、hich choices work the best for the company and its customersFour different payment technologies introduced in this chapterPayment cards, electronic cash, electronic wallets, and smart cards7.1.2 Online Payment Methods7.1 Online Payment Basics7.2 Payment Cards7.3 Electronic Cash7.4 Digital Wallets7.5

13、 Stored-Value Cards7.6 Internet Technologies and the Banking IndustryChapter 7 Payment Systems for Electronic Commerce7.2.1 Advantages and Disadvantages of Payment Cards7.2.2 Payment Acceptance and Processing7.2 Payment CardsPayment card 结算卡Describes all types of plastic cards used to make purchases

14、Categories: credit cards, debit cards, charge cards, prepaid card, and gift cards7.2 Payment CardsCredit card信用卡Spending limit based on users credit historyPay off entire credit card balanceMay pay minimum amountCard issuers charge unpaid balance interestWidely accepted7.2 Payment Cards2011年中国信用卡使用情

15、况如何？在亚太地区中最高的是韩国信用卡使用率，目前保持在68%。接近排名第一的英国（70%）。也超过美国（65%），中国香港（58%）、新加坡（44%）和中国台湾（36%）。7.1.2 Online Payment Methods2012年中国信用卡使用情况如何？信用卡累计发放量3.3亿。市场份额：工商银行21%，招商银行：12%，建设银行11%，农业银行10%，中国银行10%收费和服务：年费工商银行50，其他银行80-100。除工商银行外，其他银行都是全额罚息。信用卡消费：最常用的招行的卡，其次建行、交行、工行招行服务最好，其次民生、中信、中兴，南京银行最差7.1.2 Online Paym

16、ent Methods2012年中国信用卡使用情况如何？7.1.2 Online Payment MethodsDebit card 借记卡Removes sales amount from cardholders bank account Transfers sales amount to sellers bank accountCharge card 签帐卡No spending limitEntire amount due at end of billing periodNo line of credit or interest chargesRetailers may offer th

17、eir own charge cards （特约用户）7.2 Payment CardsPrepaid cardsCards that can be redeemed by anyone for future purchaseGift cards: prepaid cards sold to be given as giftSingle-use cardsCards with disposable numbersAddresses concern of giving online vendors payment card numbersValid for one transaction onl

18、yDesigned to prevent unscrupulous vendor fraud Withdrawn from market due to lack of consumer use7.2 Payment CardsAdvantage for merchantsFraud protectionCan authenticate and authorize purchases using a payment card processing networkAdvantage for U.S. consumersLiability of fraudulent card use: $50Fre

19、quently waived if card stolenGreatest advantageWorldwide acceptanceCurrency conversion handled by card issuer7.2.1 Advantages and Disadvantages of Payment CardsDisadvantage for merchantsPer-transaction fees, monthly processing feesViewed as cost of doing businessGoods and services prices: slightly h

20、igherCompared to environment free of payment cardsDisadvantage for consumersAnnual fee7.2.1 Advantages and Disadvantages of Payment CardsProcessing payment card transaction onlinePayment acceptanceEstablish card validityVerify cards limit not exceeded by transactionClearing the transactionAll steps

21、to move funds from card holders bank account into merchants bank account7.2.2 Payment Acceptance and ProcessingOpen and closed loop systemsClosed loop systems Card issuer pays merchant directlyDoes not use intermediaryFIGURE 11-2 Closed loop payment card system7.2.2 Payment Acceptance and Processing

22、Open and closed loop systemsOpen loop systems (three or more parties)Third party (intermediary bank) processes transactionCustomer issuing banks: banks issuing cardsFIGURE 11-3 Open loop payment card system7.2.2 Payment Acceptance and ProcessingMerchant accountsMerchant bank (acquiring bank) 商业银行Doe

23、s business with Internet and non-Internet sellersBank wanting to accept payment cardsMerchant account 商业账户required to process Internet transactions payment cardsObtaining accountMerchant provides business informationBank assesses business type riskBank assesses percentage of sales likely to be conte

24、sted7.2.2 Payment Acceptance and ProcessingProcessing payment card transactionsMost online merchants have internal systems:Handling closed loop and open loop system cardsSome accept direct deductions from customers checking accountAutomated Clearing House (ACH): network of banks involved in direct d

25、eduction transactionsBusiness size considerationsLarge: entire department to build/maintain systemsMid-size: purchased software with skilled staff to manage systemSmall: rely on service provider7.2.2 Payment Acceptance and ProcessingProcessing payment cards onlineFIGURE 7-3 Processing a payment card

26、 transaction7.2.2 Payment Acceptance and Processing7.1 Online Payment Basics7.2 Payment Cards7.3 Electronic Cash7.4 Digital Wallets7.5 Stored-Value Cards7.6 Internet Technologies and the Banking IndustryChapter 7 Payment Systems for Electronic Commerce7.3.1 Privacy and Security of Electronic Cash7.3

27、.2 Holding Electronic Cash: Online and Offline Cash7.3.3 Advantages and Disadvantages of Electronic Cash7.3 Electronic CashElectronic cash (e-cash, digital cash)Describes any value storage and exchange system created by private (nongovernmental) entityDoes not use paper documents or coinsCan serve a

28、s substitute for government-issued physical currencyPotential marketPurchases below $10Majority of worlds population who do not have credit cards7.3 Electronic CashElectronic payment method concernsPrivacy and security, independence, portability, convenienceVulnerable transactionsElectronic currency

29、: copied, reused, forgedImportant characteristics of electronic cashAbility to spend only onceAnonymous useConvenience7.3.1 Privacy and Security of Electronic CashOnline cash storageConsumer has no personal possession of electronic cashTrusted third party (online bank) involved in all transfers, hol

30、ds consumers cash accountsOnline system paymentMerchants contact consumers bankHelps prevent fraud (confirm valid cash)Resembles process of checking with consumers bank to ensure valid credit card and matching name7.3.2 Holding Electronic Cash: Online and Offline CashOffline cash storageVirtual equi

31、valent of money kept in a walletCustomer holds itNo third party involved in transactionProtection against fraud concernHardware or software safeguards needed Double-spendingSpending electronic cash twiceSubmit same electronic currency to two different vendorsNot enough time to prevent fraudulent act

32、7.3.2 Holding Electronic Cash: Online and Offline CashTraditional brick-and-mortar billing methodsCostly and inefficientAdvantages of electronic cash transactionsMore efficient (less costly)Efficiency fosters more business (lower prices)Occurs on existing infrastructure (Internet)Does not require on

33、e party to obtain authorization7.3.3 Advantages and Disadvantages of Electronic CashDisadvantages of electronic cash transactionsNo audit trailMoney launderingTechnique criminals use to convert money illegally obtained into spendable cash Purchase goods, services with ill-gotten electronic cashGoods

34、 sold for physical cash on open market7.3.3 Advantages and Disadvantages of Electronic Cash7.1 Online Payment Basics7.2 Payment Cards7.3 Electronic Cash7.4 Digital Wallets7.5 Stored-Value Cards7.6 Internet Technologies and the Banking IndustryChapter 7 Payment Systems for Electronic Commerce7.4.1 So

35、ftware-Only Digital Wallets7.4.2 Hardware-Based Digital Wallets7.4 Digital WalletsDigital wallet (Electronic wallet or e-wallet)电子钱包Holds credit card numbers, electronic cash, owner identification, owner contact informationProvides information at electronic commerce site checkout counterBenefit: con

36、sumer enters information onceMore efficient shoppingDigital wallet technology elementsSystem: infrastructure for identificationApplication: software for user interactionDevice: applicable if a specific device is used7.4 Digital Wallets7.4 Digital WalletsServer-side digital walletStores customers inf

37、ormation on remote server of merchant or wallet publisherNo download time or installation on users computerMain weakness Security breach can reveal thousands of users personal information to unauthorized parties 7.4.1 Software-Only Digital WalletsClient-side digital walletStores information on consu

38、mers computerDisadvantagesNot portable: must download wallet software onto every computerAdvantageSensitive information stored on users computer7.4.1 Software-Only Digital WalletsServer-side digital wallet examples:Microsoft Windows Live IDYahoo! WalletSoftware-based digital walletAutomatically fill

39、s online formsAccepted by large number of merchants7.4.1 Software-Only Digital WalletsImplemented using smart phones Store owners identity credentials (drivers license, medical insurance card, store loyalty cards, etc.)Transmit portions of identify information using:Bluetooth or wireless transmissio

40、n to nearby terminalNear field communication (NFC) technology: contactless wireless transmission of data over short distancesGoogle Wallet7.4.2 Hardware-Based Digital Wallets7.1 Online Payment Basics7.2 Payment Cards7.3 Electronic Cash7.4 Digital Wallets7.5 Stored-Value Cards7.6 Internet Technologie

41、s and the Banking IndustryChapter 7 Payment Systems for Electronic Commerce7.5.1 Magnetic Strip Cards7.5.2 Smart Cards7.5 Stored-Value CardsSmart card 智能卡or magnetic strip plastic card 磁卡Records currency balanceExample：图书证、身份证、饭卡、电话卡和公交卡Smart card versus magnetic stripSmart card stores more informat

42、ionTiny microchip computer processor Performs calculations and storage operations on cardDifferent microchip card reader needed“Stored-value card” and “smart card” used interchangeably7.5 Stored-Value CardsHolds rechargeable valuePassive magnetic strip cards cannot:Send or receive informationIncreme

43、nt or decrement cash value storedProcessing done on device into which card inserted7.5.1 Magnetic Strip CardsSmart card (Stored-value card) 储值卡Plastic card with embedded microchipInformation storageAbout 100 times more than magnetic strip plastic cardHolds private user dataFinancial facts, encryptio

44、n keys, account information, credit card numbers, health insurance information, medical recordsSafer than conventional credit cardsInformation encrypted on smart card7.5.2 Smart Cards7.1 Online Payment Basics7.2 Payment Cards7.3 Electronic Cash7.4 Digital Wallets7.5 Stored-Value Cards7.6 Internet Te

45、chnologies and the Banking IndustryChapter 7 Payment Systems for Electronic Commerce7.6.1 Check Processing7.6.2 Mobile Banking7.6.3 Criminal Activity and Payment Systems7.6 Internet Technologies and the Banking IndustryPaper checksLargest dollar volume of paymentsProcessed through worlds banking sys

46、temOther major payment formsInvolve banks one way or anotherBanking industry Internet technologiesProviding new toolsCreating new threats7.6 Internet Technologies and the Banking IndustryOld method of physical check processingPerson wrote check; retailer deposited check in bank accountRetailers bank

47、 sent paper check to clearinghouseClearinghouse managed fund transfer (consumers bank to retailers account)Paper check transported to consumers bankCancelled check sent to consumerBanks now provide PDF images of processed checks 7.6.1 Check Processing Disadvantage of paper checks Cost of transportin

48、g tons of paper checksFloatDelay between the time person writes check and the time check clears persons bankBanks customer obtains free use of funds for few daysBank loses use of funds for same time periodCan become significantly longer than a few days7.6.1 Check Processing Banks exploring mobile co

49、mmerce potential2009: banks launched sites allowing customers using smart phones to:Obtain bank balance, view account statement, and find a nearby ATMFuture plansOffering smart phone apps Use to transact all types of banking businessCredit card reader attachment available for some smart phones yielding a portable payment p