Time is now on the side of fuel marketers who have been trying to figure out the economics of a big change on their fuel islands. The deadline for having chip-readers installed at U.S. retail fuel outlets has been extended by three years. Instead of October 2017 fuel marketers now have until October 2020 to make sure their pumps can handle EMV technology. The acronym that stands for Europay, MasterCard and Visa, the three global payment giants that developed technology designed to reduce fraud from credit and debit card transactions.
The decision recognizes reality; that changing credit and debit card systems is a whole lot different at a fuel pump than at a supermarket checkout counter. Bloomberg reported that Visa and MasterCard listened to complaints that owners would not have enough time to complete the ‘multibillion-dollar upgrades’.
“In some cases, older pumps may need to be replaced before adding chip readers, requiring specialized vendors and breaking into concrete,” San Francisco-based Visa said in a statement on its website as reported by Bloomberg. Sufficient supplies of compliant hardware and software to enable upgrades by 2017 remain an issue, the company said.
Make Dispenser Change-Outs as Simple as Possible
It’s expensive to make the change, with the National Association of Convenience Stores estimating the cost at around $30,000 per store – about $4 Billion across the industry. Many outlets are opting to change the entire dispensers rather than retro-fit existing ones to handle the EMV technology. Companies making that decision are looking for ways to minimize cost and disruption to operations.
In some cases, they have found a solution in Husky Corporation’s EZ-Connect, the only certified, pre-assembled, pressure and continuity tested hanging hardware assembly. It takes care of all the components from the dispenser through the nozzle.
“The EZ-Connects are going on new dispensers. The pre-assembled unit is really attractive to even the smallest operators,” said one Husky Corporation manufacturer’s representative. “They see where that saves a lot of labor time and money when they do a change-out or a new location. It saves them lots of bucks.”
This video shows more about what goes into the EZ-Connect system.
Now that the planning horizon is a bit longer, fuel marketers will be able to make a phased-change to the EMV technology. Take advantage of that time to make the transition as smooth and cost-effective as possible. Contact Husky Corporation to learn about how reducing that impact even more with EZ-Connect hanging hardware.